Rieter boosts sales

Sales at the Rieter Group increased by over 20 per cent last year Keystone Archive

Switzerland's Rieter Group boosted sales in 2000 by 20.3 per cent to SFr2.93 billion ($1.79 billion) and saw orders rise by 27.2 per cent to SFr2.96 billion.

Announcing the result on Tuesday, the company said in a statement that both operating profit and net profit would be higher than in 1999.

“Due to the positive sales trend and ongoing cost management, the operating result before interest and taxes and net profit will exceed the previous year’s figures.”

It said most of the growth was attributable to its textile machinery business, which experienced a sharp rebound in orders and sales. Companies it acquired in France last year have helped it meet demand.

New textile machinery orders jumped 73.5 per cent to SFr1.11 billion, while sales rose 44.3 per cent at SFr1.09 billion. Demand stabilised at a high level in the second half after booming in the first six months.

Rieter said operating profit at its automotive division would not match 1999 levels because of a downturn in North America. Its automotive systems division saw sales rise by 9.7 per cent to SFr1.83 billion.

Rieter will release full financial results for last year on April 11. Analysts expect net profit of around SFr147.3 million, up from SFr124 million in 1999.

swissinfo with agencies