Waiblingen, 4/26/2022 | Company press release
The STIHL Group achieved record revenue of 5.06 billion euros in the 2021 fiscal year. This corresponds to an increase of 10.4 percent year-on-year. If currency effects are excluded, revenue would have grown by 12.3 percent. The group, whose parent company is headquartered in Waiblingen (Germany), generated 90 percent of its revenue outside Germany. “2021 exceeded our expectations. We not only achieved a sales and production record, but for the first time in our 96-year company history we exceeded the 5-billion-euro revenue mark – despite enormously challenging framework conditions,” stressed Chairman of the STIHL Executive Board Michael Traub at the company’s balance sheet press conference on April 26, 2022. Although worldwide supply chain disruption and severe material, capacity and staff shortages made market supply significantly more difficult, STIHL was able to continue producing at high capacity through anticipatory planning, thereby supplying customers with STIHL products to the best possible extent. “The new records we achieved for revenue, sales, and production in 2021 are a testament to the outstanding team performance and the huge amount of dedication and flexibility shown by our workforce. They have achieved the impossible,” explained the Executive Board Chairman. The Group’s headcount also increased to a record level. As at December 31, 2021, the STIHL Group had 20,094 employees worldwide, equating to growth of 10.4 percent year-on-year.
The gardening and DIY trend – whereby customers spending more time in the home and garden are seeking to make their spaces “oases of wellbeing” and purchasing high-quality gardening products to do so – continued in 2021. Many customers, particularly in Western Europe and North America, have discovered new scope for designing their green spaces. As a result, there was particularly high demand for premium, user-friendly products that further contribute to the feel-good factor in people’s homes and gardens. Countless product innovations and favorable weather conditions bolstered sales elsewhere in the world too. Online sales also saw significant growth. Demand for both consumer and professional products increased across all regions. Overall, the trend towards cordless power tools continued last year. This applies in particular to the consumer segment in Western industrialized countries. However, demand among professional users for high-performance cordless power tools also increased. At the same time, demand for STIHL gasoline-powered products remained high, with year-on-year sales in this segment also increasing. “These figures illustrate that our customers still regard both drive types as relevant. “That’s why we will continue to invest a great deal in the future-focused cordless segment and expand our product portfolio without compromising even a millimeter on our gasoline products,” Traub said.
In many markets, STIHL would have been able to sell even more power tools if global supply chains had been intact. Production at all locations around the world was running at full capacity to match strong global demand. The Chairman of the STIHL Executive Board emphasized: “We are doing everything in our power to ensure that our customers continue to be supplied with our products to the best extent possible. However, it is simply not possible to reliably predict product availability in light of current events. Problems caused by existing tensions in supply chains will only be further exacerbated by the war in Ukraine.”
The STIHL Group invested a total of 331 million euros in 2021; 16.9 percent more than in the previous year. Of this amount, 91.8 percent was attributable to international production companies. “The effects of the coronavirus pandemic have once again shown how important flexible and resilient production and logistics chains are. In 2021, we made unplanned investments of several hundred million euros in our global production sites for the procurement of additional machinery and systems to make the international STIHL production network even more responsive moving forward and to meet persistently high global demand for products,” commented the STIHL Executive Board Chairman. The biggest investments were in cylinder production in Brazil, three-part bar production in the USA, chain production in Switzerland, and the production of crankshafts and plastic in Germany. Production operated 24 hours a day at several sites.
In the German market, STIHL achieved an increase in unit sales and revenue in 2021. Demand was high among professional users in forestry, construction, horticulture, and landscaping, as was demand among domestic customers. The continuing trend toward spending more time at home and investing in home and garden maintenance contributed here. The STIHL online store also recorded increases in the German market. In the past year, strong product demand came up against ongoing difficulties in the supply situation, which further intensified in the first quarter of this year due to the geopolitical situation. As a result, STIHL dealers and customers alike were forced to wait – in some cases for a significant amount of time – for ordered products.
