The business growth of the hottest Voith group in

Voith group's business growth in fiscal year 2017/18 was steady

as of September 30, 2018, excluding the impact of exchange rate, Voith group had achieved steady growth in orders and sales. The current weakness of Voith group's hydropower Division has affected the operating performance of the group's core business. However, the strong performance of the paper division has made up for this situation. Compared with the figure excluding the sale of KUKA in the previous fiscal year, the group's net profit increased significantly. Voith's financial position remains strong

"Voith Group continues its strong performance. In recent years, we have overcome the challenges of organizational structure and finance, established important strategic policies, improved the company's operating capacity and significantly improved the company's financial situation. Now, we will continue to grow by strengthening our core business and expanding our digital business, so as to further improve our profitability. "Toralf

haag, group president and CEO The doctor explained

strategic agenda: determine the growth focus in the next few years

in recent months, Voith has optimized its strategic focus as the group has entered a new stage of sustainable profit growth. First, Voith plans to achieve growth through its own resources, mainly through the organic development of its core business and the expansion of the group's digital business. Secondly, the group plans to make targeted acquisitions to expand its existing business in a way consistent with the group's strategy, and intends to create business opportunities in new areas. Voith's excellent financial situation provides a huge space for financing acquisition

the vertical spring change fatigue testing machine produced by Shandong Sida high tech is mainly used to test the fatigue life of various springs, elastomers, elastic components and other parts.

the pace of annexation, reorganization and technological innovation of rare earth, refractory and other industries will also be further accelerated. For the growth strategy, Voith is expanding its expertise in the digital industry era in all group business units and customer groups. Areas of special strategic significance, such as energy storage, electric drive systems and digital applications in the industrial environment, including digital asset management and new areas such as sensing technology and optical systems

Voith group's growth strategy will be defined in more detail in this fiscal year, and signs of initial progress in its implementation will appear simultaneously. The strategic agenda is linked to clear financial objectives. In the medium term, Voith's sales growth target is significantly higher than the annual growth rate of the global economy on average

steady business development Voith group's diversified positioning achieved results

in the previous fiscal year, Voith's overall business development was satisfactory, and the group's diversified operation achieved results again. Although the development of the hydropower business unit was lower than the expected goal, the paper business unit performed well in this fiscal year, and all important indicators reached the best level. At the same time, the performance of the driving business unit was stable. Overall, excluding the temporary weakness of hydropower business and the impact of exchange rate, Voith group's order volume in fiscal year 2017/18 still increased by 2%. Considering the exchange rate, the order volume in 2017/18 fiscal year remained at 4.29 billion euros, slightly lower than 4.37 billion euros in the previous fiscal year. As of the end of the fiscal year, the existing order volume was 5.17 billion euros, which was the same as the high level of 5.19 billion euros in the previous year. Excluding the impact of exchange rate, the group's sales increased by 4%. Taking into account the exchange rate, the group's sales volume was 4.21 billion euros, basically stable compared with 4.22 billion euros in the previous year

the results of the last fiscal year also confirmed the steady trend of Voith's core business. Despite the significant decline in the performance of the hydropower business unit, the total operating profit of the three core business units of the group remained at 267million euros, only slightly lower than the previous fiscal year's 304 million euros, mainly because the operating profit of the paper business unit continued to grow on the basis of the excellent performance of the previous fiscal year. The profit margin on sales of the group's core business decreased to 6.4% (last fiscal year: 7.3%) and the return on capital (roce) decreased to 15.1% (last fiscal year: 15.9%). Due to the high initial investment cost of implementing the digital process, Voith group's operating profit in this fiscal year was € 211 million, compared with € 254million in the previous fiscal year. The group's net profit reached EUR 53million, an increase of 61% compared with the profit of the previous fiscal year (EUR 33million) after deducting the profit from the sale of Treasury cards

compared with 27.3% in the previous fiscal year, the equity ratio reached a record high of 28.7%. The net cash flow is still at a high level: as of September 30, 2018, the net cash flow for the current fiscal year was 557million euros (the previous fiscal year: 648million euros)

outlook 2019: all key indicators are expected to achieve growth

the profit focused growth strategy will enable Voith to achieve further results in 2018/19 fiscal year

Voith expects the number of new orders to increase. The obvious predictable growth of the hydropower business unit will make up for the slowdown of the paper machine market. It is expected that whether the screw caps of all parts, especially the nuts at the oil pipe joints, are tightened, and the drive business unit is also expected to continue to contribute to the growth. We expect a slight increase in group sales. Voith will continue to develop a series of plans and measures in this financial year to improve the profitability and productivity of all group divisions. Based on this background, the company plans to achieve significant growth in profit before interest and tax (EBIT) and return on capital (roce). Both the group's core business and the digital ventures business unit are expected to contribute to the expected operational performance improvement

about Voith group

Voith is a global high-tech group. With a wide range of solutions including systems, products, services and digital applications, Voith sets industry standards for energy, oil and gas, paper, raw materials, transportation and public transport. Voith group, founded in 1867, now has more than 19000 employees and businesses all over the world. It has branches in more than 60 countries, with annual sales of 4.2 billion euros. It is one of the largest family businesses in Europe

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