Companies

Liebherr’s 2013 turnover slightly lower, earnings drop by 34.0%

The Liebherr Group published key data from its annual report for the 2013 business year. Against a backdrop of moderate international economic progress, Liebherr achieved a turnover of 8,963.6 million € in 2013.

The world economy grew last year by only 3.0 %. Whereas some fully developed national economies demonstrated a gain in dynamism, the speed of growth was lower in certain threshold countries. The total turnover of the Liebherr Group in the 2013 business year reached approximately the same level as in the previous year. The sales revenue of € 8,963.6 million earned by the Group was only € 126.6 million or 1.4 % below the 2012 total.

Earnings

A surplus for the year of € 364.1 million  (previous year: € 552.0 million) is shown in the 2013 consolidated accounts of Liebherr-International AG in Bulle, Switzerland. This figure represents a reduction of € 187.9 million or 34.0 % compared with the previous business year. Exchange-rate fluctuations, especially in threshold countries, were one of the significant causes of this downturn.

Product groups

In the construction machinery and mining area, turnover reached € 5,630.4 million, € 238.5 million or 4.1 % below the previous year’s figure. This figure accounts for rather less than two-thirds of total Group turnover. The Liebherr Group’s construction machinery and mining area comprises the earthmoving, mobile crane, tower crane, concrete technology and mining divisions.

Turnover from the earthmoving division reached € 1,884.7 million in 2013, and was therefore € 172.5 million or 8.4 % lower than in the previous year. There was also a drop in turnover from the mining division: after extremely gratifying growth in 2012, turnover from large hydraulic excavators and mining trucks fell back last year by € 250.9 million or 19.4 % to € 1,041.7 million. This development was part of a negative trend
throughout the worldwide extractive industries sector.

As in the previous year, Liebherr achieved distinct growth with its mobile cranes. Turnover rose by € 138.2 million or 7.1 % to € 2,077.8 million, due especially to increases in Germany, the USA and the Netherlands, the division’s largest markets during the past business year. The tower crane division in particular achieved a most welcome increase in turnover, of € 37.4 million or 10.4 % to € 395.5 million. Growth was recorded in Germany, Switzerland and Russia, the three largest markets for Liebherr tower cranes. Results from the concrete technology division were also
positive: turnover went up by € 9.3 million or 4.2 % to € 230.7 million.

Divisions outside construction machinery and mining recorded an increase in turnover of € 111.9 million or 3.5 %, to € 3,333.2 million. The divisions in question are maritime cranes, aerospace and transportation systems, machine tools and automation systems, domestic appliances and other products and services, the latter including the components division.

In the 2013 business year the maritime cranes division achieved a turnover of € 830.1 million, a small but positive increase of € 2.4 million or 0.3 % compared with 2012. The aerospace and transportation systems division continued the previous year’s positive development with an € 87.5 million (8.5 %) increase in turnover to a total for the year of € 1,120.1 million. Turnover from the machine tools and automation systems division remained at the previous year’s satisfying level. Following the very significant increase in 2012, turnover in the review year was € 266.4 million, an increase of € 3.7 million or 1.4 %. Turnover from the domestic appliances was € 909.4 million, an increase of € 19.5 million or 2.2 %. The largest markets for Liebherr refrigerators and freezers were Germany, Russia, France and Austria.

Turnover from other products and services almost equalled the previous year’s figure. Sales revenue dropped by € 1.2 million or 0.6 %, to a new total of € 207.2 million. Other products and services include sales revenues from the sale of driveline and control system components to customers outside the Liebherr Group, and also turnover generated by the Group’s six hotels in Germany, Ireland and Austria.

Regions

After altogether positive results in the previous year, turnover in 2013 developed very differently from one sales region to another. The Liebherr Group’s ten largest sales markets were Germany, the USA, Australia, Russia, France, Great Britain, Canada, the Netherlands, Brazil and South Africa.

Europa
In Western Europe the Group was able to increase its turnover by € 191.2 million or 4.8 % to € 4,157.5 million. In Germany, its largest market of all, the increase in turnover was above average.

