Würth Group: Business development in the 1st half of 2008
- Sales increase by 6.6 percent to EUR 4.56 billion
- Operating result of EUR 316 million before tax
- Number of employees increased by 7.6 percent to a total of 65,158
- German group grows stronger than international group
Künzelsau/Hohenlohe. The Würth Group increased its total sales by 6.6 percent to EUR 4.56 billion in the first half of 2008. Adjusted for currency effects, sales growth amounted to 8.2 percent. “We are contented with the development of business in the first half of the year. Despite a strong base effect compared to the same period under review of 2007 as well as the current world economic situation and increasing prices for raw materials we continue growing” says Robert Friedmann, Chairman of the Central Managing Board of the Würth Group.
Sales growth in Germany stronger than abroad
Currently, the German group is the strongest growth engine of the worldwide biggest trading business for assembly and connecting technology headquartered in Künzelsau.
In Germany, group sales went up by 9.9 percent to a total of EUR 1.85 billion in the first half of the year. Particularly pleasant is the development of business of Adolf Würth GmbH & Co. KG.
In June 2008, the parent company of the Würth Group reported a new sales record on a monthly basis as regards the business in Germany and thus contributes decisively to the excellent result of the Würth Group.
Annual sales of 9.2 billion expected
The international group reported a sales volume of EUR 2.71 billion in the first six months of 2008, which corresponds to an increase of 4.5 percent. The existing growth was stopped above all by the bleak economic situation in the US but also by the massive increase in raw material prices. “Thanks to the wide spectrum of business activities of the Würth Group we are in the position to level out the situation in areas or countries currently growing less strongly with the positive development in other business fields and markets. Therefore, we are full of optimism as regards the second half of the year“, says Friedmann. Provided that the conditions of world economy do not deteriorate further the Würth Group expects a sales volume of EUR 9.2 billion for the overall business year 2008, which would equal an increase of 8.4 percent.
Operating result at last year's level
The operating result of the Würth Group was slightly declining in the first half of 2008 and amounted to EUR 316 million as of 30 June 2008 (first half of 2007: EUR 321 million). A result at last year’s level is aimed at by the end of 2008.
Number of employees increased by 7.6 percent
The number of employees increased by 4,594 (+ 7.6 percent) compared to the same period under review of last year, so that the Würth Group now reports a total of 65,158 employees worldwide. 31,435 of them work in the sales force. A total of 1,186 employees have been added in the international group since the beginning of the year, and 273 jobs have been created in the German group in the first half of 2008. 843 employees joined the Würth Group as a result of company acquisitions in the past six months.