SGS 2022 full year results

January 26, 2023

SGS reports its 2023 results with income of 6.6bn CHF, up 3.7% (6.8% at constant currency), noting that ‘mid to high-single digit growth achieved across all divisions.’ Organic growth was 5.8% (constant currency).

On geographical performance, SGS states that, ‘Strong organic growth was achieved across our global network. It was particularly good in Asia and the Americas, despite the Covid related impact in China; excluding China all major North East Asian affiliates grew in double or high-single digits.’

The increased importance of sustainability solutions was seen by, ‘Over 47% of Group revenue now is part of our Sustainability Solutions Framework’

Within the overall results, the Knowledge division saw growth of 8.7% (constant currency), 5.4% actual to 669m CHF. This was all organic growth.

SGS comment on the Knowledge performance of, ‘ solid growth across all strategic business units and in all geographies.

Management System Certification organic growth was strong, ahead of the market. Food certification delivered strong growth across all geographies, while medical devices and information security services grew in double digits.

Customized Audits grew organically below the divisional average. Second party audit work was impacted by restrictions in China. This was compensated by double-digit growth from social audits, across all geographies, and ESG services.

Consulting grew at a materially higher rate than the divisional organic average. This was primarily driven by the very strong performance of SGS Maine Pointe, which benefited from strong demand for supply chain optimization and performance improvement services.

Academy organic growth was slightly below the divisional average driven by the resumption of training programs and a return to classroom-based training, especially in Asia.’

The full SGS report on their 2022 results is available here.