“As a medium-sized and family-owned company with 3,000 employees worldwide, the Lapp Group has managed to exceed €1 billion in turnover solely through its own efforts,” said a delighted Andreas Lapp at the announcement of the company’s annual results (Wednesday, 20 February in Stuttgart).
Including the effect of the copper price, the cumulative turnover of the company in the past financial year was €1,030m (€744m consolidated). The sales projection of €860m was exceeded in the 2006/07 financial year due to the increase in the price of copper.
The organic growth rate (excluding the effect of the copper price) was 17%.
Andreas Lapp explained that this success was based on the company’s strategy of internationalisation: “Our double-digit rates of turnover growth are primarily a result of the global orientation of our business. It is becoming ever more important for medium-sized companies like ours to have a worldwide presence and to take part in international projects.” Since its foundation almost 50 years ago, the Lapp Group has built up a network of 39 company-owned sales operations, 17 manufacturing locations and over 100 foreign representations. Andreas Lapp continued: “This benefits us in the long-term and also makes it possible for us to keep investing in our headquarters in Stuttgart. In the future, the Lapp Group will continue to position itself as a world-leader in technology for highly flexible cables, connection and control leads, data and fibre optic cables, industrial connectors and system solutions based on these components.”
Andreas Lapp expects the positive trend to continue into the 2007/08 financial year: allowing for a high copper price, a turnover of €1.2 billion appears realistic. If the copper price falls, as it did from November 2007 to January 2008, a turnover level of approx. €1.0 billion is possible. The Lapp Group is expecting organic growth of approx. 12% to 15% (excluding effect of copper price). The financial year of the Lapp Group always ends on 30 September.
“Green energy” is one of the areas with the greatest potential for future applications. The Lapp Group is researching and working intensively in the fields of biomass, wind and solar energy and on the fuel cell as an alternative type of vehicle drive system. Andreas Lapp continued: “Even today we can already promise that the first production cars with fuel cells will contain Lapp products.”
The Lapp Group also wants to continue setting the standards in its main mechanical engineering business: “Mechanical and plant engineering is our core business”, emphasised Andreas Lapp, referring to the company’s forward-looking innovations for use in the latest production plants. “Wherever particularly reliable ÖLFLEX® cables and EPIC® connectors are in demand, the Lapp Group is on site with its branded products,” explained Andreas Lapp.
Further information about the Lapp Group
Worldwide, the Lapp Group today has:
– 3,000 employees
– 39 company-owned sales operations
– 17 production locations
– Over 100 foreign representations.
The Lapp Group, a family-owned company based in Stuttgart, Germany, is one of the world’s leading and most technologically advanced manufacturers of highly flexible cables, connection and control leads, data and fibre optic cables, industrial connectors and system solutions based on these components.
With over 40,000 individual products, the Lapp Group supplies companies throughout the world, especially those active in the fields of mechanical and plant engineering, automation technology, measurement and control engineering, the automotive industry, the chemical industry and energy technology.
The Lapp Group provides press photos of the Lapp family and individual products for reprint. Please visit the Press section of our website. You will also find a selection of Lapp logos there. www.lappgroup.com. Contact:
LAPP Holding AG
Head of marketing communication