Solid business result in 2024; Bucher expects markets to recover in 2025

Demand for Bucher Industries’ products and services declined, as expected. Order intake fell significantly, although the slowdown stabilised from mid-year onwards. Sales were also below the prior-year level, even though Bucher Municipal was able to positively distinguish itself from the general trend. The operating profit margin reached a solid 9.0%. The profit for the year of CHF 228 million and the earnings per share of CHF 22.15 were below the high levels of the prior year. The board of directors proposes a dividend of CHF 11.00 per share and is planning a share buyback programme over the next two years. After ten successful years as CEO, Jacques Sanche will hand over in the year 2026 to Matthias Kümmerle, currently division president of Bucher Emhart Glass.

 

As expected, demand for Bucher Industries’ products and services declined compared with the strong prior-year period. An economic slowdown was particularly noticeable in Europe, while the North American and Asian markets performed better. Order intake fell in four of the five divisions, with the segments associated with agriculture and Bucher Emhart Glass being particularly hard hit by the downturn. The markets for agricultural machinery and glass containers were characterised by excessive inventories in the sales channels. While the other divisions were unable to match the prior-year sales figures, Bucher Municipal achieved encouraging growth. Capacity utilisation was lower overall. The order book was in line with the long-term average, with a reach of four months. The cost-saving measures already initiated were consistently continued and selectively expanded at the various sites. Declining volumes and the resulting lower capacity utilisation had an impact on the operating profit margin, which reached a solid 9.0%. This was also reflected in the profit for the year of CHF 228 million and the earnings per share of CHF 22.15.

 

Group

	Wer­bung Wer­bung		Change
CHF million	2024	2023	%	%1)	%2)
Order intake	2’756	3’170	-13.1	-11.1	-11.2
Net sales	3’156	3’575	-11.7	-9.9	-9.9
Order book	1’172	1’600	-26.7	-25.2	-25.2
Operating profit (EBIT)	283	424	-33.4
% of net sales	9.0%	11.9%
Profit for the year	228	356	-36.0
% of net sales	7.2%	9.9%
Earnings per share in CHF	22.15	34.38	-35.6
Operating free cash flow	200	123	62.7
Net cash/debt	402	396	1.6
Total assets	2’785	2’958	-5.9
Equity	1’883	1’816	3.7
Equity ratio	67.6%	61.4%
Return on equity (ROE)	12.3%	20.2%
Net operating assets (NOA) average	1’513	1’398	8.2
Return on net operating assets (RONOA) after tax	14.6%	24.7%
Average number of FTEs	14’173	14’795	-4.2		-4.3
Employees at 31 December	14’107	14’858	-5.1		-5.2
CO2 emissions in tCO2e	69’680	81’510	-14.5

¹⁾ Adjusted for currency effects
²⁾ Adjusted for currency and acquisition effects

 

Strategic investments in growth The return on net operating assets (RONOA) after tax amounted to 14.6%, which is still well above the cost of capital of 8% but below the target of 20% over a business cycle. The main factors were the lower operating profit and higher investments in the expansion of the production infrastructure and in the modernisation of production facilities. The Group consistently continued this investment in future growth and maintained expenditure on research and development due to its solid financial position and long-term focus. The operating free cash flow amounted to CHF 200 million, an increase compared with the prior year due to the favourable development in net working capital and despite the Group’s lower net profit. The financial position remains very solid, with net cash of CHF 402 million at the end of the year and an equity ratio of 68%.

 

Kuhn Group

			Change
CHF million	2024	2023		%	%1)
Order intake	966	1’121		-13.8	-11.5
Net sales	1’159	1’422		-18.5	-16.5
Order book	464	670		-30.8	-29.3
Operating profit (EBIT)	93	163		-42.7
% of net sales	8.0%	11.4%
Average number of FTEs	5’497	5’991		-8.2
Employees at 31 December	5’281	5’791		-8.8

¹⁾ Adjusted for currency effects

 

Low willingness to invest Lower farm incomes due to lower prices for agricultural products, high interest rates and production costs, and fewer subsidies made farmers less willing to invest. Many agricultural machinery dealers were suffering from high inventories and therefore hesitant to place pre-orders, resulting in a significant decline in the demand. Kuhn Group’s order intake declined by 14% overall, and sales fell by 19% compared with the prior year. The operating profit margin declined significantly to 8.0% due to low capacity utilisation, particularly in the second half of the year. Kuhn Group is continuing to work on optimising its costs.

Outlook for 2025 An adjustment of the above-average inventories in the dealer network for agricultural machinery began to become apparent in the second half of 2024. This reduction will probably take a few more months. The division therefore expects demand for agricultural machinery to remain at a lower level at the beginning of the year. Kuhn Group expects stable sales on a comparable basis and an operating profit margin in the region of the 2024 level.

