TUBE NEWS TN April 2019 | Page 15

The new press shop as part of the joint venture with Porsche will set new standards for the automotive industry both in terms of performance in industrial manufacturing and in the digital networking of data streams in the production process. million. Schuler achieved consolidated earnings after tax of € 13.5 (67.4) million. Cautious optimism for 2019 and beyond At the end of 2018, Schuler’s equity capital ratio of 40.1 (38.1) percent of the balance sheet total was still above average in the German mechanical and plant engineering sector. The company employed 6,575 (6,570) people worldwide, 4,195 (4,237) of them in Germany – which is barely any fewer than in the previous year. CFO Norbert Broger said: “2018 was a very challenging year in terms of operation and strategy. This is why it was all the more important that we were able to reverse the negative trend in incoming orders and achieve an increase of ten percent for the first time. We therefore entered the new year with a decent order backlog of € 926 million. Therefore, and thanks to the cost reduction measures already initiated, we are confident that we will be able to show medium-term earnings improvements”. Concentration on the profitable core business Irrespective of the positive order development, the pressure to adapt remains high, especially in Germany, said CEO Iacovelli. “In 2018, we therefore began making Schuler more dynamic and bringing customer-driven innovations to market more quickly. The aim is to concentrate on the Group’s profitable core business and increase profitability in the coming years. This includes the consistent segregation of loss-making business areas wherever necessary”. In recent months, Schuler has developed new product strategies for each business division. Expensive “over-engineering” needs to be a thing of the past. Schuler has already decided to withdraw from the unprofitable production of packaging machines and lines for the production of large-diameter pipes in 2019. Expansion of service business and value creation in China Cost benefits in production in China and Brazil TUBE NEWS » April 2019 15