Cost Management "Pulse-Check" 2023 | Page 3

Status Quo | Significant margin losses in German companies

Most companies surveyed have recorded significantly higher costs since 2020 – for over 30 % of companies , the sharp cost increases also resulted in a substantial EBITDA margin reduction
COST AND EBITDA DEVELOPMENT SINCE 2020 COMMENT
Significant cost increase (> 5pp ) since 2020
Substantial reduction in EBITDA margin (> 5pp ) since 2020
~ 60 % of companies with significant cost increases
31 %
77 %
• The majority ( 77 %) of surveyed German companies , have been under significantly higher cost pressure since 2020
• Almost a third of the companies had to deal with a substantial EBITDA margin reduction of more than five percentage points – only two-thirds of the sample could maintain EBITDA levels
• 60 % of companies with significant cost increases could absorb the increased cost base ( at least in part ) via price increases that were passed on to customers
Substantial EBITDA reduction due to cost increase
Cost increases can be ( partially ) absorbed via pricing
No significant cost increase
Source : goetzpartners Cost Management Pulse Check 2023
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