Leveraging its solution expertise as a systems provider for and with its customers, Lenze creates and delivers high-quality mechatronic products and packages, high-performance hardware and software systems for successful automation, digitalisation services for big data management, cloud or mobile solutions, and software to shape the Internet of Things (IoT).
Lenze employs over 3,700 people worldwide and has a presence in more than 60 countries. As part of its growth strategy, Lenze will continue to make substantial investments in the context of Industrie 4.0 over the next few years – with the aim of further increasing both revenue and profitability.
F.l.t.r.: Jochen Heier, Christian Wendler, Frank Maier, Dr. Yorck Schmidt
Lenze is on the move. The destination of our journey is clearly defined by our 2020+ strategy. Together with our more than 3,700 employees we intend to do nothing less than set the pace in factory automation worldwide and be at the forefront of shaping the digital transformation.
We already automate well over 1,000 mechanical engineering projects each year. Thanks to our two digitalisation subsidiaries encoway and logicline, we have a significant competitive edge that enables us to offer the global mechanical engineering industry innovative one-stop services and solutions digitally transforming the value chain. In doing so, we are opening up potential for new business models outside of our core business of mechatronics and automation systems while at the same time laying the foundation for further international growth.
A family-owned company with a history going back over 70 years, the name Lenze is also synonymous with continuity, which is why we are pursuing a growth strategy designed for sustainability. Despite the persistently challenging political and economic climate in the 2017/2018 financial year, we continued the positive trend seen in the previous year. Our revenue rose by 9.2 percent in the reporting period to €741 million, once again substantially exceeding the original expectations. Earnings before interest and taxes (EBIT) also reached a record high, climbing twelve percent to €65.7 million. Our goal is to lift sales to €850 million by 2020/2021, though with the opportunities provided by digitalisation we are aiming for the billion mark in the years to come.
Mechatronics has been our strong strategic base for decades. As part of our 2020+ strategy, strengthening our position as a system partner for machine automation with scalable hardware and modular software will become increasingly important. We are confidently bringing this message to the market with our “Automation goes blue” campaign launched at the Hannover Fair in April 2018.
As a pioneer in the field of digitalisation, our Group already addresses key issues for the future such as remote and predictive maintenance, the digital twin, big data management, and cloud or virtual reality. Our mission is to provide comprehensive support to our customers and partners in preparing for Industry 4.0 and the Internet of Things (IoT) and bring them safely and expertly into the digital age. As a logical next step, in spring 2018 the Lenze Group therefore built a proprietary innovation laboratory in Bremen nicknamed “DOCK ONE” for Industry 4.0 projects and digital business models and products, bringing its cumulative expertise in the digital field under one roof for the first time.
In summary, 2017/2018 was another successful year for Lenze. In the year under review, we made significant advances in our strategic initiatives and projects in all areas from operations to sales, the innovation portfolio and organisational development. Major achievements include the launch of another important component of our end-to-end automation platform, the i950 servo inverter, and the optimisation of our lean processes in production. We also rolled out new digital services to accelerate our customers’ work processes during machine development and throughout the entire machine life cycle. Defining and developing these in close cooperation with our customers was particularly important to us because customer requirements always have top priority for Lenze.
Building on this strong basis, we will remain on course for sustainable growth within the framework of our 2020+ strategy and again expect to generate positive earnings for the 2018/2019 reporting year that is slightly higher than the prior-year figure.
We are determined to lead the way in times of rapid digital change. As a family-run company and several-time winner of the Top Employer award, we always make people the focus of our thoughts and actions. Our “brainware” – the more than 3,700 people who make our strategy come alive every day through their commitment – combined with our hardware and software and our digital expertise is our main competitive advantage for the future. We are firmly convinced of this.
Thank you for accompanying and supporting our company in these exciting times.
Chief Executive Officer
Dr. Yorck Schmidt