LANDSBERG (dpa-AFX) - Commercial kitchen equipment supplier Rational performed better than expected last year thanks to a strong final quarter. The company posted record figures for sales and operating profit. Growth came primarily from America and Asia, which benefited from a recovery in Chinese business. Easing cost pressure led to a disproportionately high improvement in earnings. This boosted the share, which is listed in the mid-cap MDax segment, on Thursday.

The share price jumped by almost seven percent and left the 700 euro mark behind. In December, it had failed to clear this hurdle several times before profit-taking set in at the start of 2024. The share thus led the list of winners in the MDax by some distance. It is now approaching its high for the year of 2023. Rational reached this at the end of August at 713.50 euros. In the past twelve months, the share has thus gained around 17 percent in value.

"Rational's figures are impressive," commented market expert Andreas Lipkow. They are also a further indication that investors should not write off China in 2024 either. "In contrast to the market in Europe, more and more factors are pointing to economic stabilization in China. Rational also benefited from this."

Analyst Sebastian Kuenne from the Canadian bank RBC noted that the company had once again significantly exceeded consensus estimates with its sales revenues and operating result in the fourth quarter. However, turnover also benefited from a large one-off order from Asia. Profitability was excellent, despite high prior-year figures.

Sales revenues rose by ten percent to just under 1.13 billion euros in 2023, as Rational announced on Thursday in Landsberg am Lech based on preliminary figures. The management led by CEO Peter Stadelmann had previously forecast growth in the high single-digit percentage range.

The company benefited from strong demand from America and Asia. Sales here rose by 20 percent and 25 percent respectively. Europe recorded significantly weaker growth, while business in Germany declined slightly. In the fourth quarter, Rational received an additional order from a chain customer in Asia, most of which has reportedly already been delivered. This drove sales revenues in the last three months to 293 million euros, which was significantly more than expected after the third quarter of 2023.

Earnings before interest and taxes (EBIT) improved by 17% to around EUR 277 million in 2023. Lower costs for logistics and raw materials - in particular for stainless steel and cleaning agents - had a positive impact here again, according to the statement. The corresponding margin amounted to 24.5%, compared to 23.2% in the previous year. According to Rational, this was significantly better than expected. Analysts had also expected less in advance. Rational will present the detailed figures on March 27./nas/lew/mis