par Bucher Industries AG (isin : CH0002432174)
Sales as expected below prior year, Bucher assumes markets to recover in 2025
Bucher Industries AG / Key word(s): Development of Sales
Sales as expected below prior year, Bucher assumes markets to recover in 2025
30-Jan-2025 / 06:00 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 LR
The issuer is solely responsible for the content of this announcement.
Ad hoc announcement
Niederweningen, 30 January 2025 | Ad hoc announcement pursuant to article 53 listing rule
As expected, demand for Bucher Industries products and services declined. The segments associated with agriculture and Bucher Emhart Glass were particularly hard hit by the downturn. Order intake fell significantly, but the slowdown stabilised from mid-year onwards. Sales were also below the prior-year level and capacity utilisation was lower. The Bucher Municipal division was able to positively distinguish itself from the general trend, recording encouraging sales growth. Bucher Industries expects an operating profit margin in the region of 9% for the reporting period and accordingly, the Group’s profit for the year is expected to be lower than the high level recorded in the prior year. For 2025, the Group assumes stable revenue on a comparable basis and an operating profit margin at the prior-year level, excluding the announced sale of a non-operational property.
Group
Change
CHF million
2024
2023
%
%1)
%2)
Order intake
2’756
3’170
-13.1
-11.1
-11.2
Net sales
3’156
3’575
-11.7
-9.9
-9.9
Order book
1’172
1’600
-26.7
-25.2
-25.2
Average number of FTEs
14’173
14’795
-4.2
-4.3
1) Adjusted for currency effects
2) Adjusted for currency and acquisition effects
As expected, demand for Bucher Industries’ products and services declined overall compared to the strong prior-year period. An economic slowdown was particularly noticeable in Europe, while the North American and Asian markets performed better. Order intake fell in four of the five divisions, with the segments associated with agriculture and Bucher Emhart Glass being particularly hard hit by the downturn. The markets for agricultural machinery and glass containers were characterised by excessive inventories in the sales channels. While the other divisions were unable to match the prior-year sales figures, Bucher Municipal achieved encouraging growth. Capacity utilisation was lower overall. The order book was in line with the long-term average, with a reach of four months. The cost-saving measures already initiated were consistently continued and selectively expanded at the various sites. Bucher Industries’ operating profit margin is expected to be in the region of 9%. Accordingly, the Group’s profit for the year is expected to be lower than the high prior-year level. The Group expects the sale of a property not required for operations during 2025.
Kuhn Group
Change
CHF million
2024
2023
%
%1)
Order intake
966
1’121
-13.8
-11.5
Net sales
1’159
1’422
-18.5
-16.5
Order book
464
670
-30.8
-29.3
Average number of FTEs
5’497
5’991
-8.2
1) Adjusted for currency effects
Low willingness to investLower farm incomes due to lower prices for agricultural products, higher interest rates and production costs, and fewer subsidies made farmers less willing to invest. Many dealers of agricultural machinery were suffering from high inventories and therefore hesitant to place pre-orders, resulting in a significant decline in the demand for agricultural machinery. Kuhn Group’s order intake declined and sales fell compared with the prior year. The operating profit margin is expected to be significantly lower than in the previous year.
Bucher Municipal
Change
CHF million
2024
2023
%
%1)
%2)
Order intake
591
576
2.6
4.7
4.5
Net sales
602
573
5.1
6.8
6.6
Order book
296
311
-5.0
-2.7
-2.7
Average number of FTEs
2’508
2’545
-1.5
-1.7
1) Adjusted for currency effects
2) Adjusted for currency and acquisition effects
Demand continues to be goodBucher Municipal continued to experience high demand in an overall stable market situation. Order intake exceeded the high level of the prior year and was strong in most markets, particularly towards the end of the reporting period. The truck-mounted sweeper and winter maintenance equipment segments developed positively, as did the maintenance services and spare parts business. Orders for compact sweepers declined, as expected. Sales were higher than in the previous year. The operating profit margin is likely to increase compared with the prior-year’s figure.
