Asia strong, Europe weak

"Our growth in Asia and America is helping Lapp through difficult times in our European home markets," says Matthias Lapp, CEO of the Lapp Group. The growth drivers are India, China and South Korea, but countries such as Mexico, Brazil and Canada have also developed positively. The company is growing particularly in sectors such as intralogistics, battery storage, infrastructure and food production. Matthias Lapp emphasizes: "The general conditions in Europe and Germany remain challenging. Rising costs and bureaucracy on the one hand, and a persistently weak economy on the other: Lapp must set the right course so that we can continue to offer our international customers an attractive range of products and services in the future. In concrete terms, this means that we will keep a watchful eye and optimize costs, processes and structures, particularly in Germany."

Double-digit growth in Asia and America

In the Asia-Pacific region, the Stuttgart-based provider of integrated solutions and products in the field of cable and connection technology is growing by a significant double-digit percentage in the 2025 financial year. In the Americas, Lapp is successfully defying geopolitical uncertainties and is also experiencing double-digit growth.

The company is further consolidating its market position with acquisitions in China and Brazil: in Dongguan City near Shenzhen, China, a specialist in circular connectors has been taken over. In São Paulo, Brazil, Lapp has acquired a connection technology company, thereby strengthening its presence on the South American continent.

Slight growth in Europe

In the EMEA region (Europe, Middle East, Africa), which continues to account for the largest share of the company's total sales, Lapp recorded slight growth in the low single-digit percentage range. "Not a bad performance considering the current economic conditions. But we are not satisfied, especially with our profitability," says Matthias Lapp. One ray of hope in Europe: the harnessing business, i.e. the sale of engineering services and individually manufactured assembly solutions, is showing positive signs.

Investments in technology and the supply chain

The investment program was also continued in 2025: The family-owned company invested around 56 million euros (previous year: 66 million euros) in its supply chains and new technologies. For example, a new plant for fastening accessories was opened in Dharuhera, India. The company invested in state-of-the-art new production lines at plants near Shanghai, China, and in New Jersey, USA. In terms of sustainability, Lapp has introduced connectors made from bio-plastic based on corn starch and developed bio-based versions of its Skintop cable glands.

Cautiously optimistic

The family entrepreneur is cautiously optimistic about the current 2026 financial year: "Renewable energies, battery storage systems, data centers and intralogistics require more energy, more data and more connections. Our customers are active in the industries of the future. That gives me hope," says Matthias Lapp. He calls on politicians to act more quickly: "The federal government's reforms have so far fallen short of expectations. Now is the time to put aside party-political individual interests and deliver results. We have years of transformation ahead of us, which will require pragmatism, openness to innovation and courage."

As of September 30, 2025, the Lapp Group employs around 5700 people worldwide.