2021: a good year for equities including Koenig & Bauer shares – share price boosted by good business performance and new strategy
The German benchmark index DAX passed the 15,000 point mark at the end of March, subsequently moving on to reach further highs. Supply chain constraints as well as insufficient transport capacities and the growing number of new coronavirus infections had an adverse economic effect in some countries and regions during the third quarter. This was also evident in September, which has a reputation for being a difficult month for stock markets. Most companies were able to present better-than-expected figures in the third-quarter reporting season and this was also reflected in rising equity prices, causing the DAX to peak at 16,250 points in mid-November. The emergence of the new Covid Omicron variant in November placed a noticeable damper on equity markets. The German benchmark index DAX closed the year on 30 December 2021 at around 15,885 points, up 15.8% on the end of the previous year. The German SDAX small cap index, which closed 11.2% up on the end of the previous year, painted a similar picture.
As with other mechanical engineering companies, Koenig & Bauer shares remained volatile during the year under review, hitting a low for the year of €23.60 on 30 April 2021 in Xetra trading. With business performance improving from quarter to quarter, the shares subsequently recovered, boosting investor sentiment. On 17 November, Koenig & Bauer shares reached a Xetra high for the year of €32.15. The capital market acknowledged the success of the efficiency programme and the new “Exceeding Print” strategy presented at the end of November at the Capital Markets Day. After closing 2020 at €23.92, Koenig & Bauer shares saw the year out at €31.30 on 30 December 2021, thus advancing by 30.9% over the year as a whole. Consequently, they outperformed the DAX and the SDAX in 2021. (All figures based on Xetra closing prices.)
Average daily trading volumes of Koenig & Bauer shares fell short of the previous year’s figure in the year under review. Our goal is to return to the former trading volumes, and the addition of a second designated sponsor should help to achieve this.
The quarterly review index by Deutsche Börse on 3 June 2021 resulted in the removal of Koenig & Bauer AG from the SDAX effective 21 June 2021 due to the lower trading volumes. Under the fast-exit rules applicable on that date, a minimum ranking of 175/175 is required in the free-float market capitalisation and stock exchange trading volumes of listed companies in Germany. In future index reviews, the trading volume criterion will be replaced by minimum liquidity requirements. Obviously, we regret our departure from the SDAX. However, the review is performed regularly. As a general principle, inclusion in an index is not a priority for Koenig & Bauer AG. Rather, it seeks to achieve an appropriate valuation of its shares, something which is reflected in their favourable performance.
Koenig & Bauer share performance indicators
| in € | 2020 | 2021 |
| Earnings per share | -6.27 | 0.83 |
| High for the year | 29.84 | 32.15 |
| Low for the year | 14.42 | 23.60 |
| Price at the beginning of the year 1) | 27.94 | 23.92 |
| Price at the end of the year 1) | 23.92 | 31.30 |
| Number of bearer shares issued | 16,524,783 | 16,524,783 |
| Market capitalisation at the end of the year in million | 395.3 | 517.2 |
| Cash flow per share | 0.74 | 5.75 |
| Dividend | 0.00 2 | 0.00 3 |
2 The dividend payment for the 2019 financial year was omitted due to the challenging environment caused by the Covid-19 crisis.
