Management Report – The STIHL Group

At 5.33 billion euros, sales of the STIHL Group in the past fiscal year were exactly 1.1 percent higher than in the previous year. Adjusted for exchange rate effects, the increase was 1.6 percent. The foreign share of total sales remained high at 90.4 percent. At 349.4 million euros, capital expenditure was again significantly lower than in previous years and focused mainly on production and logistics facilities. The financial structure remained stable, with an equity ratio of 69.0 percent.

REVENUE EXCEEDS 5.3 BILLION EUROS

The STIHL Group generated consolidated sales revenue of 5,328.7 million euros in the 2024 fiscal year, reflecting modest growth of 1.1 percent on the previous year (previous year: 5,270.2 million euros). This figure includes negative exchange rate effects of 27.5 million euros; adjusted for these effects, revenue increased by 1.6 percent.

The proportion of revenue generated outside Germany was 90.4 percent, compared with 90.5 percent in the previous year. 29.4 percent (2023: 28.3 percent) of total revenue was earned in the eurozone, and 36.7 percent came from the European Union as a whole (2023: 36.0 percent).

CAPITAL EXPENDITURE IN GERMANY AND ABROAD

The investment volume in property, plant, and equipment as well as intangible assets amounted to 349.4 million euros in the 2024 fiscal year (2023: 431.9 million euros) and was therefore 75.9 million euros higher than depreciation.

Some 38.2 percent of capital expenditure was invested in the German founding company, while 61.8 percent was invested in the other companies of the Group, both in Germany and abroad. Capital expenditure on land and buildings amounted to 115.1 million euros (2023: 125.9 million euros).

As in previous years, capital expenditure focused mainly on production and logistics facilities at the production companies. STIHL invested 21 million euros in a new production line for guide bars at its German founding company. In the UK, 54 million euros was invested in the new headquarters, including a state-of-the-art distribution warehouse.

SATISFACTORY EARNINGS

From a Group perspective, the earnings situation was satisfactory in 2024.

STRONG FINANCIAL STRUCTURE

The Group’s capital structure remains positive. The equity ratio at the end of the 2024 reporting period amounted to 69.0 percent (2023: 65.9 percent). Equity therefore covers all noncurrent assets and inventories, as well as part of the receivables and other assets.

Liquidity developed positively. All of the Group’s capital expenditure continues to be financed from its own cash and cash equivalents. Seasonal liquidity needs were fully covered at all times through committed credit lines.