Bossard Group has announced first half 2017 consolidated sales rose by 15% to CHF 395.1 million (€346.8 million). Taking out growth from acquisitions, sales grew 9.5% to CHF 376.1 million.
Net income rose to CHF 45.3 million, an impressive 44.7% improvement on the first half of 2016. This included an extraordinary income of CHF 4.5 million from the realisation of real estate from a former Austrian location.
European sales, which account for nearly 57% of the group total, increased to CHF 223.3 million, up 8.6% in local currency. Bossard noted that Switzerland made an important contribution having faced the challenges of the appreciation of the Swiss Franc.
Business in America grew 32.3% to CHF 114.3 million, including from the acquisition of Arnold Industries, which was consolidated in Quarter 4 2016. Underlying sales grew 17.4%, reflecting continued strong business in the electric vehicle sector and recovery from Bossard’s second largest US customer in the agricultural technology sector. Asian sales grew 16.2% to CHF 57.5 million.
Commenting in Bossard’s detailed half year report, published on 22nd August, chairman of the board, Dr Thomas Schmuckli, and CEO, David Dean, said: “Healthy demand in all three market regions drove sales in the first half of the year, reflecting the success of our long-term strategy of organic growth while consolidating our market position through acquisitions. Investments in organisation and infrastructure over the last several years, as well as a greater focus on
high-quality products, engineering, and logistics services, support this growth. Bossard is also benefiting from the improved economic environment in all the major market regions.”
Looking forward with optimism they concluded: “We look forward to continued positive growth in the second half of the year. This confidence is founded on the solid market positioning of the Bossard Group whose products and services are able to generate above-average growth in all market regions. More cause for optimism is the economic development as currently reflected in the purchasing managers’ indices in all three market regions. This overall outlook does assume that macroeconomic conditions will remain relatively stable. Due to the base effect of the acquisition of Arnold Industries, and strong sales in the electromobility sector in the second half of last year, growth in the second half of 2017 will not be as strong by comparison. We expect sales between CHF 770 million
and CHF 780 millon for all of 2017 – after CHF 695 million in the 2016 fiscal year.
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