Corona easing off slightly: The household appliance industry in Europe is picking up speed again

The Corona situation is gradually easing off. Not only public life is slowly picking up speed again. All the well-known manufacturers of household appliances in Europe are also ramping up their production again.

Compared to the situation before the crisis, manufacturers are starting at 50 - 60 % of capacity and want to ramp up to 80 - 100 % at different speeds. This ramp-up is expected to take place within a few weeks, but some manufacturers are not expecting this to happen until the end of the year. Ultimately, progress will be determined by the purchasing behaviour of consumers. 

So far, we have been able to absorb the slump in sales caused by the crisis - without short-time working - by reducing hours and taking holidays. What happens next depends on how the economy develops after Corona. Currently, the capacity utilization of our production facilities across all locations is only 10 - 20 % below the level before the crisis. 

The situation is currently most difficult at our Mexican location. Due to rigorous government measures, production can only be maintained under difficult conditions. Here we are expecting a considerably greater drop in sales, especially in May.

To protect our employees and their families, we have taken extensive safety measures everywhere. In addition to zoning the company so that employees meet one another as little as possible, we have sent a significant number of employees to work from home. Thanks to our IT, the necessary technical measures could be implemented quickly and this topic is meeting with a good reception on the part of our employees. We also succeeded in obtaining sufficient protective masks, which we were then also able to issue for private use.

All hygiene and precautionary measures are being continued for the time being. In parallel, we are working on a plan to gradually return to normal working conditions. All this in accordance with the plans and recommendations of the Bavarian state government.