Networking company grows nearly 10 percent despite difficult market conditions
LONDON, UK, Tuesday 4th May, 2010—LANCOM Systems, the network specialists from Aachen, Germany, ended fiscal year 2009 with a clear increase in revenues and earnings. Even though the networking market was in marked decline, the company increased sales by nearly 10 percent to EUR 23.8 million, the best result since its foundation in 2002. LANCOM also increased its retail market share for access points and routers to 13 percent (GfK, 2009, sales in Germany), further strengthening its position as the leading German manufacturer of professional network solutions. In total, LANCOM ranks on position number 2 in its home market.
The principle growth motor with a two-digit increase in sales was the Network Connectivity business unit with its VPN routers, gateways, client solutions and a wide range of switches. While revenues remained stable across the board, LANCOM was particularly successful with its large-scale projects involving the networking of hundreds or even thousands of different sites, and also with its enterprise solutions (such as the LANCOM 9100 VPN) launched in 2009.
Another area of significant growth for LANCOM was in its outdoor wireless LAN solutions, which are increasingly being used for the quick and economical provision of high-speed Internet access to areas without DSL coverage. A number of outstanding projects have been implemented, including the full networking of the Balearic island Formentera, a wireless LAN for 20,000 subscribers in the Upper Austrian region of Linz, and the application of WLAN solutions from LANCOM to supply DSL-speed Internet to around 1,750 members of a citizens’ association in Dresden.
"A close understanding of our customers' needs, minimal reaction times, and uncompromising customer service—these elements make up the strategy that convinced so many of our partners in 2009. We have managed to achieve our ambitious growth targets despite a market situation that is very difficult overall," explains Ralf Koenzen, founder and Managing Director of LANCOM Systems. "And our ongoing development in the first quarter of 2010 shows clearly: Our products and solutions—and not least our uncompromising commitment to quality Made in Germany—are well received by our customers, including the international markets."
LANCOM achieved revenue growth not only in the core market DACH (Germany, Austria, Switzerland) but also internationally. The workforce has increased as well: Currently around 122 employees work at the company's main office in Wuerselen near Aachen, Germany.
