Technical Absorbents
Techtextil Frankfurt

Free membership

Receive our weekly Newsletter
and set tailored daily news alerts.

Technology/Machinery

Picanol Group reports decline in profits for 2014

The Picanol Group closed the year 2014 with a consolidated turnover of EUR 418.2 million, which is in line with the previous forecasts.

12th March 2015

Innovation in Textiles
 |  Ypres

Industrial

These results represented a decrease in turnover of 25% compared to the EUR 559.9 million in 2013, which was the best year in the history of the group. The Picanol Group closed the year 2014 with a net profit of EUR 52.4 million, compared to EUR 73.1 million in 2013.

Weaving machines

The Weaving Machines division made a hesitant start to 2014 based on the weaker order book at the end of 2013. The first half of the year was characterized by lower demand for weaving machines worldwide. This resulted in a sharp decline in orders compared to the record year of 2013. The demand for Picanol weaving machines increased in the fourth quarter of 2014 with the technological leadership of Picanol being further bolstered by the weaker euro.

In 2014, Picanol successfully participated in a number of international trade fairs, including Techtextil Middle East (Dubai), the Dhaka International Textile & Garment Machinery Exhibition (Bangladesh), Kortex Korea (Korea), and more.

At the ITMA ASIA + CITME 2014, Picanol introduced its GTMax-i rapier weaving machine for the first time. This is the high-performance version of the GT-Max. In October 2014 Picanol also organized an open day in South Korea to present the benefits of its rapier technology to Korean weavers.

Industries

Lower demand from the Weaving Machines division also translated into a decrease in turnover for Industries in 2014.

In 2014, Proferro once again strongly focused on its engineered casting solutions. The three pillar strategy of casting-finishing-assembling and the HWS moulding line are increasingly valued by the market. This allowed Proferro to further expand its customer portfolio in 2014, both in terms of casting and the finishing of castings.

By placing a strong emphasis on its custom-made controllers for medium-sized series and its expertise in Electronic Manufacturing Services (EMS), PsiControl obtained a number of new customer projects.

In 2014, the Industries division also continued to invest in the renewal and modernization of its technology and production facilities.

Profit and loss account

In 2014, the Picanol Group realized a consolidated turnover of EUR 418.2 million over the full financial year. The turnover of Picanol NV decreased in 2014 by 29% compared to 2013, from EUR 431.9 million to EUR 305.6 million, due to the decrease in the worldwide market for weaving machines.

The gross profit of the Picanol Group for the 2014 financial year amounted to EUR 86.4 million, compared to EUR 137.4 million in 2013. The gross profit percentage decreased from 24.5% to 20.7%. The operating result decreased by 47%, from EUR 103.7 million in 2013 to EUR 54.2 million in 2014.

The Picanol Group closed 2014 with a net profit of EUR 52.4 million, compared to a net profit of EUR 73.1 million in 2013.

Outlook

Picanol anticipates that the global market for weaving machines in 2015 will remain at approximately the same level as that of 2014.

The order book is well-filled for the first half of 2015 thanks to the increasing demand for quality and technology, and this is supported by the favorable exchange rate offered by the euro. The second half of the year is currently less clear as investment decisions regarding new machinery may be affected by the prices of energy and raw materials as well as exchange rate developments.

For the first half of 2015, the Picanol Group expects to realize an increase in turnover. This is anticipated to be between the turnover recorded during the first half of 2013 and the turnover of the first half of 2014.

www.picanolgroup.com

Latest Reports

Business intelligence for the fibre, textiles and apparel industries: technologies, innovations, markets, investments, trade policy, sourcing, strategy...

Find out more