Kone Analysis

of five

Kone - Revenue by Region

Although Kone's global revenue for elevators, automatic building doors, and escalators was stated as €4.81 billion in its annual report, its revenue specific to only escalators and elevators by region was not offered, neither could this data be determined.


  • Headquartered in Helsinki, Finland, Kone is a mechanical company that offers automatic building doors, elevators, and escalators.
  • Kone claims ts elevators, escalators, and automatic building doors are sustainable and innovative.
  • The company also provides maintenance and modernization solutions, which, as it describes, "add value to the life cycle of any building."
  • Currently, the company operates in over 60 countries globally and more than 57,000 employees.
  • Kone serves almost 500,000 customers worldwide.


  • In 2018, the company's global revenue was €9.071 billion ($10.04 billion). In 2017, its revenue was €8.797 billion ($9.74 billion).
  • New equipment sold - specifically, elevators, automatic building doors, and escalators sold - accounted for 53% of Kone's revenue in 2018. This amounts to €4.81 billion or $5.32 billion [53/100*.€9.071 billion].
  • Maintenace made up 33% of the company's revenue in 2018. This is equal to €2.99 billion or $3.31 billion [33/100*.€9.071 billion].
  • Modernization accounted for 14% of Kone's 2018 revenue. This adds up to €1.27 billion ($1.41 billion).


  • By region, EMEA (Europe, Middle East, and Africa) had the largest share of Kone's revenue in 2018. This region accounted for 42% of the company's revenue which is €3.81 billion or $4.22 billion [42/100*.€9.071 billion].
  • Asia-Pacific accounted for 38% of the company's revenue in 2018. The revenue for this region was specifically €3.45 billion ($3.82 billion).
  • The Americas, specifically North and South America, made up only 20% of Kone's 2018 revenue which is €1.814 billion ($2.01 billion).



In order to determine Kone's revenue by region specific to elevators and escalators, we first relied on its official website. On its website, it had recent press releases about its financial information. However, these financial details were only snippets. As such, we turned to its most recent annual report. There, Kone provided a breakdown of its revenue by region and its revenue by business but there was no breakdown of its regional revenue by business. The company mentioned in its annual report that elevators, automatic building doors, and escalators sold makes up 53% of its revenue. Since different regions may have different purchasing behaviors in reference to escalators and elevators, we could not assume that this share could be applied to and therefore used to determine the company's revenue for escalators and elevators by region.

Next, we directed our focus to financial news articles published by industry-related websites like Forbes, Inc, and Fortune. Indeed, these well-known financial news platforms featured Kone in several articles and discussed its financial data but they failed to mention its revenue for escalators and elevators alone, by region. Another approach we took was combing through data intelligence resources including Statista. We tried finding any chart on Kone's revenue by region, for escalators and elevators alone. This, again, was a dead end. Statista offered a chart on its global revenue within the last decade but nothing more was provided.

As a last resort, we combed through transcripts of Kone's annual and quarterly investor conference calls, also known as shareholder meetings. We hoped any executive would mention its sales or share of revenue for escalators and elevators in the regions it caters to; EMEA, Asia-Pacific, and Americas. However, in these transcripts, we only found general growth information. There were no figures provided that we could use to attempt any triangulations. Due to the lack of data on Kone's revenue by region, specific to elevators OR elevators and escalators, we provided its general revenue by region and by business.
of five

Kone - Revenue By Segment

Kone's revenue in terms of value of service contracts, value of new installations, and value of modernization of existing equipment was €2.97 billion, €1.305 billion, and €4.797 billion respectively.



  • Kone specifies that in modernization, it offers solutions for "aging equipment, ranging from the replacement of components to full replacements."
  • The value of Kone's modernization of existing buildings/equipment was €1.305 billion ($1.44 billion) in 2018 compared to €1.256 billion ($1.39 billion) in 2017.
  • In 2018, Kone's Asia-Pacific market had the strongest rate of growth for modernization of existing equipment.
  • According to Kone, the primary growth drivers for modernization include the "aging installed base and higher requirements for efficient people flow, safety and sustainability."
  • The company helps save 70% of energy through its modernization of elevators.


  • The value of Kone's new equipment, including installations, was €4.797 billion ($5.31 billion) in 2018.
  • The company received 166,000 escalator and elevator orders for new equipment installations in 2018.
  • The EMEA region is Kone's largest market for new installations followed by the Americas.
  • The company claims that the main growth drivers in the new equipment/installations area include changing demographics and urbanization.
  • Kone predicted that in 2019, its new equipment/installation markets in North America and the EMEA region will remain stable while its this market in Asia-Pacific is expected to slightly grow, with China forecast to experience a slight decline.
of five

Kone - Installation Statistics

Information on the number of units installed, the number of units added per year, and the number of new buildings added per year by Kone is not available in the public domain. Below is an overview of the information that is available.


