Manufacturer of drive and control technologies expects a return to growth; sees strong results in China and India
Bosch Rexroth AG, the Germany-based global provider of electrical, hydraulic, pneumatic, and mechatronic components and systems, said last week it expects a "noticeable recovery" in the second half of 2010 following a 30% drop in sales in fiscal 2009. Incoming orders in the first few months of the new year have already surpassed the previous year's figures, the company says, and a new market structure beginning this summer will help the firm capitalize on those results.
Bosch Rexroth posted sales of 4.1 billion Euros (roughly $5 billion) in fiscal 2009. A quarter of those sales came from the company's business in Asia, which accounted for just 16% of company sales over the last few years. The manufacturer expects continued strength in Asia and pointed to double-digit increases in China and India in 2009 despite the overall sales decline.
"The [economic] crisis rapidly accelerated Asia's importance for our company," said company chairman Dr. Albert Hieronimus, adding that Bosch Rexroth will expand its presence in the region in the years ahead.
The manufacturer will also expand its business in Brazil, where it managed to sustain pre-crisis business levels in 2009.
Looking ahead, Bosch Rexroth will go to market with a new structure focused on specific markets and industries this summer. Beginning July 1, the company will focus on three business units: Mobile Applications, Industrial Applications, and Renewable Energy. The change reflects a shift among end users toward companies that can provide one-source, multi-technology solutions.