After some uneasy years, the Switzerland-based Oerlikon Group seems to be back on track. The just-published annual results show an improved overall performance. The most striking issue for the global textile community is certainly the divestment of the Natural Fibers business unit with its Schlafhorst, Zinser and other brands.
As reported by Oerlikon:
Order intake grew by 3.2 percent to CHF 2,893 million compared to CHF 2,802 million in 2012, with all Segments, except the Advanced Technologies Segment, reporting higher orders. As expected, Group sales of CHF 2,883 million were at prior year’s level (-0.8 percent, CHF 2,906 million). Sales increased in all Segments except the Drive Systems Segment. The regional sales split remained largely unchanged with Asia accounting for 44 percent of the Group’s total sales, Europe for 34 percent and North America for 17 percent (others: 5 percent).
EBITDA [earnings before interest, taxes, depreciation and amortization] amounted to CHF 492 million compared to CHF 508 million on a like-for-like basis a year ago (2012 reported: CHF 547 million), resulting in an EBITDA margin of 17.1 percent. EBIT amounted to CHF 366 million compared to CHF 382 million on a like-for-like basis a year ago (2012 reported: CHF 421 million). [The EBIT margin is 12.7 percent.]
The result from continuing operations grew by 18.8 percent to CHF 259 million compared to CHF 218 million a year ago. Including various non-cash, accounting effects from the divestments in 2013, and net income was CHF 201 million (FY 2012: CHF 380 million).
Without Natural Fibers Division
In discussing the business performance of its newly named Manmade Fibers Segment and related key topics, Oerlikon reported:
Strong Manmade Fibers Segment
As Oerlikon further reported:
Table I: Man-made Fibers Segment as of December 31, 2013 (in CHF million)
|Position||FY 2013||FY 2012||Percent||Q4 2013||Q4 2012||Percent|
|Order intake1||1,073||1,039||+ 3.3||261||234||+ 11.5|
|Order backlog1||541||602||– 10.1||541||602||– 10.1|
|Sales1||1,130||1,103||+ 2.4||285||258||+ 10.5|
|EBIT1||188||186||+ 1.1||53||37||+ 43.2|
|EBIT margin1||16.6 %||17.0 %||–||18.5%||14.2%||–|
|EBIT*||188||147||+ 27.9||53||37||+ 43.2|
|EBIT margin *||16.6 %||13.4 %||–||18.5 %||14.2 %||–|
*EBIT 2012 includes a one-time effect of CHF 39 million for the sale of property in Arbon.
Source: Oerlikon Group
Regarding its overall activities, the company reported:
Strong Asia/Pacific Markets
The regional turnover for the Manmade Fibers Segment shows expected strong Asia/Pacific sales of CHF 840 million, followed by Europe with CHF 137 million, North America with CHF 110 million and some CHF 43 million for other regions of the world. As Oerlikon reported:
For the current year, Oerlikon’s management under the direction of new CEO Brice Koch, Ph.D., expects an organic sales growth with a stable order intake and stable profitability and that the Manmade Fibers Segment will further keep a position in the top league in the industry in a softening market environment.
Oerlikon is a Swiss company with a tradition going back over 100 years. It is a global player with some 13,000 employees at over 150 locations in 34 countries and sales of CHF 2.9 billion in 2013. The company’s commercial activities center on turn-key solutions for the manufacturing of protective coatings for precision tools and components (Segment Coating), systems for producing vacuums and conveying process gases (Segment Vacuum), equipment for textile production (Segment Manmade Fibers) and propulsion technology (Segment Drive Systems) as well as production systems for nanotechnology applications (Segment Advanced Technologies
March 19, 2013