4153 Reinach BL
2022 was marked by strong growth worldwide for Endress+Hauser. The specialist for measurement and automation technology delivered more sensors than ever before despite strained procurement and logistics chains. Incoming orders, sales and employment reached new highs; profits fell due to a negative financial result. The company, which is celebrating its 70th anniversary in 2023, remains confident for the current year.
“Rarely has our business environment been characterized by so many challenges as in 2022,” said CEO Matthias Altendorf at the annual media conference in Basel. “Our business nevertheless developed stably throughout the year.” The Group’s net sales rose by 16.4 percent to 3.351 billion euros. CFO Dr Luc Schultheiss put the organic growth – excluding currency effects – at 11.6 percent. The company shipped more than 2.9 million instruments worldwide with reliable delivery performance.
All industries and regions contributed to the solid growth. Sales developed dynamically in the Americas and Asia-Pacific and strongly in Europe and the Middle East. Africa was the only region to experience a business decline. China maintained its position as the top-selling market followed by the USA, both now well ahead of Germany, the number three market.
Endress+Hauser’s process instrumentation and the sensor business of Innovative Sensor Technology IST both performed well. As expected, demand for laboratory instruments from Analytik Jena fell slightly after the end of the pandemic.
Endress+Hauser invested 240.5 million euros in new buildings and machinery. This means that more than 1 billion euros has been pumped into better infrastructure within the past five years. Projects worth around 500 million euros are currently being implemented.
At the end of the year the family-owned company had 15,817 employees worldwide, an increase of 700. New training positions were also created. In the future, five percent of all jobs will be set aside for interns, apprentices, students and trainees.
Rising costs for currency hedging and, above all, high losses from financial investments resulted in a significantly negative financial result. Profit before taxes fell 12.0 percent to 408.1 million euros. A tax rate of 25.6 percent (up 2.5 percentage points) caused net income to fall by 14.9 percent to 303.5 million euros. The company nevertheless enjoys a solid financial footing. The equity ratio rose to 80.2 percent, 1.1 percentage points more than 2021. The Group is virtually debt-free.
With 76 out of 100 points, Endress+Hauser once again occupied a leading position in the 2022 EcoVadis sustainability benchmark and placed in the top percentile of the comparison group. The Group calculated its carbon footprint along the value chain as the basis for the development of a climate strategy. Endress+Hauser has recently joined the Science Based Targets initiative with the goal of reducing emissions to net-zero by 2050.
Because incoming orders grew another 8 percentage points faster than sales in 2022, Endress+Hauser was able to start the current year with a high volume of orders on hand. Incoming orders also developed positively in the first quarter of this year. While the Group expects the business to slow in the second half of the year, it still anticipates double-digit growth in 2023. Linked to this is the creation of 500 jobs worldwide.
4153 Reinach BL
The Endress+Hauser Group
How businesses stay successful in the long run
The 2022 financial year