Krones Half-Year Report 2023

Revenue

Krones’ revenue developed well in the second quarter, despite the ongoing tight situation on procurement markets, particularly for electronic components. This is attributable to the great commitment, creativity and flexibility of the company’s workforce. Revenue from April to June 2023 showed a year-on-year increase of 12.5%, from €997.6 million to €1,122.1 million. In the first half of 2023, revenue consequently went up by 16.9%, from €1,984.8 million a year earlier to €2,320.9 million. Growth in the first

six months of 2023 was driven mainly by volume effects, but also by price increases. Krones’ revenue in the reporting period was not materially affected by exchange rates, acquisitions or divestments.

Revenue growth was stronger in the new machinery business than in the service business in the first half of 2023. This reflects the very high demand for our ma- chines and lines in recent quarters. On the basis of the revenue for the first two quarters and current production planning for the second half-year, Krones has raised the guidance for revenue growth in the full year 2023 to between 11% and 13% (previously 8% to 11%).

Earnings

As in the first quarter of the year, conditions continued to be difficult for Krones in the second quarter of 2023. The continuing shortage of electrical components presented us with a major challenge in production and resulted in additional costs. However, due to the overall improvement in the efficiency and flexibility of our organisation, we nevertheless improved profitability as planned compared to the previous year. We were able to offset rising material costs with price increases for our machines and lines.