Financial key performance indicators

As a result of the brightening economic environment in the Industrial Systems business segment, the key performance indicators (KPIs) of the Metal Engineering Division for the business year 2021/22 are very good. Revenue rose 26.6% year over year to EUR 3,376.2 million (2020/21: EUR 2,667.3 million). The increase in delivery volumes in Industrial Systems accounts for much of this increase. Seamless tube deliveries benefited from the positive momentum in the oil and natural gas sector. In addition, Industrial Systems also expanded its sales of wire products for the automotive supplier industry. The division turned the higher prices resulting from sharp increases in the cost of raw materials and energy to its advantage across all product groups. Earnings present a similar picture. While the Railway Systems business segment continued its solid performance year over year, it is the Industrial Systems business unit that accounts for the increase in earnings during the reporting period. The wire technology and tubulars product segments, which had to contend with steep operating losses in the business year 2020/21 owing to COVID-19, successfully reversed the trend in the business year 2021/22. In sum, the division’s EBITDA soared 76.7% year over year to EUR 405.8 million (2020/21: EUR 229.7 million). The EBITDA margin thus improved from 8.6% to 12.0%. While EBIT of EUR 16.3 million (margin of 0.6%) was only slightly positive in the business year 2020/21, it came to EUR 227.9 million (margin of 6.8%) in the business year 2021/22.

The Metal Engineering Division also delivered substantial quarter-on-quarter (QoQ) increases during the reporting period. Revenue rose 5.2% to EUR 902.9 million in the fourth quarter, up from EUR 858.4 million in the third. While the business volume of Railway Systems weakened a bit, Industrial Systems posted higher revenue thanks to greater delivery volumes in combination with better pricing. In particular, Industrial Systems succeeded in boosting wire product deliveries. EBITDA rose in the fourth business quarter to EUR 119.2 million (margin of 13.2%), up from EUR 86.9 million (margin of 10.1%) in the third, thus delivering highly satisfactory performance. The division’s EBIT for the fourth business quarter reached EUR 74.1 million (margin of 8.2%), up 73.5% from EUR 42.7 million (margin of 5.0%) in the third.

As of March 31, 2022, the Metal Engineering Division had 13,528 employees (FTE). This represents an increase of 2.9% compared with the number (13,145) as of the same date in the previous business year. The upturn in the oil and natural gas industries as well as improved conditions in the automotive supplier industry made suitable adjustments in personnel numbers necessary.