Posted on March 24, 2014

 

WINTERTHUR, SWITZERLAND – Textile machinery manufacturer Rieter posted significant growth in all key areas – orders, sales, EBIT and net profit – in fiscal 2013, the company announced March 18.

 

Rieter generated net profits of 37.4 million CHF ($42.8 U.S.) in 2013, equal to 3.6 percent of sales. New orders of 1.2 billion CHF ($1.4B U.S.) were 50 percent higher. Sales increased 17 percent, while new orders were up 50 percent.

 

After a slow start to the year, the market for short-staple fiber machinery and components gained momentum during 2013, the company said. Spinning mills’ margins continued to develop favorably, stimulating customers’ willingness to invest, Rieter said.

 

The manufacturer added that this positive trend was broad-based in regional terms and apparent in a large number of national markets.

 

In the U.S., business developed briskly in the second half in particular, and Rieter said it secured substantial orders for rotor spinning machines. Spinning mills in the U.S. are renewing capacity as the industry benefits from a competitive cost structure, according to Rieter.

 

The company’s Spun Yarn Systems Business Group – its machinery business – saw orders increase 56 percent from the previous year. The strongest growth was recorded in Turkey and the U.S., followed by other Asian countries such as Pakistan, Uzbekistan, South Korea, Vietnam and Bangladesh, where demand was sustained at a high level.