International. Fan and motor manufacturer Ziehl-Abegg recorded growth of around 12 percent in 2017. Turnover increased from €484 million to €540 million according to provisional figures for the last fiscal year. The number of employees reached a new record of 3,900. The company traditionally does not publish information about earnings.
The growth in sales was worldwide. "Our expectations have been significantly exceeded in Asia and in North and South America," said CEO Peter Fenkl. However, even countries where sales had halved due to political upheavals a few years ago have recovered well, recording increases in the double-digit percentage range. The head of the company referred in particular to Ukraine and Russia as an example of this development. The new company Ziehl-Abegg in Dubai is proving to be a good starting point for business in the Middle East. Even countries supposedly affected by the crisis like Iran are reporting growth, especially in the elevator engine business.
Brexit, the US president, elections in Russia, the formation of a government in Germany, discord in the EU or conflicts in Africa and Asia, Fenkl explains the situation as "a colorful variety of Swords of Damocles hanging over political and economic developments." Despite this, Ziehl-Abegg is starting this year full of confidence, sustained by positive order intake in the first weeks of 2018. "This year we will again launch products that will set new records for energy efficiency as well as investment in the global production and service network," adds the CEO.
Growth in sales is being accompanied by an expansion of the workforce. A year ago, Ziehl-Abegg employed 3,550 people worldwide, now that figure is 3,900. The number in Hohenlohe increased from 2,000 to 2,200. "This rapid growth not only poses a challenge to us in terms of production but also in the integration of new employees," explains Fenkl, adding, "Our suppliers must also be able to keep pace with rapid sales growth." Ziehl-Abegg has also improved and expanded its production capabilities. Last year, the company invested a record 43 million euros.
While ventilation technology (fans) and driving technology (elevators, medical technology) both recorded a double-digit increase in sales, the automotive division is lagging behind expectations. "City bus manufacturers in Western Europe are very reluctant to switch to electric units," says Fenkl. However, he expects to see a significant increase in political pressure and the desire of urban dwellers to have clean and quiet buses. "When that happens, we will have already developed the proven solution." The latest generation of the ZAWheel urban bus system incorporates the wishes of bus manufacturers and the experiences of bus operators with this technology. The Executive Director reported that the level of interest shown at the world's largest general trade fair, Busworld in Belgium last October, was very positive.
