In the 2020 financial year (ending September 30, 2020) the Voith Group performed reasonably well given the significant adverse impacts of the global COVID-19 pandemic across all segments and markets in the second half of the year. In this context, the Group benefited from its broad-based positioning in terms of sectors and geography; its stable, regionally-organized supply chains; and its very sound financial situation. The moderate decline in orders received and consolidated sales that were only slightly below that of the previous year are evidence of the robust condition of Voith’s business operations. Under the circumstances, earnings were also satisfactory. Although the Voith Group’s EBIT before special effects declined compared with the previous year, it was still sound in a multi-year comparison. The consolidated net result also remained positive despite the adverse effects of the coronavirus situation on business. The total cash flow and the cash flow from operating activities developed very positively.
The Group Division Paper reported growth in orders received and sales, and again made the largest contribution to the Group result. As expected, Voith Hydro reported a decline after a particularly strong performance in the previous year, however, due to market conditions, the downturn was more severe than expected. Despite the economic crisis, Group Division Turbo performed well overall in several customer segments, with only slight decreases in orders received and sales.
In the last financial year, Voith defined its strategy even more clearly. With a view to the megatrends of digitalization and decarbonization, four strategic pillars were defined: 1) the systematic alignment of the corporate culture to markets, customers, and innovations; 2) leveraging the full potential of our core business; 3) opening up new business fields; 4), and, the ongoing improvement of efficiency and productivity to provide financial leeway for necessary investments to secure Voith’s long-term future as an independent and competitive company.
