HUBER+SUHNER’s Financial Performance for 2023
Our sources have provided detailed insights about HUBER+SUHNER’s financial performance for 2023. Despite encountering numerous obstacles and a downturn in volumes, the company showed strong financial results marked by an operating profit margin within the 9-12% medium-term targeted region.
Order Intake and Net Sales
The firm declared an order intake of CHF 821.4 million, a 15.8% drop from the previous year and a book-to-bill rate, which places orders against sales, of 0.97. The scaled-down business volume was primarily attributed to inflated customer inventories and curtailed 5G rollouts, especially in North America.
Further compounding HUBER+SUHNER’s woes, net sales totalling CHF 851.1 million represented a 10.8% year-on-year decline. This drop is believed to be part of the repercussions of the robust Swiss franc.
Noteworthy Results Amid Challenges
Despite these challenges, HUBER+SUHNER managed to keep an impressive EBIT margin of 9.1% stable. The company also carried on with its commitment to research and development by concentrating resources on five growth initiatives, demonstrating its resilience and forward-thinking approach.
Segment Performance
The report went on to shed light on the performance of different markets segments. Notably, the Transportation sector showed robust growth, whereas the Communication sector was hit by significant volume declines.
Sustainability Strategy and Future Forecasts
Throughout the challenges of 2023, HUBER+SUHNER remained steadfast in its commitment to its sustainability strategy. In line with this, the company announced a proposal to reduce the share capital at the forthcoming Annual General Meeting – a move designed in response to the completion of a share buyback program.
Despite a challenging year, HUBER+SUHNER anticipates a rebound in the second half of the current year, firmly aiming to return to organic growth in 2024. While the company projects its operating profit margin to hit the lower half of the target range, there is optimistic anticipation of a stronger future performance.
