3Segment information
Segment information by divisions
|
|
|
Flow Equipment |
|
Services |
|
Chemtech |
||||||
|
millions of CHF |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|
Order intake (unaudited) 1) |
|
1’466.5 |
|
1’419.2 |
|
1’271.3 |
|
1’171.3 |
|
842.5 |
|
834.9 |
|
Nominal growth (unaudited) |
|
3.3% |
|
7.1% |
|
8.5% |
|
0.7% |
|
0.9% |
|
22.9% |
|
Currency-adjusted growth (unaudited) |
|
10.6% |
|
9.4% |
|
18.5% |
|
1.8% |
|
7.5% |
|
21.7% |
|
Organic growth (unaudited) 2) |
|
11.2% |
|
8.9% |
|
19.8% |
|
1.6% |
|
10.5% |
|
22.5% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Order backlog as of December 31 (unaudited) |
|
878.3 |
|
850.1 |
|
547.3 |
|
492.9 |
|
521.2 |
|
501.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales recognized at a point in time |
|
893.2 |
|
843.4 |
|
870.2 |
|
825.9 |
|
373.2 |
|
357.5 |
|
Sales recognized over time |
|
461.1 |
|
479.5 |
|
284.6 |
|
291.1 |
|
399.4 |
|
382.4 |
|
Sales 3) |
|
1’354.4 |
|
1’323.0 |
|
1’154.8 |
|
1’117.0 |
|
772.5 |
|
739.9 |
|
Nominal growth |
|
2.4% |
|
–4.8% |
|
3.4% |
|
–0.1% |
|
4.4% |
|
14.1% |
|
Currency-adjusted growth (unaudited) |
|
9.4% |
|
–3.1% |
|
12.6% |
|
0.8% |
|
11.3% |
|
12.9% |
|
Organic growth (unaudited) 2) |
|
10.9% |
|
–3.4% |
|
14.5% |
|
0.7% |
|
15.5% |
|
14.8% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operational profit (unaudited) |
|
108.2 |
|
87.4 |
|
171.3 |
|
159.0 |
|
95.0 |
|
80.0 |
|
Operational profitability (unaudited) |
|
8.0% |
|
6.6% |
|
14.8% |
|
14.2% |
|
12.3% |
|
10.8% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring expenses |
|
–2.1 |
|
0.3 |
|
–0.7 |
|
–1.3 |
|
–0.3 |
|
0.8 |
|
Amortization |
|
–25.4 |
|
–26.7 |
|
–3.7 |
|
–4.4 |
|
–6.8 |
|
–6.9 |
|
Impairments on tangible and intangible assets |
|
–0.1 |
|
–8.0 |
|
–0.0 |
|
–24.2 |
|
–0.1 |
|
–12.3 |
|
Non-operational items (unaudited) 4) |
|
–6.5 |
|
–20.4 |
|
12.7 |
|
–75.1 |
|
–2.9 |
|
–23.4 |
|
EBIT |
|
74.1 |
|
32.6 |
|
179.6 |
|
54.0 |
|
84.9 |
|
38.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation |
|
–28.8 |
|
–30.4 |
|
–27.3 |
|
–29.0 |
|
–12.8 |
|
–13.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating assets |
|
1’427.7 |
|
1’554.1 |
|
944.4 |
|
980.0 |
|
533.2 |
|
579.7 |
|
Unallocated assets |
|
– |
|
– |
|
– |
|
– |
|
– |
|
– |
|
Total assets as of December 31 |
|
1’427.7 |
|
1’554.1 |
|
944.4 |
|
980.0 |
|
533.2 |
|
579.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating liabilities |
|
718.6 |
|
730.9 |
|
411.2 |
|
456.4 |
|
409.1 |
|
439.8 |
|
Unallocated liabilities |
|
– |
|
– |
|
– |
|
– |
|
– |
|
– |
|
Total liabilities as of December 31 |
|
718.6 |
|
730.9 |
|
411.2 |
|
456.4 |
|
409.1 |
|
439.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating net assets |
|
709.1 |
|
823.2 |
|
533.2 |
|
523.7 |
|
124.1 |
|
139.9 |
|
Unallocated net assets |
|
– |
|
– |
|
– |
|
– |
|
– |
|
– |
|
Total net assets as of December 31 |
|
709.1 |
|
823.2 |
|
533.2 |
|
523.7 |
|
124.1 |
|
139.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditure (incl. lease assets) |
|
–37.7 |
|
–37.9 |
|
–33.4 |
|
–42.0 |
|
–27.8 |
|
–16.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Employees (number of full-time equivalents) as of December 31 |
|
5’465 |
|
5’263 |
|
4’630 |
|
4’559 |
|
2’849 |
|
2’852 |
1) Order intake from external customers.
