.. subcription
    .. rss channels
    .. press releases
    .. contacts

            october 24, 2019

.. in english  .. по-русски  .. latviski    

Busworld 2019

CIBE 2019

LKW Walter

  .. sitemap ..

  .. publications ..

  .. news ..

  .. advertisement ..

LKW Walter Rus
LKW Walter
  .. partners ..


Swisslog holds its own in difficult environment thanks to strong second half of the year


In spite of increased order intake, Swisslog brought in 3.0% lower net sales, totaling MCHF 632.6, in the 2013 fiscal year. EBIT decreased by 17.7% to MCHF 20.5. At 3.2%, the EBIT margin is in the range expected. Even though a net profit of MCHF 11.9 was generated in a challenging economic environment, Swisslog is not satisfied with the fiscal year. A proposal will be submitted to the General Meeting of Shareholders to refrain from distributing a dividend to make room for an accelerated strengthening of the product portfolio.
The fiscal year went similarly for both divisions, Healthcare Solutions (HCS) and Warehouse & Distribution Solutions (WDS). After a good start, order intake slowed down in the second quarter. For HCS, the headwinds mainly came from North America, where uncertainties surrounding the rollout of the Patient Protection and Affordable Care Act (Obamacare) healthcare reform and the general budget situation (fiscal cliff) led to a decline in investments in the hospital market. For WDS, delays in order intake as well as additional expenses in relation to project realization led to lower net sales. Although we were able to make up a majority of the declines in the second half of the year, we could not meet the targets we had set.
Growth in order intake – decline in net sales and EBIT
The Swisslog Group's order intake increased year-on-year by 10.9% (+11.2% in constant currencies) to MCHF 701.3. The order backlog of MCHF 542.2 forms a solid basis for starting the new fiscal year. However, net sales fell by 3.0% (‑2.9% in constant currencies) to MCHF 632.6. The lower net sales were accompanied by a reduction in operating profit before interest and taxes (EBIT) to MCHF 20.5 (‑17.7%, or ‑15.7% in constant currencies). At 3.2% (past year 3.8%), the EBIT margin is in the range expected. Net profit came in at MCHF 11.9. This cannot be compared with the amount from the past year, which was impacted by one-time restructuring costs. Score!, the restructuring program launched last year, is proceeding according to plan and has supported operating results in several areas.
A proposal will be submitted to the General Meeting of Shareholders of 10 April 2014 to refrain from distributing a dividend. Available funds should be invested in a targeted and accelerated development of the product portfolio. This should strengthen Swisslog's position in selected markets in the medium term.
HCS: Turnaround in Europe, growth in Asia, headwinds from North America
The Healthcare Solutions division (HCS) was unable to continue its growth of the past years due to uncertainties in the key American market. With order intake of MCHF 216.8 (‑11.1%, or ‑10.5% in constant currencies), net sales of MCHF 211.3 (‑3.6%, or ‑3.1% in constant currencies) and an EBIT of MCHF 15.7 (‑14.7%, or ‑13.6% in constant currencies), the division generated an EBIT margin of 7.4% (past year: 8.4%). In addition, the year was characterized by the successful turnaround in Europe, continuing growth in Asia and the launch of new product generations. For example, in automated materials transport, the division's best-selling product group, a new generation of pneumatic tube systems for hospitals was launched. Drug management systems once again performed very well, for example, with an increase in sales of the tried and true PillPick robots in Europe and new markets tapped, such as in Poland and Brazil.
WDS: Growing order intake, profitability not satisfactory
The Warehouse & Distribution Solutions division (WDS) increased its order intake to MCHF 484.5 (+24.7%, or +25.1% in constant currencies) thanks to many orders near the end of the year. On the other hand, the net sales of the division, which totaled MCHF 421.3 (‑2.6%, or ‑2.8 in constant currencies), its EBIT, which totaled MCHF 11.3 (‑25.2%, or ‑23.2 in constant currencies), and its EBIT margin, which was equal to 2.7% (past year 3.5%) were not satisfactory. The division was able to further solidify its market position, for example, with a targeted expansion of its range of offers in e-commerce and multichannel retailing, in the pharmaceuticals industry and the food sector, in particular in chilled and frozen products. On the technology side, light goods and Swisslog's proprietary software solution, WarehouseManager, performed particularly well.
Market environment remains challenging
Swisslog is not expecting a substantial improvement in the market climate in the 2014 fiscal year. Competition will remain hard, especially in Europe and North America. In Asia, Swisslog expects continuing sustainable growth.

.. search ..