Growth and New Jobs for Bosch Rexroth as Company Announces 2007 Results
o Substantial investments and additional jobs
o 2007: Marked increase in sales
o Positive outlook for 2008
(Hoffman Estates, IL - www.boschrexroth-us.com) Bosch Rexroth AG, parent company of Bosch Rexroth Corporation in North America, announces $7.4 billion (5.4 billion Euros) in sales for 2007 - up 8.8 percent from the previous year. During the last fiscal year, the drive and control company invested $517 million (377 million Euros) and increased the number of employees around the world by approximately 3,100, bringing the total number to nearly 33,000. The company is also expecting continued strong growth in the mobile applications, industrial automation and renewable energy sectors in 2008.
Despite the uncertain economic situation, 2007 sales in the Americas region grew by 3.1 percent in dollars. Unfortunately, because of the changing currency rate, the company recorded a 5.5 percent decline in Euros.
"The sales department wanted to celebrate because we recorded an increase in dollar sales," said Berend Bracht, president and CEO of Bosch Rexroth Corporation. "But the board in Germany was looking at a decline in sales because of the exchange rates."
The U.S. will continue to be an important automation technology market for Bosch Rexroth, a supplier to practically every branch of the plant automation and machinery OEM business. The strong sales, Bracht said, can be attributed in particular to industrial hydraulics and large gear systems for wind farms.
Globally, Bracht noted, "One of the key drivers of our growth comes from the extremely positive economic development in Central and Eastern Europe." Sales for Europe were on a growth track during 2007. Excluding Germany, sales were up by more than 14 percent. In Germany, Bosch Rexroth expanded sales by 8.3 percent in 2007. It also achieved double-digit sales increases in China and India. "We're seeing strong development in India, resembling the growth from China a few years ago - the potential is similar," said Bracht, highlighting the importance of this growth region.
3,100 new jobs worldwide
The high demand also had a positive effect on the number of jobs created. In 2007, Bosch Rexroth's global workforce grew by 3,150 employees, with jobs added in Germany, the Americas, Central and Eastern Europe, as well as in Asia.
Investments in additional capacities
With investments in the range of $517 million (377 million Euros), Bosch Rexroth has significantly increased its worldwide production capacity. Investment for 2007 stood at seven percent of sales, and the company raised the investment rate once more. Between 2002 and 2006, the investment rate averaged just under five percent of sales, which was already above average for the industry. Bracht also indicated more capacity expansion is planned for 2008. In addition to establishing and expanding its production facilities in Central and Eastern Europe, Bosch Rexroth is also bolstering its capacities in Germany and the U.S.
Strong growth in renewable energies
With production capacity increases for large gear systems, Bosch Rexroth, the automation partner for wind energy plant manufacturers, is preparing to meet the fast-growing demand for renewable energies coming especially from the U.S. and Asia. In its latest study, the Global Wind Energy Council, an association of worldwide wind energy organizations, predicts annual growth rates of more than 20 percent for the next few years.
Bosch Rexroth's 2007 sales also grew in the solar technology sector, where the company offers innovative installation and automation solutions for more cost-efficient series production of solar cells.
Innovations for increasing energy efficiency
"As a complete drive and control technologies supplier, Bosch Rexroth has the unique application and engineering expertise for optimizing cross-technology systems," said Bracht. The company is combining its latest advancements in electrical drives and controls, hydraulics, pneumatics and mechatronics with sustainable energy-efficient system solutions.
He presented a positive outlook. "Order volumes appear healthy and we are expanding our capacities. Therefore, we are looking ahead to a double-digit percentage increase in sales for 2008," concluded Bracht.
Bosch Rexroth AG, part of the Bosch Group, achieved sales of approximately $7.4 billion (5.4 billion Euros) in 2007 with nearly 33,000 employees. Under the brand name of Rexroth the company offers all drive and control technologies, from mechanics, hydraulics and pneumatics to electronics and associated service. Over 500,000 customers worldwide utilize Rexroth's unique technological know-how to implement their innovative and future-oriented systems and machine concepts. The global player, represented in over 80 countries, is an extensive supplier of components and systems for industrial and factory automation and mobile applications. Visit www.boschrexroth-us.com for more information.
Bosch Rexroth Corporation
Negin Neghabat
5150 Prairie Stone Parkway
Hoffman Estates, IL 60192
Telephone (847) 645-3728
Fax (847) 645-3728
negin.neghabat@boschrexroth-us.com
Godfrey Public Relations
Todd Walter
40 North Christian Street
Lancaster, PA 17602
Telephone (717) 393-3831 ext. 133
Fax (717) 393-1403
twalter@godfrey.com
