Stihl, the renowned chainsaw and garden tool manufacturer, has extended the contract of its CEO, Michael Traub, until 2029. Traub, who assumed the role in February 2022, has shown exceptional leadership, leading to the decision to extend his three-year contract.
The extension comes despite the looming possibility of a sales decline in 2023 for the first time in years. Stihl, however, is quick to point out that external factors, such as the impact of the coronavirus era, are at play. They anticipate growth in the region of 5% for the upcoming year.
In 2022, Stihl achieved record sales of 5.5 billion euros, representing an impressive 8.6% growth. Despite this success, they forecast temporary short-term work in the first months of 2024, especially affecting their magnesium die-casting plant in Weinsheim more than their Waiblingen location.
Stihl expresses concern about Germany's competitiveness, noting that even Switzerland appears more competitive. The family-owned company contributes significantly to Stuttgart's mechanical engineering sector, impacting local news and the regional economy.
Adding enrichment insights - While the base article mentions Stihl's growth and the extension of CEO Traub's contract, it does not provide specific information about the chainsaw market or the vehicle market performance. According to a SWOT analysis, the chainsaw market is projected to grow at a 4.1% CAGR from 2024 to 2032, driven by urbanization and the rise of electric and cordless chainsaws. In the automotive market, a significant decline in China's passenger vehicle retail sales was noted in January 2025 due to factors such as La Niña, vehicle scrappage and replacement subsidy policies, and the termination of the annual policy cycle leading to a pre-holiday surge in sales. However, it's essential to remember that these insights do not explicitly refer to Stihl.
