Bossard Group continued its growth path in the first quarter of 2023, in spite of last year’s high comparative base. Sales grew by 4.4% to CHF 304.5 million (prior year: CHF 291.6 million), equivalent to an increase of 7.7% in local currency. The Group’s organic growth corresponded to 5.8% in local currency.
Regionally, demand dynamics were mixed. In Europe, in an environment of weakening economic growth, Bossard posted a sales increase of 0.6% to CHF 170.9 million an increase of 4% in local currency. The focus on the growth industries was supportive to further growth.
Sales in America increased by 24.7% to CHF 85.3 million. Adjusted for acquisitions, growth in local currency amounted to 16.7%. The favourable business performance was driven by the ongoing diversification of the customer base. Bossard also succeeded in establishing new customer relationships in the electromobility sector, with noteworthy growth rates. Bossard Ontario Inc in Canada (formerly PENN Engineered Fasteners Corporation), consolidated since 1st December 2022, contributed to the positive sales performance.
Sales in Asia declined by 9.4% to CHF 48.3 million a drop of 3.2% in local currency. The major contributing factors included the impact of the lifting of Covid-19 restrictions in China; the high comparative base from 2022; and the strong Swiss franc.
Notwithstanding the further normalisation of supply chains, and improved product availability, global wage and cost inflation, as well as the skilled labour shortage, remain central concerns. Bossard thinks these factors are likely to further drive demand for its automated and digital Smart Factory Logistics and Smart Factory Assembly solutions, which can significantly reduce the total cost of ownership in C-parts management and assembly for customers, thereby sustainably and measurably increasing their competitiveness.
As for growth opportunities for the future, Bossard believes the course of inflation, central bank policies, geopolitical tensions, and the uncertainties on the procurement market, will continue to persist. As a result, the market environment will remain challenging. Yet even a volatile market environment offers opportunities, especially for product solutions and digital services in the growth industries of electromobility, railway, electronics and medical technology.
Will joined Fastener + Fixing Magazine in 2007 and over the last 15 years has experienced every facet of the fastener sector - interviewing key figures within the industry and visiting leading companies and exhibitions around the globe.
Will manages the content strategy across all platforms and is the guardian for the high editorial standards that the Magazine is renowned.
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