Press maker Koenig & Bauer has increased prices in its historic print and packaging segment by three per cent, after reporting that it had returned to profitability in the last quarter.

The increase is disclosed in results for the period in which noted the highest half-year order intake for eight years – up 16.9 per cent to 709.3 million Euros (A$1162 million) – leading to a record 1,121.7 million Euros (A$1.839 billion) backlog.

The report says the three per cent increase was implemented on July 1 to safeguard earnings power in the P&P segment, “compensating for effects exceeding targeted cost reduction measures against geopolitical cost pressure”.

Chief executive Stephen Kimmich said the growth in orders “confirms the traction of our go-to-market strategy.

“With targeted innovations, we are noticeably strengthening our position in our core business. This momentum gives us the scope to continue systematically expanding our competitiveness.”

Optimisation of structural costs remains “a key lever” for increasing resilience and sustainably strengthening the foundation for profitable growth.

Kimmich said the ‘Impact’ strategic framework was actively driving transformation at Koenig & Bauer: “The eponymous acronym bundles the six central fields of action as an integral system – Intelligence, Go-To-Market, People, Adaptability, Competitiveness and Technology – to sustainably secure the operating resilience and long-term competitiveness of the group in a volatile market environment,” says the company statement, adding a small © to indicate it doesn’t want anyone else picking up on its ideas.

Group revenue rose just 1.4 per cent in the half year to 558.2 million Euros (A$915 million), but operating EBITDA improved by 20.5 per cent, even after allowing for costs with the closure of the Albert-Frankenthal plant.

A turnaround in the ‘special & new technologies’ was helped along by a 22 per cent increase in orders, mostly related to ‘banknote solutions’ projects in Africa and Latin America.

“Anyone who predicted the end of cash is being caught up with by reality,” says Kimmich, adding, “Cash is and remains an indispensable store of value and our most reliable safety net in times of crisis or cyberattacks. The fact that even pioneers such as Sweden are now obliging retailers to accept cash again speaks volumes.

“For us, this is clear proof: our highly specialised technologies are more relevant today than ever.”

Peter Coleman

Pictured: Equipment from Koenig & Bauer’s Lausanne-based banknotes solutions division is used to print more than 90 per cent of the world's banknotes