Grains and Food Business Drive Bühler’s Growth
Bühler showed a healthy performance in 2016, while continuing its policy of reinvesting profits to secure future development, according to its recently released financial results.
Both businesses of Bühler, grains and food and advanced materials, contributed to the success of the group in 2016.
The service business showed higher growth and recorded a turnover of CHF578m, which is 7% higher than last year. The service share of turnover now accounts for 24% (previous year: 22%). On a regional level, growth in North and South America, Europe, and China overcompensated the downturns in the Middle East & Africa and South East Asia. Overall, Bühler reports a balanced position with its global presence: Europe registered a turnover share of 30%, Asia 25%, Middle East & Africa 15%, North America 17%, South America 6%, and South Asia 6%.
Order intake in 2016 was up 3% to CHF2.54bn, compared to a decline of 4% in 2015. Turnover rose by 2% to CHF2.45bn, and profitability remained stable at 7.1% (EBIT margin).
R&D investments were significantly increased. “For a company based in Switzerland, 2016 marked a real proof point considering the Euro/Swiss franc shift a year ago,” says CEO Stefan Scheiber. “In this context, we can be satisfied with these results.”
Developing on New Markets
Bühler invested substantial sums to enter new markets in 2016, develop decentralized applications centers, and further expand and update its global manufacturing network.
Eight new service stations were added to the global network for a total of 92 locations with 60 workshops.
The group opened a new factory for rice in Vietnam, new regional applications centers in North America, and is currently building of a new production site in. In Switzerland, the company launched a modernization program. In the fields of battery manufacturing and insect processing, Bühler is set to capture the massive growth potential.
“With the accomplishments of 2016, and a strong order backlog, Bühler has a positive outlook for 2017,” says CEO Stefan Scheiber.