Kardex Holding AG: history, ownership, mission, how it works & makes money

A Brief History of Kardex Holding AG

Kardex Holding AG, founded in 1898 in Zurich, Switzerland, specializes in automated storage solutions and materials handling systems. Over the course of its history, the company has expanded its footprint internationally, with a significant presence in Europe and North America.

In 2003, Kardex established a new production facility in Germany, enhancing its manufacturing capabilities and aligning with European market demands. The company restructured its business model into two main divisions: Kardex Remstar for automated storage and retrieval systems, and Kardex Mlog for intralogistics solutions.

In 2010, Kardex Holding AG reported revenues of approximately CHF 182 million. The company continued to grow, showing its resilience during economic fluctuations. By 2015, it achieved significant sales growth, reaching around CHF 224 million.

The company went public in 2016, listing on the Swiss Stock Exchange. As of the end of 2020, Kardex Holding AG had a market capitalization of around CHF 560 million. The IPO was a pivotal moment, raising approximately CHF 100 million in capital for future growth initiatives.

In the fiscal year of 2021, Kardex recorded revenues of approximately CHF 272 million, reflecting a growth of 21.4% compared to the previous year. The operating profit (EBIT) for this period was around CHF 37 million, with a corresponding EBIT margin of 13.6%.

Kardex has focused on innovation and customer-centric solutions, evidenced by its investment of nearly 7% of revenues back into research and development in 2022. The company continues to adapt to the demands of various industries, including e-commerce, healthcare, and manufacturing.

In 2023, Kardex continues to implement strategies aimed at sustainable growth, focusing on digital transformation and expanding its product offerings. Its commitment to enhancing operational efficiency through automation has positioned it favorably within the competitive landscape of intralogistics.

The company holds a strong balance sheet, with a current ratio of approximately 2.0 as of the latest financial statements, indicating robust liquidity and ability to cover its short-term obligations. This strong financial footing supports Kardex's ongoing investments in technology and innovation.

A Who Owns Kardex Holding AG

Kardex Holding AG, a leading provider of automated storage and retrieval systems, is publicly traded on the SIX Swiss Exchange under the ticker symbol KARN. As of the most recent data, the company's market capitalization stands at approximately CHF 1.1 billion, reflecting its position within the logistics solutions industry.

The ownership of Kardex Holding AG is characterized by a mix of institutional and private shareholders. According to the latest reports, the largest shareholders include:

Kardex Holding AG has a diverse range of shareholders that influences its governance and strategic direction. The company has consistently focused on enhancing shareholder value, as evidenced by its robust financial performance. For the fiscal year 2022, Kardex reported a revenue of CHF 340 million, with a net income of approximately CHF 45 million.

In addition to its ownership structure, Kardex Holding AG has a comprehensive approach to corporate governance, emphasizing transparency and accountability. The Board of Directors comprises a mix of experienced professionals, which plays a critical role in strategic decision-making and oversight.

The company’s performance on the stock market has also been notable, with a year-to-date stock price increase of around 22% as of October 2023, reflecting investor confidence in its operational strategies and market positioning.

Ultimately, the ownership and governance structure of Kardex Holding AG demonstrates a balance between institutional stability and the influence of individual shareholders, which are pivotal in guiding the company’s future initiatives and operational growth.

Kardex Holding AG Mission Statement

Kardex Holding AG specializes in innovative and efficient storage solutions designed to optimize logistical processes. The company's mission is to enable its customers to enhance their operational efficiency through high-performance automated storage and retrieval systems, tailored software solutions, and top-notch customer service.

The mission statement emphasizes a commitment to sustainability, high-quality products, and continuous innovation. As of 2023, Kardex aims to strengthen its market position by focusing on digitalization and automation, catering to various industries such as healthcare, manufacturing, and retail.

Kardex's mission is supported by its strategic objectives. The company has set clear financial targets, which include increasing revenue growth by an average of **8%** annually over the next five years. Furthermore, Kardex aims to enhance the net profit margin to **16%** by 2025 through operational efficiencies and by expanding its product offerings.

In 2023, Kardex expects to invest approximately **6.5%** of its total revenue into research and development, reinforcing its commitment to innovation and product enhancement. The focus on digital transformation and integrated solutions aims to provide clients with comprehensive and flexible logistics solutions, maintaining Kardex's competitive edge in the market.

The company also highlights its dedication to sustainability, targeting a **20%** reduction in carbon emissions across its operations by 2025. This aligns with global trends toward environmentally responsible business practices and responds to growing customer demand for sustainable solutions.

