Earnings, Assets and Financial Position

For the operational management of the Group, management adjusts the result for certain expenses and income in connection with realized M&A transactions. The adjustments are made according to the management approach in segment reporting, which is still structured according to the EMEA, Americas and Asia-Pacific regions. The adjusted results presented below therefore correspond to the management view.

 

Adjustments

In the period January to June 2024, adjustments amounting to EUR 0.2 million (H1 2023: EUR 0 million) were made within EBITDA (earnings before interest, taxes, depreciation of property, plant and equipment and amortization of intangible assets). These include acquisition/integration costs among other things. Within EBITA, depreciation of property, plant and equipment from purchase price allocations amounting to EUR 0.6 million (H1 2023: EUR 0.4 million) was also made in the first half of 2024. In addition, amortization of intangible assets from purchase price allocations amounting to EUR 10.3 million (H1 2023: EUR 10.2 million) was adjusted within EBIT.

Fictitious income taxes resulting from the adjustments are calculated using the tax rates of the local companies concerned and taken into account in the adjusted result after taxes.

The adjusted figures are shown below. Further information on the unadjusted figures can be found in the abbreviated notes to the consolidated financial statements. CONDENSED NOTES.

 

Order backlog

As of June 30, 2024, NORMA Group’s order backlog amounted to EUR 487.6 million, 8.9% lower than the previous year’s reporting date (June 30, 2023: EUR 535.3 million).

 

Earnings position

 

Sales development in the first half of 2024

In the first half of 2024, NORMA Group generated consolidated sales of EUR 614.8 million, 3.8% lower than in the same period last year (H1 2023: EUR 639.0 million). This includes negative currency effects of 0.5%. In contrast, sales from Teco’s business, which has been part of NORMA Group since 2024, had a positive impact of 0.2% on sales development in the current reporting quarter. Adjusted for the effects mentioned, NORMA Group recorded a decline in sales of 3.5%. The volume decline contained therein was offset to a small extent by price increases agreed upon in the previous year.

While business in the Americas region in the Water Management strategic business unit recorded a significant increase in volume, the development in Industry Applications noticeably declined in the current reporting period. The weaker demand in the industrial business due to the economic environment was also evident in the EMEA and Asia-Pacific regions. In Mobility & New Energy, as well, a decline in sales was visible in the first six months of 2024. This was mainly due to weaker demand from the European automotive industry. Sales development was also subdued in the Americas and Asia-Pacific regions. In addition to a decline in volume in the automotive business, negative currency effects in particular had a negative impact in the Asia-Pacific region.

In the second quarter of 2024, sales revenues fell by 5.5% compared to the same quarter of the previous year (Q2 2023: EUR 324.0 million), reaching EUR 306.3 million. Adjusted for positive effects from currency translations (0.2%) and acquisitions (0.2%), the organic decline was 5.9%.

 

Industry Applications: Sales development in the first half of 2024 subdued due to external environment

Sales in the Industry Applications division (a customer industry within the former SJT – Standardized Joining Technology sales channel until the end of 2023) amounted to EUR 109.7 million in the first six months of 2024, down 8.1% on the previous year’s first half (H1 2023: EUR 119.4 million). The second quarter, though, showed a sequential improvement compared to the first quarter of 2024. Before currency effects (-0.5%), the decline in the first six months was 7.6%. This was mainly due to lower volumes on account of market-related, weak global demand in all regions. Sales price increases negotiated in the previous year visibly counteracted a stronger decline.

 

Water Management: Significant sales growth in the first six months of 2024

In the first half of 2024, sales revenues in the Water Management segment (a customer industry within the former SJT – Standardized Joining Technology sales channel until the end of 2023) reached EUR 157.6 million, compared to EUR 149.3 million in the same period of the previous year. This corresponds to an increase of 5.6% overall, which was mainly due to good volume development. In addition, sales revenues from the acquisition of Teco (0.8%) also had an increasing effect, whereas negative currency effects slightly dampened sales development (-0.3%). Growth excluding the aforementioned currency and acquisition effects was 5.1%.

 

Mobility & New Energy: Sales development below high previous year’s level

The Mobility & New Energy area (the former EJT – Engineered Joining Technology sales channel until the end of 2023) recorded sales revenues of EUR 347.4 million in the first half of 2024, 6.2% below the level of the corresponding period of the previous year (H1 2023: EUR 370.2 million). The main reason for this was subdued demand within the global automotive industry, especially in the EMEA region, but also in the Americas and Asia-Pacific. Negative currency effects (-0.6%) further reduced sales. Excluding the effects of currency translations, the decline was 5.6%. The decrease in volume contained therein was offset to a smaller extent by the higher sales prices negotiated in the previous year.