In Eastern Europe, turnover fell by € 139.1 million or 13.2 % and totaled € 914.1 million. This downturn was primarily due to a negative trend in Russia.

Middle East
In the Near and Middle East, Liebherr’s turnover was € 306.5 million, equivalent to a drop of € 1.4 million or 0.5 % when compared with the previous year. Significant increases were recorded in Saudi Arabia and the United Arab Emirates.

America
In America the Liebherr Group was unable to maintain the previous year’s positive business pattern. At € 1,470.3 million, turnover was down slightly by € 28.8 million or 1.9 %. There was a drop in sales revenues in the USA.

Africa
On the African continent, the Group’s turnover after a year of satisfactory business activity totaled € 606.0 million, an increase of € 14.2 million or 2.4 %.

Asia / Australia
Following an upturn in the Far East / Australia region in the previous business year, the Group’s turnover dropped to € 1,509.2 million in 2013 and was therefore € 162.7 million or 9.7 % lower.

Investments

In the 2013 business year, the Liebherr Group’s investments reached a total of € 830.0 million, and thus matched the previous year’s level. € 552.5 million were invested during the year in the construction machinery and mining area, approximately half being devoted to the earthmoving division. Construction work began in the summer of 2013 on a new logistic centre near Kirchdorf an der Iller, Germany. Among the investment projects undertaken by Liebherr-Hydraulikbagger GmbH in Kirchdorf was an initial and follow-up training centre.

Last year the mining division invested € 106.2 million. In addition to extensions in Colmar, France, and Newport News, VA / USA, the division undertook similar enlargements to its facilities at various locations in Australia, including Adelaide and Perth.

The mobile crane division invested 83.6 million €. In Ehingen (Donau), Germany, Liebherr’s investments included a new assembly building for experimental work, undercarriage acceptance testing and the assembly of large sunshades. The tower crane division invested € 73.2 million in the past year. In Biberach an der Riss, Germany, construction of a new training centre was completed in the autumn of 2013, and a new surface technology building also erected. Investments by the concrete technology division amounted to € 13.1 million. In Bad Schussenried, Germany, an
investment was made in application technology for the painting of concrete mixing plant.

Outside the construction machinery and mining areas, the Liebherr Group invested € 277.5 million, of which € 71.1 million went to the maritime cranes division. At Liebherr-Werk Nenzing GmbH in Austria, investment included a new building for repair work.

In the aerospace and transportation systems division, total investment was € 76.4 million €. Work continued on the large-scale extension to the production facilities in Lindenberg, Germany. The first phase, comprising the construction of two assembly buildings and a logistics building, was largely completed in 2013.

The machine tools and automation systems division invested € 7.1 million in the 2013 business year, including for example extended production facilities and a new office building with classrooms for trainees in Bangalore, India.

The domestic appliances division invested a total of € 37.2 million in 2013. In Ochsenhausen, Germany, for example, plant and machinery for sheet metal processing were purchased. In Radinovo, Bulgaria, the production facilities were enlarged and modified.

The Group devoted € 85.7 million in all to investments on other products and services. During the review year, investments by the components division included an extension to Liebherr Machines Bulle SA in Bulle, Switzerland. Liebherr-Components Biberach GmbH began construction work on a branch factory near the existing location.

During the 2013 business year, investments of € 830.0 million were offset against depreciation in the sum of € 405.3 million.

2014 Outlook

In the current year, the world economy will probably develop rather more dynamically than in 2013; the International Monetary Fund forecasts growth of 3.6 %. In its initial estimate for 2014, the Liebherr Group expects total turnover to be equivalent to the 2013 figure, though development will differ from one division to another. There will probably be a further increase in the size of the workforce.

For the complete 2013 annual report, click here.

Maarten Zijlmans

Passionate about Internet and cranes, Maarten Zijlmans founded CraneMag.com. He is the main editor with the goal of making CraneMag the #1 online cranes magazine.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Check Also

Close