Strategy and targets
Sustainable profitable growth as an expert in Photonics
Photonics is a key technology for the 21st century and greatly contributes to increase the efficiency. Within this dynamic environment, we, as an expert in photonics, want to continue our profitable growth and gradually become a global player. We preferably target sectors serving the digital world, healthcare, mobility, safety and infrastructure trends.
Growth strategy ?More Light“
In February 2018 the Executive Board of JENOPTIK AG presented its Strategy 2022. In future, Jenoptik will concentrate on its core competencies of light and optics. It is our goal to develop Jenoptik into a global and focused photonics company over the next five years.
In the future, our activities in the market for photonic technologies will focus on applications in the fields of information processing, intelligent production processes, sensors, metrology, and biophotonics.
The planned evolution will be accompanied by a far-reaching cultural change, which we see as the basis of future success and the attainment of our objectives.
Find out more on our website more-light.jenoptik.com.
Our Strategy 2022 is based on three building blocks – “More Innovation”, “More International”, and “More Focus”.
To implement it,
Our priorities for 2019
- Reorganisation of our corporate structure in accordance with the Strategy 2022
- Realignment of our business in Asia
- Launching a new, independent brand for the mechatronics business
Forecast and targets
With the new organizational structure that came into force in January 2019, we have further improved our market and customer orientation. Business operations within our previous segments were reorganized, and the relevant parts of the operating business have been clustered according to a common understanding of markets and customers based on the same business models. This helps us to bring our products and solutions closer to the customer and opens up improved growth opportunities. The three newly created photonics divisions Light & Optics, Light & Production and Light & Safety build on extensive expertise in optics, sensors, imaging, robotics, data analysis, and human-machine interfaces. In 2018, Jenoptik introduced an independent brand for its mechatronics business from the former Defense & Civil Systems segment. Under the VINCORION brand, customers from the aviation and defense industries can now be addressed in a much more focused manner than before on the basis of mechatronic products and solutions.
Jenoptik sees particularly great potential for future growth in the regions of the Americas and Asia. For further internationalization, we are therefore focusing on these regions. We aim to further expand value creation such as local production, product developments, and research & development. We plan to establish local R+D teams as well as own production on site in all major markets by 2022. In addition, at least one division of the company should be headquartered outside Germany by 2022.
As an innovative high-technology company, identifying customer needs and general trends early on to determine appropriate technology and product developments is of critical importance to Jenoptik. Therefore, we want to increase our R+D investment, including customer-related projects, to a total of approximately 10 percent of revenue by 2022.
Jenoptik intends to continue growing successfully in 2019. The Jenoptik Group anticipates revenue growth without major changes in the portfolio in the mid-single-digit percentage range for 2019. Company is furthermore expecting EBITDA to grow in the 2019 fiscal year; the EBITDA margin is due to come in at between 15.5 and 16.0 percent.
By 2022, revenue is expected to increase in the mid- to high-single-digit percentage range per year on average. The EBITDA margin will also improve to around 16 percent by 2022. Thus, the Group wants to outgrow the market and gain shares in its relevant market segments.