VAT Group, the Swiss vacuum-valves manufacturer, has reported a decline in its third-quarter sales. The company recorded net sales of 209.8 million Swiss francs ($232.6 million) during the quarter, compared to CHF305.5 million in the same period last year.
The decrease in sales can be attributed to lower spending on capital equipment in the semiconductor industry and negative currency exchange effects. As a result, VAT Group has been making adjustments to its operating costs.
However, there is some optimism for the future. The company believes it has reached the bottom of the market and expects a gradual increase in orders throughout the remainder of 2023. A market recovery is predicted for 2024.
In light of these developments, VAT Group has appointed Finn Felsberg as its new executive vice president of the Semiconductor Solutions Group. Felsberg will also join the executive committee, beginning on December 1st. He succeeds Urs Gantner, who will take on the role of Chief Executive starting January 1, 2024.
Although VAT Group acknowledges that it will not meet its original forecast range for earnings before interest, taxes, depreciation, and amortization (EBITDA) margin of 32% to 37%, it estimates that full-year sales, net income, free cash flow, and EBITDA will be below last year's level due to weak demand, inflation, weak economic growth, geopolitical tensions, and macroeconomic risks.
Despite these challenges, VAT Group remains committed to navigating through the current market conditions and positioning itself for future growth.