2) Adjusted for acquisition, divestiture/deconsolidation and currency effects.
3) Sales from external customers.
4) Mainly consists of a gain on deconsolidation relating to the Russian business of CHF 8.0 million, including the reclassification of the accumulated currency translation adjustments being allocated to the divisions.
Segment information by divisions
|
|
|
Total divisions |
|
Others 1) |
|
Total Sulzer |
||||||
|
millions of CHF |
|
2023 |
|
2022 |
|
2023 |
|
2022 2) |
|
2023 |
|
2022 2) |
|
Order intake (unaudited) 3) |
|
3’580.3 |
|
3’425.4 |
|
– |
|
– |
|
3’580.3 |
|
3’425.4 |
|
Nominal growth (unaudited) |
|
4.5% |
|
8.1% |
|
– |
|
– |
|
4.5% |
|
8.1% |
|
Currency-adjusted growth (unaudited) |
|
12.6% |
|
9.2% |
|
– |
|
– |
|
12.6% |
|
9.2% |
|
Organic growth (unaudited) 4) |
|
13.9% |
|
9.1% |
|
– |
|
– |
|
13.9% |
|
9.1% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Order backlog as of December 31 (unaudited) |
|
1’946.8 |
|
1’844.7 |
|
- |
|
– |
|
1’946.8 |
|
1’844.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales recognized at a point in time |
|
2’136.6 |
|
2’026.8 |
|
– |
|
– |
|
2’136.6 |
|
2’026.8 |
|
Sales recognized over time |
|
1’145.1 |
|
1’153.1 |
|
– |
|
– |
|
1’145.1 |
|
1’153.1 |
|
Sales 5) |
|
3’281.7 |
|
3’179.9 |
|
– |
|
– |
|
3’281.7 |
|
3’179.9 |
|
Nominal growth |
|
3.2% |
|
0.8% |
|
– |
|
– |
|
3.2% |
|
0.8% |
|
Currency-adjusted growth (unaudited) |
|
11.0% |
|
1.6% |
|
– |
|
– |
|
11.0% |
|
1.6% |
|
Organic growth (unaudited) 4) |
|
13.2% |
|
1.8% |
|
– |
|
– |
|
13.2% |
|
1.8% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operational profit (unaudited) |
|
374.5 |
|
326.4 |
|
–8.9 |
|
–8.8 |
|
365.6 |
|
317.6 |
|
Operational profitability (unaudited) |
|
11.4% |
|
10.3% |
|
n/a |
|
n/a |
|
11.1% |
|
10.0% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring expenses |
|
–3.1 |
|
–0.1 |
|
0.1 |
|
0.0 |
|
–3.0 |
|
–0.1 |
|
Amortization |
|
–35.9 |
|
–38.0 |
|
–0.7 |
|
–0.8 |
|
–36.6 |
|
–38.8 |
|
Impairments on tangible and intangible assets |
|
–0.2 |
|
–44.5 |
|
– |
|
– |
|
–0.2 |
|
–44.5 |
|
Non-operational items (unaudited) 6) |
|
3.3 |
|
–119.0 |
|
0.5 |
|
–3.8 |
|
3.8 |
|
–122.8 |
|
EBIT |
|
338.6 |
|
124.8 |
|
–9.0 |
|
–13.5 |
|
329.7 |
|
111.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation |
|
–68.9 |
|
–72.8 |
|
–2.6 |
|
–3.2 |
|
–71.4 |
|
–76.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating assets 7) |
|
2’905.3 |
|
3’113.8 |
|
213.6 |
|
42.6 |
|
3’118.9 |
|
3’156.4 |
|
Unallocated assets 7) |
|
– |
|
– |
|
1’250.5 |
|
1’463.7 |
|
1’250.5 |
|
1’463.7 |
|
Total assets as of December 31 |
|
2’905.3 |
|
3’113.8 |
|
1’464.2 |
|
1’506.4 |
|
4’369.5 |
|
4’620.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating liabilities 8) |
|
1’538.9 |
|
1’627.0 |
|
261.3 |
|
98.1 |
|
1’800.2 |
|
1’725.1 |
|
Unallocated liabilities 8) |
|
– |
|
– |
|
1’470.6 |
|
1’866.4 |
|
1’470.6 |
|
1’866.4 |
|
Total liabilities as of December 31 |
|
1’538.9 |
|
1’627.0 |
|
1’731.9 |
|
1’964.5 |
|
3’270.8 |
|
3’591.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating net assets |
|
1’366.4 |
|
1’486.8 |
|
–47.7 |
|
–55.5 |
|
1’318.7 |
|
1’431.4 |
|
Unallocated net assets |
|
– |
|
– |
|
–220.1 |
|
–402.7 |
|
–220.1 |
|
–402.7 |
|
Total net assets as of December 31 |
|
1’366.4 |
|
1’486.8 |
|
–267.8 |
|
–458.2 |
|
1’098.6 |
|
1’028.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditure (incl. lease assets) |
|
–98.9 |
|
–96.7 |
|
–4.1 |
|
–3.3 |
|
–103.1 |
|
–100.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Employees (number of full-time equivalents) as of December 31 |
|
12’944 |
|
12’674 |
|
186 |
|
194 |
|
13’130 |
|
12’868 |
1) The most significant activities under “Others” relate to Corporate Center.
