The Schüco Group generated a turnover of €1.750 billion in the 2019 financial year. Compared to 2018 (€1.670 billion), this represents an increase of almost 5%.
In 2019 an annual average of 5650 staff worked for the Schüco Group. The company employed 3870 people in Germany, 2350 of which were in East Westphalia-Lippe. Almost €48 million was invested in 2019 (compared with around €60 million in 2018). More than €11 million of this went into the extensive construction work to expand the site, which began in 2016. The economic equity of the Schüco Group remains unchanged at around 70%.
Part of the Otto Fuchs Group in Meinerzhagen, Schüco is a family-owned company that develops and sells system solutions made of aluminium, steel and PVC-U for building envelopes. The product portfolio includes window, door, façade, sliding, security, sun shading and ventilation systems, as well as smart building solutions. This is complemented by a 360° cycle of sustainability, machinery for fabrication and a service tailored to customers’ needs. The company also offers digital processes and tools for design, planning, calculating and fabrication, as well as comprehensive consultancy services for construction partners, which include fabricators, architects, specifiers, end customers and investors. The company is active in over 80 countries worldwide.
1. New and renamed companies
On 10 October 2019, Schüco PreFab Solutions KG, Bielefeld, was entered into the commercial register. This subsidiary’s area of business covers the pre-fabrication of assemblies for high-end sliding units. To this end, construction work on the production hall in Paderborn began in September 2019. This was completed in June 2020, with series production set to commence at the start of 2021. €10 million was invested in this project.
2. Development of the business areas
2.1 Metal overall
The Metal division (aluminium and steel) accounted for turnover of €1.485 billion, which is an increase of 5.3% compared to the previous year (€1.410 billion). Steel saw increased demand and double-digit growth in 2019. Overall, the Metal business division achieved double-digit growth in the Netherlands, Latvia, Poland, India, China, the Middle East and North America. The business in Germany increased from €470 million to €530 million (+6.6%).
2.2 PVC-U
The PVC-U division also had a successful year in 2019. With turnover of €272 million, the subsidiary Schüco Polymer Technologies KG in Weißenfels reported growth of 1.5% compared to the previous year (€268 million). The main drivers of growth in the PVC-U business were Norway, Sweden, the Netherlands, Belgium, Poland, Spain and Italy. In Germany, turnover of €108 million was achieved, the same as that of the previous year.
3. Digital roadmap
Schüco is continuing to drive forward the digitalisation of the value chain in the construction industry with the aim of networking all the processes from the design and planning of a building project through to fabrication, installation, use and maintenance as well as recycling.
3.1 Plan.One GmbH
Founded as a start-up in 2017, the company has established itself in subsequent years as the digital source for information relevant to building planning with its search machine and comparison portal. In addition, Gebr. Knauf KG from Iphofen has been involved in the company as a strategic partner since September 2019. As an interactive business intelligence tool, Plan.One enables the digitalisation of work processes and optimises the interaction between architects, developers, manufacturers and contracted companies in the construction industry. www.plan.one
3.2 PlanToBuild GmbH
The second Schüco start-up also focuses on easing workloads through digitalisation. The company was developed out of the operational business with the aim of minimising unnecessary errors on the building site. To this end, two teams in Bielefeld and New York have developed a cross-trade, web-based software solution for effective management of construction projects. From planning through to management, implementation and analysis, PlanToBuild covers all phases of project management and simultaneously enables digital networking and direct communication with all of the key players involved. These include managing directors, workshop and project managers, installers, architects and investors, so they are able to work together seamlessly. www.plantobuild.online
3.3 Partnership with Gira
Gira and Schüco agreed an extensive partnership in 2019 with the aim of networking the smart building envelope with smart control of the building functions and controlling these from a single platform. Through their collaboration, the two companies are laying the foundations for the holistic planning of intelligent buildings. While Gira Giersiepen GmbH & Co. KG from Radeformwald is a specialist in solutions for intelligent building control, the expertise of Schüco lies in the networking of the entire building envelope. The harmonious interplay of both companies’ systems will simplify holistic planning for the architect considerably. www.schueco.de/smartbuilding
3.4 Partnership with KUKA
In April 2019, Schüco announced another strategic partnership with KUKA AG, a leading provider of robotics and intelligent automation solutions based in Augsburg. The aim of the collaboration is the joint development and implementation of automation solutions for window, door and façade production of the future, in order to further increase the competitive edge of Schüco customers through automation.
