New Arburg sales record due to North American market, electric machines

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Photo by David Vink Arburg management at Lossburg event on 14 March, from left to right: Michael Hehl, Gerhard Böhm, Heinz Gaub, Jürgen Böll (finance).

Arburg has released a provisional 2016 sales figure of approximately €630m, a record level for the third year running, according to Michael Hehl, managing partner of the family-owned German injection moulding machinery group.

Final figures were not yet available, Hehl said at a press briefing March 14 on the eve of the annual Arburg Technology Days open house at the group’s production facility in Lossburg, Germany. The figure of €630m for consolidated turnover, which includes Arburg’s worldwide subsidiaries, is 8.6% higher than the figure given by Hehl for 2015 at the 2016 Technology Days event, itself up 5.8% over 2014.

Sales director Gerhard Böhm said the present order intake level is “at a very good level, similar to 2015” (when it had grown 16% over 2014). Sales in Mexico and the US were “excellent” in 2016, Böhm said, and that sales position has continued under the new US administration.

Incoming orders for electric drive machines, which include hybrid models and the Golden Electric launched one year earlier, rose 14% in 2016. In terms of the share of overall turnover, electric machines increased from 22% in 2015 to 27% in 2016, within which hybrid models rose 2% to reach a 16% share.

The Golden Electric machine already accounts for around 15% of Arburg’s electric machine sales. Böhm said the Golden Electric has been very well received and is achieving good progress in Southeast Asia, as intended and expected, becoming a means for Arburg to compete better in the region against Japanese standard electric-drive machines that are popular there.

The share of turnover for hydraulic machines dropped from 65% to 57% in 2016. This is not surprising against a background of increasing electric machine sales, and also because there had been exceptionally strong 2015 hydraulic growth due to some large orders from regular customers.

Turnover in turnkey production systems accounted for a 17% share, up by 2 percentage points.

Arburg considers machine with clamping forces of 250 tonnes and above as “large” machines and Hehl announced that the share of turnover in these larger machines rose from 21% to 24% in 2016.

“This proves that we have taken the right path by extending our clamping force to 650 tonnes,” he said, referring to the Allrounder 1120H machine launched at K 2016, which has been confirmed by positive customer feedback.

Gaub added that Arburg has supplied three to four “O-series” Allrounder 1120H machines to customers located “not too far from Arburg”, to assist in the machine’s further development. Full commercial availability should start in Q1 2018, “after showing the machine at Fakuma 2017 [in October]”, he said.

Arburg’s new Gestica control system, operated by gestures as with smart phones and tablets, will be introduced in stages over the next three years on various Arburg moulding machines and models, Gaub said.

Gestica was first introduced on the Arburg Plastic Freeformer (APF) additive manufacturing machines, with the A1120 H being the first Arburg injection moulding machine to use a Gestica, replacing the well-established Selogica system.

Gaub advised however that Gestica has really been conceived for use on high performance machines, “so it is an open question whether relatively standard Golden Electric machines need something so sophisticated”. High-tech multi-component machines need Gestica more, Gaub said. But Selogica will continue for quite some time, as it will take a long time to substitute it, and “customers have to decide how long they want Selogica”.

Sales director Gerhard Böhm was not prepared to reveal how many APF machines have been supplied since their launch at K 2013, simply saying “there is a sufficient quantity in the market, with a lot in use for prototyping, and medical applications becoming increasingly interesting”. Gaub added “some large customers have a strategy over a number of years to introduce the APF for processes where injection moulding is not possible, as well as for product individualisation”.

Following a 6.1% increase in 2015, the number of Arburg employees grew a further 5% to 2,700 in 2016, including 160 apprentices and student trainees. Although the number remained static at 2,200 at the Lossburg headquarters, Arburg has nevertheless added a 500-place multi‑storey staff car park at the site.

Investment in Lossburg in 2016 amounted to €19.3m, said by Böhm to be a usual annual amount for Arburg. It covers production and logistics, but excludes the cost of the car park, Hehl pointed out.

Work is due to start soon on a new 13,700 square metre floor-space multi-storey building for customer training and seminars. Hehl said this has been designed with similar architectural features as the customer centre. It should be ready for use within two-and-a-half to three years.

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