2) Amounts in 2022 were restated, please refer to 7) and 8) below.
3) Order intake from external customers.
4) Adjusted for acquisition, divestiture/deconsolidation and currency effects.
5) Sales from external customers.
6) Mainly consists of a gain on deconsolidation relating to the Russia business of CHF 8.0 million, including the reclassification of the accumulated currency translation adjustments being allocated to the divisions.
7) In 2022, within “Others”, operating assets were adjusted by CHF 90.1 million from CHF -47.5 million to CHF 42.6 million, the unallocated assets were adjusted by CHF -90.1 million from CHF 1’553.8 million to CHF 1’463.7 million. In “Total Sulzer”, operating assets were adjusted by CHF 90.1 million from CHF 3’066.3 million to CHF 3,156.4 million, the unallocated assets were adjusted by CHF -90.1 million from CHF 1’553.8 million to CHF 1’463.7 million.
8) In 2022, within “Others”, operating liabilities were adjusted by CHF 90.1 million from CHF 8.0 million to CHF 98.1 million, the unallocated liabilities were adjusted by CHF -90.1 million from CHF 1’956.5 million to CHF 1’866.4 million. In “Total Sulzer”, operating liabilities were adjusted by CHF 90.1 million from CHF 1’635.0 million to CHF 1’725.1 million, the unallocated liabilities were adjusted by CHF -90.1 million from CHF 1’956.5 million to CHF 1’866.4 million.
For the definition of operational profit, operational profitability, currency-adjusted growth and organic growth, reference is made to the section “Supplementary information” and for the reconciliation statements to the section “Financial review”.
Information about reportable segments
Operating segments are determined based on the reports reviewed by the Chief Executive Officer that are used to measure performance, make strategic decisions and allocate resources to the segments. The business is managed on a divisional basis and the reported segments have been identified as follows:
Flow Equipment
The Flow Equipment division specializes in pumping solutions specifically engineered for the processes of its customers. The division provides pumps, agitators, compressors, grinders, screens and filters developed through intensive research and development in fluid dynamics and advanced materials. The focus is on pumping solutions for water, oil and gas, power, chemicals and most industrial segments.
Services
The Services division provides cutting-edge parts as well as maintenance and repair solutions for pumps, turbines, compressors, motors and generators, through a network of over 100 service sites around the world. The division services Sulzer original equipment, but also all associated third-party rotating equipment run by the customers, maximizing its sustainability and life-cycle cost-effectiveness. The division’s technology-based solutions, fast execution and expertise in complex maintenance projects are available at its customers’ doorsteps.
Chemtech
The Chemtech division focuses on innovative mass transfer, static mixing and polymer solutions for chemicals, petrochemicals, refining and LNG. Chemtech also provides ecological solutions such as bio-based chemicals, polymers and fuels, recycling technologies for textiles and plastic as well as carbon capture and utilization/storage, contributing to a circular and sustainable economy. The division’s product offering ranges from process components to complete process plants and technology licensing.
Others
Certain expenses related to the Corporate Center are not attributable to a particular segment and are assessed as a whole across the group. Also included are the eliminations for operating assets and liabilities.
The Chief Executive Officer primarily uses operational profit to assess the performance of the operating segments. However, the Chief Executive Officer also receives information about the segments’ order intake and backlog, sales, and operating assets and liabilities on a monthly basis.
Sales from external customers reported to the Chief Executive Officer are measured in a manner consistent with the measurement in the income statement. There are no significant sales between the segments. No individual customer represents a significant portion of the group’s sales.
Operating assets and liabilities are assets or liabilities related to the operating activities of an entity and contributing to the EBIT.
Segment information by region
The allocation of assets is based on their geographical location. Non-current assets exclude deferred income tax assets, non-current receivables, defined benefit assets and other non-current financial assets. The allocation of sales from external customers is based on the location of the customer.