3.5 Partnership with Renson
The main focus of the partnership with Renson, a ventilation specialist from Belgium, is joint product development which takes account of the integration of sound reduction and air purification as key topics for the future. The first product developed in partnership with Renson was unveiled in May 2019. Schüco VentoTherm Twist is a decentralised, window-integrated ventilation system with incoming air, outgoing air and up to 80% heat recovery. The system can be combined with Schüco aluminium and PVC constructions.
4. Site and reference project expansion
The largest Schüco newbuild and renovation project is the expansion of its Bielefeld site, in which around €95 million is being invested over 5 years. 2018, for example, saw completion of the Schüco Cube (workshop container site) and the car park with a textile FACID façade. Furthermore, the Digital Hub One on Kammerratsheide has enhanced the Schüco campus as a sustainably renovated office building that follows the principles of New Work.
4.1 Renovation and complete refurbishment of Schüco One, Bielefeld
At the start of May 2019, Schüco officially began the building work for the Schüco One newbuild with a symbolic laying of the foundation stone. The Schüco façade that was specially developed for this building is currently being installed. Completion is scheduled for the third quarter of 2021. The Schüco One newbuild will then connect to the existing main building and become the new main building.
4.2 New Schüco Welcome Forum, Bielefeld
Minister President of North-Rhine Westphalia, Armin Laschet, and Schüco CEO Andreas Engelhardt took part in the symbolic ground-breaking ceremony for the Schüco Welcome Forum on 1 July 2019. The new, barrier-free building will be the first port of call in future for up to 25,000 visitors looking to gain an insight into the Schüco world. The current product range will be shown across a large exhibition space; this will include digital support functions throughout the entire value chain. A complete production line will showcase the machinery range which, thanks to the planned large ribbon windows, can also be viewed from the outside as a glazed manufacturing facility. An inviting café with a terrace, as well as versatile conference, sales and presentation spaces, complete the facilities of the new visitor centre. Completion is scheduled for autumn 2021.
4.3 Renovation of Schüco Corporate Services building in Bielefeld
Renovation work on the Schüco Corporate Services building, which is also part of the Schüco campus and lies on the corner of Herforder Straße and Karolinenstraße, started in November 2019. This building will become the new home for staff in the Finance and IT departments, with the move planned for March. The office building will receive a complete facelift: the existing twin-wall façade will be replaced with the new Schüco AF UDC 80 unitized façade. It sets new standards in terms of energy efficiency, design and flexibility.
4.4 Showroom opening in Hamburg
In November 2019, Schüco opened another showroom consisting of exhibition space and offices on the 16th floor of the highest tower in HafenCity with 360° views of Hamburg and the port. In addition to Hamburg and the future Welcome Forum in Bielefeld, Schüco maintains 5 other showrooms across Germany in Berlin, Düsseldorf, Frankfurt, Wertingen and Weißenfels. Architects and investors can also view Schüco products up close in the company’s 14 showrooms around the world: in Beyazköy and Bodrum in Turkey, Espoo in Finland, Bratislava, London, New York, New Delhi, Oslo, Padua, São Paolo and Stockholm as well as Beijing, Shanghai and Shenzhen in China.
