Federal Council takes note of the achievement of RUAG International's objectives in the 2023 financial year
Bern, 20.03.2024 - During its meeting on 15 March 2023, the Federal Council took note of the report by RUAG International Holding AG's Board of Directors on the achievement of objectives in the 2023 financial year. The strategic objectives defined by the Federal Council were achieved to a significant extent, in particular the successful continuation of the privatisation process.
The Federal Council sets four-year strategic objectives for federal enterprises. They must report annually to the Federal Council about the achievement of these objectives. In 2023, RUAG International AG achieved the strategic objectives set by the Federal Council to a significant extent, with reservations regarding the operating results.
Continuation of privatisation
RUAG International has driven forward the privatisation stipulated by the Federal Council, and has carried out new divestments. The foreign sites for the aircraft structures division (RUAG Aerostructures) in Oberpfaffenhofen (Germany) and Eger (Hungary) were sold to the Germany company Mubea at the end of 2023. The sale of the production facilities and the gradual takeover of approximately 230 employees at the RUAG Aerostructures site in Emmen were negotiated with Pilatus. The contract was signed in January 2024. In the 2023 financial year, RUAG International also sold its site in Zurich Seebach to the City of Zurich.
The pending sale of the space business (Beyond Gravity) will complete the privatisation process. This is scheduled to take place before the end of 2025. Thanks to careful preparation of the sales process, the Federal Council expects that the conditions for divesting Beyond Gravity, as set out in RUAG International's strategic objectives for 2024 to 2027 (see press release of 29 November 2023), will be met.
Financial results shaped by sales process
Just as in 2022, the financial results were dominated by divestments. RUAG International's net turnover in the year under review amounted to CHF 620 million (previous year: 945 mn). The decrease was due, in particular, to the divestments carried out in 2022. The operating result (EBIT) was CHF 28 million, and the net profit CHF 1 million. The divestments mentioned above made a significant contribution to the result. By contrast, the operating business posted a negative result. The main reasons were low demand in aircraft structures (RUAG Aerostructures) and the ongoing transformation and development in the space business (Beyond Gravity).
The sales proceeds achieved in the privatisation process to date nonetheless allow a further special dividend to be paid to the Confederation. For the 2023 financial year, a dividend of CHF 150 million is envisaged.
Address for enquiries
Philipp Rohr, Head of Communications,
Federal Finance Administration FFA
Tel. +41 58 465 16 06, kommunikation@efv.admin.ch
Publisher
The Federal Council
https://www.admin.ch/gov/en/start.html
Federal Department of Finance
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