A Rough Start for Jenoptik in the First Quarter of 2025
Sluggish commencement for Jenoptik in the fiscal year - Sluggish commencement to the fiscal year for Jenoptik
Jenoptik, a German technology powerhouse, is grappling with the fallout of a difficult market picture: revenue, earnings, and orders were all dimmer than a year ago, according to the company's Q1 2025 report in Jena.
"Jenoptik's business performance was influenced by a harsh market landscape at the start of the year," said CEO Stefan Traeger. He remains hopeful for improvement as the year unfolds, despite a less vibrant order inflow so far compared to the same period last year.
Lower revenue and profit in the first three months
"We anticipate that demand, particularly in the semiconductor equipment sector, will rebound in the second half of the year," said Traeger. "However, the risk of when and the intensity of the recovery has grown."
Jenoptik caters to the chip manufacturing industry. In the first quarter, the publicly-traded company brought in revenue of €243.6 million, a dip of 4.9% from the same period last year. Sales were sluggish in Germany, other European nations, and Asia.
The earnings before interest and taxes (EBIT) amounted to €16.9 million, notably less than in the same period last year with €26 million. The net profit for the period was €9.2 million, contrasting with €15.4 million last year. The order intake in the first quarter was €204.6 million, marking a dip from last year's figure of €242 million. Jenoptik has expanded its production facilities - a factory for semiconductor production equipment was launched in Dresden in May.
Cautious outlook for 2025
Jenoptik employs approximately 4,300 people, a third of whom work abroad. The company is among a handful of listed technology companies in Eastern Germany and is listed in the MDax index. Its core business spans optical systems, lasers, and measurement technology for industrial applications, as well as lasers and gear for traffic surveillance.
Like other businesses, Jenoptik addressed substantial uncertainties about future economic developments and risks on international markets. "The forecast for the business year 2025 is affected by higher-than-average market uncertainties," the board detailed. In 2024, Jenoptik earned around €1.1 billion in revenue.
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- In an effort to navigate through the uncertainties and risks of international market fluctuations, Jenoptik is currently reviewing both its community policy and finance aspects, aiming to provide a secure and stable environment for its employees, ensuring smooth business operations.
- As part of its long-term business strategy, Jenoptik is also considering the integration of advanced technology in its employment policy, with the aim to foster innovation and productivity, ultimately contributing to the growth of the company and its market competitiveness in the semiconductor equipment sector.
