The Bossard Group posted record results for the 2018 financial year. Sales rose by 10.8% to CHF 871.1 million with all market regions contributing to this significant growth.
Fourth quarter business in America and Asia grew by double-digits, exceeding Bossard’s expectations. However, demand in the European markets slowed down sharply. Sales in Europe grew 4.2% in the quarter to CHF 114.9 million (+4.9% in local currency). Group sales for the quarter increased 7.9% to CHF 212.1 million. Bossard largely credited “the overall solid performance” to its steadily growing range of products and services.
Bossard says it faced a more challenging economic environment in the second half of the year, particularly in European markets. Full year sales for the region grew 10.8% to a record high of CHF 493 million. Bossard describes the reasons for slower growth in Europe as manifold: “We continue to see some customers operating at high capacity, which tends to flatten the potential for above-average growth. Another factor was a certain basis effect: The basis for comparison – the fourth quarter of 2017 – was already at a high level. Finally, the purchasing managers’ indices (PMI) in Europe also indicate a normalisation of demand.”
There was “new momentum” in Bossard’s American business with demand for its products and services remaining strong in the second half. Fourth quarter sales rose 13% to CHF 61 million (+14% in local currency). For the full year 2018, sales in America increased 9.4% (in local currency: +10.1%) to CHF 240.9 million. This “gratifying growth” was broad-based. Bossard cooperation with the largest US electric vehicle manufacturer contributed positively to demand acceleration in the second half as production of its third model series increased significantly.
In Asia the Group also posted record full year sales, up 13.4% (+12.5% in local currency to CHF 137.2 million. Bossard noted it was able to sustain this momentum from October through December. In contrast to general market trends in the region, fourth quarter sales increased 12.4% (local currency: +13.5%) to CHF 36.2 million.
Bossard will present its full 2018 annual report on 6th March 2019.
Having held senior management roles in leading automotive and fastener businesses, Phil joined Fastener + Fixing Magazine as editor in 2002. Convinced there is no substitute for ‘being there’, over 15 years of visits and interviews around the world means he has accumulated an extraordinary knowledge and perspective of the global fastener industry, reflected in his incisive and thought provoking reporting.