5. Sustainability
5.1 Schüco sets out its path towards becoming carbon neutral
For Schüco, acting sustainably also means taking responsibility for social issues. For this reason, climate protection has been an important topic for many years. At the end of 2018, the WWF (World Wide Fund for Nature) and Schüco signed a partnership agreement and in 2019 set ambitious CO2 reduction targets. These will contribute to limiting global warming to 1.5 degrees in line with the Paris Agreement. In concrete terms, Schüco is thereby striving to be carbon neutral across its entire value chain by 2040. To this end, the company is seeking to reduce its absolute CO2 emissions by 30% by 2025 compared to the benchmark year of 2018. The target equally incorporates the emissions from in-house logistics and production (Scope 1), purchased energy (Scope 2) and those from the production of all primary materials, further processing and the use of Schüco products (Scope 3). The absolute reductions in CO2 behind the target have been checked by the SBTi (Science Based Targets initiative) and recognised as scientifically based. This means that they meet the level of decarbonisation stipulated by climate scientists in order to meet the 1.5° limit.
Here Schüco is joining the ranks of pioneering German businesses with climate objectives that are more ambitious than those set by the German government. The basis for this is a neutral carbon footprint across the entire value chain which Schüco has set out in its latest sustainability report – one of the few companies in the construction industry to do so. The main focus is on providing sustainable building solutions with maximum energy efficiency. This approach covers the purchase of specific materials as well as the production of environmentally friendly products that are proven to conserve resources.
5.2 Environmentally friendly use of aluminium
In the Metal division, Schüco is committed as an active founding member of the ASI (Aluminium Stewardship Initiative) to a sustainable aluminium industry and to designing sustainable standards. As an important factor in the supply chain, it also takes its responsibility here very seriously. In October 2019, Schüco became one of the first companies in the construction industry to be certified with the internationally recognised Performance Standard from the Aluminium Stewardship Initiative (ASI). To achieve the Performance Standard, the company gave external auditors an in-depth look at its company management and demonstrated the systems and measures which contribute to environmentally friendly and socially responsible work activities at all of its locations. The focus lay first and foremost on the processes surrounding the use of aluminium in a way which is compatible with the environment, from product development and resource-efficient fabrication to recycling and returning aluminium back into the material cycle. The audit was carried out by GUTcert (part of the AFNOR Group) in July 2019 and found that Schüco fulfilled all the requirements of the catalogue of services for sustainable business activities developed by the ASI.
Aluminium is an important material for Schüco, as it is long-lasting and has a range of uses. These properties are ideal for creating user-friendly, energy-efficient window, door and façade systems with outstanding recyclability – solutions which positively contribute to the ecological balance of buildings. As they meet essential criteria for sustainable construction, aluminium products from Schüco are also used in the context of building certifications such as BREEAM, LEED or DGNB. These independent certificates are becoming increasingly important not only for clients and investors, but also for public procedures for awarding contracts, as they guarantee that buildings retain their value in the long term.
In addition to the positive environmental properties of aluminium during the usage and demolition phases, a holistic view also considers how the material is obtained and manufactured. Here, at the beginning of the value chain, the focus lies above all on protecting the biodiversity of the extraction sites and ensuring that the interests of local communities are taken into account. The use of renewable energies for the processing of the primary aluminium is also an integral part of a responsible aluminium supply chain.
5.3 Recycling of aluminium
Some years ago, the company began to develop products according to the “Cradle-to-Cradle” principle. Building components manufactured in this way can be continually fed back in to the technical cycle as reusable materials after their usage phase. With 45 window, door, façade and sun shading systems currently certified with Silver status and offered to partner companies at no additional cost, Schüco is one of the pioneers of the C2C concept in the construction industry.
According to figures from the A|U|F recycling initiative (Aluminium und Umwelt im Fenster- und Fassadenbau e. V.), in 2019 over 30% of the approximately 100,000 tonnes of aluminium waste material generated from high-rise buildings in Germany each year was recycled into new windows, façades or other aluminium components in accordance with the initiative’s regulations as part of a closed, monitored recycling process. The A|U|F currently has 207 member companies, including system providers like Schüco as well as metal fabricators and design offices. The initiative also relies on eleven environmental partners with over 270 collection points.
