Liebherr bullish with strong financial results

The firm says that there were marked differences in business performance in the individual sales regions. In Western Europe, Liebherr's most important sales region, turnover increased. This was due in part to renewed growth in its largest market, Germany, as well as to upward trends in other important markets such as France and the Netherlands. In Italy, too, the last business year was an encouraging one. In the UK, one of the region's most important market, turnover declined slightly.

In Eastern Europe, particularly in Russia and Poland, sales revenues also developed positively. In the Near and Middle East, sales remained at the previous year’s level. In America, by contrast, a slight fall was recorded. In Africa and the Far East / Australia, turnover was below the previous year's level in each case.

In the construction machinery and mining segments, as well as in other product areas, Liebherr recorded a slight decline in turnover however compared to its record year in 2015. Divisions producing construction machinery and mining equipment include earthmoving, mining, mobile cranes, tower cranes and concrete technology. Here, sales revenue fell by €224 million, or 4%, to a total of €5.4 billion.

In 2016, the Liebherr Group achieved a net result for the year of €298 million, equalling the 2015 result. The financial result improved significantly, thanks in part to the positive effects of exchange rate movements. In contrast, there was a perceptible fall in the operating result.  

2016 saw a further increase in the workforce. At the end of the year, Liebherr had 42,308 employees worldwide. Compared to the previous year, this constituted an increase of 763 or 1.8%.

The Group has traditionally emphasised the importance of making regular investments in its production facilities and its global distribution and service networks. As a consequence, the investment rate last year remained at a very high level. Overall, the Group invested €751 million. Depreciation added up to €466 million (previous year: €448 million).

It is anticipated that the coming year will see slight positive growth in the global economy, compared to 2016. The growth trend is expected to increase slightly, both in industrialised countries and in emerging and developing economies.

The Liebherr Group also says that it anticipates an increase in turnover this year. The construction machinery and mining segments, as well as other product areas are overall expected to make a positive contribution to turnover. The Liebherr Group will also continue to invest substantially in its international production facilities and in its distribution and service network. The number of people employed in Liebherr companies will again rise slightly.