Schaan (FL), September 19, 2018 – The Hilti Group achieved sales growth of 14.7 percent over the first eight months of 2018. When adjusted for acquisition effects growth amounted to 12.7 percent. The Group’s operating result rose 7.6 percent over the same period.
Through the end of August Hilti Group sales for 2018 were CHF 3751 million (+14.7%), significantly greater than in the previous year. Two percentage points of this total are attributable to Hilti’s purchase of the Oglaend System Group in September 2017. The growth rate also registered double digits in terms of local currencies (+11.9%). The North America and Europe regions once again advanced strongly, posting 12.2 and 12.4 percent growth in local currencies, respectively. The upward trend in Latin America (+7.4%) slowed due to currency devaluations and political tensions in several countries. While uncertainties also increased in both Turkey and Russia, the Eastern Europe / Middle East / Africa region nonetheless continued to see sales rise (+14%). The Hilti Group also sustained a positive trend in the Asia/Pacific region (9.1%).
“Even though the world political situation has become more unpredictable, we continue to show double-digit growth, which is faster than the global construction market. This success is based on the consistently high level of investment into sales resources and innovation. Our main investment focus in recent months has been in the area of digital solutions,” commented CEO Christoph Loos.
As a result, expenditures for research and development rose to CHF 225 million (+17.6%) while the number of employees grew to 28,566 (+9.6%). The more robust spending level and the stronger euro translated into figures for return on sales, at 12.1 percent (-0.8%), and return on capital employed, at 22.2 percent (-0.6%), that were slightly lower than the corresponding figures for 2017. The Hilti Group, however, posted increases in the operating result, at CHF 456 million (+7.6%) and net income, at CHF 329 million (+4.5%).
If world political uncertainties and currency volatility do not significantly worsen, the Hilti Group expects double-digit sales growth over the entire year, albeit slightly below the figures for the first eight months of the year due to acquisition effects. Despite ongoing investment Hilti expects the operating result for 2018 as a whole to be similar to the current growth level.