Non-current assets by region
|
millions of CHF |
|
2023 |
|
2022 |
|
Europe, the Middle East and Africa |
|
831.5 |
|
853.5 |
|
– thereof Switzerland |
|
227.0 |
|
220.5 |
|
– thereof United Kingdom |
|
175.5 |
|
180.1 |
|
– thereof Sweden |
|
112.4 |
|
125.7 |
|
– thereof Finland |
|
111.3 |
|
114.6 |
|
– thereof the Netherlands |
|
79.7 |
|
84.6 |
|
|
|
|
|
|
|
Americas |
|
375.8 |
|
413.4 |
|
– thereof USA |
|
335.5 |
|
376.6 |
|
|
|
|
|
|
|
Asia-Pacific |
|
123.6 |
|
136.7 |
|
– thereof China |
|
47.1 |
|
52.4 |
|
|
|
|
|
|
|
Total |
|
1’330.9 |
|
1’403.6 |
Sales by region
|
|
|
2023 |
||||||
|
millions of CHF |
|
Flow Equipment |
|
Services |
|
Chemtech |
|
Total Sulzer |
|
Europe, the Middle East and Africa |
|
607.7 |
|
446.5 |
|
191.8 |
|
1’246.0 |
|
– thereof United Kingdom |
|
36.7 |
|
123.0 |
|
15.7 |
|
175.5 |
|
– thereof Saudi Arabia |
|
91.1 |
|
32.4 |
|
30.7 |
|
154.2 |
|
– thereof Germany |
|
60.6 |
|
46.1 |
|
39.3 |
|
145.9 |
|
– thereof France |
|
34.7 |
|
36.4 |
|
8.2 |
|
79.3 |
|
– thereof Spain |
|
43.1 |
|
5.9 |
|
5.4 |
|
54.5 |
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
452.8 |
|
561.2 |
|
185.8 |
|
1’199.8 |
|
– thereof USA |
|
261.7 |
|
435.3 |
|
130.7 |
|
827.7 |
|
|
|
|
|
|
|
|
|
|
|
Asia-Pacific |
|
293.9 |
|
147.2 |
|
394.9 |
|
836.0 |
|
– thereof China |
|
177.7 |
|
24.7 |
|
266.7 |
|
469.1 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
1’354.4 |
|
1’154.8 |
|
772.5 |
|
3’281.7 |
|
|
|
2022 |
||||||
|
millions of CHF |
|
Flow Equipment |
|
Services |
|
Chemtech |
|
Total Sulzer |
|
Europe, the Middle East and Africa |
|
602.0 |
|
439.9 |
|
166.0 |
|
1’207.9 |
|
– thereof United Kingdom |
|
36.3 |
|
112.9 |
|
15.7 |
|
164.9 |
|
– thereof Germany |
|
87.8 |
|
43.1 |
|
17.0 |
|
147.9 |
|
– thereof Saudi Arabia |
|
66.3 |
|
23.7 |
|
20.3 |
|
110.3 |
|
– thereof France |
|
32.3 |
|
31.3 |
|
8.6 |
|
72.2 |
|
– thereof Russia |
|
31.2 |
|
23.2 |
|
14.0 |
|
68.4 |
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
420.9 |
|
525.5 |
|
196.4 |
|
1’142.8 |
|
– thereof USA |
|
223.6 |
|
397.1 |
|
141.3 |
|
761.9 |
|
|
|
|
|
|
|
|
|
|
|
Asia-Pacific |
|
300.1 |
|
151.6 |
|
377.5 |
|
829.2 |
|
– thereof China |
|
202.2 |
|
28.3 |
|
254.6 |
|
485.1 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
1’323.0 |
|
1’117.0 |
|
739.9 |
|
3’179.9 |
Segment information by market segment
The following table shows the allocation of sales from external customers by market segment.
Sales by market segment – Flow Equipment
|
millions of CHF |
|
2023 |
|
2022 |
|
Water |
|
497.7 |
|
489.8 |
|
Energy |
|
453.0 |
|
453.4 |
|
Industry |
|
403.7 |
|
379.7 |
|
Total Flow Equipment |
|
1’354.4 |
|
1’323.0 |
Sales by market segment – Services
|
millions of CHF |
|
2023 |
|
2022 |
|
Pumps Services |
|
629.3 |
|
593.7 |
|
Other Equipment |
|
525.5 |
|
523.4 |
|
Total Services |
|
1’154.8 |
|
1’117.0 |
Sales by market segment – Chemtech
|
millions of CHF |
|
2023 |
|
2022 |
|
Chemicals |
|
357.8 |
|
398.4 |
|
Gas and Refining |
|
174.8 |
|
130.4 |
|
Renewables |
|
115.8 |
|
73.9 |
|
Services |
|
94.0 |
|
108.5 |
|
Water |
|
30.1 |
|
28.6 |
|
Total Chemtech |
|
772.5 |
|
739.9 |