Although the COVID-19 pandemic has been a setback for everybody, The Endress+Hauser Group has weathered the 2020 crisis and begun this year with confidence and momentum. According to CEO Matthias Altendorf, who spoke at the recent annual Endress+Hauser press conference in Basel, Switzerland, the company has maintained high profitability and strengthened its financial power, in spite of declining sales. The corporation has also created new jobs and expanded its worldwide sales and production network.
Products used for vaccines
According to Matthias Altendorf, Endress+Hauser is well-positioned for uncertain times and economic recovery. “We helped to keep important areas of our daily lives running during the pandemic,” he said at the Basel conference. “Our work is important for our customers and for society.” For example, subsidiary Analytik Jena supplies PCR technology to detect the coronavirus, and Endress+Hauser products are used in the manufacture of COVID vaccines.
International exchange rates has had a positive effect on the company’s profitability. Operational expenses declined due to cancelled business trips and activities, while personnel expenses increased at a below-average rate. Endress+Hauser managed to carry forward without laying off any employees or shortening working hours. Overall, company solidarity has led to a healthy financial situation.
Innovation and expansion has been part of the company’s success. Endress+Hauser filed patents for 276 inventions last year and launched 40 new products. This year, it expects to launch 74. The company has been expanding three plants in Germany and others in Reinach, Switzerland and Aurangabad, India, while new facilities in Canada and Mexico are being constructed.
So far this year, Endress+Hauser has received more incoming orders than its targets had anticipated. The company aims to grow in the mid-single-digit percentage range in 2021. “The outlook continues to be characterized by uncertainty,” Matthias Altendorf said, citing further COVID waves and new virus variants which may still affect the supply chain. This is why the company is increasing inventories and strengthening its network of suppliers – including putting new, efficient logistics centres into operation in Germany and China. But overall, the current year has seen a good start.
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