News

Wincor reports record sales, earnings

December 13, 2006

PADERBORN, Germany - Wincor Nixdorf International has reported a 12 percent net sales increase for fiscal year 2005/2006, up from €1.74 million (U.S. $2.3 million) to €1.95 million (U.S. $2.6 million).

The company attributed its growth to solid standings in its core business of hardware products, software and IT services for bank branches and retail stores, as well as its international expansion.

"Wincor Nixdorf has achieved an outstanding position and has thus created a particularly solid platform for the future," said Karl-Heinz Stiller, Wincor's chief executive.(As previously reported, Stiller is handing the company's reins over to Eckard Heidloff, Wincor's deputy and chief financial officer, after the first of the year.)

Earnings before interest, taxes and amortization increased 18 percent, up from €137 million (U.S. $180 million) in FY 2004/2005 to €161 million (U.S. $211 million) in FY 2005/2006. Net profit increased 46 percent, up from €56 million (U.S. $73 million) to €82 million (U.S. $107 million).

The company said its net profit increase was driven by improvements in cost management.

"We are gradually honing in on our target of becoming Europe's market leader in our banking business, having already achieved this goal as a supplier to the retail industry," Stiller said. "In parallel, we have strengthened our foundations in the world's growth regions with a view to expanding our business in the global arena, in addition to enhancing our market presence in the United States and China - two countries in which we are particularly keen to move forward to the next level."

Across the globe

For its German operations, Wincor increased its net sales in by 11 percent for the year, up from €513 million (U.S. $674 million) to €569 million (U.S. $748 million).

The company attributed that growth to its outsourcing-services segment, Wincor Nixdorf Portavis GmbH; its retail segment also benefited from a significant boost in demand for reverse-vending systems.

In Europe - excluding Germany - net sales increased 10 percent, up from €902 million (U.S. $1.186 million) to €992 million (U.S. $1.304 million).

In Asia/Pacific and Africa sales grew 18 percent, up from €196 million (U.S. $252 million) to €232 million (U.S. $305 million).

The Americas also recorded significant growth, with net sales increasing by 17 percent, up from €133 million (U.S. $174 million) to €155 million (U.S. $203 million).

Germany accounted for 29 percent of the company's total sales; Europe contributed 51 percent; Asia/Pacific and Africa accounted for 12 percent; and the Americas contributed 8 percent.