FOCUS ON MATERIALS
We will continue to focus on high-tech segments that meet the highest quality requirements and drive innovation in collaboration with our customers
The Railway Systems business segment , by contrast , developed along a stable trajectory throughout the reporting period . The storage technology segment , for its part , posted all-time high orders thanks to booming online commerce ,” it added .
Even though demand for its products rose significantly over the business year 2020 / 21 , the Group ’ s revenue fell by 11.4 % to EUR 11.3 billion on account of economic factors . It also saw a marked upturn in earnings throughout the subsequent quarters . Given the COVID-19 crisis , the decline in EBITDA by 4 % to EUR 1.1 billion was moderate . At EUR 115 million , the Group succeeded again in posting positive EBIT ( 2019 / 20 : EUR – 89 million ). In the business year 2020 / 21 ( mainly its second quarter ), EBIT was impacted by impairment losses of EUR 197 million largely attributable to two companies ( voestalpine Texas and voestalpine Tubulars ).
Cash flows were positive . The Group succeeded in substantially boosting its cash flow from operating activities to EUR 1.6 billion during the business year ended — especially because it reduced working capital by EUR 633 million .
“ In addition to the economic tailwind , the steps we took internally to cut costs and boost efficiency made a decisive contribution to the Group ’ s positive results for the year . Despite the economic crisis , voestalpine now has more liquidity and less debt than just a year ago . The strengths of our business model were on full display yet again during the COVID-19 crisis . As a result , we will continue to focus on high-tech segments that meet the highest quality requirements and drive innovation in collaboration with our customers ,” commented Herbert Eibensteiner , Chairman of the Management Board of voestalpine AG .
Following EUR – 230 million in the previous business year , profit before tax for the business year 2020 / 21 is EUR 11 million and thus slightly positive again . At EUR 32 million , the voestalpine Group also succeeded in boosting its after-tax profit ( 2019 / 20 : EUR – 216 million ).
As of 31 March 2021 , the voestalpine Group had about 48,700 employees ( FTE ) worldwide , which equates to a year-over-year reduction of 2.1 % ( 1,028 FTE ).
China expansion for voestalpine .
Voestalpine additive manufacturing .
Expanding capacity in China
China has managed the coronavirusinduced 2020 economic crisis faster than any other country and is already back on a path to growth . Beneficiaries of this recovery include the international voestalpine Group , with its 40 sites and 3,000 employees in the country .
Growing demand in the premium segment of the automotive industry , in particular , is ensuring good capacity utilisation , and voestalpine is responding quickly by expanding capacity . New high-tech products for railway infrastructure , as well as welding consumables , are also increasingly filling the order books . Furthermore , the steel and technology group recently continued the rollout of its pioneering 3D printing process with metal powder by opening two new Chinese sites .
China has been a voestalpine growth market for many years . Key customer segments include the automotive ; railway infrastructure ; household goods and energy industries , in which the company generated revenue of EUR 557 million in the business year 2019 / 20 .
“ In the midst of the COVID-19 pandemic , our broad regional and technological positioning , paired with a consistent focus on innovative product solutions , has once again proved its worth . As a high-tech provider , the current economic upswing in China is directly benefitting us ,” said Herbert
Eibensteiner , Chairman of the Management Board of voestalpine AG . “ The International Monetary Fund ( IMF ) is expecting economic growth of around eight per cent for the People ’ s Republic in 2021 ; the country was the only major economy worldwide to grow in 2020 . The government ’ s new Five-Year Plan , which came into force in March 2021 , is also expected to act as an additional stimulus ,” added the company .
The steel and technology group recently continued the rollout of its pioneering 3D printing process with metal powder by opening two new Chinese sites .
26 | sheetmetalplus . com | ISMR July / August 2021