SIT SpA, a company listed on the Euronext Milan segment of Borsa Italiana, active in the production of intelligent solutions for controlling environmental conditions and measuring consumption, announced the financial results for the first quarter 2023. In this quarter they register results conditioned by a negative market context characterized by iinflation and high interest rates. Revenues are down due to the performance of the Heating & Ventilation business. Instead, the results in the Smart Gas Metering sector exceeded expectations. The reorganization of the Sit divisions also took place in this quarter with theintroduction of a new operating areathat of "ventilation".
83,6 million in revenues in the first quarter
In the first quarter of 2023, SIT registered revenues consolidated equal to 83,6 million Euros, marking a decrease of 10,9% compared to the same period of 2022 (with 93,8 million). L'EBITDA amounted to 8,3 million euro (-43,5% compared to the same period of 2022), while theNet income adjusted amount was equal to 1,3 million euro (against 5,3 million in the first quarter of 2022). The net financial position amounts to Euro 143,1 million.
The trend between the two quarters largely depends on the impact of volumes which is negative for Euro 6,7 million and is particularly affected by the performance of the Heating & Ventilation business. In fact, the sector is affected in this first part of the year by a drop in demand along the entire production chain, due to the policies implemented by operators to reduce the level of inventories deriving from supply irregularities manifested during 2022.
Sales of Heating are down, those of Metering are good
Le sales of the Heating Division were Euro 62,7 million, down 17,6% compared to the first quarter 2022. On the other hand, Metering Division sales reached Euro 20,4 million, showing a significant increase of 23,2, XNUMX% compared to the same period of the previous year.
La Metering Division achieved positive results mainly driven by the Smart Gas Metering sector, which recorded sales of Euro 13,7 million, representing a growth of 33,0% compared to the first quarter of 2022. Sales in the sector Water metering they amounted to 6,7 million Euros, with a growth of 7,0%.
Lsales forecast of the Heating & Ventilation Division for the year 2023 remains in contraction compared to the previous year, with a possible improvement in demand by the end of the year.
“Q2023 XNUMX saw SIT operate at a cnegative market environment in which inflation and high interest rates have affected the propensity to consume of end users, also influenced by the uncertainty of the regulatory framework relating to sector incentives. In this context, SIT's Heating&Ventilation division is feeling the effects of the ongoing destocking phenomenon, which sees an exceptionally high level of stock throughout the supply chain triggered by supply chain volatility during 2022. As regards the Metering division, the business unit Smart Gas Metering he performed above expectations being able to count on a leadership position in the domestic market while the results of the Water Metering business unit are in line with expectations.” commented Federico de' Stefani, President and Chief Executive Officer of SIT.
