First Half Year: HUBER+SUHNER Records Double-Digit Organic Growth in Net Sales

Strong Swiss franc puts marked pressure on the EBIT margin +++ Main markets and divisions show mixed picture +++ Single-digit operating EBIT margin expected throughout the year.

After the economic growth spurt of the previous year, HUBER+SUHNER’s net sales in the first half year rose again significantly in organic terms (adjusted for currency, portfolio and raw material effects) by 13%. The translation into Swiss francs alone reduced these net sales by some 11%. Net sales in Swiss francs rose as a result to CHF 406.0 million, i.e. by just 1%. Order intake (CHF 426.5 million) again exceeded net sales, but was 4% lower than in the corresponding period of the previous year. Profitability also suffered as the result of the strong Swiss franc. Conversion and transaction effects reduced the EBIT by approximately CHF 14 million or about 25%. Thanks to the one-off contribution of CHF 15.9 million from the sale of a part of its premises no longer required for operational purposes in Pfäffikon, the EBIT totalled CHF 53.6 million (previous year CHF 56.4 million), corresponding to an EBIT margin of 13.2%. Discounting this one-off effect, the operating EBIT margin was 9.3% and therefore within the long-term target range of 9–12%. Net income amounted to CHF 39.0 million, corresponding to a return on sales of 9.6% and earnings per share of CHF 2.01. The number of permanent employees fell slightly worldwide within the first six months: 3,956 as of 30.6.2011 (as of 31.12.2010: 4,062). At the end of the reporting period, 1,569 people were employed in Switzerland, 63 more than end of last year. The strong growth of the Low Frequency division, that exclusively manufactures its cables in Switzerland, mainly led to this increase.

Net working capital rose in the first six months of the current year by CHF 36 million to CHF 241 million. A dividend payment to shareholders higher than in the previous year and an increased volume of investment led overall to a negative free cash flow of CHF 42.8 million. At the end of June 2011, net liquidity amounted to CHF 157.0 million; the equity ratio remained at a very high level at 76.5%.

Comments

Post a Comment

Popular posts from this blog

What is Class I Division 2?

Image
A Class I Division 2 is a location: (1) In which volatile flammable gases, flammable liquid-produced vapors, or combustible liquid-produced vapors are handled, processed, or used, but in which the liquids, vapors, or gases will normally be confined within closed containers or closed systems from which they can escape only in case of accidental rupture or breakdown of such containers or systems or in case of abnormal operation of equipment, or (2) In which ignitable concentrations of flammable gases, flammable liquid-produced vapors, or combustible liquid-produced vapors are normally prevented by positive mechanical ventilation, and which might become hazardous through failure or abnormal operation of the ventilating equipment. Class I Division 2 Classification Class I Division 2 refers to the ANSI/ISA 12.12.01 standard. This standard was previously UL1604 until UL recommended the newer ANSI/ISA standard be used and that all hazardous location products be certified under this standa
Read more

FUSE SIZING CONSIDERATIONS FOR HIGHER EFFICIENCY MOTORS

Image
When selecting the proper fuse for short circuit protection in motor starting applications, it is important to not only ensure that the fuse will not nuisance open during motor start up times, but also that the fuse will coordinate as required with overload relays. When sizing fuses between 125% and 150% of the motor nameplate current, several advantages, including ease of coordination with an overload device, a smaller disconnect, and increased short circuit protection from a lower fuse rating, can be achieved. However, if sizing at this level prevents the motor from starting, it may then be necessary to increase the fuse ampere rating and it then becomes important to know the NEC sizing limitations. As of June 1, 2016, the US Department of Energy has mandated that newly manufactured electric motors will need to meet NEMA Premium® efficiency standards. As motor efficiencies increase, motor locked rotor currents can also be expected to increase. In addition to this, with across-the-lin
Read more

7/8 16UN Connectors that Provide 600 Volts and 15 Amps

TURCK announces new A-Size 3 and 4-pin 7/8 16UN powerfast™ connectors that provide up to 600 Volts and 15 Amps of power. These IP67 rated connectors provide a modular wiring system designed to handle high current applications for machine power distribution, while providing resistance to vibration commonly associated with conveyors, motors and material handling applications. The cordsets are available with a tray rated, exposed run PVC flexlife ® cable, with or without STOOW rating, and 14 AWG wires that allow you to replace hard wiring with a robust, quick disconnect system that saves the time and money spent installing a conduit system. The A-Size powerfast line offers male and female, straight connectors, standard and custom lengths, and pigtails or extensions. To make the system complete, fully encapsulated mating receptacles, with 1/2”-14 NPT mounting threads are available.
Read more