ENGEL expands globally and achieves automation milestones

In March, ENGEL, an international injection molding machine manufacturer, closed the fiscal year 2023/24 with a turnover of approximately 1.6 billion euros, showing a slight decline from the previous year. Despite mixed prospects, the company is expanding its global presence and achieving new milestones in revenue from tailor-made automation solutions for customers.

Slight decline in turnover of -6%

The ENGEL Group concluded the fiscal year with a marginal turnover decline of approximately 6% compared to the previous year. CEO Stefan Engleder noted, “The injection molding machine market has seen a downturn of up to 40% according to various association figures. ENGEL has managed to capture market share in this shrinking environment, mirroring trends observed during previous economic contractions.” The Medical and Packaging Business Units notably contributed to this performance. Demand for diabetes therapy products remains strong, particularly in the American region, while Europe’s packaging sector is thriving due to new regulations. Additionally, the after-sales business demonstrated robust growth, surging by nearly 15% compared to the previous year.

The forecast for the new fiscal year remains cautious. “The high order backlog has so far let us get off with a black eye. However, these orders are nearly exhausted. Despite intermittent increases in order income, we are yet to witness a lasting economic recovery – but we hope for the first growth stimuli from the spring fairs Chinaplas in Shanghai and NPE in Orlando,” Stefan Engleder adds.

Significant investment for the expansion of global network 

In line with its growth strategy, ENGEL has earmarked a substantial double-digit million amount for expanding its global network in the upcoming fiscal year. Across Europe, the Americas, and Asia, the company relies on largely autonomous hub structures, encompassing sales, order processing, production, and after-sales service. Working in tandem with the Austrian headquarters, ENGEL establishes global standards where necessary and beneficial. This approach empowers ENGEL to reinforce its dual-pillar strategy: developing and manufacturing “in the region for the region,” thus effectively tailoring to local conditions in customer markets. “Our extensive experience now enables us to implement localized solutions with regional R&D and manufacturing expertise, providing significant added value. Simultaneously, we maintain global standards at local costs,” Engleder elucidates. Global players can consistently depend on ENGEL’s standardized practices throughout the entire life cycle of their injection molding machines.

Promising prospects for customised automation solutions

Adverse trends as a shortage of skilled workers and high production costs offer promising opportunities for customer-specific automation solutions – a segment that ENGEL has been dedicated to for many years, alongside manufacturing injection molding machines. Customers are increasingly inclined to automate as many process steps as possible directly via the machine, for instance quality checks or packaging. Depending on the customer’s preferences, the automation required integrates seamlessly with the machine to form a high-performance injection molding cell. “Most of the time we are fortunate to be involved in customer projects from the start,” says Engleder. “This enables us to respond very specifically to requirements and tailor the optimal solution for our customer.” While the standard segment remains stagnant, customised automation solutions are witnessing a significant upswing.

Emphasis on apprenticeship training continues

The nurturing of young talent, particularly through internationally oriented apprenticeship training, continues to be a focal point. Currently, over 400 apprentices are undergoing training worldwide, with 240 located solely at Austrian sites. China and the Czech Republic form the second largest training hubs within ENGEL’s global network. “What I value most about my apprenticeship at ENGEL is the diverse experiences,” says Stefanie Aigner, a fourth-year mechatronics apprentice. “The rotating training system offers exposure to various departments and their functions; I am currently engaged in the initial commissioning and start up process,” adds the promising talent.

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