Page 24 - ITAtube Journal 2 2024

Press releases
SMS group GmbH
SMS group strengthens service business and improves earnings
Another clear increase in order intake and sales
n Further improvement in earnings expect- ed through service business expansion
n Major projects at H2 Green Steel and thyssenkrupp Steel enter a crucial phase and underscore the #turningmetalsgreen mission
n SMS investing in competitiveness n New company headquarters in
Mönchengladbach opened: Innovation Campus facilitates a contemporary way of working together
SMS group made significant progress in the 2023 fiscal year. Order intake was again in- creased to more than five billion euros (4.6 billion euros in the previous year). Sales also rose to 3.4 billion euros (previous year: 3.1 billion euros). In addition to important decarbonization projects, SMS has further expanded its service business in particular, which made a substantial contribution to boosting earnings. “The service business for our customers’ plants and equipment continues to gain importance for us. The
close and consistent interlinking of the plant engineering and service business is the main driver for our profitable growth,” says Jochen Burg, CEO and Chair of the SMS Managing Board since October 2023. “To reinforce this trend, we pooled our exper- tise in the fields of electrical and automa- tion systems, technical service, and digital- ization in one business unit. As a result, we are ideally positioned to offer our custom- ers individual and integrated solutions for the very different global challenges they face.” SMS aims to increase its share of the service business to at least 50 percent by 2030.
As regards adjusted earnings before taxes, the company’s result was 42 million euros above the previous year’s figure (19 million euros). SMS achieved a significant improve- ment in the operating result from 22 million euros to 134 million euros. At 906 million euros, net liquidity was a good 80 percent higher than the previous year.
“Profitability remains our company’s top goal,” says Fabíola Fernandez, new CFO of SMS group since January this year. “2023 was a successful year that moved in the right direction. We also expect a further im- provement in our earnings for the current year.”
Decarbonization projects entering a crucial phase
With two major reference projects, SMS is continuing to drive the decarbonization of the steel industry. For H2 Green Steel in Sweden, SMS is building the world’s first steel plant to be operated using 100 per- cent green hydrogen. The planning and design phases for the facility have largely been completed. The plant components are currently being manufactured and delivered to the job site in Sweden. Starting in the fall, SMS will start to coordinate the plant erection work with its own designated teams on site.
ITAtube Journal July 2024
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Fabíola Fernandez, CFO of SMS group and Jochen Burg, CEO of SMS group