Leverages layoffs to shut down factories “Orality†Osram’s net income for the year is expected to increase
According to the report, since the spin-off from Siemens earlier this year, due to the impact of reconstruction projects and the sale of joint venture stocks, Osram’s net income reached 34 million euros (about 270 million yuan) by the end of September this year. Last year's loss amounted to 391 million euros. Osram is in the midst of a gradual adjustment, slowly transitioning from traditional bulb production to emerging technology production, such as LED products. On November 12th, the company said it had cut 8,700 jobs (about 21% of all jobs), saving a total of 1.2 billion euros.
Reuters pointed out that of the remaining 36 factories in OSRAM, only two factories in Regensburg, Germany and Penang, Malaysia, are producing LED lights. OSRAM will invest more than 100 million euros to open new plants in China to increase its sales in the fast-growing Asian market. At the same time, Samsung Electronics of South Korea and Toyota Synthetic Company of Japan are also actively competing with industry leaders such as Philips, Osram and General Electric.
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