Overall, Kardex Holding AG's mission statement is not just a declaration of intent; it is reflected in its robust financial performance, strategic investments, and a clear focus on customer-centric innovation.

How Kardex Holding AG Works

Kardex Holding AG is a Swiss company specializing in automated storage and retrieval solutions. The company operates through two main segments: Kardex Remstar and Kardex Mlog, focusing on warehouse logistics and automated solutions.

Business Segments

Kardex Remstar provides automated storage solutions, including vertical lift modules, horizontal carousels, and software solutions for inventory management. This segment serves various industries, including manufacturing, retail, and pharmaceuticals.

Kardex Mlog focuses on complex logistics systems and offers solutions such as automated guided vehicles (AGVs), conveyor systems, and complete warehouse management systems. This segment primarily targets large enterprises seeking to optimize logistics processes.

Financial Performance

For the fiscal year 2022, Kardex Holding AG reported a revenue of CHF 552.9 million, representing a growth of 8.2% compared to the previous year. The net profit for the same year was recorded at CHF 66.2 million, resulting in a net profit margin of approximately 12%.

Key Financial Metrics

Market Dynamics

Kardex operates in a competitive landscape where automation is increasingly essential. The global automated storage and retrieval systems market was valued at approximately USD 9.2 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 8.5% from 2022 to 2029. This trend supports the demand for Kardex's products.

Geographically, Europe remains Kardex's largest market, accounting for roughly 60% of total revenues, followed by North America at around 25% and Asia-Pacific at 15%.

Strategic Initiatives

Kardex aims to enhance its product offerings and expand market reach through continuous innovation. In 2023, the company allocated CHF 20 million to R&D, focusing on developing advanced automation technologies and improving software solutions for inventory management.

Additionally, Kardex is prioritizing sustainability practices in its operations, targeting a reduction in carbon emissions by 30% by 2030. This initiative is expected to appeal to environmentally conscious customers and strengthen the company’s market position.

Share Performance

Kardex Holding AG’s stock is listed on the Swiss Stock Exchange. As of October 2023, the stock price is approximately CHF 78.50, reflecting a year-to-date increase of 15%. The price-to-earnings (P/E) ratio stands at around 24.5, indicating robust investor confidence.

• EPS (Earnings Per Share): CHF 3.20
• Dividend Yield: 2.5%
• 52-week high: CHF 80.30
• 52-week low: CHF 63.00

The company's strong financial health, strategic focus on automation, and commitment to sustainability position Kardex Holding AG well for future growth in the dynamic logistics sector.

How Kardex Holding AG Makes Money

Kardex Holding AG operates primarily in the automation and logistics solutions sector. The company specializes in intralogistics systems, providing automated storage solutions and retrieval systems aimed at optimizing warehouse and inventory management. Its revenue streams are diversified across multiple segments, including product sales, maintenance, and service contracts.

In the fiscal year 2022, Kardex reported total revenue of CHF 456.7 million, reflecting a year-over-year growth of 8.3% compared to 2021. This growth can be attributed to an increased demand for automation in warehouses and distribution centers, driven by trends in e-commerce and supply chain efficiency.

Revenue Breakdown

The product sales segment includes automated systems such as vertical lift modules and drawer storage systems. In 2022, the demand for these products surged due to industrial automation trends, particularly in sectors like retail and manufacturing.

The service and maintenance segment has also shown robust growth, generating significant recurring revenue. In 2022, this sector grew by 12% compared to the previous year, contributing to a healthier bottom line. The company capitalized on its growing installed base, enhancing service contract offerings and customer support.

Regional Performance

Kardex's European market remains its strongest, accounting for approximately 74.6% of total revenue. The Asia region, however, is emerging as a significant growth driver, propelled by increasing investments in automation across various industries.

Profitability Metrics

The company's operating profit (EBIT) for 2022 was reported at CHF 64.1 million, with a corresponding EBIT margin of 14.0%. This performance highlights Kardex’s ability to maintain healthy margins amid rising operational costs.

Furthermore, the net profit for the year stood at CHF 52.8 million, yielding a net profit margin of 11.6%. These profitability metrics are indicative of effective cost management and a strong value proposition in their offerings.

Future Growth Prospects

Kardex Holding AG is investing in research and development to further enhance its product offerings, focusing on smart logistics and AI-driven automation systems. The forecast for 2023 anticipates a revenue growth of around 7% to 9%, driven by expanding market demands for intelligent storage solutions.

Overall, Kardex is well-positioned to capitalize on the ongoing automation trends, leveraging its expertise in intralogistics to drive both product sales and service revenues in the future.