Wurth Buckles Up for Growth Despite Profit Slump: Aiming High by 2025
Aiming for Recovery: Setting 2025 as the Mark for Resurgent Growth Following Setbacks - Anticipated Growth Resurgence for Würth in 2025 Following Financial Dip
In the midst of an economic slump and US trade tensions, industrial conglomerate Wurth refuses to back down. "We raked in a near 4% growth in the initial quarter," boasted Wurth CEO Robert Friedmann. He's confident that tariffs imposed by US President Donald Trump won't trigger a hoarding effect. The Wurth Group, headquartered in Künzelsau, Baden-Württemberg, has set its sights on mid-single-digit revenue growth for the entire year.
However, success hinges on external factors, according to Friedmann. "We've got the company on a growth roll now. We're out here fighting tooth and nail to keep it that way," he said. But Trump's tariffs make prediction tricky. "Nobody's got a crystal ball to see where these tariffs are landing."
If growth holds steady, the Group expects to match last year's earnings. CFO Ralf Schaich shares the optimism.
Profit Plunge and Income Fall
Wurth's pre-tax earnings last year dropped roughly 35% to 940 million euros, down from over 1.4 billion euros in 2023. After-tax earnings stood at 673 million euros. "The figures could've been better. But it's still the fourth-highest in Wurth's history," said Friedmann.
Revenue declined by approximately 0.9% to around 20.2 billion euros last year. The lagging manufacturing industry significantly impacted the revenue surge.
Shot From Founder's Stash
Wurth Group reigns supreme worldwide in the fastening and assembly technology sector. Its product line boasts over a million items, including tools, safety gear, and more. Some products are manufactured in-house. As of 2024, the company employed roughly 88,400 individuals, a 1.5% jump.
The conglomerate, once a two-man operation, has turned founder Reinhold Wurth (90) into a billionaire. He stepped down as chairman of the supervisory board earlier this year after over 75 years of service. The board steers the family foundations that own the Group, and influences key strategic decisions. The next generation is already helming key positions elsewhere.
- Reinhold Wurth
- Adolf Wurth GmbH Co.
- Expansion Plans
- Künzelsau
- US President
- Economic Downturn
- CEO
- Tariff Impacts
- As part of Wurth's expansion plans, the Group is emphasizing community aid and vocational training to foster a skilled workforce and support the local industry in Künzelsau, Baden-Württemberg.
- Despite the economic downturn and increasing tariffs imposed by US President Donald Trump, Wurth's CEO Robert Friedmann remains optimistic that the company can stabilize its growth trajectory and maintain mid-single-digit revenue growth for the year.
- The Adolf Wurth GmbH Co., a key player within the Wurth Group, is exploring opportunities for expansion in foreign markets to dodge potential impacts of tariffs on their domestic business.
- With the income fall and profit plunge last year, Wurth's founder Reinhold Wurth, even in his 90s, remains influential in guiding the family foundations that own the Group, making key strategic decisions to ensure the company's long-term success.
