In a challenging environment shaped by considerable uncertainty, SFS Group exceeded its growth targets in all regions and end markets in the first half of 2022 – with the exception of the automotive industry.
Demand for SFS products remained high over the period in most end markets and regions – regardless of the considerable uncertainty due to the war in Ukraine, sustained disruption in supply chains, further waves of Covid-19 in Asia and Europe and an environment of rising interest rates and inflation. As in the previous financial year, a high-level of delivery readiness remained a strong competitive advantage. The continued ability to deliver to customers was maintained thanks to local production sites, robust and largely regional supply chains and the tremendous commitment of the employees.
SFS Group generated gross sales of CHF 1.22 billion (€ 1.25 billion) in the first half of the year, which corresponds to year-on-year growth of 27.8%. In addition to organic growth of 9.8%, there were consolidation effects of 19.3%, primarily as a result of the first time consolidation of Hoffmann as of 1st May. Currency effects reduced sales growth by -1.3%.
The weakening in customer demand in the automotive industry, seen in the course of the first half of the year, had a negative impact on capacity utilisation in automotive related business areas. This led to an uneven utilisation of production capacities overall. Profitability was also affected by the rising costs of commodities, energy and personnel.
The two divisions of the Fastening Systems segment took advantage of the opportunities presented by the continuing dynamic market environment in the construction industry. The strong demand that has existed since the end of 2020 continued unabated in the first half of 2022. The performance of the Riveting division was also positive in most of its other application areas. Business in the automotive industry continued to be characterised by supply chain bottlenecks on the customer side. Segment sales amounted to CHF 334.5 million, which corresponds to year-on-year growth of 14.1%.
Having spent a decade in the fastener industry experiencing every facet – from steel mills, fastener manufacturers, wholesalers, distributors, as well as machinery builders and plating + coating companies, Claire has developed an in-depth knowledge of all things fasteners.
Alongside visiting numerous companies, exhibitions and conferences around the world, Claire has also interviewed high profile figures – focusing on key topics impacting the sector and making sure readers stay up to date with the latest developments within the industry.
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