STRATEC designs and manufactures fully automated analyzer systems, including software and the accompanying consumables, for partners in clinical diagnostics and life sciences. Since its foundation in 1979, the company has developed into one of the world’s leading market players. Based on long-term successful partnerships, it has gained the trust of the top in-vitro diagnostics players.
Together with the strength of its development activities and its associated extensive technology pool, STRATEC therefore aims to achieve sustainable growth that is ahead of the sector average in future as well.
Good reasons to invest in STRATEC
Leading player for automation solutions, associated software, and smart consumables for growth markets in in-vitro diagnostics and life sciences
More than three decades of experience and established partnerships in highly regulated markets
High degree of specialization in market segments offering above-average high growth rates (such as highly sensitive immunodiagnostics processes and molecular diagnostics)
Broad and permanently growing technology pool and ever rising regulatory requirements present high barriers to market entry
Growing share of recurring sales due to sale of service parts and consumables for systems already installed in the market
Sustainable market growth potential due to numerous global megatrends (such as aging world population and increasing prevalence of chronic diseases)
Growing trend within diagnostics industry to outsource automation solutions to specialist partners such as STRATEC
Track record: 14 out of top 20 players in the in-vitro diagnostics market are customers of or partners to STRATEC
“As a company, we bear a responsibility towards society. And as a market leader in innovation and technology for in-vitro diagnostics automation and instrumentation solutions, we have a mission to fulfill. We make every effort to offer first-class solutions to our partners worldwide. That means we also share their responsibility towards their customers and patients.
Over the past decades, we have built a reputation within our industry. In society, by contrast, we are largely unknown. Yet nearly everyone has come into contact with our products at some point. Whenever biological samples, such as blood, tissue, secretions, or urine, are analyzed for diagnostic purposes, then STRATEC technology is very likely to be involved.
Our work adds value to society. It is not about consumption or enjoyment. It is about people’s health and, not infrequently, their very survival.”
Marcus Wolfinger, Chairman, Board of Management of STRATEC SE
Long-term development in major key figures
Annual average growth rate since 2000:
+14,7% p.a.
Sales
+20,1% p.a.
EBIT
+21,2% p.a.
Consolidated Net Income
+13,8% p.a.
Earnings per Share
+13,0% p.a.
Number of Employees
- Why should I invest in a medical technology company?
Many experts see medical technology as a key industry of the future. Companies in this sector benefit from the permanent need for innovative medical appliances and technologies, as the healthcare sector is set to show continuous long-term growth. In addition, these companies may also benefit from growing demand for medical care among aging populations. By acquiring shares in these companies, investors stand to participate in developments within this industry.
In-vitro diagnostics plays a major role in medical care and is therefore a segment within medical technology. In-vitro diagnostics comprises medical tests that are performed outside the body in a laboratory in order to obtain information about a patient’s health condition. The tests are used to diagnose illnesses, monitor the progression of illnesses, and review the effectiveness of treatments. In STRATEC, you will invest in a global market leader in instrumentation solutions for in-vitro diagnostics.
- How large is the market addressable by STRATEC, what are the market trends, and what does STRATEC’s competitive environment look like?
Development and expansion in healthcare systems, especially in developing and emerging economies
Expansion in global infrastructure leading to improved access to medical care
Fast-growing niche markets due to new medical discoveries and new diagnostics possibilities
Increasing degree of automation
Development of new tests and treatment options, such as personalized medicine
Based on various estimates, the in-vitro diagnostics market continues to offer very healthy and sustainable growth rates and is currently worth around USD 100 billion a year. Consistently aging populations, the increased prevalence of chronic diseases, more frequent occurrence of infectious diseases, and the growing significance of personalized treatment – these are key market growth drivers that are also sustainable. Over and above that, the research being performed on innovative technologies, such as specific biomarkers, will create new opportunities for future market growth.
The medium to long-term growth drivers in the markets served by STRATEC’s customers can be summarized as follows:
The various segments and areas of application within IVD have different growth rates. STRATEC particularly operates in those segments which generate above-average high growth rates. These include molecular diagnostics, for example, as well as highly sensitive procedures within immunodiagnostics.
Due not least to the increasing complexity of IVD tests, it is difficult for any one company to develop proprietary products in all technology and market segments. In view of this, diagnostics groups frequently procure specific technologies to maintain their technological leadership and survive in the market. As a result, a process of consolidation has been apparent in the in-vitro diagnostics market for years now and can be expected to continue in future as well.
At the same time, the constant rise in regulation seen in the diagnostics industry also presents an increasingly high barrier to potential competitors to STRATEC entering the market. There are only very few comparable companies with the ability to offer a similar range of products and services from compiling specifications, through to development, approval, and production of the respective instruments, consumables, and solutions. The competitive situation therefore remains very limited and, alongside in-house development departments, is restricted to a handful of specialist companies.
As well as human diagnostics systems, via its Diatron brand the STRATEC Group also offers systems for use in veterinary diagnostics.
