USA and Asia provide boost to growth

Rohde and Schwarz reports very positive results for the first quarter of the new fiscal year.

Rohde and Schwarz reports very positive results for the first quarter of the new fiscal year.

Fiscal year 2003-04 had already shown a positive trend in turnover as a result of consistent and strategic innovation management.

The expanding presence in the growth areas of USA and Asia also contributed significantly to the company's success.

In fiscal year 2003-04, Rohde and Schwarz achieved a total turnover of Eur 940.8 million, a growth of 8.4%.

At Eur 1.1 billion, incoming orders reached a new record, and an increase of 20%.

Despite difficult economic conditions, the company also increased its number of employees by approximately 300 worldwide.

The entire group of companies now has a total of 6150 employees, of which 4500 work in Germany.

For President and CEO Friedrich Schwarz, the company's employees are crucial to its success: "We have an excellent staff and a special corporate culture".

"We respect all of our employees regardless of their position and we give them the freedom they need to develop creative ideas".

"This culture is the key to us being a company that attracts the best and the brightest".

This was borne out early this year when the financial magazine Capital held a contest to determine Germany's best employer, and Rohde and Schwarz ranked number 37.

The trend in all business fields of the company is decidedly positive.

The first network operators have now started to offer commercial services for third generation mobile radio.

The Test and Measurement Division has profited from this development as procurements for measuring instruments have risen.

The Broadcasting Division experienced greater activity due to the progressing digitisation of television based on DVB standards.

In the future, Rohde and Schwarz is expecting a clear convergence between mobile radio and broadcasting technology.

In some countries, for example, mobile TV reception via mobile phones will soon be possible.

As Rohde and Schwarz is a clear market leader in both technologies, it has an ideal starting position.

In addition, an increasing awareness of security has led to dynamic developments in the field of security within the company's Radiomonitoring and Radiolocation Division and its Radiocommunications Division.

In the last fiscal year, non-European markets - especially in the Far East and the USA - significantly contributed to an increase in incoming orders.

Rohde and Schwarz took a large step toward expanding its worldwide presence by assuming control of all its sale activities in the USA and Japan.

For the first time in the company's history, more orders were received from overseas than from Europe.

The positive trend is also continuing in the current fiscal year.

In the first quarter of fiscal year 2004-05, incoming orders grew by 16% compared with the first quarter of the last fiscal year.

As a self-financed, independent company, Rohde and Schwarz generates the additional capital required for growth from its own profits.

At Eur 491 million, the company's equity capital is equal to 43% of the balance sheet total.

In the last fiscal year, the company invested Eur 134 million in research and development.

Friedrich Schwarz explains why he maintains a presence in Germany: "I have never been among those who malign having a presence in Germany".

"As a company with a strong focus on research and development, we can recruit excellent employees from renowned German universities for engineers".

"This means that we also profit from our presence in Germany".

Back to top