The SMS group has noticed a reluctance among its customers to place orders. It is estimated that order intake in the year coming to a close will total EUR 3.2 billion, putting it below 2011's EUR 3.42 billion. Sales in 2012 are anticipated to reach just above EUR 3 billion (2011: EUR 3.07 billion).
Dr Heinrich Weiss chairman and CEO of the SMS group, stated that "Right now our customers are very reluctant to place orders, not only because of the weak steel market, but also due to the expected effects on the global financial system of Europe's national debt and euro crisis. Originally, we planned an order intake of more than EUR 3.5 billion in 2012. That means capacity utilization in the SMS group next year is set to settle at the lower end of the limit. Currently, the average employment level is secure through to early in the new year.
The recent acquisition of the majority share in Luxembourg company Paul Wurth, a market leader in the construction of blast furnaces, coking plants, and sintering plants, gives SMS an extra order volume of some EUR 500 million.
