© Komax Electronics Production | January 30, 2020
Komax is reviewing its structures – initiates short-time work
2019 was a challenging year for the Komax Group. The company is pointing to a sluggish automotive industry as it reports figures that fell well short of the record result achieved in 2018.
Order intake decreased by 17.7% to CHF 408.7 million (EUR 381.9 million), compared to CHF 496.7 million (EUR 464.2 million). Revenues were approximately 13% lower at around CHF 415 million (EUR 387.8 million), compared to the CHF 479.7 million (EUR 448.3 million) recorded in 2018. The EBIT margin is approximately 5.5%, compared to 14.0% the previous year. As customers continue to put off projects and it is currently unclear when the upward trend will kick in, Komax is using the time to review its structures and, where necessary, make organisational and personnel adjustments. In Switzerland, the company plans to introduce short-time work from 1 March 2020, the company disclose in a press release. The market situation observed in the first half of 2019 continued in the second half. Various global political factors (including the trade conflict between the US and China) have created a general mood of uncertainty. As a result, customers have implemented a very cautious approach to investments and are putting off projects. Measures to improve profitability Komax has seen very strong growth in recent years and realigned its structures accordingly. In order to improve profitability in what is expected to remain a challenging market environment in 2020, the company says that it will, in the coming months, be reviewing its structures throughout the group and will implement any necessary organisational and personnel changes. “This is on condition that innovativeness and customer proximity are affected as little as possible. In this connection, individual redundancies cannot be ruled out either,” the company writes. Komax plans to introduce short-time work at the three Swiss sites (Dierikon, Rotkreuz and Küssnacht am Rigi) effective 1 March 2020. The company’s reasoning for taking this measure is to protect as many jobs as possible at its three production and development sites.