Langley said that Manroland Sheetfed had had “a difficult first half” and described customer confidence about new press investments as “remaining subdued across the sector”.
“Currently Manroland’s two principal German competitors have both seen their share price more than halve from around two years ago.
“The situation is widespread, and all the ships are floating equally on the tide,” he said.
Langley Holdings is privately held and not listed on any stock exchange.
Despite the share price decline, both Heidelberg and Koenig & Bauer reported strong business at the recent Drupa show, whereas Manroland Sheetfed chose not to exhibit.
Langley pointed to falling visitor numbers at Drupa and stated: “The cost of exhibiting meanwhile has increased significantly and as part of cost saving measures at Manroland the multimillion attendance cost was axed.”
The company held an open house at its Offenbach facility while Drupa was taking place, with more than 1,000 visitors in attendance.
Langley Holdings’ Print Technologies division also includes Druck Chemie Group, which had a “very good first half” and is on track for another record year.
The overall division made a positive contribution, albeit nominal.
Langley has pledged financial support for Manroland for a further two years.
“Long term fundamentals for the printing industry are positive but the sector is still undergoing huge change,” he said.
“Whereas I do not expect a significant contribution from the Print Technologies Division in the foreseeable future, we do remain committed to the sector and during the period renewed our formal financial support commitment for a further 24 months.”
Langley also said that while last year’s restructuring at Manroland Sheetfed had aligned its cost structure to market levels “further cost saving is required”.
Overall trading in H1 for the group, including its Power Solutions and Other Industrials operations, was satisfactory and in line with expectations.
Sales were down 10.4%% at €523.1m (£446.9m) in the six months to 30 June, while pre-tax profit fell by 16.7% to €43.5m.
The group had net assets of just over €1bn and the order backlog passed €1bn for the first time, with full year targets “realistically achievable”.
Mirko Kern took over as Manroland Sheetfed CEO earlier this year, and Daniel Godbold became the firm’s new UK MD at the beginning of H2.
The Print Technologies division had sales of €331m last year, while overall group turnover was €1.2bn.
At the beginning of 2022 Koenig & Bauer’s share price was €30.90 and is €9.20 today. Heidelberg’s share price was €2.94 back at the start of 2022 and is now at €1.00.
