The two global Swiss giants in the textile machinery´Oerlikon & Rieter ´achieved a double-digit growth in 2014. The Oerlikon Group sustained its strong operational performance and reported a sales increase by 16.1 per cent to CHF 3,215 million, driven by organic and inorganic growth. The Manmade Fibers Segment rose to eminent position due to a favourable product mix as well as the variability of costs and efficiency gains.
Rieter took full advantage of the trend in the flourishing markets, posted a significant increase in sales compared to 2013 and thus benefited from the significant strategic investments made in previous years. Rieter, substantially supported by expanded capacity in Asia, is now in a position to offer products at the highest quality level from all its locations.
oerlikon Shaping the future
A Swiss company with over 100 years of tradition, Oerlikon is a leading global technology Group, focusing on providing market-leading technologies and services for surface solutions, manmade fibres manufacturing, drive systems and vacuum pumps and components in growth markets. These cutting-edge technologies benefit customers by improving their product performance, productivity, efficient use of energy and resources, and also by contributing to a more sustainable environment. Oerlikon has a global footprint of over 15,500 employees at more than 200 locations in 36 countries and sales of CHF 3.2 billion in 2014. The company invested CHF 121 million in R&D in 2014 and has over 1,300 specialists developing innovative and customer-oriented products and services. In 2014, the Oerlikon Group sustained its strong operational performance and reported another year of growth. Sales increased by 16.1 per cent to CHF 3,215 million, driven by organic and inorganic growth (2013 restated: CHF 2,770 million). At constant exchange rates, sales growth was even higher at 18.1 per cent. The service and spare parts business grew to 28.5 per cent of total Group sales compared to 24.7 per cent a year ago. Order intake grew by 9.0 per cent to CHF 3,028 million (2013 restated: CHF 2,779 million). Recording an EBITDA margin of 16.3 per cent and EBIT margin of 11.2 per cent, the Group achieved for the fourth consecutive year an EBITDA margin exceeding 15 per cent and a double-digit EBIT-margin, even after absorbing the one-time integration and acquisition accounting effects from the Metco transaction. Net income, impacted by the acquisition of Metco and the divestment of the Advanced Technologies Segment, stood at CHF 202 million, around prior-year level (2013: CHF 201 million). With an equity ratio of 44 per cent and net liquidity of CHF 114 million, Oerlikon?s financial position remains strong. A healthy balance sheet and underlying cash flow as well as the competitive operating performance led to the Board´s decision to propose a dividend increase of 11 per cent to CHF 0.30 per share at the annual general meeting of shareholders (AGM). Oerlikon CEO Dr Brice Koch said: ?In 2014, we continued to deliver a strong operational performance with profitable growth, both organically and inorganically. With the successful acquisition of Metco and the announced sale of the Advanced Technologies Segment, we further focused our portfolio. For 2015, at constant exchange rates, we expect to grow our top line further while sustaining strong underlying profitability.´
Growth in orders and sales
The Group´s sales increased by 16.1 per cent to CHF 3,215 million (2013 restated: CHF 2,770 million), while order intake went up by 9.0 per cent to CHF 3,028 million (2013 restated: CHF 2,779 million). Sales increased in the Surface Solutions Segment and the Drive Systems Segment, while the Manmade Fibers Segment and the Vacuum Segment saw slightly lower sales due to the anticipated market normalisation and order delays respectively. The serv