 

Adjusted cost of materials ratio

Adjusted costs of material totaled EUR 270.7 million in the first half of 2024, 3.3% lower than the same period last year (H1 2023: EUR 279.9 million). Among other things, lower costs for some of the raw materials relevant to NORMA Group and a normalized level of energy expenses compared to the same period last year had a relieving effect. The positive effects also resulted from the “Step Up” program. The optimizations and renegotiations planned and continuously implemented by the global purchasing organization represent a key set of measures. At 44.0%, the adjusted cost of materials ratio in relation to sales - excluding changes in inventory - was nevertheless slightly higher in the first half of 2024 than in the same period last year (H1 2023: 43.8%). This can be attributed to the following aspects: On the one hand, material costs decreased at a lower rate than sales, also due to changes in the product mix. Likewise, the build-up of inventories of finished and unfinished products in the first six months (H1 2024: EUR 5.4 million) had an increasing impact on the adjusted cost of materials ratio, whereas in the first half of the previous year there was a noticeably relieving effect due to the inventory reduction contained therein (H1 2023: EUR -17.0 million). In relation to total output (sales revenue plus changes in inventory and other own work capitalized), this resulted in a significantly improved adjusted cost of materials ratio of 43.5% (H1 2023: 44.9%).

In the second quarter of 2024, adjusted costs of material amounted to EUR 133.9 million (Q2 2023: EUR 138.4 million), and the adjusted cost of materials ratio in relation to sales reached 43.7% (Q2 2023: 42.7%). The adjusted cost of materials ratio in relation to total operating performance in the second quarter of 2024 was 43.3% (Q2 2023: 44.3%).

 

Adjusted gross profit and adjusted gross margin

In the first half of 2024, NORMA Group achieved adjusted gross profit (sales less costs of materials and changes in inventories plus other own work capitalized) of EUR 351.6 million. Compared to the six-month period of the previous year (H1 2023: EUR 343.4 million), this represents an increase of 2.4%. The positive development was due to the lower costs of materials in the period January to June 2024. In addition, the increase in inventories of finished and unfinished products of EUR 5.4 million (H1 2023: inventory reduction of EUR 17.0 million) in particular had an increasing effect on adjusted gross profit. Against this background, the adjusted gross margin (based on sales) improved significantly in the first half of 2024 to 57.2% from 53.7% in the same period last year.

In the second quarter of 2024, NORMA Group generated an adjusted gross profit of EUR 175.5 million, a slight increase of 0.8% compared to the corresponding quarter of the previous year (Q2 2023: EUR 174.1 million). At 57.3%, the adjusted gross margin in the second quarter of 2024 was significantly higher than in the previous year (Q2 2023: 53.7%). The inventory build-up of EUR 2.1 million in the current reporting quarter (Q2 2023: inventory reduction of EUR -12.2 million) and the lower adjusted costs of materials increased the adjusted gross margin.

 

Personnel cost ratio

As of June 30, 2024, NORMA Group had a total of 8,022 employees worldwide. Of these, 6,121 were part of the permanent workforce. While the workforce remained almost stable compared to June 30, 2023 (6,115 employees), around 2.0% more employees were part of the permanent workforce compared to the end of 2023 (5,994 employees). The increase compared to the end of 2023 was mainly due to a higher workforce in the EMEA region. In the Americas, there were also more people in the permanent workforce compared to the reporting date, whereas the workforce was lower compared to the end of the year in the Asia-Pacific region.

Personnel expenses amounted to EUR 173.3 million in the first half of 2024, an increase of 5.9% compared to the same period last year (H1 2023: EUR 163.6 million). The main reason for this increase is a higher wage level compared to the first half of 2023 due to inflation-related adjustments. In the first six months of 2024, temporary, but already diminishing, inefficiencies in the EMEA region also caused higher expenses for employee benefits. Due to the decline in sales and the disproportionate increase in personnel expenses, the personnel cost ratio in the first half of 2024 increased noticeably compared to the previous year (H1 2024: 28.2%; H1 2023: 25.6%).

