MANN+HUMMEL posts solid half-yearly results
· Sales increase to 1.39 billion euros in the first half of 2014
· Projected sales for full year up slightly on previous year
· Consolidates position as market leader and leading innovator
Ludwigsburg / Frankfurt, 16 September 2014 – Sales at the Ludwigsburg-based MANN+HUMMEL Group (www.mann-hummel.com) increased by 74 million euros (+ 5.6 percent) to 1.39 billion euros in the first half of 2014 (previous year: 1.32 billion euros for the same period). When adjusted for exchange rate effects, the increase in sales amounts to 8.3 percent. Having previously done so in 2012, US market research institute Freedonia once again confirms the company as the world market leader in filtration. The German Patent and Trade Mark Office lists the Swabian company among the 50 most active domestic patent applicants. The company remains cautiously optimistic for 2014 as a whole.
"Compared to the previous year, our sales growth has accelerated. However, this performance lags behind our ambitious objectives," explains Manfred Wolf, President & General Manager of MANN+HUMMEL. Wolf refers to the continuing competitive pressure and conflicts in the Middle East and the Ukraine. The sanctions against Russia are expected have a negative impact on the economies of almost all EU countries. The drag on the global economy in the second half of the year should not be overlooked and the forecast for the year as a whole is for rather sluggish growth.
Mixed performance in markets
"The US automotive market has gained momentum in recent months and we can benefit from that. The picture is very different in South America, where a downward trend can be seen in Argentina and Brazil."
China is the main driver in the Asian markets. Here, MANN+HUMMEL is benefiting disproportionately from strong demand for cars and from its five, highly networked production facilities in China.
In the EU, according to the VDA Konjunkturbarometer [VDA Economic Barometer], countries most affected by the crisis – such as Portugal, Spain and Greece – are reporting particularly strong growth in new car registrations, reaching well into double figures. MANN+HUMMEL is also benefiting from the recovery of these economies. "It has led to noticeably improved demand for our subsidiaries. The erosion of sales in these countries has finally come to a halt."
Price and competitive pressure
MANN+HUMMEL has embarked on an ambitious growth strategy to address global price and competitive pressure. "Innovations and a focus on filtration are important elements of our Strategy 2022," explains Wolf. "And we have made good progress in both areas." In February 2014, the MANN+HUMMEL Group acquired Vokes Air. Vokes Air, based in Svenljunga, Sweden, is a leading provider of filtration applications for ambient and process air. The megatrend in air purification is a driving force in this segment, which is becoming increasingly important in medical and industrial applications (for example, to meet clean room requirements). Since the acquisition, the company has been trading as MANN+HUMMEL VOKES AIR.
MANN+HUMMEL will be showcasing state-of-the-art filtration technology to existing and potential customers at the upcoming leading trade fairs: Automechanika in Frankfurt and IAA Commercial Vehicles in Hanover.
The German Patent and Trade Mark Office (DPMA) once again lists MANN+HUMMEL among the 50 most active domestic patent applicants in 2013: the company submitted 231 applications last year. Wolf considers this proof of his company's ability to innovate.
Market leadership confirmed
The focus on filtration is paying off for the family business: in the summer of 2014, independent US market research institute Freedonia confirmed once again that MANN+HUMMEL is the market leader in filtration. The institute sees the filtration specialists as number 1 in the global market for filtration applications. It values the total market at 45 billion euros (2013) and forecasts annual growth rates of 6.2 percent up to 2018. Freedonia cites China and India as strong drivers of growth. MANN+HUMMEL is well positioned in these countries. In 2019, China will overtake the US as the largest individual market for filtration; the following year it will overtake Western Europe.
(approx. 4,300 characters including spaces)
Press contact: Harald Kettenbach
Tel.: +49 (0) 7141 98 - 2583
+49 (0) 151 42 66 39 41
Tel.: +49 (0) 7141 98 - 3354
+49 (0) 152 54 70 46 99
The MANN+HUMMEL Group is a leading global expert for filtration solutions and development partner and original equipment supplier to the international automotive and mechanical engineering industries. Employing 15,231 people at around 60 locations worldwide, the company achieved turnover of about 2.68 billion euros in 2013. The group’s product portfolio includes air filter systems, intake manifold systems, liquid filter systems, cabin filters and plastic sound components (known as 'symposers'), as well as filter elements for vehicle servicing and repair. For general engineering, process engineering and industrial manufacturing sectors the company’s product range includes industrial filters, a series of products to reduce carbon emission levels in diesel engines, membrane filters for water filtration and filter systems.