  |
| Our own business
– an overview HIGH PRODUCTION CAPACITY UTILIZATION AND LEVEL OF ORDERS BOOKED DURING 1997 |
|
| Im Geschäftsjahr 1997 konnten
durch gute Auslastung der Produktionskapazitäten sowohl Umsatz wie Ertrag gegenüber dem
Vorjahr deutlich gesteigert werden. Erstmals gelang es, die Gesamtleistung des
Unternehmens auf über 500 Mio. DM zu steigern, wobei in der Sparte Sondermaschinen ein
besonders starkes Wachstum zu verzeichnen war.In fiscal 1997 both income and earnings were
substantially higher in comparison with the previous year, primarily due to a good
utilization of our production capacity. For the first time the company was successful in
increasing total revenues to in excess of DM 500 million, income generated from speciality
machines being particularly significant in this respect.
An order received from a customer in Turkey for over 250 DORNIER double-width air jet machines for the production of sheeting contributed to the good level of earnings achieved from the sale of weaving machines. With further significant orders received from weavers producing multi-colored cotton fabrics, decorative and upholstery fabrics, Turkey became the largest single market for DORNIER weaving machines. In the United States the DORNIER Rapier Weaving Machine maintained its strong market position in 1997. Also in the case of air jet weaving machines, our success in the sale of our machine in such specialized areas as awning fabrics and double-width apparel, decorative and upholstery fabrics continued to grow. In Germany we have experienced a revival of business for weaving machines with significant orders being booked for air jet and rapier weaving machines that has continued into 1998. The level of business in the UK showed a strong increase with significant orders being booked for air jet machines to produce air bags and rapier weaving machines for the wool and linen industries. In Belgium, France and Italy business has remained stable. Also satisfying is the revival of business in South and Central America and also the continuing stability in the most important markets in Eastern Europe. This successful business development has certainly been influenced by activity in R&D, with an expenditure of 8% of gross income generated by the company. The focus of R&D has been concentrated on the series introduction of a new generation of electronic monitoring and control of the weaving machine with graphical display, new selvedge formation devices, and also an increase in the performance level of the rapier weaving machine and versatility of the air jet weaving machine. The economic crisis in the Far East has thus far had no adverse effect on our weaving machine business. On the contrary, during the first four months of the current fiscal year, we have experienced no change in the level of orders received and reckon with full employment in this segment of our business throughout fiscal 1998. |
After a relatively slow start during the first quarter, orders
for weaving machines increased during the rest of the year, accompanied by corresponding
incremental increases in production.