LUDWIGSBURG - Mann+Hummel has posted an increase in earnings for 2020 with the filtration specialist shrugging off the decline in its key automotive market across the year.
Earnings before interest and taxes (EBIT) were €165 million, up from €153 million last year with EBITDA up to €404 million from €387 million. Turnover was down from €4.2 million to €3.8 million.
"In a challenging business year 2020, Mann+Hummel was able to achieve a very solid result," Kurk Wilks, president and CEO of Mann+Hummel said, noting that the positive results were particularly welcome considering the 17% decline in global automotive production. "(The decline) had an impact on business, but the company managed to significantly reduce the negative effects by taking action and diversifying its product portfolio, which it had already begun to do years earlier."
Mann+Hummel attributed its solid performance to the resilience of its worldwide production facilities during the pandemic. "We responded promptly to the Coronavirus pandemic and implemented comprehensive protective measures at all plants. This has prevented major production losses. Of course, we were also affected by supplier shortages, but we were able to handle these well through effective process management," explained Nic Zerbst, chief operating officer.
The lockdown also demonstrated how key the company’s investment in digitization and intelligent processes have been for reacting adequately to such unforeseen situations. The year also saw the acquisition of Helsatech GmbH and Helsacomp GmbH, which allowed the company to expand its expertise in activated carbon technology and in the production of elastomer membranes, broadening its product portfolio in the field of molecular filtration.
“We continued to invest in our infrastructure, digitization and IT projects. We also pushed our restructuring plans. This will not change in the current year either,” added Emese Weissenbacher, executive vice president and chief financial officer, noting that even though 2021 has continued to be heavily influenced by the Covid-19 pandemic, Mann+Hummel's management sees no reason for concern. "The liquidity situation remains strong. We do not see other risks that could arise from the crisis threatening the company's continued existence. Mann+Hummel will consistently pursue its transformation strategy and continue to invest in restructuring, new business areas, research and development in the field of highly innovative filtration solutions, and digitalization."