In the second quarter of 2024, personnel expenses amounted to EUR 87.3 million, 7.1% higher than in the second quarter of 2023 (EUR 81.5 million). The personnel cost ratio in the second quarter of 2024 was 28.5% (Q2 2023: 25.2%). CONDENSED NOTES

 

Other operating income and expenses

The adjusted balance of other operating income and expenses in the first half of 2024 was EUR -96.9 million, 4.3% lower than in the reporting period of the previous year (H1 2023: EUR -101.2 million). The share of other operating expenses and income in relation to sales was 15.8 in the current reporting period (H1 2023: 15.8) and thus remained stable despite the decline in sales.

Other operating income totaled EUR 7.4 million (H1 2023: EUR 10.1 million). This mainly includes currency gains from operating activities of EUR 3.9 million (H1 2023: EUR 5.3 million) and income from the release of liabilities and provisions (H1 2024: EUR 2.1 million; H1 2023: EUR 2.6 million). CONDENSED NOTES

Other operating expenses amounted to EUR 104.3 million in the first six months of 2024, 6.3% lower than in the same period last year (H1 2023: EUR 111.3 million). The majority of this relates to expenses for temporary workers and other personnel-related expenses (H1 2024: EUR 26.6 million; H1 2023: EUR 28.5 million). A significant proportion also relates to freight costs, although these saw a significant reduction compared to the same period last year (H1 2024: EUR 16.7 million; H1 2023: EUR 22.3 million). The savings were made in the area of special freight, in particular. This was achieved primarily through significant optimizations in purchasing and supply chain management processes. Both strands contain important measures within the ‘Step Up’ growth and efficiency program. Another large share of other operating expenses is made up of expenses for IT and telecommunications (H1 2024: EUR 13.7 million; H1 2023: EUR 12.9 million), as well as costs for consulting and marketing (H1 2024: EUR 10.8 million; H1 2023: EUR 11.0 million).

In the second quarter of 2024, the balance of the adjusted other operating income and expenses amounted to EUR -47.2 million, 7.0% lower than in the corresponding quarter of the previous year (Q2 2023: EUR -50.7 million). The ratio to sales was 15.4% (Q2 2023: 15.6%).

 

Operating profit

The operating result adjusted for depreciation of tangible and intangible assets from purchase price allocations and acquisition-related expenses – the adjusted EBIT – amounted to EUR 51.8 million in the first six months of the current fiscal year. This corresponds to an increase of 4.4% compared to the comparable figure for the previous year (H1 2023: EUR 49.7 million). The adjusted EBIT margin reached 8.4% in the first half of 2024 (H1 2023: 7.8%). The main driver of the positive development in the current reporting period was the higher adjusted gross margin compared to the previous year. The significantly lower freight costs especially for special freight also had a positive effect. In contrast, the inflation-related increase in expenses for employee benefits had an opposing effect on the adjusted EBIT margin.

In the second quarter of 2024, adjusted EBIT amounted to EUR 26.1 million (Q2 2023: EUR 27.1 million). The adjusted EBIT margin increased to 8.5% (Q2 2023: 8.4%).

 

NORMA Value Added (NOVA)

NORMA Value Added (NOVA) was EUR -17.6 million in the first half of 2024 (H1 2023: EUR -15.5 million). While the higher adjusted EBIT compared to the previous year had a positive effect on NOVA in the current reporting period, the higher adjusted tax rate compared to the previous year’s reporting period had a reducing effect on the development of this key performance indicator. The increase in average capital costs compared to the previous year’s period also had a reducing effect.

 

Financial result

The financial result in the six-month period of 2024 was EUR -12.9 million, a significant change compared to the previous year (H1 2023: EUR -9.1 million) CONDENSED NOTES. This was primarily due to significantly higher net interest expenses (H1 2024: EUR -11.2 million; H1 2023: EUR -8.7  million), which was mainly the result of an increase in interest expenses for liabilities to banks compared to the same period last year. One of the reasons for this was that the refinancing already carried out in the third quarter of 2023 by issuing a promissory note loan with a sustainability component in the amount of EUR 120 million was carried out at higher interest rates due to the generally increased market interest rate level. In addition, the financial result in the first six months of 2024

includes net foreign exchange losses from financing activities of EUR 0.8 million (H1 2023: net foreign exchange gains of EUR 0.5 million).

In the second quarter of 2024, the financial result amounted to EUR -6.7 million (Q2 2023: EUR -5.2 million).