3 The KfW loan does not permit the payment of dividends
Koenig & Bauer with a free float of around 90 percent
Under the Deutsche Börse definition, free float includes all shares not held by principal shareholders (i.e. those holding more than 5 percent of the share capital). On the basis of the voting right notifications received, Koenig & Bauer thus has a free float of around 90% of the total of 16,524,783 bearer shares issued as of 31 December 2021. The following notifications of voting rights over 3% had been received as of 31 December 2021:
Shareholder structure Koenig & Bauer AG
| Shares | Stake | |
| AlternInvest GmbH, Vienna/Austria | 1,683,428 | 10.2% |
| Universal-Investment-GmbH, Frankfurt/Germany | 1,680,574 | 10.2% |
| Union Investment Privatfonds GmbH, Frankfurt/Germany | 841,693 | 5.1% |
| Claus Bolza-Schünemann | 826,220 | 5.0% |
| Loys Investment S.A., Munsbach/Luxembourg | 776,870 | 4.7% |
| Albrecht Bolza-Schünemann | 599,728 | 3.6% |
| Rota Klaeger | 589,514 | 3.6% |
| As at 31 December 2021 | Total issued: 16,524,783 |
Intensive virtual dialogue with the capital market
In the second year marked by the pandemic, many annual general meetings, roadshows and international capital market conferences were again held online. However, they are no replacement for personal contact with current and potential shareholders. We have adapted our capital market communications in the light of this extraordinary situation by adopting new approaches and formats for presenting Koenig & Bauer transparently on the capital market in order to ensure a well-researched assessment of the Group’s business performance and strategy. This reflects our aim to inform all stakeholders continuously, promptly, comprehensively and transparently of current and future developments of relevance for the Company and the market in which it operates. Looking forward, we also want to make greater use of different communication channels and additionally expand our range of information on our new Investor Relations website. We were also able to address the growing importance attached to sustainability in the capital market to a significantly greater extent by highlighting the progress made by our activities in this area, which is of crucial importance for the Group’s future development. Read more about this in our Group non- financial report on page 135 and explore our new sustainability page at sustainability.koenig-bauer.com.
We attach particular importance to intensive and open discussions. This also includes ongoing cooperation with banks and brokers that actively cover Koenig & Bauer and regularly publish assessments of our share price as well as sector studies. As of the date on which this report was published, three analysts rated our shares a “buy”, while one analyst issued a “hold” recommendation on the basis of his model.
On 24 March 2021, the Management Board presented in virtual form the results for 2020 and the successfully launched measures under the P24x efficiency programme. In addition to the regular online conferences on the quarterly figures, our investor relations activities also engage in an ongoing exchange with investors and analysts at national and international capital market conferences and roadshows, in which we participated on an online basis last year. Our work was also supplemented by many individual and group discussions with the Management Board and Investor Relations Management. The Koenig & Bauer Capital Markets Day was also held as an online event on 30 November 2021. With the Kyana Expierence, Koenig & Bauer’s online event platform was also used successfully for the capital market for the first time. The Management Board and other speakers unveiled the new “Exceeding Print” corporate strategy, driving forward the Company’s transformation from a traditional machine manufacturer to an agile technology group. You can read more about this in the chapter entitled “Strategies” on page 22. As avatars, the participants were able to explore Koenig & Bauer virtually and autonomously in various rooms, talk to each other and ask questions.
As always, the Investor Relations department is available to investors at any time by phone on +49 (0) 931 909-4085 or in writing (investors@koenigbauer.com) to answer any questions concerning the shares and the Company. Updated information is also available in the Investor relations section of our website at https://www.koenig-bauer.com/en/investor-relations/, where you will also find financial reports and presentations as well as the latest financial calendar and information on the share.
96th annual general meeting of Koenig & Bauer AG held online for a second time – all motions approved by the shareholders with a substantial majority
Koenig & Bauer AG’s 96th annual general meeting was held on 11 May 2021 in virtual form due to the ongoing Covid-19 pandemic in the interests of our shareholders’ health. The Chairman of the Supervisory Board, Professor Raimund Klinkner, presided over the meeting and outlined in the Supervisory Board’s report the main aspects of its activities, stating that, in a business environment dominated by the Covid-19 pandemic, the Supervisory Board’s activities had particularly focused on stabilising and improving the Group’s operating earnings and financial strength and dealing with Management Board matters, strategic issues and, above all, the Management Board’s pandemic crisis management. In the live steam, the Management Board reported to the shareholders on the Company’s strategy and business performance in 2020 and the first quarter of 2021 as well as the progress being made with the P24x efficiency programme.
The Company’s shareholders were asked to vote on eight of the nine items on the agenda at the annual general meeting, including the re-election of Matthias Hatschek as a shareholder representative. They accepted management’s proposal with a large majority, also approving item two of the agenda, providing for the holding company Koenig & Bauer AG to carry forward the unappropriated surplus. In addition to ratifying the actions of the Management Board and the Supervisory Board, the shareholders elected PricewaterhouseCoopers, Frankfurt am Main, as the external auditor of the annual financial statements and the consolidated financial statements for As well as this, the shareholders approved the proposed amendment of the remuneration systems (“say on pay”) for the Management Board and the Supervisory Board. Under item nine of the agenda, they approved two profit transfer agreements, likewise with a large majority.