Hilti turns the corner towards recovery
The coronavirus pandemic has suppressed the sales and net income of the Hilti Group over the first eight months of 2020 to below the values recorded in the prior year. Since June, the Group has started to enjoy a gradual recovery in business development. However, in comparison with 2019, Hilti is anticipating a sales decline of 10 percent across the year as a whole.
Between January and August of the current year, the Hilti Group generated total sales in the amount of just under 3.43 billion Swiss francs, as detailed in a press release issued by the global tool manufacturer, which is headquartered in Schaan. On a year-on-year basis, this equates to a decline of 12.3 percent. At 455 million Swiss francs, operating earnings (EBIT) were down by 12.0 percent in comparison with the previous year. However, a fall of 13.9 percent to 314 million Swiss francs was registered for net income. The return on sales remained on a par with the prior year level, at 13.0 percent.
“Following the unprecedented slump in our business during the spring lockdown, our figures have gradually recovered since June”, comments Christoph Loos, CEO of the Hilti Group, in the press release. The company is therefore emerging from the crisis better than originally expected, according to Loos, who adds: “This makes us cautiously optimistic, even though the crisis is by no means over and uncertainty remains high”.
Business declined to varying degrees depending on the intensity of the lockdowns in the Group’s individual market regions. The EBIT result was also adversely impacted by “the strong appreciation of the Swiss franc”, Hilti explains in the press release. For the current year as a whole, the Hilti Group is anticipating a sales decline of around 10 percent year on year.