Krone reports continued and strong growth
Sales increase to EUR 1.5 billion

Spelle, March 2014 - The Krone Group generated sales of nearly EUR 1.5 billion during the past financial year. Compared with sales of around EUR 1.39 billion in the previous year, this result presents a 7% increase for the 2012/2013 financial period and record sales of EUR 1.49 billion. 30% of these sales were generated in Germany and 70% in markets outside Germany (comparing to 33% and 67% market shares in the previous year).

The main sales generator for the Krone Group remains the Commercial Trailers division (Commercial Trailers and subsidiaries) which turned over around EUR 925 million in 2012/2013, a 5% increase over the previous year. The total number of trailer units manufactured in the past financial year was 35,000.

Germany remains Krone's key market, which absorbs 30% of its products. Sales in international markets increased 11% from EUR 583 million to EUR 647 million, with Scandinavia and eastern Europe being the most important markets.

Agricultural Machinery (Krone Agricultural Machinery and its subsidiaries) again generated record sales of EUR 564 million (previous year EUR 512 million). The Spelle factory manufactured more than 25,000 units. Around 29% sales was achieved in Germany, around 21% in central Europe, about 3% in Scandinavia, around 17% in eastern Europe, and around 30% in overseas markets (e.g. USA, Japan, Australia, New Zealand, China).

Krone also recorded a solid financial growth, equity increasing from EUR 284.3 million to EUR 316.2 million as of balance sheet date. The equity ratio has now increased to 43.9% (previous year 40.9%). The Krone group has access to medium-term and long-term capital of around EUR 584 million (previous year: EUR 532 million).

The "MBK 2015" action plan, which was initiated by the Agricultural Machinery division in 2010 and which aims at restructuring the factory’s production processes, resulted in substantial investments at the Spelle site during the financial year, bringing the construction projects of the new training centre and  the Big X manufacturing hall to a successful  conclusion and launching the construction of the new technology centre.

Major achievements in the commercial trailer division revolved around the official opening of the Tire production site (Turkey), the merger with axle manufacturer Gigant in Dinklage, Germany, and the kick-off of the "Progress 2020" strategy project. "Progress 2020” aims at optimising all processes in the entire commercial trailer division during the next few years and implementing an identical architecture for all assembly lines and processes within the Krone group.

"Feeding people and transporting goods are two major challenges for today’s society. Krone continuously strives to develop the products that are required to meet these challenges and our success proves us right. Once again we have pushed our sales in the past financial year. For this, we feel grateful to our many faithful customers around the world," explains Managing Partner Bernard Krone.

Krone expects a moderate sales growth for the current financial year and continues implementing its "MBK 2015" and "Progress 2020" strategies.