ENGEL: 6% decline in turnover, focuses on customized automation solutions
ENGEL concluded the fiscal year 2023/24 with a total turnover of around EUR 1.6 billion, indicating a minor downturn compared to the previous year. The company is meeting the mixed prospects with an expansion of its global presence while setting new benchmarks in order income for customer-specific automation solutions.
Injection molding cells ensure promising prospects in the customized automation solutions segment.
Minor decline in turnover
The ENGEL Group concluded the fiscal year with a slight decline in turnover of approximately -6% compared to the previous year.
According to Stefan Engleder, CEO of the ENGEL Group, stated that the volume in the injection molding machine market has fallen by up to -40% according to various association figures, yet ENGEL had succeeded in gaining shares in a shrinking market.
The Business Units Medical and Packaging made a significant contribution to this development. Demand for the production of diabetes therapy products remains high, especially in the American region, while the packaging industry is experiencing a boom in Europe due to new regulations.
In addition, the after-sales business also manifested positive growth, with a surge of almost +15% compared to the previous year.
Significant investment for global network expansion
Adhering to its growth strategy, ENGEL has allocated a substantial double-digit million figure for the expansion of the global network in the forthcoming fiscal year. In Europe, Americas and Asia, the company relies on largely independent hub structures, each encompassing sales, order processing, production, and after-sales service.
“Our many years of experience now allow us to implement local solutions with local R&D and manufacturing know-how. At the same time, we ensure global standards at local costs,” explained Engleder.
Promising prospects for customized automation solutions
Shortage of skilled workers and high production costs offer promising opportunities for customer-specific automation solutions. Customers are increasingly inclined to automate as many process steps as possible directly via the machine, for instance quality checks or packaging.
Depending on the customer's preferences, the automation required integrates seamlessly with the machine to form a high-performance injection molding cell. While the standard segment remains stagnant, customized automation solutions are witnessing a significant upswing.
