Note: Unless otherwise indicated, changes in % compared to the previous year are based on organic figures (adjusted for currency effects and acquisitions, divestitures/deconsolidations).




Continued growth momentum across all divisions

Sulzer grew its order intake by 8.9 % to CHF 2’078.8 million in H1 2024, after an order intake growth of 24.1% in H1 2023. Excluding currency conversion impacts, order intake would be CHF 2’167.9 million. Through stringent cost management, order intake gross margin improved by 120 basis points to 34.2%.

Following growth of 25.1% in H1 2023, order intake in the Flow division increased by yet another 6.3%. The Water and Industrial business recorded solid growth of 10.7%, and Energy and Infrastructure orders increased by 1.3% on the back of 84.3% growth in the first half of 2023. The Services division achieved double-digit growth of 12.6% and continues to benefit from market trends in energy efficiency and carbon emissions reduction. Chemtech’s order intake remained robust at 8.3%, after an order intake growth of 25.3% in H1 2023 and reflecting the strong momentum in biopolymers and carbon capture markets. 

Sulzer enters the second half of 2024 with an order backlog of CHF 2’404.3 million (December 31, 2023: CHF 1’946.8 million). Excluding currency conversion impacts, the order backlog would be CHF 2’313.5 million.

Higher sales volume

Sales continued to rise in all divisions, recording double-digit growth of 10.5%, reaching CHF 1’699.3 million in the first half of 2024. Excluding currency conversion impacts, sales would be CHF 1’767.3 million.

Sales in the Flow division rose 11.2%, mainly driven by 32.3% growth in the Energy and Infrastructure business. For the Services division, sales grew by 12.0%, with all three regions and product lines contributing. In Chemtech, sales were up by 7.2%, primarily as a result of solid execution on large orders in the first half of 2024 and continued momentum in the Americas and Asia-Pacific regions.

Increased operational profit

Operational profit increased by 25.9%, reaching CHF 193.5m (H1 2023: CHF 162.4m). Reflecting the higher sales volumes, better margins and continued focus on operational excellence, operational profitability rose 130 basis points to 11.4% (H1 2023: 10.1%).

Operational profitability in the Flow division sharply increased to 9.5% compared with 7.0% in the first half of 2023. The Chemtech division achieved solid operational profitability of 13.2% in the first half of 2024 (H1 2023: 11.7%), up by 150 basis points. In the Services division, operational profitability remained stable at 14.2% in a year-on-year comparison as a result of ongoing investment in its geographic reach and technical capabilities to meet growing demand.

The profitability has increased although additional expenses for the strategic growth and excellence initiatives have been incurred in 2024.

Free Cash Flow

Free Cash Flow decreased to CHF 55.4m compared with CHF 106.6m in H1 2023, mainly driven by increased net working capital levels compared to December 31, 2023, more capital expenditures and higher income tax payments in the first six months of 2024.

Outlook 2024

Sulzer is active in structurally growing markets that are expected to continue growing in 2024. Based on this positive development, Sulzer increased its 2024 guidance for order intake to +9 to 12% (up from +2 to 5%) and for sales to +9 to 11% (up from +6 to 9%). The updated guidance reflects our confidence in Sulzer’s ability to capitalize on our strengths in highly demanding, critical customer applications and on the quality of our business portfolio.

More details on the financial performance can be found here: Midyear Report 2024