Georg Fischer, the Swiss manufacturing company, has announced a slight decrease in net profit and sales for the first half of 2023. This drop can be attributed to the negative impact of unfavorable exchange rates, although it was partially offset by price adjustments.
In precise figures, the net profit for the first half of the year amounted to 123 million Swiss francs ($143.3 million), down from CHF125 million in the same period last year. Furthermore, sales figures saw a decline from CHF1.97 million to CHF1.96 million. However, the company did experience growth in operating income, which rose to CHF184 million from CHF179 million.
Unfortunately, the order intake during the first half of the year also suffered a setback, dropping from CHF2.21 billion to CHF1.925 billion.
Reasons Behind the Performance
Georg Fischer has attributed the negative results to currency headwinds and geopolitical tensions that impacted its first-half performance. Despite these challenges, the company managed to achieve a commendable organic sales increase of 7.5% during this period.
Casting-Solutions Segment Excels
One notable highlight among Georg Fischer’s business segments is the casting-solutions segment, which reported excellent results. Sales in this division saw a significant increase of 20%. This growth can be attributed, in part, to the rising demand for electric vehicles.
Looking ahead to the rest of 2023, Georg Fischer is optimistic about its prospects. The company projects continued organic sales growth and expects to achieve an operating profit margin ranging from 9% to 11%.