SCHOTT Returns to Profit Zone in 2003/2004

Biggest modernization process in the company's history takes effect.

SCHOTT AG managed to return to the black in the 2003/2004 fiscal year (ending September 30). The international technology company achieved a turnover of 2.023 billion euros (previous year: 1.946 billion euros), and thus a pre-tax result of 44 million euros (previous year: -52 million euros) and an annual net profit of 16 million euros (previous year: -75 million euros).

"The biggest modernization process in the company's history is taking effect. SCHOTT is gaining speed on its new course,” said Chairman of the Board of Management of SCHOTT AG, Dr. Udo Ungeheuer, at a press conference at the technology company's headquarters in Mainz. One of the most significant milestones in the past fiscal year was SCHOTT's conversion into a stock corporation. In addition, the company streamlined its portfolio and simplified its legal and administrative structures. Further factors which contributed to the company's success were a greater focus on market orientation, expansion of the company's core lines of business, and the establishment of innovative future business lines, said Ungeheuer.

The company's core lines of business were particularly strengthened by the expanded post-processing capacities for "Ceran” glass-ceramic cooktop panels, "Robax” stove and fireplace glass ceramic inserts, "Zerodur” glass-ceramic and the building of a new melting tank for glass ceramic. Other important measures include the construction of a new melting tank for special glass tubing in Mitterteich and the expansion of the polymer syringe business.

SCHOTT made a crucial step towards a successful future by establishing and expanding its future lines of business: "Our TFT glass is ready for its market launch. The Strategic Business Unit Photovoltaics has been strengthened by cell production in Alzenau and module manufacture in the Czech Republic,” said Ungeheuer. In addition, solar thermal power plants are to be built soon with SCHOTT's involvement. Ungeheuer also cited a joint venture with SIG Corpoplast for barrier-coating PET bottles as an example of the company's forward-looking orientation.

Further evidence of SCHOTT's strengthened market orientation is its relocation of optical filter manufacture from Mainz to Penang (Malaysia), the transfer of diode glass sleeve production from Mitterteich to Suzhou (China), and the establishment of wafer-level packaging production in Singapore, said Ungeheuer.

Continuing to improve SCHOTT AG's global competitiveness will be an important prerequisite for the future steady growth of turnover and results. Consequently, SCHOTT plans to carry on with its internationalization process especially in Asia, focusing particularly on China, Japan, Korea and Taiwan. Germany will continue to be the company's base for highly complex industrial manufacturing and for the development of new products and production-specific competencies. Ungeheuer cited examples such as the company's investments amounting to 200 million euros since 2000, some 200 newly created jobs at the company's Mainz headquarters in the last twelve months, the expansion of photovoltaics capacities in Alzenau, and the start of production of solar thermal receivers for solar power plants in Mitterteich.


Source: Glass International
For further information, please contact David Fordham at Glass International