 

Adjusted tax rate and adjusted profit for the period

Based on adjusted earnings before taxes (EBT) of EUR 39.0 million in the first half of 2024 (H1 2023: EUR 40.6 million), the adjusted tax rate was 40.5% (H1 2023: 35.2%). The reasons for the increase included unrecognised deferred tax assets on losses as well as non-deductible withholding taxes and non-deductible expenses. The adjusted result for the period reached EUR 23.2 million (H1 2023: EUR 26.3 million). Based on an unchanged number of shares of 31,862,400, this resulted in adjusted earnings per share of EUR 0.72 in the first six months of the current fiscal year (H1 2023: EUR 0.82).

The adjusted net result for the period in the second quarter of 2024 was EUR 10.7 million (Q2 2023: EUR 14.5 million). Adjusted earnings per share in the period from April to June 2024 were therefore EUR 0.34 (Q2 2023: EUR 0.45).

 

Development of sales and earnings in the segments

The share of Group sales generated abroad rose to 89.5% in the period from January to June 2024 (H1 2023: 87.7%).

 

EMEA region

External sales in the EMEA region amounted to EUR 259.2 million in the first half of 2024, 5.7% below the figure for the same period last year (H1 2023: EUR 274.8 million). Overall subdued demand – especially from automotive customers in the months of April to June – caused the decline in sales. Currency effects only marginally reduced growth (-0.1%) in the first half of 2024. Sales from Teco’s business, which has been part of NORMA Group since 2024, contributed 0.4% to sales development. Adjusted for the effects mentioned, the decline was 6.0%.

In the second quarter of 2024, NORMA Group generated sales of EUR 122.7 million in the EMEA region. This resulted in a sales decline of 10.1% compared to the same quarter of the previous year (Q2 2023: EUR 136.6 million). The main reason for this was a lower sales volume. Currency effects had a slightly negative impact on sales of 0.2%, while effects from acquisitions contributed 0.5% to sales development. After these effects, there was a decrease of 10.5% in the months from April to June 2024.

The three business units developed unevenly: Industry Applications recorded declining sales in the period from January to June 2024 compared to the same period last year (H1 2024: EUR 63.4 million; H1 2023: EUR 66.7 million). However, the business unit showed a more positive trend in the second quarter. In Mobility & New Energy, sales in the EMEA region were also below the high level of the previous year (H1 2024: EUR 192.7 million; H1 2023: EUR 206.8 million), showing a particularly sharp slowdown in the second quarter compared to the first quarter of 2024. The development in the two customer industries can be attributed to overall weaker demand. By contrast, the European Water Management business developed well in the first half of 2024 (H1 2024: EUR 3.1 million.; H1 2023: EUR 1.3 million). This was due to a significantly positive volume development, also driven by the proceeds from the Teco business acquired in February 2024. The region’s share of Group sales was around 42% in the first half of 2024 (H1 2023: 43%).

Despite the reduced sales, adjusted EBIT in the EMEA region increased significantly in the first half of 2024 compared to the same period last year (H1 2023: EUR 14.2 million), reaching a value of EUR 17.0 million. The adjusted EBIT margin was 6.2% (H1 2023: 4.9%). The improvements in adjusted EBIT and adjusted EBIT margin resulted primarily from further implementation of operational efficiency measures, also in connection with the ‘Step Up’ program. Logistics costs, particularly in the area of freight, as well as special freight, were successfully reduced in the first half of 2024 compared to the corresponding period last year.

Investments in the EMEA region amounted to EUR 9.7 million in the first half of 2024 (H1 2023: EUR 10.0 million). The investment focus was on the sites in the Czech Republic, Serbia and the United Kingdom.

 

Americas region

Sales (external sales revenues) in the Americas region reached EUR 281.8 million in the first half of 2024, only marginally (-0.1%) below the previous year’s figure (H1 2023: EUR 282.2 million). Currency effects (-0.1%) had little impact on sales development in the first six months of 2024.

Sales revenues in the second quarter of 2024 totaled EUR 146.4 million, an increase of 1.3% compared to the same quarter of the previous year (Q2 2023: EUR 144.5 million). This includes currency effects of 1.0%, which had

a positive impact on revenues in the period from April to June 2024. Adjusted growth in the second quarter of 2024 was therefore 0.3%.

