0 EU R c/ Inca Garcilaso, N° 3 E-41092 Seville (Spain) Tel.: +34 954488318, Fax: +34 954488300 E-mail: JRC-B3-SECRETARIATec.europa.eu Any comments can be sent by email to: jrc-b3-iritecec.europa.eu More information, including activities and publications, is available at: iri.jrc.ec.europa.eu/ EU Science Hub ec.europa.eu/jrc JRC113807 EUR 29450 EN PDF ISBN 978-92-79-97293-5 ISSN 1831-9424 ISSN 2599-574X doi:10.2760/131813 Print ISBN 978-92-79-97292-8 ISSN 1018-5593 ISSN 2599-5731 doi:10.2760/8520 Luxembourg: Publications Office of the European Union, 2018 © European Union, 2018 The reuse policy of the European Commission is implemented by Commission Decision 2011/833/EU of 12 December 2011 on the reuse of Commission documents (OJ L 330, 14.12.2011, p. 39). Reuse is authorised, provided the source of the document is acknowledged and its original meaning or message is not distorted. The European Commission shall not be liable for any consequence stemming from the reuse. For any use or reproduction of photos or other material that is not owned by the EU, permission must be sought directly from the copyright holders. How to cite: Hernández, H., Grassano, N., Tübke, A., Potters, L., Gkotsis, P., and Vezzani, A.: The 2018 EU Industrial R EUR 29450 EN; Publications Office of the European Union, Luxembourg, 2018, ISBN 978-92-79-97293-5, doi:10.2760/131813, JRC113807. All content © European Union 2018 Legal Notice Our goal is to ensure that the data are accurate. However, the data should not be relied on as a substitute for your own research or independent advice. We accept no responsibility or liability whatsoever for any loss or damage caused to any person as result of any error, omission or misleading statement in the data or due to using the data or relying on the data. If errors are brought to our attention, we will try to correct them. 2 The 2018 EU Industrial R overall profits showed an impressive growth of 22.6%; capital expenditures recovered after 3 negative years (5.1%) and the number of employees continued to increase at a modest pace (2.1%). See evolution of key figures over the past 10 years in Figure S1. Figure S1 - Global growth rate of R&D and Net Sales and Profitability for the period 2008-2017. Note: Growth rates for the three variables have been computed on 1674 out of the 2500 companies for which data are available for the entire period 2008-2017. Source: The 2018 EU Industrial R&D Investment Scoreboard, European Commission, JRC/DG RTD. R&D growth worldwide led by ICT and Health industries while economic performance varied across sectors Worldwide R&D growth was driven by the ICT services and producers sectors (13% and 11% respectively), followed by the Health sector (7.7%) while the lowest R&D performance was shown by the Industrials sector (3.3%) and by Aerospace & Defence (-4.3%). The growth in net sales was led by oil-related companies due to the recovery of oil prices but significant increases were reported also in Automobiles, ICT industries and in the Industrials sector. The overall increase of profits was mostly due to oil-related companies but profits' growth of more than 20% were reported by ICT producers and Aerospace & Defence sectors while Health industries showed a decline in profits. The increases in Capex were observed especially in the ICT producers sector and also in oil -related companies. 1The apparent decrease from 2017 to 2018 is due to the appreciation of the Euro against most currencies. If the 2018 Scoreboard R&D is expressed at 2017 Scoreboard exchange rates, (see details in Annex 2 Box A2.1 and Table A2.1). -15 -10 -5 0 5 10 15 20 2017 2016 2015 2014 2013 2012 2011 2010 2009 (%) R&D investment Net sales Profitability 7 R&D growth of EU companies below the world's average growth rate The 578 companies based in the EU in bn in R&D, an important increase in this period (5.5%) although at a lower pace than in the previous year (6.7%). The Japanese companies presented a similar R&D growth rate than their EU counterparts (5.8%) while companies based in the US and China showed a much higher R&D growth rates (9.0% and 20.0% respectively). See comparison of EU and global companies' R&D growth in Figure S2. Figure S2 - Nominal change of R&D over the past year for the EU and World samples of companies. Note: Growth rates have been computed for 566 EU and 2493 World companies for which R&D data are available for both years 2015 and 2016. Source: The 2018 EU Industrial R&D Investment Scoreboard, European Commission, JRC/DG RTD. EU, 5.5% EU, 0.9% EU, 6.1% EU, 0.6% EU, 4.6% EU, 6.2% EU, 13.3% EU, 4.0% EU, 4.3% WORLD, 8.3% WORLD, -4.3% WORLD, 6.9% WORLD, 5.1% WORLD, 7.7% WORLD, 11.3% WORLD, 13.0% WORLD, 3.3% WORLD, 6.5% -10.0% -5.0% 0.0% 5.0% 10.0% 15.0% 20.0% Total Aerospace & Defence Automobiles & other transport Chemicals Health industries ICT producers ICT services Industrials Others