5.4 Environmentally friendly use of PVC
VinylPlus® is the sustainability programme of the European PVC industry. It was launched in 2000 under the name Vinyl2010 on the basis of voluntary commitment and has been continually developed ever since in open dialogue with representatives from the industry, authorities, non-governmental organisations, civil society and consumers. VinylPlus® is intended to promote the sustainable production and use of PVC-U across the entire PVC value added chain.
As part of this initiative, Schüco Polymer Technologies KG in Weißenfels is implementing objectives for sustainable raw material procurement, reduced emissions, energy-saving machine technology, sustainable processes and control of material cycles within the company itself. This allowed the PVC-U products from Schüco to meet the exacting criteria of the VinylPlus® Product Label. Schüco was one of the first companies in the industry to receive the award at the start of 2018 and was the first PVC system business to be recertified in January 2020.
Thanks to its positive characteristics, PVC has long been used to produce window and door units – particularly in residential construction. Profiles made from PVC-U have excellent insulation properties and thereby contribute to a positive energy balance for buildings. They also have a very long service life of up to 40 years. This is due in no small measure to the exceptional weathering resistance of PVC. With an excellent range of designs, window and door units made from PVC provide great design freedom. One of the most important properties of PVC window profiles is their recyclability. Rewindo, the recycling initiative of German PVC profile manufacturers, ensures that old PVC-U windows, roller shutters and doors end up in Rewindo partner recycling plants, which separate glass, metal and other materials.
The recycled PVC is then turned into pure PVC granules, which are used to produce new window and construction profiles. Schüco PVC-U systems are recyclable in such a way that they can be easily incorporated into the recycling system. Furthermore, Schüco does not use lead stabilisers in its PVC. The used PVC-U is environmentally friendly and contains calcium/zinc stabilisers instead. Schüco PVC-U systems not containing recycled material are therefore lead-free.
2020 – outlook
Schüco started 2020 in a good position. In Germany, the company saw a positive market environment thanks to the ongoing low interest rates and reported internationally stable markets with potential for growth.
Then came the coronavirus. In fact, the production sites in Weißenfels and Borgholzhausen as well as all areas of logistics are continuing to work unabated, while following hygiene and safety measures, in order to ensure the supply of materials for the many Schüco partner companies. Nevertheless, Schüco is also noticing the impact of the coronavirus pandemic. It initially affected sales and work processes outside Germany in March 2020. Consequently, Schüco first had to accept initial drops in sales around the world, which then reached the German market in April and May.
The situation has not been as bad for Schüco as we first feared – says Schüco CEO Andreas Engelhardt.
He believes that the Group will feel the effects of the coronavirus pandemic for some months yet. In China, Schüco has returned to working at full capacity.
The company is doing all it can to come through this unprecedented situation for its partners and all of its staff. Schüco is currently making use of short-time working in its commercial and technical departments at all Schüco sites in Germany. This is one measure the company is taking in order to tackle the serious economic impact of the virus effectively and protect jobs.
Key construction exhibitions for Schüco such as Fensterbau Frontale in Nuremberg and Light + Building in Frankfurt will not take place in 2020. At the end of April 2020, the company also withdrew its attendance at BAU 2021 in Munich in order to protect visitors and employees. Schüco is now concentrating on working together with its customers to emerge stronger from this crisis. The company will therefore focus on the development of new systems and cross-product projects, which it can use to best support its partner companies.
The entire industry and the German government need to weigh up the coronavirus crisis with its medium and long-term effects against the construction industry and find ways out which are clearly geared towards sustainability objectives. Improvements in energy efficiency aim to make buildings carbon neutral by 2050 at the latest. Building renovations therefore need to be made attractive to owners and seen as a high priority. Politicians are tasked with instigating this. The construction industry needs fast approval processes and reliable framework conditions that ensure planning security. The increase in renovation work necessary for climate reasons will require labour and material capacity. The necessary renovation quota of at least two percent can only be achieved with corresponding planning mechanisms. Simplified, digitalised specifications for tender with the same standard across Germany and taking account of sustainability aspects can support this and have a rapid effect.
