Switzerland's SIG Group Sees Increase in Net Income and Revenue

Switzerland's SIG Group has reported growth in net income and revenue for the second quarter of the year. The company was able to offset cost inflation through higher prices, resulting in a net profit of €29.6 million ($32.8 million) compared to €13.5 million in the same period last year. Revenue also saw a significant increase, rising to €811 million from €645.9 million.

Strong Organic Revenue Growth

SIG Group experienced a 6.4% increase in organic revenue at constant currency. The company's fastest-growing region was Europe, with a notable 9.8% growth.

Positive Earnings Before Interest Taxes Depreciation and Amortization (EBITDA)

Driven by price and mix benefits, SIG Group's EBITDA rose to €183.9 million from €95.4 million. These gains helped counterbalance inflationary effects.

Steady EBITDA Margin Growth

Despite the expected dilutive impact of acquisitions, SIG Group achieved a slight increase in its adjusted EBITDA margin, rising from 25.1% to 25.7%.

Confident Outlook for Future Growth

SIG Group maintains its growth expectations for 2023. The company anticipates a revenue increase of 20% to 22% at a constant exchange rate, with the adjusted EBITDA margin projected to grow between 50 and 150 basis points, reaching a range of 24% to 25%. However, the company acknowledges that improvements are subject to input cost and foreign currency volatility.