4/13/2015 6:55:00 PM
NEWS BRIEFS
Bossard Acquisitions Boost Sales “Significantly”
The Bossard Group “significantly increased its sales volume” in the opening quarter of 2015. The company reported sales rose 5.1% to CHF 168.8 million (8.2% in local currency).
“Acquisitions and other investments have enabled us to consolidate our market position in various countries,” stated CEO David Dean.
In 2014, Bossard acquired Arizona-based distributor Aero-Space Southwest; the fastening solutions division of Forind Avio Elettronica S.p.a. in Italy; and a 60% stake in the Norwegian Torp Fasteners company.
Bossard touted its growth “despite having to contend with a significant revaluation of the Swiss franc in the 1st quarter following the Swiss National Bank’s abolition of the minimum exchange rate against the Euro.”
“Without acquisitions, there would have been a decline in sales of 1.5% in local currency, corresponding to a downturn of 4.3% in Swiss francs,” the company noted.
In Europe, Bossard said it faces inconsistent market trends. Sales in Europe declined 4.4% to CHF 101.1 million (+3.1% in local currency). Without acquisitions, the sales figure would have fallen 8.4% in Swiss francs.
In the U.S., sales soared 30.4% to CHF 44.2 million (+22.4% in local currency).
“The acquisition of the US distributor Aero-Space Southwest, Inc. played a significant part in the upward sales trend.”
Without acquisition, there would have been a decline of 1.8% (-7.8% in local currency).
Bossard said one major customer continues to operate under “difficult business conditions,” but that this was by the cooperation with the largest US manufacturer of electric vehicles, Tesla, a company “distinguished by significantly rising sales volumes.”
In early 2014, Tesla awarded Bossard a three-year, $140 million contract to provide production fasteners, engineering and logistical services. In response Bossard opened a new distribution center near the Tesla factory in Fremont, CA.
In Asia, Bossard reported overall success despite below-average growth in China. Overall revenues increased 12.4% to CHF 23.5 million (+7.8% in local currency).
“It is clear that the investments made in the last few years are helping to open up individual markets,” Bossard noted.
For 2015, Bossard expects sales of CHF 660 to 680 million, which would correspond to growth of 13% and 16% in local currency.
Züg, Switzerland-based Bossard Group is an international supplier industrial fasteners and assembly technology. With over 800,000 products, technical consulting and warehouse management (logistics), “Bossard has positioned itself as an end-to-end supplier and partner in industry.”
Bossard has more than 1,800 employees in over 60 worldwide locations. The Bossard Group, listed on the SIX Swiss Stock Exchange, earned CHF 617.8 million in sales in 2014. Web: Bossard.com
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