The overall subdued sales development in the Americas region is attributable to the Industry Applications and Mobility & New Energy business units. Sales in Industry Applications fell to EUR 36.8 million in the first half of 2024 (H1 2023: EUR 40.2 million), whereas the second quarter of 2024 saw a strong improvement compared to the first quarter. In the Mobility & New Energy division, revenues fell to EUR 103.3 million in the first six months of the current fiscal year (H1 2023: EUR 107.2 million). The main reason for the decline in the two business units was weak demand in an environment characterized by general reluctance to invest. By contrast, the Water Management business of the US subsidiary NDS grew to EUR 141.7 million in the period January to June 2024 thanks to significant volume increases (H1 2023: EUR 134.8 million). Against this backdrop, the share of the Americas region in Group sales rose to 46% in the first half of 2024 (H1 2023: 44%).

Adjusted EBIT in the Americas region reached EUR 34.4 million in the first half of 2024, almost at the previous year’s level (H1 2023: EUR 34.7 million). In relation to sales, this resulted in an EBIT margin for the Americas region of 12.0% (H1 2023: 12.1%). Ramp-up costs at the new production site in Lithia Springs dampened the margin in the first half of 2024, while the lower price level for freight costs had a relieving effect.

In the period from January to June 2024, investments in the Americas region amounted to EUR 10.9 million (H1 2023: EUR 16.7 million). They particularly affected the locations in the US.

 

Asia-Pacific region

In the Asia-Pacific region, sales in the first half of 2024 amounted to EUR 73.8 million (H1 2023: EUR 82.0 million). This corresponds to a decrease in sales of 10.1% compared to the same period last year. This decline particularly became visible in the period from April to June. Adjusted for negative currency effects related to the Chinese renminbi (-3.2%), the decline was 6.9%.

In the second quarter of 2024, sales revenues of EUR 37.2 million were generated in the Asia-Pacific region. Compared to the corresponding quarter of the previous year (Q2 2023: EUR 42.9 million), sales were 13.4% lower. This includes negative currency effects of 1.6%. Adjusted for translation effects, there was a decline of 11.9%.

The decline in business in the region is mainly due to the persistently weak economic recovery, primarily in China. With the resulting weak demand, revenues in the Industry Applications unit fell sharply in the current half-year (H1 2024: EUR 9.6 million; H1 2023: EUR 12.5 million). This was particularly evident in the period from April to June. Sales at Mobility & New Energy also fell significantly in the first half of 2024 due to subdued demand from the Chinese automotive industry (H1 2024: EUR 51.5 million; H1 2023: EUR 56.3 million). Water Management generated sales of EUR 12.8 million in the first six months (H1 2023: EUR 13.2 million). The Asia-Pacific region accounted for around 12% of Group sales in the first half of 2024 (H1 2023: 13%).

Adjusted EBIT in the Asia-Pacific region was EUR 5.5 million in the first half of 2024 (H1 2023: EUR 7.0 million). The adjusted EBIT margin reached 6.9% (H1 2023: 7.9%). Cost savings and operational efficiency gains, especially in the area of (special) freight, supported the development of the margin in the first six months of 2024.

In the period from January to June 2024, EUR 2.0 million was invested in the Asia-Pacific region (H1 2023: EUR 5.3 million). The investments were primarily made at the plants in China.

 

Asset situation

 

Total assets

As of June 30, 2024, total assets amounted to EUR 1,508.8 million, 1.0% higher than at the end of 2023 (December 31, 2023: EUR 1,493.3 million).

 

Assets

Non-current assets amounted to EUR 900.9 million as of June 30, 2024, a slight increase of 1.1% compared to December 31, 2023 (EUR 890.9 million). Positive currency effects from the USD and the additions to goodwill and other intangible assets in connection with the acquisition of Teco were the key drivers. SIGNIFICANT EVENTS IN THE FIRST HALF OF 2024. The share of non-current assets in total assets remained unchanged at 59.7% as of June 30, 2024, compared to the end of 2023 (December 31, 2023: 59.7%).

In the period from January to June 2024, a total of EUR 22.6 million was invested in fixed assets (H1 2023: EUR 32.2 million). The share of capitalized own work within investments amounted to EUR 2.1 million (H1 2023: EUR 1.3 million). The focus of investment activity in the first half of 2024 was on the production sites in the USA, Serbia, the Czech Republic, Poland and Germany. There were no significant disposals.

