Eagerly awaiting that 5pm release time for our companies, I jumped on my laptop ready to reveal my firm. Scrolling and scrolling, looking for my name, I’m finally there. But I’m not instantly satisfied or relieved.
Have you ever heard of Thyssenkrupp? Neither had I…
I began my research, heading straight for those annual reports. Having no experience with financial statements I was a little lost for what I was actually looking for. I reached out a combination of comments on Facebook and Martin’s feedback was able to point me in the right direction (reminding me again of the importance/usefulness of interacting with others). After flipping from year to year trying to pick up on any major increase or decrease that was going to give me something to report on, I learnt a little about the firm and the dramas it faced at the end of the 2017/18 financial year. But first…
Thyssenkrupp is a large German steel conglomerate that provides engineering service to multiple industries internationally. These industries include; mining, automotive, aerospace, chemical and more. I was most intrigued to find out about their elevator technology. One of their company statements is to design and deliver innovative passenger transportation solutions that make cities the best ever places to live. The Daily Records lists Thyssenkrupp as the 5th best elevator manufacturing company in the world. Quite impressive really.
So why is it that my financial statements, news articles and stock returns do not reflect this highly appraised position?
The end of the 2017/18 financial year saw the CEO and supervisory board chair resign from Thyssenkrupp after disappointing figures were revealed in its annual report. Management team attempted to fill the CEO position but encountered several rejections (how loud are those alarm bells ringing!?). EVENTUALLY the board decided to temporarily place current CFO Guido Kerkhoff as acting CEO, who they admit was not their first preference. So how long will Guido last? We’ll have to wait and see…
Indulging further, a lot of hype has been given to the joint venture set to take place between Thyssenkrupp and India’s Tata Steel. Will this pull Thyssenkrupp out of trouble? The company have high expectations for its figures in the future once the merger takes place. But for now, investors are probably as confused as I am about Thyssenkrupp’s future.
Back to Business 