The
investigation was launched following disclosures from internal
whistleblowers. Based on initial estimates, Phoenix Mecano expects a
reduction in earnings in the upper single-digit millions of euros.
Kloten/Stein
am Rhein, 4 July 2022. Phoenix Mecano has opened an internal
investigation into potential irregularities at a US subsidiary involving
certain customer orders, external sales and trade receivables. The
investigation, which is on-going and being assisted by external forensic
experts and lawyers, will focus on transactions between 2018 and this
year. According to preliminary estimates, the Group anticipates a
one-off, non-recurring impact on earnings in the upper single-digit
millions of euros.
The
investigation was launched following disclosures from internal
whistleblowers. The Phoenix Mecano Group encourages its employees to
report potential irregularities and misconduct and has policies in place
for this purpose. It will investigate this matter with all necessary
care and urgency and will be reviewing its processes to further
strengthen its corporate culture of ethical business and responsibility.
Excluding
the findings of this internal investigation, Phoenix Mecano is on track
to achieve its communicated growth targets for sales and operating
result in the current year. Although macroeconomic conditions have
deteriorated noticeably in recent months, the Group's focus on
structural growth markets stabilises sales performance across economic
cycles.
Furthermore,
in recent years Phoenix Mecano's performance enhancement programmes
have identified considerable cost-saving potential, which is now leading
to improved margins, particularly in the industrial business. Phoenix
Mecano will publish further details of its business performance in its
half-yearly results on 11 August 2022.
About Phoenix Mecano
The Phoenix
Mecano Group is a global player in the enclosures and industrial
components segments and is a leader in many markets. Headquartered in
Stein am Rhein, Switzerland, the Group employs around 8,000 people worldwide and generated sales of EUR 817 million
in 2021. It is geared towards the manufacture of niche products and
system solutions for customers in the mechanical engineering,
measurement and control technology, medical technology, aerospace
technology, alternative energy and home and hospital care sectors.
Phoenix Mecano was founded in 1975 and has been listed on the Swiss
stock exchange since 1988.
For more information, please contact:
Phoenix Mecano Management AG
Dr Rochus Kobler, CEO
Lindenstrasse 23, CH-8302 Kloten
Tel.: +41 (0)43 255 4 255
info@phoenix-mecano.com
www.phoenix-mecano.com