 

Bucher Municipal

			Change
CHF million	2024	2023	%	%1)	%2)
Order intake	591	576	2.6	4.7	4.5
Net sales	602	573	5.1	6.8	6.6
Order book	296	311	-5.0	-2.7	-2.7
Operating profit (EBIT)	46	36	27.5
% of net sales	7.6%	6.3%
Average number of FTEs	2’508	2’545	-1.5		-1.7
Employees at 31 December	2’561	2’572	-0.4		-0.4

¹⁾ Adjusted for currency effects
²⁾ Adjusted for currency and acquisition effects

 

Higher operating profit margin Bucher Municipal continued to experience high demand in an overall stable market situation. Order intake exceeded the high level of the prior year by 3% and was strong in most markets, particularly towards the end of the reporting period. The truck-mounted sweeper and winter maintenance equipment segments developed positively, as did the maintenance services and spare parts business. Orders for compact sweepers declined, as expected. Sales were 5% higher than in the previous year. The division benefited from the higher capacity utilisation and the continued efficiency measures at some sites. As a result, the operating profit margin improved to 7.6%.

Outlook for 2025 Bucher Municipal expects demand to fall slightly from a high level and stable sales on a comparable basis. The operating profit margin is likely to increase further.

 

Bucher Hydraulics

			Change
CHF million	2024	2023		%	%1)
Order intake	575	670		-14.2	-12.6
Net sales	653	744		-12.2	-10.5
Order book	148	230		-35.7	-34.6
Operating profit (EBIT)	71	104		-31.1
% of net sales	10.9%	13.9%
Average number of FTEs	2’979	3’042		-2.1
Employees at 31 December	3’074	3’198		-3.9

¹⁾ Adjusted for currency effects

 

Weak agricultural machinery segment Demand in the hydraulics markets weakened overall during the reporting period, and Bucher Hydraulics’ order intake fell by 14% compared with the prior year. The weak cycle in the agricultural machinery segment and the decline in the construction machinery and electrical converter segments were particularly important influencing factors. Development in the materials handling segment was more stable, while demand for stationary industrial hydraulics picked up again. The division’s sales declined by 12%. The division continued to rigorously follow through with the cost-saving measures initiated in the prior year. Some sites also introduced partial short-time work and cut staff. The operating profit margin narrowed to 10.9% compared with 2023.

Outlook for 2025 Bucher Hydraulics expects demand to recover in the course of 2025 and is anticipating slight sales growth on a comparable basis along with a slightly higher operating profit margin.

 

Bucher Emhart Glass

			Change
CHF million	2024	2023		%	%1)
Order intake	359	520		-31.0	-29.5
Net sales	462	524		-11.7	-9.9
Order book	193	302		-36.2	-34.9
Operating profit (EBIT)	78	102		-24.0
% of net sales	16.8%	19.5%
Average number of FTEs	1’627	1’655		-1.7
Employees at 31 December	1’605	1’693		-5.2

¹⁾ Adjusted for currency effects

 

Continued good operating profit margin Demand for glass forming and inspection machinery weakened in the reporting period and was significantly below the very high level of the prior year. Order intake at Bucher Emhart Glass declined by 31%. Capacity utilisation was good thanks to the high order book. Uncertainties regarding market developments at specific customers led to project delays, which had a negative impact on sales and led to a decline of 12%. The operating profit margin declined accordingly but again attained a very good level of 16.8%. Production planning was adapted to the current situation and capacities at the production sites were reduced.

Outlook for 2025 Bucher Emhart Glass expects the demand for glass container manufacturing equipment to recover towards the end of 2025 following the reduction of the stocks of glass containers. The division anticipates significantly lower sales on a comparable basis compared with the high level of the prior year. Accordingly, the operating profit margin is expected to be significantly lower than in 2024.

 

Bucher Specials

			Change
CHF million	2024	2023	%	%1)	%2)
Order intake	333	369	-9.6	-8.0	-8.1
Net sales	357	398	-10.4	-8.7	-8.8
Order book	97	122	-20.2	-19.8	-19.8
Operating profit (EBIT)	8	33	-74.5
% of net sales	2.3%	8.3%
Average number of FTEs	1’495	1’500	-0.3		-0.7
Employees at 31 December	1’515	1’532	-1.1		-2.5

¹⁾ Adjusted for currency effects
²⁾ Adjusted for currency and acquisition effects

 

Disappointing business development Bucher Specials’ markets presented a mixed picture in the reporting period. Demand at Bucher Vaslin and Bucher Automation remained below the prior-year level, while business remained strong at Bucher Unipektin. Bucher Landtechnik reported a noticeable stabilisation at a low level. The division’s order intake and sales were down 10% compared with the prior year. The operating profit margin narrowed to 2.3% due to significantly lower capacity utilisation at Bucher Vaslin and Bucher Automation, and to additional costs associated with efficiency measures and reorganisations.

Outlook for 2025 The division expects the market environment to continue to return to normal and anticipates sales growth on a comparable basis. Higher capacity utilisation and the efficiency measures taken are likely to lead to a higher operating profit margin.

