Business Performance 2016: H.C. Starck expects sustained recovery of core markets in 2017
|Year||Sales (Mio. Euro)|
H.C. Starck expects to see a sustained recovery of its core markets in the 2017 fiscal year. During the past fiscal year 2016, sales were down due to the tough market environment and decreases in the prices of raw materials. With an overall value of 688.4 million euros, the annual turnover remained below the previous year’s figure of 815.2 million euros. As of December 31, 2016, the company had about 2,600 employees worldwide (2015: about 2,700).
The Tungsten Powders Division maintained its strong position on the European market in 2016. The company’s joint ventures in China and Vietnam utilized their full capacity last year and achieved significant gains in productivity and sales. Consistent further development of recycling activities has delivered further savings on costs and additional stability in a tough market environment that is still marked by a serious imbalance between supply and demand. H.C. Starck’s tungsten powders are used primarily in the production of industrial tools and wearing parts, where they enable high-performance processes such as drilling, turning, and milling of metals on an industrial scale.
Despite the stagnation that has set in on the electronics market, the Tantalum/Niobium Powders Division defended its leading position in the major market segments in 2016. To be able to serve rising demand, capacity in Goslar was further expanded. There is further potential for growth due to the increasing connectivity of things through the “Internet of Things” and in other fields, such as “Car-2-Car” communication. In addition, the turnaround measures are achieving the desired effect in the area of tantalum/niobium powders as well with a positive impact on profitability. Subsidiary H.C. Starck Smelting GmbH & Co. KG processes slag and other recycling materials that contain tantalum on a cost-effective basis. This makes H.C. Starck more independent of price fluctuations on the world market and ensures attractive value for the money in the case of high capacitance tantalum powders for the tantalum capacitor market.
Sustained efficiency gains have allowed the Surface Technology and Ceramic Powders Division to significantly increase its competitiveness. Having a broad product range and serving customers from a range of different industries, both helped cushion the effects of ongoing weakness in the oil and gas market in other market segments. In the area of high-temperature-resistant coatings for advanced gas turbines and drives in particular, H.C. Starck was able to expand on its market share thanks to leading product quality. A further significant increase in demand is expected over the next few years, especially in the area of 3D printing (additive manufacturing).
H.C. Starck is benefiting from ongoing growth in the additive manufacturing segment on a cross-division basis. Numerous applications in fields such as aviation, medicine, automotive technology, and mechanical engineering call for materials of superior, reproducible quality. The metal powders, technology metals, and ceramic powders from H.C. Starck have been proven to meet these requirements outstandingly well in numerous products and applications.
- 61 % Germany
- 17 % USA
- 9 % Thailand
- 7 % China
- 3 % Japan
- 2 % Canada
- 1 % United Kingdom
Regional breakdown for Germany:
- 60 % Goslar site
- 20 % Laufenburg site
- 11 % Selb site
- 7 % Hermsdorf site
- 2 % Munich HQ