ENGEL concludes 2023/24 fiscal year
By the end of March, injection moulding machine manufacturer ENGEL concluded the fiscal year 2023/24 with a total turnover of around €1.6 billion, indicating a minor downturn compared to the previous year.
The company is meeting the mixed prospects with an expansion of its global presence while setting new benchmarks in order income for customer-specific automation solutions.
Slight decline in turnover of -6% The ENGEL Group concluded the fiscal year with a slight decline in turnover to the previous year. "The volume in the injection moulding machine market has fallen by up to -40% according to various association figures. ENGEL has succeeded in gaining shares in a shrinking market - a trend consistent with observations from previous economic contractions," said Stefan Engleder, CEO, ENGEL Group, on the turnover of around €1.6 billion. The Business Units Medical and Packaging made a significant contribution to this development. Demand for the production of diabetes therapy products remains high, especially in the American region, while the packaging industry is experiencing a boom in Europe due to new regulations. The after-sales business also manifested positive growth, with a surge of almost +15% compared to the previous year.
The forecast for the new fiscal year remains cautious. "The high order backlog has so far let us get off with a black eye. However, these orders are nearly exhausted. Despite intermittent increases in order income, we are yet to witness a lasting economic recovery - but we hope for the first growth stimuli from the spring fairs Chinaplas in Shanghai and NPE in Orlando," Engleder adds.
Adhering to its growth strategy, ENGEL has allocated a double-digit million figure for the expansion of the global network in the forthcoming fiscal year. In Europe, Americas and Asia, the company relies on largely independent hub structures, each encompassing sales, order processing, production and after-sales service.
In collaboration with the Austrian headquarters, global standards are established where necessary and beneficial. This strategy enables ENGEL to fortify its dual-pillar approach: developing and producing "in the region for the region" and thereby optimally adapting to local conditions in the customer markets. "Our many years of experience now allow us to implement local solutions with local R&D and manufacturing know-how. This is a great added value. At the same time, we ensure global standards at local costs," Engleder explains. Global players can consistently rely on ENGEL’s uniform standards throughout their injection moulding machine’s entire life cycle.
Adverse trends as a shortage of skilled workers and high production costs offer promising opportunities for customer-specific automation solutions – a segment that ENGEL has been dedicated to for many years, alongside manufacturing injection moulding machines. Customers are increasingly inclined to automate as many process steps as possible directly via the machine, for instance quality checks or packaging.