Hirschmann Multimedia BV is an internationally renowned company that focuses on communications and industrial networks for consumers, the business market and (semi) governments.

For example, you know the company through products from your meter cupboard. 

The end products are sold through (i) distribution channels, (e.g Technical Union) (ii) direct sales (eg governments of healthcare institutions) or (iii) a hybrid variant (e.g VodafoneZiggo who is both a distributor and purchases products for its own network).

The product portfolio is broad and diverse. All products and solutions offered are developed at the office in Weesp. There is sound management, stable figures and an established market position.

Hirschmann wants to invest further in the existing products, but also in the new division; Hirschmann Green Connect. The division, which already generates turnover, supplies self-developed CO2-saving products. This includes solutions for lighting or power supplies for companies. The company has a solid go-to-market strategy and a clear focus on producers and target groups.

The order book is in 2^e increased to approximately €2023 million in the quarter of 6,0, including service contracts. These are orders that can be converted into turnover relatively quickly as soon as purchases for these orders are placed, including by using the NPEX bond loan.

Hirschmann products are indispensable in the home and business network. But also in the management and implementation of cable and internet (service) providers, such as strengthening the signal that arrives at the consumer's home.

For example, with industrial solutions, Hirschmann ensures a robust signal on site or in a tunnel. Many assignments are carried out for (semi-)governments and industry. Express your interest by reserving the bonds.

The products and services are divided into five divisions:

1. Hirschmann In-home Multimedia Products, products that can create an optimal wired network in the home. For example, a WiFi solution via wall sockets.

2. Hirschmann Provider Products; development, production and delivery of network products to telecom (service providers, such as VodafoneZiggo).

3. Hirschmann Multimedia Business Solutions; network solutions for hospitals, hotels and recreational parks such as a platform on which live TV, local streams and information are provided on screens supplied by us.

4. Hirschmann Industrial Network Solutions; integration of IP technology within industrial applications and processes. Making network signals more robust for (semi-)governments and industry. Such as remote management of tunnels and bridges.

5. Hirschmann Green Connect; sustainable product solutions, such as smart LED applications for office and street lighting, a home battery and a lithium-free battery that can be used, for example, in emergency lighting (government and hospitals).

Production & Suppliers

Hirschmann often produces the cables together with high-quality partners abroad, such as in Turkey, where a manufacturer produces the cables. They are also working on a party in Germany. The advantage of production closer to home is fast deliveries, lower transport costs and less dependence on the political climate in a country like Turkey. Hirschmann also works with parties in China for the production of printed circuit boards.

The partners may produce the end product or semi-finished products may be assembled in the Netherlands. In Weesp or often in sheltered workshops that Hirschmann collaborates with.

Sustainability, Environmental, Social and Governance

The sustainability aspect is important to Hirschmann. You can also read this in the Information Memorandum. Hirschmann is not only making it more sustainable through innovations, but the necessary actions are also being taken in policy to reduce CO₂reduction.

Vision: “Hirschmann wants to contribute to the preservation and improvement of the environment and is socially involved in encouraging and motivating people with disabilities.”

The assembly or packaging is done by people who are disadvantaged in the labor market in sheltered workshops. NPEX supports companies that pursue sustainable objectives and implement ESG policies. More information ➜

Market developments

End users expect electronics to constantly innovate. As a result, the demand for new products continues. But the demands are increasing. Also in terms of circularity and sustainability. The new division 'Hirschmann Green Connect' is an example of this.

In the industrial sector, the use of products is becoming increasingly important than ownership. This means that business customers are purchasing more and more services and are being relieved of their worries.

The global industrial networking market is growing steadily (with a growth of 8% in 2022, Source: HMS Networks). In the network market, the use of frequencies continues to increase. Due to the increase and volume of data traffic, digital networks are becoming increasingly busy. To prevent a shortage of network capacity in the future, ways must be sought to continue to use the existing infrastructure efficiently and to further share it with a growing number of users.

To guarantee good connectivity, densification of the antenna and cable network is necessary. For example, where previously 20 households were connected to one neighborhood cabinet, Hirschmann sees that it has now been reduced to 10 households. The necessary products are supplied for this. In addition, products must be replaced on average once every five years to keep up with technological developments.

Competitors

The company has several competitors. The biggest competitors are Teleste and Technetix. Siemens is also a major competitor (particularly with regard to industrial networks).

The distinctive character lies mainly in the combination of technologically advanced innovative solutions and the products, which means that customers continue to choose Hirschmann.

The rates charged by NPEX are shown below.

*To be calculated based on the nominal value of the bonds in the portfolio on the coupon payment date and to be offset against the (monthly) interest payment.