New Zealand trade sales of Liqui Moly products rose by 110% in 2016, helping the German oil and additive manufacturer increase its total global income to 489 million Euro.
In 2016 Liqui Moly produced almost 80,000 tonnes of lubricants and filled more than 14 million cans. The number of employees increased by 60 to a total of 791.
“They’re the key to our success,” says managing partner Ernst Prost. “You can only do what we’ve done with people who are motivated to move the company forward on a day-to-day basis.”
A big factor in 2016 was the heavily fluctuating oil price, which doubled from January to December.
“This doesn’t make our business any easier,” says Prost. “That’s why our strategy is to pursue sustainable, qualitative growth rather than go for a short-term flash-in-the-pan in terms of sales figures.”
Sales in Germany increased by 7% last year. This was more than expected: in its home market, Liqui Moly has a large and long-established share of the market that is difficult to expand.
The export situation was better, with sales increasing by 15%. This was due to key market increases such as the USA (40% growth) and China (70% growth). Liqui Moly saw a turnaround in its biggest export market – Russia after it collapsed in 2015.
Liqui Moly now generates two thirds of its revenue abroad – and the trend is upward, thanks to 51 employees in the export department.
New Zealand is contributing more and more to the company’s success: sales there increased by more than 110% in 2016. Liqui Moly says it also does well in countries such as Iraq, Algeria and Turkmenistan.
An extensive programme of investment in the oil factory will be completed next year, but plans are already in place for the next multi-million purchase.
Liqui Moly is working on introducing a new company software, and it is also planning to modernize and automate its production facilities.
“Automation is necessary to be able to cope with the increasing demand and relieve our staff of physically very strenuous work,” says Prost. “And it won’t involve cutting a single job: as far as we’re concerned, people always come before machines.”
