Press release 2024-01-23 – Franz Morat Group reports record revenue

The Franz Morat Group once again announces a record result: At around 114 million euros, sales came in about 8% higher than in the previous year. As previously announced, Framo Morat’s takeover of the industrial business of F. Morat was concluded at the turn of the year. A transitional collective agreement associated with the takeover will be established at F. Morat, which will go forward and focus exclusively on the automotive sector.

The Franz Morat Group achieved record revenue once again in the previous fiscal year despite weakening economic activity. Managing Director Gökhan Balkis considers this a satisfying result in light of the current geopolitical and economic backdrops, even if revenue was a little less than 5% below target. “A noticeable wave of uncertainty ran through German industry in the second half of the year. Reduced demand in some markets caused a dip in our incoming orders as well,” Balkis reports.

Balkis predicts that 2024 will be a year of numerous challenges for the German industry. “Forecasts have proven true – the German economy is in the middle of a recession,” Balkis continues. The Managing Director cites multiple primary causes: increasing wages, rising energy costs, the budget crisis, geopolitical tensions, and the continually arising crises worldwide.

Balkis explains, “We have new future-oriented projects going on in kinds of industries and business areas. As such, we consider ourselves to be well equipped for the coming months and year. Still yet, we will closely monitor incoming orders and economic development and will act as needed to avoid a crisis.”

A planned restructuring within the corporate group took effect on January 1, 2024, enabling the group to serve the different requirements of the automotive and industrial sales markets even better in the future. By integrating the industrial business of F. Morat, Framo Morat is expanding its expertise in plastic injection molding technology. Customers will have access to a wider portfolio of products, technologies, and development options that combine the advantages of both plastic and metal. In addition to traditional mechanical and plant engineering, Framo Morat’s industrial target industries include rehabilitation and medical device technology, intralogistics, automation, and robotics as well as energy technology and agricultural technology.

F. Morat, on the other hand, will apply its expertise in developing and producing precision components and systems made from technical plastics, zeroing in its focus on the automotive industry. The organizational reorientation entails adjustments in working conditions for F. Morat employees. Framo Morat has been a member of the employers’ association for years and goes by the collective agreement for the metal and electronics industry agreed upon by Südwestmetall and IG Metall. F. Morat will adopt the individual collective agreements in stages.

Until the collective agreement takes full effect on January 1, 2028, a transitional collective agreement will apply, replacing the in-house collective agreement as of January 1, 2024. F. Morat Council Chair Daniel Schätzle emphasizes, “We are very pleased to have reached an agreement between management and the collective bargaining parties within a short period of time.”

Joachim Gloeden, long-time Council Chair of Framo Morat, also welcomes the organizational changes. He explains, “Industry focus within the Franz Morat Group will set us up on the market even more efficiently in the future and will fortify our market position in the industrial and automotive sectors. We, the Works Council, view industry focus as a new challenge and emphatically support it.”

Kerstin Meindl, the second authorized representative of IG Metall Freiburg, also approves the implementation of the transitional collective agreement. “The transitional collective agreement is the company’s commitment to stand by its employees even in times of change as well as to be an attractive and reliable,” says Meindl. Employers’ association Südwestmetall, also involved in the negotiations, likewise came to a positive conclusion. “Particularly in times of an unrelenting skilled worker shortage, gradual introduction of the collective agreement is both an important step toward strengthening employer attractiveness and a signpost of sustainable employee recruitment and retention,” says Iris Tauth, CEO of the Freiburg regional group.

The workforce was fortified in deliberately selected areas over the past year in order to be ready for the challenges ahead. The Franz Morat Group employs a total of around 700 personnel, 560 of which work at headquarters. The company has always combated the skilled worker shortage by offering internal continuing education opportunities and excellent training programs. Last fall alone, 20 young professionals began their training and studies at the Franz Morat Group. Every one of the previous year’s twelve graduates accepted positions in various business areas.

As is tradition, long-time employees were recognized for their faithful years of service during the end-of-year celebration. Work anniversary honorees Nathalie Kleiser, Mustafa Magidi, Daniel Schätzle, Holger Schwaab, and Stefan Zorko were acknowledged for their 20 years. Jürgen Laule, Giacomo Linke, Franz Löffler, Anita Maier, Martin Rokoschoski, Przemyslaw Smoletz, Paul Springer, Benjamin Straub, Zafer Uysal, Dieter Weißer, and Ilse Wolf were recognized for their 25 years. Stefan Beha has already reached his 30-year anniversary with the Franz Morat Group. Marion Kleiser and Ralf Willmann received the honorary certificate from the state of Baden-Württemberg and the municipality of Eisenbach this year for a proud 40 years of company service.

About the Franz Morat Group:

With 112 years of experience in gear technology and drive engineering, the Franz Morat Group combines expertise in metal-cutting gear technology and plastic injection molding technology under one roof. The traditional company from Eisenbach, Germany has over 700 employees. In addition to its headquarters in the High Black Forest area, it operates subsidiaries in the US, Poland, Mexico, and Türkiye. Framo Morat’s gear sets and drive systems – the majority of which are custom developed – are used in sectors such as mechanical engineering, rehabilitation equipment technology, and intralogistics. F. Morat’s focus is dedicated to plastic components and systems for the automotive industry.

Pictures for web (72 dpi)

Gökhan Balkis, CEO of the Franz Morat Group (Image source: Franz Morat Group)

Handover of the transitional collective agreement to integrate F. Morat into the collective agreement of IG Metall Baden-Württemberg, from left to right: Kevin Maier (Human Resources), Joachim Gloeden (Framo Morat Council Chair), Kerstin Meindl (2nd authorized representative of IG Metall Freiburg), Gökhan Balkis (Managing Director), Daniel Schätzle (F. Morat Council Chair). (Image source: Franz Morat Group)

Franz Morat Group honorees being acknowledged for 25 or 40 years of service, from left to right: Daniel Schätzle (F. Morat Council Chair), Dieter Weißer, Anita Maier, Jürgen Laule, Marion Kleiser, Giacomo Linke, Zafer Uysal, Ilse Wolf, Martin Rokoschoski, Joachim Gloeden (Framo Morat Council Chair), Ralf Willmann, Thomas Andres (Executive Board member), Gökhan Balkis (Managing Director). Not pictured: Franz Löffler, Przemyslaw Smoletz, Paul Springer, Benjamin Straub (Image source: Franz Morat Group)

Pictures for print (300 dpi)

Gökhan Balkis, CEO of the Franz Morat Group (Image source: Franz Morat Group)

Handover of the transitional collective agreement to integrate F. Morat into the collective agreement of IG Metall Baden-Württemberg, from left to right: Kevin Maier (Human Resources), Joachim Gloeden (Framo Morat Council Chair), Kerstin Meindl (2nd authorized representative of IG Metall Freiburg), Gökhan Balkis (Managing Director), Daniel Schätzle (F. Morat Council Chair). (Image source: Franz Morat Group)

Franz Morat Group honorees being acknowledged for 25 or 40 years of service, from left to right: Daniel Schätzle (F. Morat Council Chair), Dieter Weißer, Anita Maier, Jürgen Laule, Marion Kleiser, Giacomo Linke, Zafer Uysal, Ilse Wolf, Martin Rokoschoski, Joachim Gloeden (Framo Morat Council Chair), Ralf Willmann, Thomas Andres (Executive Board member), Gökhan Balkis (Managing Director). Not pictured: Franz Löffler, Przemyslaw Smoletz, Paul Springer, Benjamin Straub (Image source: Franz Morat Group)