Annual Results 2017: Sustained growth and increased profitability
Asymmetrical developments in the construction industry across the globe shaped the year 2017. Thanks to the balanced geographical presence built over the years, Schindler was in the position to successfully navigate the uncertain situation, profitably growing in both new installations and in services. Orders received rose by 5.9% to CHF 10 989 million. Revenue grew by 5.1% to CHF 10 179 million. Operating profit (EBIT) increased by 4.8% to CHF 1 187 million and the EBIT margin reached 11.7% (previous year: 11.7%). Net profit rose by 7.4% to CHF 884 million.
On a comparable basis, operating profit increased by 10.1% and the EBIT margin by 0.5 percentage points to 12.0%. Net profit grew by 15.4%. The company could further strengthen its market position thanks to competitive products and customer-driven services.
Besides organic growth, local acquisitions in established markets contributed to the overall increase. The implementation of the ongoing strategic initiatives remains on course. With the launch of ‘Schindler Ahead,’ the cloud connectivity platform enabling the ‘Internet of Elevators and Escalators,’ a fundamental milestone was reached towards the digital transformation of the business.
Similarly, in the new installations business, new, modular and fast-evolving product portfolios are a key success factor for the future. Significant progress was also achieved on this front, with the launch of the first modular elevator systems in China, in preparation for the global roll-out over the next 24 months.