MANN+HUMMEL GmbH Business Report FY ended Dec. 2016
Financial Overview |
(in million EUR) |
| FY ended Dec. 31, 2016 | FY ended Dec. 31, 2015 | Rate of change (%) | Factors | |
| Net Sales | 3,479.8 | 3,041.9 | 14.4 | 1) |
| EBIT | 115.7 | 135.4 | (14.5) | 2) |
Factors
1) Net Sales
-The Company’s net sales for the fiscal year ended December 31, 2016 increased by 14.4% over the previous year to EUR 3,479.8 million. Excluding currency effects, the Company’s sales grew by 17.8%. The primary factor for the increase in sales was the acquisition of the Affinia Group.
2) EBIT
-In the fiscal year ended December 31, 2016, the Company’s EBIT decreased by 14.5% to EUR 115.7 million. The decrease in EBIT was primarily due to increased administrative expenses, increased selling expenses due to the Affinia Group acquisition, and a slight increase in research and development costs.
Acquisitions
-The Company finalized the acquisition of the global filtration operations of Affinia Group to expand both its product portfolio and access to additional markets. (From a press release on May 4, 2016)
Recent Developments
-In December, the Company opened a sales and support office in Johannesburg, South Africa, its first in Africa. The Company plans to open a logistics center in Johannesburg in 2017 to supply customers. (From a press release on December 14, 2016)
Contracts
-The Company is using BASF’s high-temperature polyamide, Ultramid Endure D5G3 BM, in its charge air ducts for BMW’s 2.0-liter four-cylinder turbo engine. The engine is used in BMW’s 4 Series, 5 Series, 7 Series, X3, X4 and X5. (From a press release on October 14, 2016)
Other contracts
| Company | Model | Parts Supplied |
| Audi | A4 | Water separator, Air cleaner system |
| Ford | Ranger | Oil filter module |
| Figo, Figo Aspire | Air cleaner system | |
| Transit | Air cleaner system | |
| Super Duty F250, F350, F450, F550 | Air cleaner system | |
| Foton | Tunland E3 | Fuel filter |
| GM | Chevrolet Spark/Opel Karl | Air cleaner system |
| Chevrolet Volt | Battery frames | |
| Chevrolet Camaro SS | Soundpipe | |
| Chevrolet Silverado, Chevrolet Cruze, Opel Astra | Fuel filter | |
| Chevrolet Camaro | Air cleaner system with soundpipe | |
| Lexus | RX | Active intake manifold |
| Mercedes-Benz | C-Class, S-Class | Fuel filter module |
| E-Class | Air cleaner, Oil filter screw-in unit, Fuel filter module | |
| Nissan | Qashqai, X-Trail | Charge air duct |
| Renault | Koleos | Charge air duct |
| Toyota | Highlander, Sienna | Active intake manifold |
| VW | Touran | FreciousPlus cabin air filter |
Awards
-The Company was chosen by Fiat Chrysler Automobiles as a 2016 Supplier of the Year Winner in the category of Chassis and Engine Systems. (From a press release on December 22, 2016)
-The Company received the Engine Systems Quality Supplier of the Year award from FCA US LLC. (From a press release on July 15, 2016)
-The Company was recognized as a GM Supplier of the Year, marking the 21st time that the Company has received this award. (From a press release on March 10, 2016)
-The Company's operations in China received the Excellent Supplier Award from SAIC GM.
R&D Expenditure |
(in million EUR) |
| FY ended Dec. 31, 2016 | FY ended Dec. 31, 2015 | FY ended Dec. 31, 2014 | |
| Total | 151 | 121 | 106 |
R&D Structure
-As of December 31, 2016, the Company has more than 1,000 employees working in research and development.
R&D Facilities
-The Company announced the launch of its global Internet of Things (IoT) lab in Singapore. The lab will be an integral part of the Company's research and development blueprint in developing and delivering smart filtration technologies. The lab will be one of the few industrial IoT labs in Asia focused on the research and development of automotive, industrial and commercial air filters. (From a press release on October 12, 2016)
-The Company announced that it has inaugurated its new technology center at its headquarters in Ludwigsburg, Germany. The technology center will host 450 employees working in a 24,000-square-meter area. The adjacent test center will have space for approximately 100 test benches. The Company has invested more than EUR 30 million in the construction of the technology center. (From a press release on June 30, 2016)
Product Development
Commercial vehicle air cleaners
-The Company developed two new commercial vehicle air cleaners for the Asian market.
- In China, the new air cleaner is a successor to the NLG series currently available in the country. The new air cleaner features a 50% greater dust holding capacity and no longer requires an air guiding device. Additionally, the air cleaner can be mounted in 90 degree positions to the air inlet, enabling more options in mounting and fitting.
- In India, the Company’s air cleaner is offered as an alternative to sheet metal air cleaners available on the market. The Company’s air cleaner features improved filtration while also reducing weight and cost through a simpler design with fewer parts.
(From a press release on September 20, 2016)
Three-stage water separator for commercial vehicles
-After developing and launching a three-stage water separator for passenger vehicles, the Company is developing a similar product for commercial vehicles. The first stage of the separator utilizes a filter medium to separate solid particles. In the second stage, a coalescer combines water droplets in the fuel to form larger drops. The third stage of the separator uses a hydrophobic sieve to prevent the larger water droplets from entering the injection system. The Company expects to begin series production in 2017. (From a press release on September 20, 2016)
Air cleaner concepts
-The Company has developed two air cleaner concepts designed for installation in compact spaces. The EXALIFE air cleaner concept has an oval-conical shape and is suited for narrow and flat spaces. The VarioPleat concept utilizes filter pleats of variable height, allowing the filter element to be customized based on available space. (From a press release on September 20, 2016)
Patents
-In the fiscal year ended December 31, 2016, the Company submitted 179 patent applications for approval.
Capital Expenditure |
(in million EUR) |
| FY ended Dec. 31, 2016 | FY ended Dec. 31, 2015 | FY ended Dec. 31, 2014 | |
| Total (Investments in tangible assets) | 151 | 140 | 141 |
-In the fiscal year ended December 31, 2016, the Company’s capital expenditure amounted to approximately 4.3% of its sales, a increase of 0.4 percentage points.
-Approximately one-third of the Company’s capital expenditures were dedicated towards the Automotive Original Equipment business unit, with another 26% made in the Automotive Aftermarket business unit.
-The Company’s capital expenditures were primarily used for customer projects and the implementation of new technologies. In addition, the Company invested approximately EUR 35 million to expand and improve its infrastructure across facilities.
Investments in Germany
-The Company made a significant investment at its production facility in Marklkofen, Germany to expand production capacity of flat air filters with complex geometries.