 

Long-term orientation and sustainability as core values

 

Long-term orientation and sustainable economic activity are firmly established at Bucher. The company therefore constantly optimises its products to make them even safer and to reduce the environmental impact of their use. As an example, Kuhn Group has developed a control software that uses pressure and position sensors to control tillage machinery, enabling to adjust itself automatically and adapt to the terrain, resulting in even more precise tillage. Bucher Municipal has developed assistance systems that optimise the amount of grit or salt used and also make the driver’s job easier. Bucher Emhart Glass has developed further systems for automating glass forming machines to increase process stability and reduce wastage. Reducing in-house CO₂ emissions (Scope 1 and 2) is also important to Bucher. The Group reduced its CO₂ emissions by 15% compared with the prior year. In addition to the commissioning of more energy-efficient buildings and photovoltaic systems at various sites and the modernisation of facilities, the reduction in emissions was also attributable to the market slowdown. Having achieved its 10% CO₂ intensity reduction target ahead of schedule, Bucher has set itself a new reduction target (Scope 1 and 2) of 25% compared with 2021 emissions by 2028.

 

Internal succession in group management

 

After ten years as CEO of Bucher Industries, Jacques Sanche will step down at the annual general meeting 2026 and hand over to an internal successor. Jacques Sanche, who has made a significant contribution to the Group’s ongoing development and profitable growth, will continue to act as CEO until 2026. In the interests of long-term succession planning, the board of directors has appointed Matthias Kümmerle, currently division president of Bucher Emhart Glass, as the new CEO after the annual general meeting 2026. The 52-year-old, who has a master’s degree in mechanical engineering from the Swiss Federal Institute of Technology (ETH Zurich, Switzerland) and a PhD in mechatronics, robotics and automation engineering from EPFL in Lausanne (Switzerland), joined Emhart Glass as head of technology in 2011. He took over as division president of Bucher Emhart Glass in 2021, becoming a member of group management at the same time. He has since succeeded in expanding the division’s market position and significantly increasing its profitability. Under his leadership, the division also decisively advanced the automation of glass forming machines and expanded its service portfolio. The board of directors is confident that they have found a highly qualified successor as CEO for Bucher Industries in Matthias Kümmerle, who is already deeply familiar with the company and its culture. The search for the next division president of Bucher Emhart Glass has begun.

 

Group outlook for 2025

 

Bucher Industries expects demand to continue to be impacted by the volatile environment at the beginning of the year and assumes some markets to recover from mid-year onwards. The Group therefore expects stable sales for 2025 on a comparable basis. The Group expects the sale of a property not required for operations during 2025. The sale is expected to increase the operating profit margin by around 1.4 percentage points. Excluding this divestment, Bucher Industries expects an operating profit margin for 2025 at the prior-year level.

 

Consistent dividend policy

 

The board of directors proposes a dividend of CHF 11.00 per share to the annual general meeting on 16 April 2025. The dividend paid in the previous year was CHF 13.50 per share. This proposal takes into account a consistent dividend policy, the profit for the year 2024, the outlook for the current year as well as further internal and external investment opportunities. Due to its solid financial position and the continued strong cash generation expected, Bucher Industries is planning a share buyback programme of up to 4% of the current share capital for the purpose of capital reduction. The share buyback programme is due to be launched in April 2025 and run on a second trading line on the SIX Swiss Exchange over the next two years.

 

Enlargement of the board of directors

 

As already announced, the board of directors of Bucher Industries will propose that Manja Greimeier be elected to the board of directors at the annual general meeting on 16 April 2025. With her election, the board will be enlarged and once again consist of six members. The business economist Manja Greimeier has in-depth knowledge of sensor and camera technology in automotive engineering, which is becoming increasingly important for Bucher. As an experienced leader in innovative and globally active industrial companies, Manja Greimeier will be a valuable addition to the board of directors at Bucher Industries.

 

Annual general meeting

 

The annual general meeting of Bucher Industries AG will be held on 16 April 2025 at the Hotel Mövenpick in Regensdorf, starting at 3.30 p.m. The resolutions to be proposed can be found in the invitation to the annual general meeting, which will be sent out to shareholders on 12 March 2025. Shareholders registered in the company’s share register on 10 April 2025 will be entitled to vote at the annual general meeting. From 11 to 16 April 2025 the share register will be closed for entries. Shares purchased on or after 22 April 2025 are not entitled to a dividend. The dividend will be paid out on 24 April 2025. The 2024 annual report will be available for download from 28 February 2025, and the invitation to the annual general meeting from 12 March 2025, at bucherindustries.com. A printed version of the 2024 annual report will be available from 28 February 2025.

 

The annual report as well as the annual press and analysts’ conference presentation are available on bucherindustries.com under “Media dossiers”.

 

The analysts' conference will take place at 2 p.m. (link to registration). The recording will be published on bucherindustries.com.