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Evoqua restructures as preliminary 2018 results disappoint
NEWS/IN BRIEF
Almatec relocates to new HQ in Duisburg
A
lmatec Maschinenbau GmbH, part of PSG, a Dover company and manufacturer of air-operated double-diaphragm (AODD) pumps and Quattroflow quaternary diaphragm pumps, has moved into its new corporate headquarters in Duisburg, Germany. The new base will provide approximately 70% more space, including a much larger manufacturing facility and a state-of-the-art ISO Class 7 cleanroom, for the growing business. “This move is a big milestone for our company, employees and customers will all benefit from the opportunities this new facility provides,” said Rainer Wulf, managing director of Almatec. “Our company is growing, and we plan to continue this growth into 2019 and beyond. With our new headquarters, we now have a suitable location to support that growth. In addition, the significantly larger space provides current and future employees with an attractive working environment that will provide ample opportunities for collaboration and innovation.” With 1600 sq m of office space and 3750 sq m of manufacturing floor space, Almatec’s new location nearly doubles the company’s previous manufacturing footprint. The new space has also been designed to increase efficiency for all departments. “The new manufacturing space will allow us to increase our production capabilities and meet the demand of increasing orders from customers around the world,” added Wulf. “Our team is excited about the growth we’ve been experiencing, and this expansion shows a commitment to build on our team’s successes and keep our momentum going strong.” For further information, visit www.psgdover.com, www.almatec.de and www.quattroflow.com
Evoqua restructures as preliminary 2018 results disappoint
E
voqua Water Technologies Corp has moved from a three-segment
November 2018
structure to a two-segment operating model effective 1 October 2018. The Municipal services business and the Industrial segment have been combined into a new Integrated Solutions and Services segment which is focused on engaging directly with end users. The Products segment and Municipal products businesses have been combined into a new segment called Applied Product Technologies. This segment is focused on developing product platforms to be sold primarily through third party channels. “This two-segment restructuring allows divisions with similar business models to be aligned and in some instances combined,” said Evoqua CEO Ron Keating. “By aligning complementary go-to-market strategies, we expect to improve technology deployment and provide more comprehensive customer solutions while lowering our cost structure.” The restructure was announced as the US water technology company unveiled preliminary results for the full-year fiscal 2018 which were below previous expectations. Evoqua now expects its revenues for the year ended 30 September 2018 to be US$1.33 billion–US$1.34 billion, an increase of approximately 7–7.4% on 2017 compared with a prior expectation range of US$1.34 billion–US$1.37 billion. The company also expects full-year 2018 adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) to be US$213 million–US$217 million, an increase of 2.6–4.5% over the previous year. The prior adjusted EBITDA expectation range was US$235 million–US$245 million, which would have been an increase of 13–18% over 2017. “As we evaluate our preliminary results, we are disappointed with our fullyear performance,” said Keating. “Our challenges were primarily concentrated in the Product segment’s aquatics business and the Municipal segment. These combined shortfalls are primarily due to acquisition system integration issues, supply chain disruptions influenced by tariffs and an extended delay on a large aquatics project. The majority of our businesses are performing in-line with expectations.” Evoqua expects to incur restructuring charges of US$17 million–US$22 million through the implementation of the twosegment structure and related footprint rationalisation over the next two fiscal years. For further information, visit www.evoqua.com
In Brief • Italy’s Zenit Group has opened a production plant in Chengdu, Sichuan Province, China, 11 years after setting up Zenit Pumps Suzhou (ZPS). Zenit Pumps Chengdu Co Ltd (ZPC) will be a sales and production base, manufacturing glass reinforced plastic prefabricated pumping stations and stainless steel grease separators. www.zenit.com • The German plunger pump company Uraca GmbH & Co KG is making its 125th anniversary this year. Founded in 1893 as a mechanical workshop, today Uraca designs and manufactures plunger pumps and high-pressure cleaning systems. Uraca currently has annual sales of around E70 million, with exports accounting for more than 60% of turnover. The company recently expanded its high-pressure cleaning product line with the acquisition of Dynajet (see Pump Industry Analyst, October 2018). www.uraca.com • Xylem Inc is partnering with the Cityzens Giving annual charitable campaign, a Manchester City Football Club global community initiative which helps young leaders around the world change lives through the power of football. Xylem will support a Cityzens Giving project focused on improving access to safe, clean water for over 5000 children in Bangalore, India. The project combines Xylem’s expertise in building water towers and the unique power of football to provide education on water and sanitation. Now in its fifth year, the Cityzens Giving initiative gives fans the opportunity to vote for how £400 000, donated by City Football Group and its partners, should be shared across six urban football projects. Over the course of a six-week campaign, fans will be asked to vote for the one that resonates most with them. The more votes a project gets, the greater amount of funding it will receive. Fans can vote for their preferred cause at www. mancity.com/cityzensgiving. Earlier this year, Xylem entered into a global multiyear partnership with English Premier League Champions Manchester City to become the football club’s official water technology partner (see Pump Industry Analyst, July 2018). www.xylem.com
