Leading textile machinery manufacturer, Rieter experienced a challenging first half of fiscal year 2025, recording an order intake of CHF 355.4 million. This represents a 12 per cent decline compared to the CHF 403.4 million reported in H1 FY24. The company's revenue also declined significantly by 20 per cent to CHF 336.2 million.
The Machines & Systems Division was particularly impacted, with its order intake dropping to CHF 166.9 million from CHF 211.5 million in H1 FY24. Although demand for machines and systems saw an increase, the closing of orders was severely hampered by uncertainty surrounding customs tariffs and the broader geopolitical and economic situation. Sales for this division also declined by approximately 28 per cent to CHF 144.0 million, as market uncertainties led to project delays for individual customers.
The Components Division faced difficulties as well, generating an order intake of CHF 95.7 million. This division is contending with lower demand for components used in new machines, largely due to cautious investment activity in the market. Its revenue decreased by 10% year-on-year to CHF 113.9 million, with sales of new machine components performing below the previous year, though consumables and man-made fiber related business remained more stable.
In contrast, Rieter's order intake of the After Sales Division increased by 25 per cent to CHF 92.8 million. This growth confirms the success of strategic initiatives, benefiting from heightened sales activities in key target markets like Central Asia and China, alongside the ongoing expansion of its service and repair network. However, the After Sales Division's sales stood at CHF 78.3 million, impacted by lower revenue from new system installations due to the weaker performance of the Machines & Systems Division.
As of June 30, 2025, Rieter reported an order backlog of approximately CHF 510 million.