According to various studies, the global market for in-vitro diagnostics solutions in the field of veterinary diagnostics amounts to more than USD 3 billion a year. The market is expected to show average annual growth (CAGR) in a high single-digit percentage range in the coming years. Veterinary diagnostics has taken over numerous technologies and methods from human diagnostics. A range of key standard diagnostics applications in the fields of immunodiagnostics, molecular diagnostics, hematology, and clinical chemistry is thus available for the veterinary supervision of domestic pets and farm animals.
Life sciences particularly denote academic research and pharmaceuticals research, with the latter area accounting for by far the larger share of the market. The STRATEC Group has numerous customers in life sciences, particularly in the field of smart consumables, but also increasingly for instrumentation. Furthermore, the field of translational research, which involves translating the results of basic research into clinical applications, is also increasingly significant to STRATEC.
- Corporate strategy: What are STRATEC's corporate goals and how should these be achieved?
Together with its partners, STRATEC is improving the quality of life. We do this by leveraging our expertise, technology, and collaborative approach to develop innovative, purpose-built solutions for leading companies in in-vitro diagnostics and adjacent markets.
To achieve our mission and vision, we have set ourselves three strategic goals:
1. Unlock growth potential of strategic partnerships: We aim to enable both our customers and our company to achieve sustainable growth that exceeds the long-term market average. To achieve this, we focus on forging new alliances and deepening our existing long-term collaborations with customers, ensuring that these partnerships drive mutual success and sustained market leadership.
2. Leverage and expand Total Cost of Ownership advantage: From a customer perspective, outsourcing automation solutions to highly specialized OEMs like STRATEC offers significant benefits, including optimized Total Cost of Ownership (TCO) and shared risk. Our goal is not only to leverage this existing advantage but also to expand it, ensuring that our customers continue to experience reduced operational risks, greater cost efficiencies, and long-term value by entering into partnerships with us.
3. Strengthen business resilience: We are committed to enhancing our business resilience by diversifying our customer base, raising the share of recurring sales, and expanding into new markets. By pursuing these approaches, we aim to create a more stable and adaptable business that can withstand market fluctuations and capitalize on new opportunities.
To achieve these goals, our company’s strategy is based on five strategic pillars. Specifically, STRATEC will:A. Focus on high value and superior growth markets: To meet our formulated growth targets and stand out with cutting-edge technologies and a proven quality track record, we will prioritize less commoditized market segments that demonstrate above-average growth rates.
B. Innovate for enhanced business value: To sustain and strengthen our market position over the long term, we are committed to continuously expanding our technology and product portfolio. By leveraging the deep market insights and intelligence gained from our long-term relationships with industry leaders, we ensure that our innovations are perfectly aligned with our customers’ needs and address the challenges they face. This customer-centric approach allows us to consistently deliver value from the customer's perspective.
C. Broaden early customer engagement: Establish and expand a structured engagement approach that facilitates early and consistent interaction with top-tier IVD companies, start-ups, and research organizations, aiming to align developmental capabilities with their long-term innovation agendas. The objective is to ensure that STRATEC is early to participate in new developments and able to benefit from upcoming trends in the industry.
D. Advance efficiency in operations and development: We at STRATEC are dedicated to continuous efficiency enhancement, focusing on lean and agile operations and development processes. Advanced analytics are leveraged to drive cost savings and process improvements across the supply chain, production, and development. By embracing cutting-edge technology, we aim to boost productivity and efficiency, ensuring these improvements translate into superior products for our customers. We foster a culture of collective efficacy, where every team member actively contributes to operational excellence. Regular performance and metrics assessments keep our methods up-to-date and effective, enabling us to adapt swiftly to evolving market demands and technological advancements.
E. Perform capabilities-driven market expansion: We will target and enter new markets where STRATEC’s core competencies will drive competitive advantage and provide synergistic growth potential with our existing IVD business lines.
- Corporate structure: How does STRATEC align its organizational structure to its corporate strategy?
The activities and target markets of individual STRATEC locations resemble one another to such an extent that the STRATEC Group is centrally managed as a one-segment company for all of its locations and products. This enables the company to maintain a clear focus on its strengths, on efficient resource utilization, and on effective supervision and control of its business activities.
The parent company STRATEC SE has its legal domicile in Birkenfeld, Germany. It has operative activity fields focusing on the development and manufacture of analyzer systems and also performs and manages administrative and organizational tasks both on its own behalf and on a prorated basis for the group of companies. The targets set for the subsidiaries are agreed with the parent company, with their implementation status and relevant results also regularly reported to the parent company.
Take a closer look & stay Up to date
Investor Relations
- André Loy - Manager Investor Relations, Sustainability & Corporate Communications
- Jan Keppeler - Head of Investor Relations, Sustainability & Corporate Communications
- Sandra Dittus - Manager Investor Relations, Sustainability & Corporate Communications
