ELASTOGRAN
1994: Improved profitability / Difficult period of restructuring / Novel products
Elastogran GmbH (D-49440 Lemförde) increased its worldwide turnover by 38% in 1994 to DM 1.65 bn. Turnover for the home market group – consisting of Elastogran GmbH and Elastogran Schwarzheide GmbH (D-019780 Schwarzheide) – was DM 1.28 bn (DM 861m the previous year), and the export group DM 368m (DM 337m the previous year). The 49% increase in turnover for the home markets group resulted from the takeover of the marketing, sales and applications technology for basic polyurethane raw materials from BASF, effective January 1, 1994, and also 20% growth in the special elastomer business in the European export markets. System exports to Eastern Europe were down, resulting from the non-renewal of the Hermes export credit guarantee programme. The 9.5% increase in turnover for the export group was larger than anticipated, and has resulted from above average economic growth during the second half of 1994.
Cost savings resulting from the restructuring programme completed at the end of 1993 together with a sales increase in European export markets and turnover increases resulting from the development of new business areas all helped to achieve an after-tax profit of DM 66.6m (DM 35.7m in the previous year). A 10% increase in turnover is projected in 1995. Resulting from the restructuring program, new investment of DM 40m is planned. The majority will be made at Lemförde, DM 12m will be invested abroad.
Elastogran will more than double its R & D expenditures to DM 41m in 1995. According to a company statement: "Competence in poly-urethane ensures success for Elastogran". Its Strategie 2000 program, worked out during 1993/94, is entitled "Knowledge, Progress and Innovation". According to the Chairman of the Board, Gerhard Hollmann, this means that Elastogran "wants to use change as an opportunity, to be ahead of its time, to define its strategic goals, to develop its existing know-how to the highest level, to intensify cooperation with its customers and to continually draw upon the experience of its employees, involving them in the process of change."
Cost savings resulting from the restructuring programme completed at the end of 1993 together with a sales increase in European export markets and turnover increases resulting from the development of new business areas all helped to achieve an after-tax profit of DM 66.6m (DM 35.7m in the previous year). A 10% increase in turnover is projected in 1995. Resulting from the restructuring program, new investment of DM 40m is planned. The majority will be made at Lemförde, DM 12m will be invested abroad.
Elastogran will more than double its R & D expenditures to DM 41m in 1995. According to a company statement: "Competence in poly-urethane ensures success for Elastogran". Its Strategie 2000 program, worked out during 1993/94, is entitled "Knowledge, Progress and Innovation". According to the Chairman of the Board, Gerhard Hollmann, this means that Elastogran "wants to use change as an opportunity, to be ahead of its time, to define its strategic goals, to develop its existing know-how to the highest level, to intensify cooperation with its customers and to continually draw upon the experience of its employees, involving them in the process of change."
15.05.1995 Plasteurope.com [20780]
Published on 15.05.1995