Vossloh is presenting its comprehensive integrated product and service portfolio at the InnoTrans rail technology trade fair in Berlin, which takes place every two years. Answers to the most pressing questions in the industry will be offered under the slogan “Connecting Expertise”: How can maximum track availability and efficiency be ensured? How can noise and vibrations as well as lifecycle costs in rail transport be further reduced?
As part of the repositioning, which has been ongoing since the end of 2014, Vossloh is focusing on rail infrastructure. The company has positioned its three core divisions in an efficient and streamlined way and has bundled and closely networked available competences. Customers can now increasingly rely on complete solutions, which logically bundle the know-how and experience of the rail infrastructure specialist. Vossloh is working intensively on the development of low maintenance, long-lasting and reliable rail technology components, using its longstanding and substantiated industry experience as well as its global presence in the Core Components and Customized Modules divisions in particular. The aim is to offer customers sustainably economical innovative rail infrastructure concepts. The services of the Lifecycle Solutions division have thereby become increasingly important for the Group. At the InnoTrans on September 20, 2016, among others contracts were signed with the Chinese company CRCC High-Tech Equipment Corporation Limited (CRCCE) for the construction of automotive grinding trains with High Speed Grinding technology. Vossloh will provide the key components for grinding technology, hydraulics and steering. In addition to other rail companies, the Chinese national railway, China Railway Corporation, has already expressed an interest in these new grinding trains.
Vossloh is also on track in terms of operations. The company has further strengthened its profitability in financial year 2016 as planned. The stable financial foundation for the targeted profitable growth was laid with the sale of the vehicles business of the Rail Vehicles business field at the end of 2015 and the successfully completed capital increase in June 2016. Major orders won by the company in recent months demonstrate the continued positive development. For example, French leasing company Akiem ordered 44 diesel-electric type DE 18 locomotives in July. Vossloh Locomotives has thereby already ensured a good basic capacity utilization for the new production location in Kiel for the next few years. The Core Components division has also received major orders for rail fastening systems in China and the Swiss Federal Railway SBB is investing in the High Speed Grinding technology of the Lifecycle Solutions division for preventative rail maintenance in the newly-opened Gotthard base tunnel.
Experts expect renewed growth in the relevant markets for Vossloh of rail infrastructure and infrastructure services. In comparison with 2011-2013 and 2013-2015, the accessible market segment has grown by an average of 2.0% every year. In the same period, sales of the Vossloh Group increased by an average of 2.8% each year. Average annual growth of 3.8% had originally been forecast by the World Rail Market Study published in 2014 by UNIFE (Association of the European Rail Industry) and Roland Berger Strategy Consultants. According to the World Rail Market Study 2016, published during the InnoTrans, growth in the 2019-2021 forecasting period in the relevant markets for Vossloh will be around 3.7%. In Western Europe, Vossloh’s home market, experts anticipate a noticeable recovery in demand. Volker Schenk, Chief Technology Officer of Vossloh AG and President of the Board of the German Railway Industry (VDB): “Vossloh is now very well positioned to participate in this growth. Investment programs for the modernization, expansion and construction of rail tracks have been launched in many regions around the world. The medium and long-term prospects for Vossloh are accurate.”
Berlin/Werdohl, September 22, 2016
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Vossloh is a global player in the rail technology markets. Our core business is rail infrastructure. In addition, the Group is active in the areas of rolling stock and electric buses. The activities of the Group are divided into the four divisions Core Components, Customized Modules, Lifecycle Solutions and Transportation. In financial year 2015, Vossloh generated sales of €1.2 billion with approximately 4,900 employees.