HUSKY
Pronounced earnings decline in fiscal 2005 / Efforts underway to “globalise” production
Despite a significant increase in sales in fiscal year 2005 (31 July) to USD 860m, injection moulding systems manufacturer Husky (Europe: Dudelange / Luxembourg; www.husky.ca) suffered a considerable drop in earnings. Net income of the Canadian group was just over USD 2m, compared with nearly USD 19m the previous year. Incoming orders rose slightly to USD 843m (USD 838m).
The sales increase was due almost exclusively to the markets in the Americas. Latin America added 42%, North America 22%. In Asia/Pacific, sales rose 16%. European turnover dropped off by 9%, as orders slowed down after an especially large number of machine purchases in the PET packaging segment in fiscal 2004. The decline in PET – which accounts for 40% of Husky´s total sales – was only partly offset by the good sales in automotive applications. The company has begun adjusting its portfolio to the increased substitution of PET by PP and PMMA.
In 2006, Husky plans to streamline its organisation and at the same time concentrate on products with higher margins. In addition, it says it wants to further globalise production, which could be taken to mean moving production to low- wage countries. In order to lift its profile in the Japanese market, the machinery manufacturer is currently building a technical centre there.
• e-Service:
Husky annual report 2004/2005 as PDF document (43 KB)
The sales increase was due almost exclusively to the markets in the Americas. Latin America added 42%, North America 22%. In Asia/Pacific, sales rose 16%. European turnover dropped off by 9%, as orders slowed down after an especially large number of machine purchases in the PET packaging segment in fiscal 2004. The decline in PET – which accounts for 40% of Husky´s total sales – was only partly offset by the good sales in automotive applications. The company has begun adjusting its portfolio to the increased substitution of PET by PP and PMMA.
In 2006, Husky plans to streamline its organisation and at the same time concentrate on products with higher margins. In addition, it says it wants to further globalise production, which could be taken to mean moving production to low- wage countries. In order to lift its profile in the Japanese market, the machinery manufacturer is currently building a technical centre there.
• e-Service:
Husky annual report 2004/2005 as PDF document (43 KB)
17.11.2005 Plasteurope.com [203981]
Published on 17.11.2005
German version of this article...