Current assets amounted to EUR 607.9 million as of June 30, 2024, a slight increase of 0.9% compared to December 31, 2023 (EUR 602.4 million). The development compared to the end of 2023 was mainly influenced by the following effects: On the one hand, there was a noticeable increase in trade accounts receivable as of June 30, 2024 (EUR 196.4 million) compared to the end of December 2023 (EUR 184.5 million). Other financial assets (June 30, 2024: EUR 6.6 million; December 31, 2023: EUR 2.3 million) and other non-financial assets (June 30, 2024: EUR 28.9 million; December 31, 2023: EUR 25.3 million) also increased compared to the end of 2023. In contrast, the decrease in cash and cash equivalents as of the reporting date of the current reporting quarter (June 30, 2024: EUR 151.6 million; December 31, 2023: EUR 165.2 million) due to the payment of the dividend to the shareholders of NORMA Group SE had a reducing effect on current assets. A detailed reconciliation of the change in cash and cash equivalents can be found in the consolidated statement of cash flows. CONDENSED NOTES. The share of current assets in total assets remained unchanged at 40.3% as of the end of June 2024 (December 31, 2023: 40.3%).

 

Equity ratio

Equity amounted to EUR 708.5 million as of June 30, 2024 (December 31, 2023: EUR 693.4 million), 2.2% higher than the figure at the end of 2023. This is mainly due to the significant increase in other reserves due to positive currency differences as well as an increase in retained earnings due to the positive profit for the period of EUR 15.0 million. The dividend payment of EUR 14.3 million, on the other hand, reduced equity. The equity ratio was 47.0, which was higher than the figure as of December 31, 2023 (46.4%).

 

Financial liabilities

NORMA Group’s financial liabilities increased by 1.7% to EUR 519.2 million as of June 30, 2024, compared to the end of 2023 (December 31, 2023: EUR 510.6 million). This change was primarily driven by an increase in loan liabilities. This was due to cash-neutral currency effects on foreign currency loans and an increase in liabilities for accrued interest and other financial liabilities. The latter mainly resulted from the increase in liabilities from ABS

and factoring. In addition, loan liabilities in the first half of 2024 include the effect from the assumption of loans in connection with the Teco acquisition. CONDENSED NOTES

Long-term debt totaled EUR 528.7 million as of June 30, 2024, down 0.8% from the end of 2023 (December 31, 2023: EUR 524.3 million).

Current liabilities amounted to EUR 271.6 million as of June 30, 2024, a decrease of 1.4% compared to the end of 2023 (December 31, 2023: EUR 275.5 million).

The share of long-term debt in total assets as of the end of June 2024 was 35.0% (December 31, 2023: 35.1%), while short-term debt accounted for 18,0 (December 31, 2023: 18.5%).

 

Net debt

Net debt increased from EUR 345.4 million at the end of 2023 to EUR 367.6 million as of June 30, 2024. This represents an increase of 6.4%, or EUR 22.1 million. A reconciliation of the change in net debt can be found in the CONDENSED NOTES.

Gearing (net debt to equity) remained unchanged at 0.5 as of June 30, 2024 (December 31, 2023: 0.5). Leverage (net debt excluding hedging instruments in relation to EBITDA for the last twelve months) increased to 2.3 as of June 30, 2024 (December 31, 2023: 2.2).

 

Financial position

 

Group-wide financial management

 

Net operating cash flow

A detailed overview of NORMA Group’s general financial management is provided in the ANNUAL REPORT 2023.

Net operating cash flow in the current reporting period was EUR 41.2 million, a noticeable improvement compared to the same period last year (H1 2023: EUR -12.9 million). The driver of the visibly positive development is, on the one hand, the significantly lower increase in (trade) working capital compared to the end of 2023 (H1 2024: EUR 19.7 million; H1 2023: EUR 60.5 million). Lower investments from operating activities (H1 2024: EUR 20.5 million; H1 2023: EUR 31.0 million) also had an increasing effect on net operating cash flow in the current reporting period. The higher adjusted EBITDA compared to the same period of the previous year (H1 2024: EUR 81.4 million; H1 2023: EUR 78.6 million) also had an positive impact.

 

Cash flow from operating, investing and financing activities

Cash flow from operating activities amounted to EUR 47.0 million in the first half of 2024, significantly exceeding the figure for the corresponding period last year (H1 2023: -7.1 million). Cash flow from investing activities reached EUR -32.5 million in the first six months of 2024 (H1 2023: EUR -31.3 million) and includes net cash outflows from the procurement and disposal of non-current assets and for the acquisition of intangible assets and property, plant and equipment, as well as net payments for the acquisition of Teco. Cash flow from financing activities amounted to EUR -29.4 million in the first half of 2024 (H1 2023: EUR -28.2 million). This mainly includes the payment of the dividend to the shareholders of NORMA Group SE, as well as interest payments and repayments of lease liabilities. For further information, see section CONDENSED NOTES.