Financial Results for 2007

Lantek has set a new record, posting a 17% increase in turnover through 2007, as well as enlarging its workforce by 14% and surpassing the 8,000 customers worldwide

For 2008, Lantek aims to increase its turnover by 22% and continue international expansion, opening new offices in Russia and Latin America while reinforcing its presence in the Baltic States, Eastern Europe and the Middle East

Lantek, has reported its financial results corresponding to business 2007. Over this period, the multinational company posted a turnover of 10.2 million Euros, up 17% over 2006. This meets the targets the manufacturer initially set, as well as being one of the sharpest increases in turnover so far recorded since they began selling their product in 1986. These excellent results have also been reflected in the workforce, as Lantek now has a team of 170 professionals, 14% more than at the beginning of 2007, when it had 120 employees.

Lantek’s results have shown record growth in its customer portfolio, which has increased 16% in 2007, surpassing 8,000 customers in over 90 countries worldwide.

An important contributing part of this growth has been the investment in R&D that the firm allocated last year, rising to over 2 million euros. This stands as testimony to the company’s commitment to product development, evidenced by their three development centres in Alava (Spain), India and Poland.

“The assessment we make of the year overall is an extremely positive one. We are wholly satisfied by the results obtained, and especially so when we consider that our targets were highly ambitious”, affirms Alberto Martínez, CEO of Lantek Sheet Metal Solutions. “We have not ceased to grow since we first began trading, both in financial terms and regarding our international presence and our workforce, and that says a lot about our endeavour, as we continue to lead the global market in sheet and section cutting and stamping, as well as consolidating our position in the new markets we are targeting.”

Sharp growth in international business

From the overall business gained by Lantek, 22.5% corresponds to Spain, where 43% of sales stem from contracts signed with new customers, which now exceed 2,200 in this country. It should also be stressed that the share of turnover in the maintenance area has increased by 31%.

The bulk of the business was generated abroad, in keeping with the company’s expansion policy. A breakdown by countries reveals that Lantek’s subsidiaries in Germany, France, Italy, and the United Kingdom, and the recently inaugurated office in Poland, are the ones that have recorded the highest growth.

In turn, the offices of Lantek Germany and Lantek U.K. recorded rises in turnover of 43% and 31%, respectively, duly largely to the boost given to sales by the company’s Lantek Expert III ERP management solution, being one of the main product developments in 2007.

Lantek’s strategy of internationalisation is one of the pillars underpinning its success, as shown by the opening of subsidiaries in Poland, Turkey, Mexico and China, where it opened its third office in 2007.

“These results uphold Lantek’s position as the foremost purveyor of integral solutions within the sheet and section processing sector, both at home in Spain and abroad. In addition to making a powerful entry into new markets in countries in Europe, Asia and Latin America, thereby increasing the number of delegations, we have worked to reinforce those branches we already had. All this has been made possible thanks to the support and commitment of our network of partners and collaborators, which now numbers more than 35 all over the world, and to our R&D policies”, affirms Joseba Pagaldai, International Marketing Director at Lantek Sheet Metal Solutions.

Challenges for 2008

During the course of its Annual International Meeting, which was held at the Technology Park in Alava and attended by Lantek’s board of directors, as well as by senior management teams from the delegations the company has throughout the world, Lantek presented an assessment of 2007, and revealed its strategic lines and business targets for 2008.

The multinational has once again set itself highly ambitious targets. Thus, in terms of turnover, Lantek aims to increase this figure by 22% over the results for 2007.

One of its priorities is to uphold its policy of expansion abroad, whereby it plans to open an office in Russia, as well as extend and bolster its presence in the Baltic States, Middle East and Eastern Europe through distribution agreements. In addition, a new centre for customer support and service is to be opened in Latin America, with all this going on at the same time as it seeks to consolidate its offices in Turkey, Mexico, the Czech Republic and its third office in China.

Elsewhere, Lantek is to focus on driving the marketing of the recently-launched version 27 of its Lantek Expert II software for sheet and section cutting and stamping, as well as of its Lantek Expert II ERP. It will also continue to earmark significant funds for R&D and training, not only to fine-tune its product offer in order to continue providing quality solutions, but also to ensure it has a highly skilled and qualified team of professionals that enable it to provide a service of high value added. In this regard, Lantek plans to assemble a team that is specifically dedicated to this business area.

In turn, the company remains committed to attending exhibitions and events in the machine tool sector, both at home and abroad.

About Lantek

Lantek is a global multinational leader in the development and marketing of integral solutions in CAD/CAM and ERP for the machine tool sector. Its scope for innovation and its firm commitment to internationalisation have meant that Lantek, founded in 1986 in the Basque Country, has become a global benchmark with its Lantek Expert solutions for sheet cutting and stamping. Today, the company has over 8,000 customers throughout the world, with its own offices in Spain (Vitoria-Gasteiz), the United States, Germany, Italy, the United Kingdom, China, South Korea, France, Japan, India, Poland, Mexico, Turkey and the Czech Republic, and a network of distributors that extends its presence to 90 countries worldwide. Its international business in 2007 accounted for 80% of its turnover.

For more information, please visit www.lanteksms.com

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