Brdr. Hartmann — Earnings Release 2020

Aug 19, 2020

HARTMANN
Management

Company announcement no. 15/2020

Gentofte, 19 August 2020

Hartmann expands capacity in the USA and Europe and lifts investment outlook

In 2020-2021, Hartmann will invest around DKK 150 million in completing another significant expansion of the production capacity at the group’s existing factory in Missouri, USA. In addition, Hartmann will add further production capacity at existing factories in Europe. The addition follows the ongoing expansions, which are progressing according to plan and expected to be commissioned in 2020. Hartmann adjusts the investment outlook for 2020 to around DKK 450 million from around DKK 400 million.

Capacity utilisation is high at Hartmann’s factories in the USA and Europe, and demand for sustainable moulded-fibre packaging is increasing among existing and new customers across the group’s markets. Hartmann expects to commission the expanded production capacity at the factory in the USA in the second half of 2021, while the capacity expansion in Europe is expected to be commissioned in the first half of 2021. The investments are expected to contribute to group revenue and operating profit in 2021.

“Our employees have succeeded in gaining market shares, and we are strongly positioned for further expansion. We are already increasing production capacity in the USA and Europe, and we decided today to take the next steps and expand further next year to stay at the forefront of the positive development in our markets,” says CEO Torben Rosenkrantz-Theil.

In addition to the ongoing expansion in the USA and Europe, the work to establish a new factory in Brazil is progressing according to plan, and the conditional acquisition of Mohan Fibre in India is now expected to be approved in the second half of 2020.

Hartmann maintains 2020 guidance of revenue in the DKK 2.5-2.7 billion range after restatement for hyperinflation and a profit margin of 15-18% before special items and restatement for hyperinflation.

Hartmann will publish the H1 interim report today on 19 August 2020.

For further information, please contact:

Torben Rosenkrantz-Theil
CEO
Tel.: (+45) 45 97 00 57

Bradrene Hartmann A/S Ørnegårdsvej 18 DK-2820 Gentofte Denmark
CVR no. 63 04 96 11
Tel.: +45 45 97 00 00
Fax: +45 45 97 00 01
E-mail: bh@hartmann-packaging.com
www.hartmann-packaging.com