Gurit saw its net sales increase by 11.9% at constant exchange rates or 6.7% in reported CHF versus prior year and Continued Operations grew by 11.6% in reported CHF.
Net sales 2022 were affected by Western Wind customers facing with lower volumes and demand uncertainties, a dynamic and highly competitive Chinese wind market, the Marine & Industrial business with strong growth and the sales contribution of the Structural Profiles acquisition in May 2022.
Composite Materials reported net sales of CHF 325.5 million for 2022. This increase of 52.9% at constant rates compared to 2021 contains a contribution of CHF 102.0 million from Structural Profiles (Fiberline Composites), in which Gurit acquired a 60% stake in May 2022. Wind sales have been influenced by a stronger Wind market in China but a reduced demand from the rest of the world. The Structural Profiles business is loss making driven by supply chain challenges and delayed customer ramp-ups in India. Gurit anticipates the business reaching profitable levels in 2024.
Kitting recorded net sales of CHF 148.6 million for 2022. This is a decrease of -14.0% at constant exchange rates compared to 2021. Kitting saw a generally lower demand from Western wind customers.
The Business Unit Manufacturing Solutions (Tooling) reported net sales of CHF 57.5 million, which represents a decrease of -21.5% at constant exchange rates compared to 2021. Manufacturing solutions net sales were low due to Western customers having had almost no mould demand in 2022. In contrast, the mould business in the Chinese domestic market saw good sales, however in a very competitive business environment. The company expects the mould business with Western wind customers to recover markedly in 2023.
Net sales by regions of destination in 2022 showed once more the Asia-Pacific region contributing the largest share with 43.6% of total sales, compared to 39.9% in 2021. Deliveries to Europe accounted for 33.0% of total Group sales in 2022 (2021: 31.2%). Goods delivered to the Americas accounted for 17.1% of total Group sales (2021: 21.9%), while supply to the rest of the world amounted to 6.3% (2021: 7.0%).
Gurit reached an Operating Profit of CHF 22.3 million with a margin of 4.5% of net sales. Excluding divestment effects, restructuring and impairment charges, the adjusted operating profit margin was 2.3%. This compares to an operating profit margin of 5.0% and an adjusted operating profit margin of 7.0% in the calendar year 2021.
Lower Wind volumes and inflation affecting raw material, energy and logistics costs as well as the impact of Structural Profiles negatively influenced Gurit’s profitability. Net profit for the year 2022 amounted to CHF 9.1 million.
As for the wind industry in 2023 the company expects further growth in the Chinese wind market, whereas they see reduced wind blade manufacturing forecasts from the Western wind customers. Beyond 2023 the company expects a positive growth momentum globally for wind energy, supported by recent government policy announcements in the European Union and the United States.
As a result of reduced demands from Western Wind customers and considering the positive effects from the cost saving programs, the company expects net sales between 450– 510 million CHF and an operating profit margin of 2% – 5% excluding M&A effects, restructuring and impairment charges.