Bucher Hydraulics
Change
CHF million
2024
2023
%
%1)
Order intake
575
670
-14.2
-12.6
Net sales
653
744
-12.2
-10.5
Order book
148
230
-35.7
-34.6
Average number of FTEs
2’979
3’042
-2.1
1) Adjusted for currency effects
Weak agricultural machinery segmentDemand in the hydraulics markets weakened overall during the reporting period, and Bucher Hydraulics’ order intake fell compared with the prior year. The weak cycle in the agricultural machinery segment and the decline in the construction machinery and electrical converter segments were particularly important influencing factors. Development in the materials handling segment was more stable, while demand for stationary industrial hydraulics picked up again. The division’s sales declined. The operating profit margin is expected to decline compared with the prior year.
Bucher Emhart Glass
Change
CHF million
2024
2023
%
%1)
Order intake
359
520
-31.0
-29.5
Net sales
462
524
-11.7
-9.9
Order book
193
302
-36.2
-34.9
Average number of FTEs
1’627
1’655
-1.7
1) Adjusted for currency effects
Weaker demand than the very strong prior yearDemand for glass forming and inspection machinery weakened in the reporting period and was significantly below the very high level of the prior year. Order intake at Bucher Emhart Glass declined. Capacity utilisation was good thanks to the high order book. Uncertainties regarding market developments at specific customers led to project delays, which had a negative impact on sales and led to a decline. The operating profit margin is expected to be somewhat lower than in the prior year.
Bucher Specials
Change
CHF million
2024
2023
%
%1)
%2)
Order intake
333
369
-9.6
-8.0
-8.1
Net sales
357
398
-10.4
-8.7
-8.8
Order book
97
122
-20.2
-19.8
-19.8
Average number of FTEs
1’495
1’500
-0.3
-0.7
1) Adjusted for currency effects
2) Adjusted for currency and acquisition effects
Disappointing business developmentBucher Specials’ markets presented a mixed picture in the reporting period. Demand at Bucher Vaslin and Bucher Automation remained below the prior-year level, while business remained strong at Bucher Unipektin. Bucher Landtechnik reported a noticeable stabilisation at a low level. The division’s order intake and sales were down on the prior-year period. The operating profit margin is expected to be significantly lower than in the prior year.
Group outlook 2025
Bucher Industries expects demand to continue to be impacted by the volatile environment at the beginning of the year and assumes some markets to recover from mid-year onwards. The Group therefore expects stable sales for 2025 on a comparable basis. The Group expects the sale of a property not required for operations during 2025. The sale is expected to increase the operating profit margin by around 1.4 percentage points. Excluding this divestment, Bucher Industries expects an operating profit margin for 2025 at the prior-year level.
Bucher Industries will publish its annual report on Friday, 28 February 2025 and present the detailed business results at the annual press and analysts' conference.
Contact for investors and financial analysts
Jin Wiederkehr, Investor Relations
T +41 58 750 15 50
ir@bucherindustries.com
Contact for media
Saskia Rusch, Head of Group Communications
T +41 58 750 15 40
media@bucherindustries.com
_________
Simply great machines
Bucher Industries is a global technology group with leading market positions in speciality areas of mechanical and vehicle engineering. The company’s operations include agricultural machinery, municipal vehicles, hydraulic and electronic components as well as electrohydraulic systems, manufacturing equipment for the glass container industry, equipment for processing beverages and automation solutions. The company’s shares are traded on the SIX Swiss Exchange (SIX: BUCN). Further information is available at bucherindustries.com.
Additional performance measures: Internally and externally Bucher Industries uses key figures that are not defined by Swiss GAAP FER. The composition and calculation of the individual performance measures are set out here: bucherindustries.com/en/additional-performance-measures.
End of Inside Information
Language: | English |
Company: | Bucher Industries AG |
Murzlenstrasse 80 | |
8166 Niederweningen | |
Switzerland | |
Phone: | +41 58 750 15 00 |
E-mail: | info@bucherindustries.com |
Internet: | www.bucherindustries.com |
ISIN: | CH0002432174 |
Listed: | SIX Swiss Exchange |
EQS News ID: | 2077487 |
End of Announcement | EQS News Service |
2077487 30-Jan-2025 CET/CEST