Pump giant Grundfos’ first half-year was characterised by continued stagnation in many markets. However, the company has performed positive growth, even though the ambitious growth outlined by the management has not been achieved during first half. The management has a more positive outlook for the second half and is still expecting 2013 to become another good year for Grundfos.
The status of the Grundfos Group’s first six months of 2013 shows a three per cent growth and a turnover of 1.47 billion euro. Earnings amount to 59 million euro.
”At best, the pump market is stagnating, and when seen in that light, our modest growth is very reasonable. The first half-year is always weaker than the second half-year in Grundfos, and it is our hope that the figures for growth, turnover and earnings will develop positively for the entire year. So far, market developments have not been favourable to us. Some markets do not perform as we had planned. The half-year result is only just satisfactory”, says Group President and CEO Carsten Bjerg.
The highest growth figures are seen in China with 12 per cent and the Eastern European countries with five per cent, while other Asian countries lag a little behind the plans and Western Europe is stagnating.
”Our global sales organisation is making a great effort by being close to the customers. At the same time, we continuously monitor our level of cost, adapt the business and keep a watch on expenses. Everything is under control, and we expect the 2013 result for the year to show satisfactory growth for the Group. We are pleased that our financial strength remains more than intact with an equity ratio of 66.2 per cent as against 64.7 per cent after the first half-year last year”, says Carsten Bjerg.
During the first half-year, Grundfos inaugurated a new factory in Serbia, opened new regional headquarters in Chicago and set up a new sales company in Columbia.