Bosch up 5% in 1st Quarter but sees tougher year ahead
May 1, 2012
Soft magnetic cores made from encapsulated iron
powder are used in the Bosch common rail diesel
engine system
The Bosch Group based in Stuttgart, Germany, expects global economic growth to slow to a more modest 3 to 5% in 2012. However, it warned that it may not reach its own 2012 growth target of 5% due to high raw material costs.
This was announced by Franz Fehrenbach, Chairman of the Bosch Board of Management, at the company’s annual press conference held on April 26, 2012. “There is still a great deal of uncertainty with regard to future economic developments, even though the sovereign debt crisis in the euro zone has been defused slightly,” Fehrenbach said.
In the first quarter of 2012, sales increased year on year by some 5%. The greatest relative growth was achieved in Industrial Technology, followed by Automotive Technology. Developments in the Consumer Goods and Building Technology business sector were said to be more moderate. In fiscal 2011, Bosch grew more strongly than expected, despite a weaker global economy. Its sales increased by 9% to €51.5 billion. Profit before tax stood at €2.6 billion, compared with €3.5 billion in the previous year.
Bosch reports that it has strengthened its market position in all of its three business sectors. Automotive Technology, the largest business sector, generated sales of €30.4 billion in 2011 last year, an increase of 8.2% year on year. Two of the company’s most successful automotive products include common-rail diesel and gasoline direct injection systems. Between 2011 and 2014, Bosch wants the annual unit sales of these systems to grow significantly from 7.2 to 9.6 million and from 4 to 8.6 million respectively.
The Bosch Group comprises Robert Bosch GmbH and its roughly 350 subsidiaries and regional companies in some 60 countries. It includes the PM part, bearing and soft magnet producer BTMT GmbH in Herne, Germany.
Posted by: Paul Whittaker, Editor ipmd.net, [email protected]
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