Data from the 2023/2024 fiscal year of Tongkuai Group shows a decline in sales and order volume

German high-tech company TRUMPF has released data for the 2023/24 fiscal year: sales decreased by 3.6% to 5.2 billion euros, and orders decreased by 10.4% to 4.6 billion euros. The global number of employees has increased by 650, with a total of over 19000 employees, and the number of employees in Germany has increased by nearly 400.

As of June 30, 2024, at the end of the 2023/24 fiscal year, the sales of Transfast Group decreased by 3.6% to 5.2 billion euros (2022/23 fiscal year: 5.4 billion euros). The order amount has decreased for the second consecutive time to 4.6 billion euros (2022/23 fiscal year: 5.1 billion euros), a decrease of 10.4% compared to the previous year. Due to a decrease in sales compared to the previous year (615 million euros), the EBIT decreased by 114 million euros to 501 million euros. The pre tax profit margin decreased to 9.7% (compared to 11.5% the previous year).

Figure 1: Members of the Board of Directors of Trumpf Group

Ms. Nicola Leibinger Kamm ü ller, CEO and Chairman of the Board of Directors of Trumpf, introduced the company's balance sheet in D ü bingen and said, "Due to the slowdown in global economic growth and geopolitical uncertainty, customers from all continents showed a significant decrease in their willingness to invest in new products in the previous fiscal year. We deeply feel unprecedented competitive pressure, especially from Chinese competitors. Looking ahead, we expect demand to remain weak in the coming months of this fiscal year. Trumpf is taking clear measures to address this economic crisis and increase returns.

Figure 2: Ms. Nicola Leibinger Kamm ü ller, CEO and Chairman of the Board of Directors of Trumpf Group

The largest single market of Trumpf

The single market with the highest sales volume on AliExpress is Germany, reaching 824 million euros (compared to 779 million euros last year), an increase of 5.8%. However, the sales revenue of Trumpf in the United States decreased significantly by 11.5% to 796 million euros (899 million euros last year). In China, the largest market in Asia, Trumpf's sales have achieved steady growth, with a slight increase of 2.2%, reaching 615 million euros (compared to 602 million euros in the previous year).

Business Department
In terms of business departments, the Machine Tool Division holds the largest share with 2.8 billion euros (compared to 3 billion euros in the previous year). Next is the Laser Technology Division, with sales of 1.4 billion euros in the reporting year (compared to 1.5 billion euros in the previous year, adjusted by the Electronics Division).

Starting from the 2023/24 fiscal year, the Electronics Division will no longer be under the Laser Technology Division and will be accounted for separately, with a sales revenue of 572 million euros. Compared to the previous year (546 million euros), there was a slight increase of 4.8%. Meanwhile, the sales of extreme ultraviolet lithography (EUV) business used for chip manufacturing amounted to 943 million euros, a slight decrease of 2.9% compared to the previous year (971 million euros).

Employee headcount development
During the reporting period, the total number of employees at Trumpf increased by approximately 650 people. Especially in the fields of EUV and electronics, new job opportunities have been created. As of June 30, 2024, the total number of global employees of the company was 19018 (compared to 18352 in the previous year). In Germany, the number of employees increased to 9505 (previous year: 9124), a year-on-year increase of 4.2%. Among them, there are a total of 6283 employees at the headquarters in Diqingen, Greingen, Hertingen, and Herfingen. This year, 560 young people completed training courses or cooperative work study programs, with a training rate of 2.9%, slightly lower than the previous year's 3.5%.

The number of employees in the R&D department increased by 8.6% to 3098 (compared to 2853 the previous year). The R&D expenditure was 530 million euros, significantly higher than the previous year's 476 million euros. Therefore, the ratio of R&D expenditure to sales increased to 10.3% (previous year: 8.9%) and remained at a historical high, far above the industry average.

Dr. Yang Gang, President of Trumpf (China) Co., Ltd., said, "The global market is weak, and now is a critical moment to promote enterprise transformation and upgrading, and seek new growth points. Trumpf always adheres to the development concept of 'innovation leads the future', and is committed to bringing the latest technology into the Chinese market to help customers face diversified market demands and constantly emerging new challenges. In the future, Trumpf will continue to adhere to the service concept of 'customer-centric', continuously launch more high-end machine tool solutions and digital service products that meet market demands, and contribute more wisdom and strength to the prosperity and development of the global manufacturing industry. We firmly believe that with the joint efforts of Trumpf and other enterprises, the grand blueprint of intelligent manufacturing will become a reality, injecting new vitality into the sustained growth of the global economy. 

Figure 3: Dr. Yang Gang, President of Trumpf (China) Co., Ltd

Source: OFweek