Wurth intends to bounce back from losses andfocuses on growth by the year 2025. - Following financial setbacks, Würth expects a resurgence in profits by 2025.
Let's get down to the nitty-gritty: despite the economic slowdown and US trade tension, trading conglomerate Wurth is hell-bent on clocking more business this year. "We nailed a near 4% growth in Q1 alone," grins Wurth CEO Robert Friedmann, dismissing any "hoarding effect" from Trump's tariffs. They're seeking mid-single-digit revenue growth for the year.
Friedmann reckons the expansion hinges on external factors. "We're riding a growth wave, man. We're giving it our all to keep that momentum," he says. But with Trump's tariffs? It's a damn guessing game. "It's still early to talk turkey about where the tariffs are hitting," Friedmann admits.
Finance bro Ralf Schaich predicts the profit will hold steady at last year's level, assuming growth maintains till year-end.
The Ups and Downs of Profitability
Wurth's pre-tax profit last year plummeted over 35% to 940 million euros. In 2023, it was over 1.4 billion euros. On a tax-paying front, they made a cool 673 million euros. "The result could've been higher. But it's still the fourth-highest value in our history," Friedmann shrugs.
The decrease was down to revenue decline and cost inflation. Revenue in 2024 dipped around 0.9% to just over 20.2 billion euros. The dreary economic conditions in the manufacturing industry had a significant impact on revenue growth.
The Next Generation Steps Up in the Conglomerate
Wurth Group, a world-beater in fastening and assembly technology, offers over a million products - from crafts folks to industrial behemoths. Their roster includes screws, dowels, tools, and personal protective gear. Part of their inventory is homemade. As of the end of 2024, approximately 88,400 folks were on Wurth's payroll - a 1.5% uptick.
The two-dude operation founded by Reinhold Wurth (90) minted the man a billionaire. He relinquished his position as chairman of the supervisory board of the foundation at the beginning of this year - a big-time departure after serving for 75 years. The foundation oversees the family foundations that Wurth is a part of, and they play a crucial role in strategic decision-making both inside and out. The next generation is getting a piece of the action.
- Reinhold Wurth
- Wurth Group
- Donald Trump
- Economic Downturn
- CEO
- US President
- Trade War
- Global Growth
Enrichment Data:
There's no explicit data found regarding Wurth's specific 2025 growth targets in the context of the economic slowdown and US trade conflict. However, some contextual insights can be derived:
- Wurth Group recently commemorated its 90th anniversary of Prof. Reinhold Wurth and the company’s 80th anniversary in April 2025, marking significant milestones for the company[1][3].
- Wurth has been actively engaged in digital transformation and technological leadership, as evidenced by Benjamin Heselton’s leadership roles in Wurth IT USA before moving to Lamb Weston, indicating the company’s focus on innovation and technology[2].
- A new Wurth B2B e-commerce site was launched in collaboration with CombinedX subsidiary Ninetech, highlighting Wurth's steps toward digitalization and improving market presence amid challenging market conditions[4].
- The broader industry context from the VDMA survey suggests that despite economic challenges and trade uncertainties, many companies expect domestic and international growth in 2025, with 77% anticipating domestic market growth and 64% expecting international sales to rise. However, there is strong competitive pressure, especially from China and the US, which could impact market dynamics[5].
Inference and Summary:
No definitive growth targets for 2025 by Wurth in relation to the economic slowdown and US trade conflicts have been publicly announced. However, Wurth seems to be focusing on digital transformation and operational improvements to sustain growth. The launch of new B2B platforms and emphasis on IT leadership show strategic investment in innovation to navigate challenging market conditions. Given industry trends suggesting cautious optimism despite competitive pressures, Wurth likely aims to maintain steady growth through digital sales channels and efficiency enhancements rather than aggressive expansion in uncertain environments.
- In an attempt to maintain business growth despite economic slowdown and US trade tensions, Wurth is investing significantly in digital transformation, aiming to improve her market presence through innovative technology.
- The growth strategy of Wurth in 2025, amidst an economic downturn and ongoing trade war, may involve a shift in focus towards expanding digital sales channels and optimizing operational efficiency rather than pursuing aggressive expansion in uncertain markets.
