Vaillant Group continues on course to growth

Duesseldorf/Remscheid, 12 May 2014

• Second-highest sales in the company’s history

• Distinct increase in the result

• Growth in efficiency technologies and service business

• Good start into 2014

The Remscheid-based heating, ventilation and air-conditioning technology specialist Vaillant Group grew further in financial year 2013. The sales revenues increased by about 2 per cent to €2.38 billion (2012: €2.33 billion). The operating result (EBIT) amounted to €222 million. This corresponds to a lift of more than 19 per cent compared to the €186 million value of the previous year, which was marked by write-downs. Besides the stable demand in Central Europe, a significant share in the positive business development was in particular input by the biggest single markets of the Vaillant Group, the UK (+15 per cent), Russia (+13 per cent) and China (+27 per cent). On the product side, the family-owned company posted the most distinct growth with highly efficient technologies based on natural gas, the business with system components, and services.

“2013 was a successful year for the Vaillant Group. Despite a difficult market environment, we achieved the second-highest sales in the company’s 140-year history and increased the result disproportionately. At the same time, we invested in the development of energy-saving future technologies such as fuel cell technology, intelligent energy storage and ventilation systems for low-energy houses, and continued our expansion strategy in growth markets outside Europe,” said Dr Carsten Voigtländer, Vaillant Group CEO, at the company’s annual Press conference in Düsseldorf today.

For the current financial year the Vaillant Group expects a slight increase in sales and the operating result (EBIT). In the first quarter, sales grew by about 6 per cent compared to the same period in the previous year. The operating result also developed positively, with a plus of almost 4 per cent.

Vaillant Group reacts to global challenges

Due to the low pace of growth of the Central and Southern European heating technology markets, the Vaillant Group in 2013 further expanded its market presence in Central Asia, North Africa and the Middle East. Thus the company continued its expansion course outside Europe. Several new sales branches opened during the course of the year, including in Russia, Kasachstan and Dubai. In addition, the company’s national presence was further expanded in China by the opening of new sales branches.

To ensure future growth in the traditional European markets, the Vaillant Group is banking on its core competence in the fields of high-efficiency technologies, renewable energies and a diverse service offer. The international market launch of a new generation of condensing appliances under the premium brand Vaillant contributed to this last year. In the growing segment of air-water heat pumps the Vaillant Group gained market share with the cross-brand introduction of a new product series. Efficiency technologies and products based on renewable energies currently account for a share of about 61 per cent of total product sales. In addition, the service business makes up 20 per cent of sales. In order to develop this growth field further, the number of the service companies was increased in 2013 and investments made in expanding the service activities.

Number of employees remains constant

As of 31 December 2013 the Remscheid-based family company had a total of 12,070 employees (2012: 12,106) – the vast majority of 9,678 people within the EU. In Germany, the headcount remained constant with 3,444 employees. France, Turkey, Spain and Slovakia are after Germany the countries with the most employees within the Vaillant Group. In 2014 the company will further expand its position as one of the worldwide leading heating, ventilation and air-conditioning technology specialists with additional employees in the Development, Service and Sales divisions.