© alexey utemov dreamstime.com Electronics Production | July 05, 2019
Hexagon impacted by slowdown in China - jobs at risk
Having experienced favourable growth in China over recent quarters, Hexagon says it's seen a much weaker than expected development in June. The main reason for the slowdown stems from increased geopolitical uncertainties in global trade, especially within the electronics business of the Manufacturing Intelligence division in China.
Demand in the other markets and divisions has remained broadly in line with what has been previously communicated. Hexagon says that the company has taken proactive restructuring actions to ensure the company remains on track to meet its 2021 financial targets. Overall, Hexagon has taken a one-off charge of EUR 44 million during Q2 2019 to reduce its global workforce by approximately 700 employees, which is expected to result in annualised cost savings of EUR 51 million by the end of 2020.