Wurth Aims High After Q1 Growth Spurt, Despite Economic Headwinds
Wurth plans to recover from financial losses and attain growth by the year 2025. - Anticipated Revival in Growth for Würth in 2025 Following Financial Dip
Crave more business this year, trading conglomerate Wurth has its sights set on mid-single-digit growth for the full year. According to CEO Robert Friedmann, the company grew by nearly four percent in the first quarter. He insists there's no "hoarding effect" due to U.S. tariffs, though he concedes the situation is challenging to predict.
Friedmann attributes the development's success to an uptick in growth trajectory. He believes they're fighting to maintain this momentum, despite the daunting uncertainty caused by Trump's tariffs. CFO Ralf Schaich expects the result to stabilize at last year's level, providing the expected growth holds up until year-end.
However, Wurth's pre-tax profit plummeted by over 35 percent last year. After-tax, there were 673 million euros left. Friedmann conceded the results could have been higher but acknowledged it still represented the fourth-highest value in the company's history.
Revenue fall and cost increases were the culprits. Last year, revenue dropped by around 0.9 percent to just over 20.2 billion euros. Persistently weak economic conditions in the manufacturing industry played a significant role in this revenue descent.
Wurth Group, the world leader in fastening and assembly technology, is no stranger to growth. Their range encompasses over a million products, including screws, dowels, tools, and personal protective equipment. Over 88,400 employees work for the group, representing a 1.5 percent increase from the end of 2024.
The company's heritage dates back to a two-man operation that made the company patriarch Reinhold Wurth (90) a billionaire. He recently stepped down from the supervisory board, capping over 75 years of service with the group. The new generation has taken up key positions within the family-owned foundations, which make strategic decisions for the conglomerate.
- Reinhold Wurth
- Adolf Wurth GmbH Co.
- Profit Drop
- Künzelsau
- Donald Trump
- Economic Slowdown
- Trade Conflicts
- CFO
- CEO
- Revenue Decline
- US President
- Reinhold Wurth, the company's patriarch and a billionaire, recently stepped down from the supervisory board after over 75 years of service with the group.
- Although Wurth benefited from an almost 4% growth in the first quarter, the company's pre-tax profit dropped by over 35% last year, reaching only 673 million euros after taxes.
- Trump's tariffs pose a challenge to predicting the future, according to Wurth's CEO, Robert Friedmann, but he insists there's no "hoarding effect" due to these tariffs.
- To manage growth and navigate economic headwinds, Wurth is focusing on community aid, vocational training, and financial stability, strategically guided by the new generation in the family-owned foundations.