Pump Industry Analyst
3
Almatec relocates to new HQ in Duisburg
A
lmatec Maschinenbau GmbH, part of PSG, a Dover company and manufacturer of air-operated double-diaphragm (AODD) pumps and Quattroflow quaternary diaphragm pumps, has moved into its new corporate headquarters in Duisburg, Germany. The new base will provide approximately 70% more space, including a much larger manufacturing facility and a state-of-the-art ISO Class 7 cleanroom, for the growing business. “This move is a big milestone for our company, employees and customers will all benefit from the opportunities this new facility provides,” said Rainer Wulf, managing director of Almatec. “Our company is growing, and we plan to continue this growth into 2019 and beyond. With our new headquarters, we now have a suitable location to support that growth. In addition, the significantly larger space provides current and future employees with an attractive working environment that will provide ample opportunities for collaboration and innovation.” With 1600 sq m of office space and 3750 sq m of manufacturing floor space, Almatec’s new location nearly doubles the company’s previous manufacturing footprint. The new space has also been designed to increase efficiency for all departments. “The new manufacturing space will allow us to increase our production capabilities and meet the demand of increasing orders from customers around the world,” added Wulf. “Our team is excited about the growth we’ve been experiencing, and this expansion shows a commitment to build on our team’s successes and keep our momentum going strong.” For further information, visit www.psgdover.com, www.almatec.de and www.quattroflow.com
Evoqua restructures as preliminary 2018 results disappoint
E
voqua Water Technologies Corp has moved from a three-segment
November 2018
structure to a two-segment operating model effective 1 October 2018. The Municipal services business and the Industrial segment have been combined into a new Integrated Solutions and Services segment which is focused on engaging directly with end users. The Products segment and Municipal products businesses have been combined into a new segment called Applied Product Technologies. This segment is focused on developing product platforms to be sold primarily through third party channels. “This two-segment restructuring allows divisions with similar business models to be aligned and in some instances combined,” said Evoqua CEO Ron Keating. “By aligning complementary go-to-market strategies, we expect to improve technology deployment and provide more comprehensive customer solutions while lowering our cost structure.” The restructure was announced as the US water technology company unveiled preliminary results for the full-year fiscal 2018 which were below previous expectations. Evoqua now expects its revenues for the year ended 30 September 2018 to be US$1.33 billion–US$1.34 billion, an increase of approximately 7–7.4% on 2017 compared with a prior expectation range of US$1.34 billion–US$1.37 billion. The company also expects full-year 2018 adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) to be US$213 million–US$217 million, an increase of 2.6–4.5% over the previous year. The prior adjusted EBITDA expectation range was US$235 million–US$245 million, which would have been an increase of 13–18% over 2017. “As we evaluate our preliminary results, we are disappointed with our fullyear performance,” said Keating. “Our challenges were primarily concentrated in the Product segment’s aquatics business and the Municipal segment. These combined shortfalls are primarily due to acquisition system integration issues, supply chain disruptions influenced by tariffs and an extended delay on a large aquatics project. The majority of our businesses are performing in-line with expectations.” Evoqua expects to incur restructuring charges of US$17 million–US$22 million through the implementation of the twosegment structure and related footprint rationalisation over the next two fiscal years. For further information, visit www.evoqua.com
In Brief • Italy’s Zenit Group has opened a production plant in Chengdu, Sichuan Province, China, 11 years after setting up Zenit Pumps Suzhou (ZPS). Zenit Pumps Chengdu Co Ltd (ZPC) will be a sales and production base, manufacturing glass reinforced plastic prefabricated pumping stations and stainless steel grease separators. www.zenit.com • The German plunger pump company Uraca GmbH & Co KG is making its 125th anniversary this year. Founded in 1893 as a mechanical workshop, today Uraca designs and manufactures plunger pumps and high-pressure cleaning systems. Uraca currently has annual sales of around E70 million, with exports accounting for more than 60% of turnover. The company recently expanded its high-pressure cleaning product line with the acquisition of Dynajet (see Pump Industry Analyst, October 2018). www.uraca.com • Xylem Inc is partnering with the Cityzens Giving annual charitable campaign, a Manchester City Football Club global community initiative which helps young leaders around the world change lives through the power of football. Xylem will support a Cityzens Giving project focused on improving access to safe, clean water for over 5000 children in Bangalore, India. The project combines Xylem’s expertise in building water towers and the unique power of football to provide education on water and sanitation. Now in its fifth year, the Cityzens Giving initiative gives fans the opportunity to vote for how £400 000, donated by City Football Group and its partners, should be shared across six urban football projects. Over the course of a six-week campaign, fans will be asked to vote for the one that resonates most with them. The more votes a project gets, the greater amount of funding it will receive. Fans can vote for their preferred cause at www. mancity.com/cityzensgiving. Earlier this year, Xylem entered into a global multiyear partnership with English Premier League Champions Manchester City to become the football club’s official water technology partner (see Pump Industry Analyst, July 2018). www.xylem.com
Pump Industry Analyst
3