Photo - Krones
Business Updates

Krones improve key financial performance indicators in 2022

Even in a scenario with macroeconomic challenges, the company had a 15.8% growth in its revenue last year

FoodTechBiz Desk

Based on preliminary numbers, Krones significantly improved all key financial performance indicators and exceeded its business targets last year. Despite difficult and uncertain macroeconomic conditions, mainly due to problems in global supply chains and geopolitical risks in Europe, the Krones Group's revenue increased by 15.8% in 2022 compared to the previous year, from 3.63 billion euros to 4.20 billion euros. Krones has surpassed the updated growth target of 10% to 12% published in October 2022 (the original target of 5% to 8%).

Customer demand for Krones products and services was very strong in 2022. Order intake increased by 34% year-on-year. The order backlog also grew strongly. At 3.46 billion euros, it was 83.1% higher at the end of 2022 than at the end of the previous year.

Due to the extensive measures taken by the company to increase its efficiency, Krones' profitability improved in 2022 despite rising material and freight costs. Earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 19.4% year-on-year, from 312.6 million euros to 373.3 million euros. The EBITDA margin rose to 8.9% (prior year: 8.6%). The final annual financial report will be published on March 23.

Krones started 2023 with an extremely large backlog. However, several uncertainties show that the business environment remains challenging. This includes high inflation and interest rates in many countries, as well as material shortages and geopolitical risks in Europe, which persist. Based on the prevailing macroeconomic outlook and the current expected development of relevant markets for Krones, the company projects consolidated revenue growth of 8% to 11% in 2023.

Click HERE to subscribe to our FREE Weekly Newsletter

Mettler-Toledo unveils Next-Gen X-ray system to enhance food safety compliance and boost productivity

GEA centrifuges fit for the latest Rockwell Automation technology

GEA presents next generation batch freeze dryers for food applications

Tate & Lyle unveils innovative ingredients solutions for Middle East market

Lamipak to showcase new packaging solutions at Gulfood Manufacturing 2024

SCROLL FOR NEXT