TGW achieves highest turnover in its company history
(Marchtrenk, Austria, 25 September 2020) TGW Logistics Group with its headquarters in Marchtrenk, Austria has successfully closed its 2019-20 financial year (1 July 2019 through 30 June 2020). The turnover of the global leading warehouse automation specialist has grown from 860 million to 960 million US dollars (835.8 million Euro). This number sets a new record for highest turnover in the company's fifty-year history. The number of employees has also significantly increased. The company has grown to 3,667 employees, adding 250 people in the 2019-20 fiscal year. Thus, TGW is continuing the trend of stable growth that we have already seen over the last few years.
In the 2019-20 financial year, the warehouse automation specialist TGW recorded an order intake of 945 million US dollars (822 million Euro) – in Europe, the United States and China. As Harald Schröpf, CEO of TGW Logistics Group, emphasizes,
'Many companies have appointed TGW with the automation of their fulfillment operations over the past financial year – from Urban Outfitters to Zalando or the Austrian fashion retailer Personalshop. We were able to increase our turnover by 16 percent compared to the previous year and closed the year with 960 million US dollars (835.8 million euros) – a new record amount in the history of our company.'
The EBIT amounts to 42.65 million US dollars (37.1 million euros) – after 32.02 US million dollars (27.9 million euros) compared to the previous year. This corresponds to an increase of more than 33 percent. As a foundation-owned company, TGW can never be sold. Entrepreneurial action and social responsibility are inseparably linked at TGW. Two-thirds of profits stay in the company and are reinvested – in our employees, our infrastructure and the innovations of tomorrow. Thus, TGW is a stable business partner and reliable employer. In addition, ten percent of profits go to charitable projects of the Future Wings foundation. These projects focus on comprehensive personal development of children and young people.
TGW is paying a dual employee participation at a total of 4.7 million US dollars (4.1 million euros) to its employees and is doing so for the third time. In the interest of transparency and fairness, all employees receive the same base amount – regardless of whether they work in Austria, China or the U.S.
TGW has grown by approximately 250 employees in the closed financial year. In the current financial year, the warehouse automation specialist is again poised to grow and is searching for employees, mainly in the fields of software, controls and project management. Harald Schröpf says,
'Well-trained, motivated employees are the basis for our success, especially in an industry that is as dynamic and highly innovative as intralogistics. In order to be able to implement our growth strategy successfully, we are planning to expand by more than 400 employees in the current financial year and leap over the 4,000-employee mark.'
E-commerce is experiencing high growth rates in almost all industries – from fashion & apparel, to industrial & consumer goods and even online grocery stores. TGW provides customized solutions for these areas and supports its customers in making their e-commerce business profitable.
eGrocery – the online retail of groceries – has recorded a growth of 350 million orders and a turnover increase of 36 billion US dollars (31 billion euros) in Germany, France, the UK, Italy and the U.S. in this year. Up to 45 percent of this increase will persist even after the coronavirus crisis, according to Bain & Company business consultants. This means that there is enormous potential in online grocery retail worldwide.
The Dutch online grocery retailer Picnic recently appointed TGW with the design & implementation of a highly automated distribution center in Utrecht, NL.
The company was established in 2015 and is one of the strongest-growing players in the eGrocery field. A convenient app allows customers to place orders until 10 p.m. The very next day, emission-free electric vehicles deliver the orders. Relying on its new, highly automated distribution center, Picnic can pick grocery orders for more than 150,000 families per week. Picnic is laying the foundation for the next steps of its growth using the ground-breaking end-to-end fulfillment solution by TGW.
