Oerlikon Group Sales Drop 7.4% To CHF 2,693 Million In 2023

Oerlikon Group sales dropped 7.4 percent year on year to CHF 2,693 million in 2023, which includes a negative foreign exchange (FX) headwind of 6 percent and a 4.5 percent positive impact from Riri acquisition.

Group order intake last year decreased 17.8 percent over a year ago period to CHF 2,457 million. Adjusted for FX and the Riri acquisition, orders declined 16.8 percent.

The Polymer Processing Solutions division saw FX-adjusted organic decline of 5.9 percent over 2022 driven by the filament downturn, Surface Solutions division saw FX-adjusted organic sales growth of 7 percent

In the reporting year, group operational EBITDA fell 13.4 percent to CHF 444 million, versus CHF 513 million in 2022.

The operational EBITDA margin stood at 16.5 percent in 2023 compared to 17.6 percent in 2022, due to lower sales, higher input costs, adverse currency impact and unfavourable mix effects.

The operational EBIT margin was 8.7 percent or CHF 235 million as against 10.4 percent or CHF 301 million in 2022

Oerlikon has strategically realigned its additive manufacturing (AM) business, consolidating production and focusing the business in the US to take advantage of the US as the largest growth market for AM.

To strengthen the division’s resilience, Surface Solutions is optimising its coating centers footprint in Germany and discontinuing its US thermal spray coating services.

In Polymer Processing Solutions, the Teknoweb business was discontinued, and its intralogistics offering was divested.

“These actions led to one-off charges, largely non-cash, which were included in the fourth quarter results,” the Swiss company added.