China and oil price blamed for drop in Endress+Hauser’s net income
Instrumentation company Endress+Hauser expects its net income from the 2015 fiscal year to have declined by around 25%...
Instrumentation company Endress+Hauser expects its net income from the 2015 fiscal year to have declined by around 25% compared to 2014, claiming it was a “difficult business environment”.
In a financial statement, the company, which provides level, flow and pressure sensors to the water industry, said that net sales increased 6.6% to 2.1 billion euros.
However, it said that a decision last year by the Swiss Central Bank to revoke the cap on the franc was a “major blow to the budget right at the beginning of the year, impacting earnings especially hard”.
As a result, net income is anticipated to decline by 25% compared to the previous year.
Dr Luc Schultheiss, chief financial officer of the group, said: “We were unable to follow on the heels of good results in previous years.”
The group also put the weak euro down as having significant impact on consolidated revenues, as well as China’s shrinking economy and fall in oil price.
“In local currencies, the group’s sales grew less than 1%,” said Schultheiss.
While dissatisfied with the performance of the business, Schultheiss highlighted several positive developments with the group creating more than 500 jobs worldwide.
He said: “The Endress+Hauser Group continued to show sound profitability and financial stability.”
At the end of last week the company announced a partnership with CompuCal Calibration Solutions to provide its US customers with a calibration management solution.
Endress+Hauser will present the audited annual report in Basel on 3 May 2016.