  • In the fiscal year 2018, the number of new elevator and escalator orders received by Kone Corporation was 166,000.
  • In the fiscal year 2017, the number of new elevator and escalator orders received by Kone Corporation was 158,000.
  • In the fiscal year 2018, Kone's new equipment business unit, which includes installations, contributed €4,797 million ($5.31 billion) in sales.
  • Some of its new elevator models include the U MonoSpace and the U MiniSpace.
  • Kone's largest market for new installations is EMEA followed by Americas and afterward Asia-Pacific.
  • Some new buildings across the world that Koner Corporation is providing solutions for are the Seattle Skyline (U.S.), A'Dam (the Netherlands), Torre Anselli (Mexico), and Rotterdamskiline (the Netherland).
  • In 2019, Kone Corporation received an order to deliver a total of 47 elevators and escalators to the Central Boulevard Towers in Singapore.
  • Kone Corporation received an order to modernize 60 escalators and 14 elevators at the Spanish capital's Atocha train station with 25 years maintenance contract.


Firstly, we looked for information on the requested figures for Kone installations on the company's official web pages, press releases, and social media platforms as they are the most credible sources. While there were statistics on the orders received, the revenue generated, and case studies of projects completed, there was nothing specific on the number of units installed, the number of units added per year, and the number of new buildings added per year by Kone. We also could not find any data on the company's oversea installations. We perused Kone's regional websites to aggregate the number of units installed per region and were able to find press releases mentioning the number of elevator/escalator units delivered per project, but could not find figures that provided a comprehensive picture of elevator and escalators delivered in the region.

Next, we searched for Kone's market share in the global market to calculate the requested figures. We searched for global installation statistics on websites such as The Insight Partners, Technavio, PRNewswire, Globalnewswire, SPGlobal, Euromonitor, and others. Most of the market reports mentioned the market size and CAGR of the industry and named Kone Corporation as one of the key players in the industry, but no specific information on the market share and global units were mentioned with which we could calculate the requested figures.

Furthermore, we searched for statements or interviews from officials in Kone Corporation who might have quoted statistics relevant to the request in various news reports and media releases (such as Forbes, Live Mint, Money Control, USA Today, NYT, and others). Most of the information was focused on market expansion and collaboration but not specific to installation statistics.

We also expanded the scope of search beyond the 24-month timeline and searched for trend analysis in installations to calculate the CAGR and give an approximation of the requested figures but could only find statistics on the revenue generated and the orders received.

of five

Kone - North American Presence

Kone has 82 operation centers for escalators and elevators in the US. The company has 14 escalators and elevators operation centers in Canada. In Mexico, it has one operation center, one manufacturing site, and one research & development center for elevators and escalators.


  • Kone has its headquarters for the Americas in Lisle, Illinois while its US operation center is in Moline, Illinois.
  • The company has a research & development center and a production site in Coal Valley, Illinois.
  • Kone also has a research & development center and a production site in Allen, Texas.
  • In total, it has around 82 offices for its escalators and elevators operation in the US. Kone has the most US offices in California, six. It has five locations in Illinois, five in Florida, and four in Texas.
  • The US alone, makes up over 15% of Kone's sales. In 2018, the company reported that its sales in the Americas increased by 1.5% and amounted to €1.8 billion. At comparable exchange rates, its sales increased by 6.1%.
  • In September 2018, Kone announced that it picked AT&T, a US company, as an "Internet of Things (IoT) connectivity and service management provider for its 24/7 Connected Services, which enables monitoring and analysis of real-time data from elevators and escalators." The company mentioned that this partnership will enable them make several escalators and elevators smarter in Mexico, the US, and Canada, through the use of IoT.


  • Kone's Canadian operation center is located in Mississauga, Ontario.
  • Kone has 14 offices for its escalators and elevators operations in Canada. These offices are located in Alberta, British Columbia, Manitoba, Nova Scotia, Ontario, and Quebec.
  • In December 2018, Kone acquired Eltec Elevator, a Vancouver-based business to strengthen its market position in Canada.
  • In February 2019, Kone won an order to provide "energy-efficient elevators and a destination control system for an office tower under construction" in Vancouver, Canada.
  • Kone announced a new elevator product called MonoSpace 500 Flex to its Canadian markets a few months ago. According to the company, the product will deliver a "full elevator replacement for low- to mid-rise buildings."


  • The company has a research & development center and a production/manufacturing site in Torreón, Mexico.
  • Its escalators and elevators operation center in Mexico is situated at México City.
  • Kone's solutions in Torreón, Mexico include 16 double deck elevators, 2 MiniSpace elevators, 12 MonoSpace elevators, 2 travelmaster escalators, a destination control system, and 16 KT turnstiles.
  • Compared to the US and Canada, Kone's Mexican market is not very large.


A thorough review of Kone's website and annual reports revealed that the company specializes in escalators and elevators. Therefore, we have included its manufacturing sites in North America (as this is where it produces its escalators and elevators) and its operations locations for escalators and elevators. Kone's research & development centers have been included as well since it does research on its elevators and escalators prior to and after manufacturing them at these centers.

of five

Kone - Growth Strategy

Kone's growth strategy is to focus on Asia and Europe as well as new building developments to target for their elevator products. Eco-friendliness is a major boon of Kone's products.




  • Kone is planning on continuing growth in Asia and Europe.
  • The company is trying to attract new buildings to use their new ReVolution tech as well as enticing older buildings and companies to upgrade their services.