Unaxis sees light at the end of the tunnel
The information technology group, Unaxis, says that the IT downturn has bottomed out, although low demand is expected to continue during 2002.
Reporting a steep decline in sales for 2001, the company, formerly known as Oerlikon Bührle, said a recovery would not be seen until 2003. Sales for the past year were down seven per cent to SFr2.126 billion ($1.27 billion), while incoming orders plunged 39 per cent to SFr1.571 billion.
Orders at its majority owned semi-conductor machinery manufacturing subsidiary, Esec, fell 89 per cent. Unaxis is extremely exposed to the IT downturn through its activities in data storage, displays and semi-conductors.
The company’s share price has dropped ten per cent this year after a decline of 51 per cent in 2001.
Its full year figures will come out on March 25. Analysts are expecting a deep drop in net profit to SFr25 million from SFr511 million.
Last year, Unaxis embarked on a cost cutting programme to develop a more flexible structure. The plan included 600 job cuts.
The company said sustained investment in product innovation and market development would put the company in a strong position when the IT market recovered.
Unaxis announced last month that Willy Kissling is to step down as CEO at the next shareholder meeting in May, although he will remain board chairman.
Formerly an old industrial conglomerate, Unaxis has shed shoemaker Bally, defence firm Oerlikon Contraves, the aircraft maker Pilatus and its real estate business in recent years. As well as targeting the IT industry, it also supplies engineering and coating products.
swissinfo with agencies
In compliance with the JTI standards
More: SWI swissinfo.ch certified by the Journalism Trust Initiative
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.