Page 22 - TM-Aug-11 copy

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THE TEXTILE MAGAZINE
AUGUST 2011
The Rieter Group embarked on
a historic change of course in the
spring of 2011. Shareholders ap-
proved a proposal by the Board of
Directors to separate the group and
for its two divisions engaged in the
textile machinery and the automo-
tive components supply business re-
spectively, to continue in operation as
independent, separately listed com-
panies. Following the completion of
this separation, Rieter has become an
industrially focused supplier of ma-
chinery and components for short
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It pursues the operating business of
the former Rieter Textile Systems Di-
vision through two business groups,
Spun Yarn Systems (machinery) and
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context of this new structure.
Rieter recorded a pleasing trend of
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tinuing the positive development re-
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were again at a high level, totalling
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a decline of 9 per cent compared to
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same period of the previous year,
but is still above the long-term aver-
age. Sales increased by 66 per cent to
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currencies the increase amounted to
73 per cent.
Rieter posted a disproportionately
strong rise in the operating result
before interest and taxes, which in-
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ing margin of 12.8 per cent of corpo-
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positively, rising from 7.5 million
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Excluding capital gains, it amounted
to 8.8 per cent of corporate output.
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diture in the major Asian growth mar-
kets and pressed on with the devel-
opment of products adapted to local
needs in emerging markets.
The markets for textile machinery
and components continued to de-
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levelled off slightly in the second
quarter. Expectations of a further de-
cline in the price of cotton and con-
sequently in yarn increased the pres-
sure on spinning mills’ margins and
liquidity.
In this market environment Rieter’s
intake of new orders remained at a
high level due to its market-oriented
Mr. ERWIN STOLLER
Executive Chairman
COver StOry