Research and development
In line with the Strategy 2020, the KION Group increased its total spending on research and development (R&D) to €64.1 million in the first half of the year (H1 2014: €59.3 million). This means that 2.6 per cent of revenue was spent on R&D, which is considerably above the industry average. The number of full-time jobs in R&D stood at 1,032 as at 30 June 2015 (31 December 2014: 1,023).
The main R&D projects in 2014 continued during the reporting period. They are described in detail in the 2014 group management report. The areas of focus included reduction of emissions and fuel consumption, the modular and platform strategy, drive technology, automation and networking, and workplace safety and ergonomics.
Following a successful test phase, LMH began to sell its new connect: fleet management system in March. The connect: system provides fleet managers with transparent data on drivers, trucks, their use and their location. It therefore contributes to improved driving safety, better availability and greater productivity.
In cooperation with robotics specialist Balyo, LMH also launched its first automated trucks in the market. Sold under the name ‘Linde robotics’, these trucks are simple to install and have been fitted with cameras that use structures such as walls, racks and arrows to navigate around the warehouse.
STILL is also enjoying success in its work on automation solutions. At the IntraLogisteX trade fair in Coventry, United Kingdom, the KION subsidiary won awards for its iGoRemote system, which enables industrial trucks to be controlled remotely, and for an innovative material flow solution using automated trucks that has been implemented for a customer. Moreover, STILL has been given two International Forklift Truck of the Year (IFOY) awards: firstly for the STILL RX 60-80 and secondly for a system solution for an automated raw materials warehouse. LMH has received accolades from the Fork Lift Truck Association, including one in the safety category for the Linde Safety Pilot.
Both of these KION subsidiaries have also continued to modernise their fleets: LMH has expanded its EVO series to include very small models; STILL has updated and extended its range of pallet stackers. > TABLE 17
Research and development (R&D) |
17 |
|||||
in € million |
Q2 2015 |
Q2 2014 |
Change |
Q1 – Q2 2015 |
Q1 – Q2 2014 |
Change |
Research and development costs (P&L) |
36.7 |
28.7 |
27.7% |
70.7 |
58.2 |
21.5% |
Amortisation expense (R&D) |
–13.2 |
–10.7 |
–23.5% |
–26.1 |
–20.5 |
–27.3% |
Capitalised development costs |
9.9 |
11.9 |
–16.4% |
19.5 |
21.6 |
–9.7% |
Total R&D spending |
33.4 |
29.9 |
11.7% |
64.1 |
59.3 |
8.1% |
R&D spending as percentage of revenue |
2.7% |
2.6% |
− |
2.6% |
2.7% |
− |