Engel reports record fiscal year in 2012/2013

Austria-based injection press maker Engel has set a new record in the 2012/2013 financial year by achieving a global turnover of 950 million euros (Cdn$1,276 million).

The figure represents a 14% increase for the Engel compared to the previous year and an overall increase of 165 per cent since the recession years of 2009/2010.

The company also expects further growth of about 5% annually for the next three years.

Speaking at a press conference at the company’s headquarters in Schwertberg, Austria on June 3, during a run-up event to the K 2013 trade show this fall, Engel CEO Dr Peter Neumann broke down the company’s market share by global region. “In Asia, Engel now has a market share of 10%; in America, its market share is 18%; and in Europe we have increased from 27% to 30% in just three years,” he said.

And as far as its target industries are concerned, Engel has seen the greatest growth in the automotive and packaging sectors. “Our packaging market share is now over 20%,” said Christian Pum, Engel’s sales director. “We’re seeing strong growth in the area of plastic packaging at the moment, and the benefit we’re deriving from this is disproportionately high. In Europe, about 12% of all our injection molding machines are currently sold to customers in the packaging industry. More and more large machines which work with molds with high numbers of cavities are being sold here. These tend to be used as part of high-output solutions and employ energy-efficient drive concepts.”

Approximately 20% of Engel’s global turnover is generated by its German branches, Neumann continued, making Germany the most important country-specific market for the machine builder. “In terms of sales volume, Germany is followed by Turkey and Russia, which currently occupy second and third places in Europe,” he said. “Overall, 65% of the company’s turnover is generated by Europe, while the American and Asian markets are responsible for 17% and 18% of the total turnover respectively.”

In North America, meanwhile, Neumann described “very positive progress” in the 2012/2013 financial year, where the medical and packaging industries have been adding new impetus. “In Mexico, investments in the international car industry have aided growth more than anything else,” he said. “The most important market in either of the American continents is Brazil, with sales volumes having increased continuously over the last few years.”

And in Asia, Engel generated a turnover of 145 million euros (Cdn$194 million) in 2012/2013, also a new company record. “The largest share of this amount was produced in China, which is the world’s biggest market for injection molding machines,” Neumann said. “Although the total sales volume actually decreased in China last year, the high-tech segment grew again, and China will continue to be the most important market in Asia in future.” Overall, Neumann said, the markets in Southeast Asia are expanding at “a particularly rapid rate”, especially those in Thailand and Indonesia. Overall, we have been able to triple our turnover in Southeast Asia in the last two years, and despite a relatively weak 2012/2013, we expect sales to increase in India too during the next few years.”