The cash register rings at Heckler & Koch. In the first three quarters, net income increased by 70 percent compared to the same period last year.
The arms manufacturer Heckler & Koch operates much more profitably than before. In the first three quarters of the year, net profit soared by 70 percent to EUR 29.1 million compared to the same period last year, as the company in Oberndorf announced. Sales climbed by seven percent to 226 million euros.
Among other things, deliveries of assault rifles to Lithuania, Latvia, Norway and the USA made the cash register ring. “The operational capability of our company is now fully effective,” said company boss Jens Bodo Koch. One is well positioned to cover the increasing demand as a result of the Ukraine war.
Part of the strong profit growth is due to currency effects: the dollar that HK earns in the USA for the sale of assault rifles to the military and pistols for private individuals is worth more in the Black Forest company’s euro balance sheet because of its rise in the exchange rate.
Just a few years ago, Heckler & Koch was ailing, and a tough restructuring course has meanwhile led to unpaid extra work for the workforce. The mountain of debt was dangerously high. In the meantime, however, the situation has improved significantly. At the end of September, financial liabilities were EUR 103.4 million, around EUR 60 million lower than a year earlier. A shareholder loan is now considered equity in the balance sheet.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
