HARTING reports sales decrease but looks to 2025 with optimism
HARTING Technologiegruppe reported sales just under one billion euros in the past financial year, a decrease from the previous year. The company is investing in internationalization and new technologies.
The HARTING Technologiegruppe recorded sales of 940 million euros in the 2023/24 financial year, a 9.2 percent decrease compared to the 1.036 billion euros achieved in the previous year. Despite the challenging economic environment, CEO Philip Harting stated that the result outperformed market expectations.
Internationalization efforts helped offset weaker domestic business. Sales in the Americas region remained stable at 155 million euros, while Asia saw a 2 percent decrease to 240 million euros. The EMEA region, excluding Germany, experienced a 9 percent decline in sales to 323 million euros. Germany itself saw a significant 20 percent drop in sales to 222 million euros, which the CEO attributed to the country's economic challenges, including excessive bureaucracy and high energy prices.
HARTING continued its investment in new products, technologies, and capacity expansion, allocating 69 million euros, exceeding the previous year's figure. These investments are focused on international growth, with plant expansions in Poland and Mexico, and the establishment of a new R&D office in Vietnam. The company is also leveraging growth incentives like the US Inflation Reduction Act.
Furthermore, HARTING announced the establishment of a global headquarters in Switzerland, scheduled to commence operations on October 1, 2025. However, the German locations in Espelkamp and Rahden will remain crucial for production and development, with continued investments in digitalization and decarbonization, including a 10 million euro investment in a biogas plant.
The company's global workforce decreased slightly to 6,049 employees as of September 30, 2024. This reduction, affecting around 100 positions in administrative areas in Germany and other countries by the end of 2025, is part of a reorganization in response to economic challenges. Concurrently, new positions are being created at R&D sites worldwide. Unlike some competitors, HARTING has not resorted to short-time work.