ANDREAS STIHL AG & Co. KG, the German parent company, was able to continue its growth course in 2021 and achieved record revenue of 1.59 billion euros. This figure equates to revenue growth of 15.2 percent compared to the prior year. The number of employees rose by 9.2 percent year-on-year, to 5,748 as at December 31, 2021. Of this number, 4,094 worked in Waiblingen, 427 in Fellbach, 254 in Ludwigsburg, 896 in Weinsheim, and 77 in Wiechs am Randen.
In the midst of the coronavirus pandemic, STIHL set an important course in concluding an agreement to safeguard jobs and operations (BuS-Vertrag) until 2025. With this agreement, the family-owned business guarantees workers at the parent company continued employment, as well as financial support for basic and further training and further qualification. Investments of 200 million euros in buildings and machinery are also part of the agreement. Chairman of the Executive Board Michael Traub underlined: “STIHL is currently in the midst of a transformation from being a mechanical engineering company to a mechatronics and software specialist company. “The agreement to safeguard jobs and operations is an important foundation on which we will be able to shape and realize change and innovation over the next few years.” To ensure it can play an active role in shaping this transformation, STIHL is also continuing to invest in the IT infrastructure concentrated at the parent company, as well as in research and development. It is engaging intensively with future-focused business areas such as batteries, electronics, robotics, artificial intelligence, and e-commerce. The STIHL parent company is currently advertising more than 200 vacancies for this purpose. Candidates sought include experts in electrical engineering, robotics, software engineering, mechatronics, embedded systems, and information technology.
“At STIHL, the focus is on people,” emphasized Michael Traub. “This also applies to our product development, which we consistently align with our customers’ requirements. That is why I am happy to see the launch of so many new products since the start of 2022 that make it easier for people to work in and with nature.” More product innovations will be released in the near future.
The STIHL AP cordless power system for professionals, which already encompasses a dozen different applications and over 30 power tools, has had several products added to it.
The STIHL AK cordless power system, which is designed for domestic users and semi-professionals, has been expanded with another new tool in addition to the 12 it already includes. With a total length of 280 centimeters, the STIHL HTA 50 cordless pole pruner, which will be available starting in May 2022, can be used to perform maintenance on ornamental and fruit trees while standing firmly on the ground. It comes as standard with the same STIHL 1/4" PM3 saw chain which makes STIHL pole pruners for professionals so exceptional; teamed with a high-performance, quiet engine, the power tool enables swift work progress and a clean cutting pattern. Depending on the type of wood, branches with a diameter of up to 25 centimeters can be cut with precision.
A new product has been added to the STIHL AS cordless power system range alongside the two existing bestsellers – the STIHL GTA 26 garden pruner and the STIHL HSA 26 shrub shears – in the form of the new STIHL SEA 20 cordless handheld vacuum. This handy machine is one of the most powerful handheld vacuum cleaners in the 10.8 V class. It is perfect for cleaning small areas thanks to its impressive suction power and extensive range of standard equipment.
STIHL is also presenting additional products in the gasoline-powered segment:
The new STIHL COLLECTION is now available in the Brand Shop, right on time for the start of the 2022 outdoor season. Relaxed fits, functional design, and earthy, natural colors – such as cotton jackets inspired by the workwear trend and cool T-shirts for young and old alike – are the hallmarks of the new collection. The next generation also gets their money’s worth: The new toy chainsaw with the look and feel of the innovative STIHL MS 500i playfully reproduces all the functions of the grown-up one, from the moving, replaceable chain and LED operating display to the new bar design.
After the competition calendar was derailed by the pandemic in 2020, and with 2021 seeing only a partial return to normality, the 2022 highlight events in sports lumberjacking will finally take place in front of big crowds again, with the World Trophy scheduled as well as the individual and team championship. The World Trophy will kick off the international season on May 28, 2022, on Rathausplatz in the heart of Vienna, Austria; the rookie world championship will take place one day earlier. The final event of the season will be held on October 28 and 29, 2022, in Gothenburg, Sweden, with a team world championship featuring over 100 athletes scheduled to take place for the first time in two years. Other international competitions in 2022 include the European Trophy in France and the European Nations Cup in Switzerland.