• "In November I attended the launch of a new press at Manroland’s Print Technology Centre in Offenbach. Attended by over 450 delegates over two days, the launch of the Roland 700 “Evolution” was a great success, heralding the next generation of these iconic printing presses after more than two years of research and development." Tony Langley
    "In November I attended the launch of a new press at Manroland’s Print Technology Centre in Offenbach. Attended by over 450 delegates over two days, the launch of the Roland 700 “Evolution” was a great success, heralding the next generation of these iconic printing presses after more than two years of research and development." Tony Langley
Close×

Manroland Sheetfed revenue down but profit holds

10 February 2015
Comments Comments

Tony Langley welcomes A$22.7 million profit from the printing press manufacturer – the largest division in his Langley Holding business.

In his annual report, the UK entrepreneur who bought manroland out of administration three years ago, posted a revenue fall of A$39 million (Euro 27m) to A$418 million (Euro 288m) but declared a pre-tax profit of A$22.7 million (Euro 15m) largely in line with expectations. The level of orders for the company's iconic highly-spec'd presses remains constant at A$ 70 million (Euro 48.3m).

This expectation is reflected in the local market where Steve Dunwell is looking forward to repeating his success in the year ahead. During 2014 manroland Australasia, the web-press company that acts as agent for the Langley Group sheetfed business, put in four presses.

Pursuing a strategy of focusing on his installed base, Dunwell was able to report that overall the company had its most successful year ever.

"We're primarily concentrating on our existing customers as a service and support business. Last year we achieved everything we said and we have good prospects for the year ahead," he said.

In a year that saw the Manroland Sheetfed launch a new press, the Roland 700 Evolution, the overall fall in revenue was largely attributed to a slowdown in press orders from China.

Over the last decade or so China has been a booming market for the printing press builders and consequently the market has reached near saturation. In 2014 demand dropped sharply and Manroland China was restructured to meet this. It remains to be seen whether demand will return to historic levels but in the meantime the subsidiary is correctly structured.

Langley is philosophical about the structure of the press manufacturing business, commenting that the sector had undergone a major shift with demand for new presses falling by over two-thirds from its 2007 peak.

Other markets, including Australia and New Zealand, performed in line with expectations. The exception being the USA, the company's second largest market, where the demand rebounded.

In his report Langley noted that the group had acquired the printing chemistry business, DruckChemie, a leading producer of chemicals for the printing industry.This was the first transaction completed since January 2012. The business, which is based in Germany, has 13 operating subsidiaries and 22 distribution locations throughout Europe and in Brazil and employs approximately 280 people. Revenues of around €70 million are expected in 2015 and the business is profitable, its fall into administration last year being entirely due to a debt burden taken on in 2007 by its then private equity owner. The business complements the group’s activities in the printing industry

Langley said the outlook for his consolidated businesses was positive with total orders on hand for capital equipment at the end of 2014 were €278.9 million.

"This a healthy enough situation," said Langley.

 

 

comments powered by Disqus