Latest News  

Bosch sales surpass 70 billion euros for the first time

In 2015, the Bosch Group recorded sales of over 70 billion euros for the first time, according to preliminary figures. The company succeeded in increasing revenue by approximately ten percent1 last year. Earnings also further improved.

2016-01-29 10:34:31

Including extraordinary effects, earnings before interest and taxes (EBIT) rose to around five billion euros. Adjusted for extraordinary effects, earnings totaled roughly 4.5 billion euros, writes automotiveworld.com.

EBIT margin from operations was approximately 6.5 percent, which is higher than the previous year when calculated on a comparable basis. Equity ratio remains sound and liquidity remains high despite the billions spent on the acquisitions of BSH Hausgeräte GmbH and Robert Bosch Automotive Steering GmbH. "Thanks to our innovative strength, we were able to successfully continue our growth trend in a challenging business environment and a number of stagnating markets in 2015. A major driver of this positive business development was an increasing number of solutions for the connected world," said Dr. Volkmar Denner, chairman of the board of management of Robert Bosch GmbH.

Bosch is shaping the digital transformation

In particular, connectivity over the internet of things is currently transforming Bosch's business, in some cases at a fundamental level. Bosch is the only company worldwide that is active on all three levels of the internet of things. The Bosch Group offers key technologies that enable connectivity such as sensors and software, and is also developing new services on this basis. "With our expertise in sensors, software, and services, we're shaping the connected world and opening up new business opportunities. The ‘digital transformation' is anything but a threat to us. Instead, we see it as an enormous opportunity," Denner continued. Just a few weeks ago, for example, the company announced its entry into the smart-home market. At CES in Las Vegas, Bosch presented its smart-home system to the public for the first time.

Business performance in 2015 by business sector

Sales developments in 2015 varied across the four business sectors. As Dr. Stefan Asenkerschbaumer, the CFO and deputy chairman of the board of management, explained, "In 2015, we further improved our market position and competitiveness in many areas, and gained market share." Despite only anemic growth in global vehicle production, the Mobility Solutions business sector succeeded in significantly increasing sales, according to preliminary figures. Overall, sales grew by twelve percent to 41.7 billion euros in 2015.

Among Bosch's most successful products last year were gasoline and diesel injection systems, driver assistance systems, and infotainment systems. The Consumer Goods business sector also recorded very robust growth. Here, Bosch was able to increase its sales by 9.3 percent year on year to 17.2 billion euros. This sector's best-selling products included cordless power tools and household appliances such as a connected range of stoves.

The Energy and Building Technology business sector recorded growth of eleven percent, which was considerably higher than the previous year.

The sector generated sales of 5.1 billion euros. This success can be primarily attributed to services, security systems for large infrastructure projects, and connected smart-heating solutions. The Industrial Technology business sector continues to be affected by weakness in the global mechanical engineering segment. Sales fell by 1.7 percent year on year to 6.6 billion euros. The Drive and Control Technology division suffered further collapses in important segments of the mechanical engineering market in 2015.

Business performance in 2015 by region

Bosch's business in Europe developed encouragingly in 2015. Sales growth in the region was considerably stronger than in 2014: according to preliminary figures, Bosch increased its sales by 4.2 percent to 37.5 billion euros. Sales developed positively in Germany as well. Bosch recorded a particularly sharp sales increase in North America. There, the technology and services company's revenues grew by a significant 24 percent to 12.6 billion euros. In South America, the situation remains difficult. This is reflected in the Bosch Group's sales development as well. According to preliminary figures, sales of 1.4 billion euros were recorded in 2015, which is 13 percent less than in the previous year. In Asia Pacific, Bosch recorded sales growth of 16 percent to 19.1 billion euros. Bosch sees long-term potential in Africa. In 2015, the company continued expanding its activities there.

Headcount increase in Europe, Asia Pacific, and the U.S.

Worldwide, the Bosch Group employed some 375,000 associates as of December 31, 2015. Overall, headcount increased by 17,600 in 2015. The largest increases were in central and eastern Europe, Germany, Asia Pacific, and the United States. IT specialists were particularly sought after.

2016 – cautiously optimistic outlook

For 2016, Bosch is forecasting only moderate growth of 2.8 percent for the global economy. "We also have to prepare ourselves for stronger fluctuations in our markets, both regionally as well as in specific industries," Asenkerschbaumer said. Geopolitically, the situation in 2016 will remain complex and characterized by considerable uncertainty. Regardless of this, Bosch wants to continue its growth trend in the current year and to grow faster than its various markets. Despite enormous investments to secure the company's long-term viability, result and EBIT from operations are to be further improved.

A simpler, easier, and all-around better life with connected solutions

Bosch's strategic aim is to offer solutions for connected mobility, connected production, as well as for connected energy systems and buildings. The company launched a number of new solutions in this area in 2015. "Connected technology is the key to meeting the challenges of the future, such as the scarcity of resources and urbanization," Denner said. For example, in an intelligently connected building, energy consumption can be reduced by up to 40 percent. By 2020, some 230 million or 15 percent of all households worldwide will be equipped with smart-home solutions.

"Connected technology and systems must offer easy and intuitive operation for users," Denner continued. For this reason, the development of the Bosch smart-home system focused on user experience. Featuring a single platform, the system enables the intelligent networking of devices such as heating, household appliances, entertainment systems, lighting, as well as security systems. All the connected devices in a home can be operated via smartphone or tablet with a single app.

Build on strengths in familiar areas, dare to tap into new areas

"We're tapping into new, promising markets such as smart homes and connected industry, and at the same time seizing every opportunity that presents itself in our traditional markets," Denner said. These opportunities include the electrification of mobility.

One of the most important acquisitions of 2015 was the acquisition of the U.S. battery technology startup Seeo Inc. Bosch now possesses pioneering know-how in the area of solid-state cells. As Denner explained, "regardless of whether this business develops in an evolutionary or disruptive way, Bosch will be part of it." Bosch also sees great potential in the two-wheeler and commercial-vehicle segments. For both segments, the company recently established dedicated units in order to better serve market and customer needs. Automation, electrification, and connectivity – the three major trends in mobility – will also have a long-term impact on commercial vehicles and two-wheelers. In the commercial vehicle segment, automation will play an increasingly important role in reducing accidents. Injection systems for two-wheelers – as opposed to the carburetor systems common today – reduce fuel consumption and thus make an important contribution toward resource conservation, particularly in developing countries.

Greenhouse-gas reduction – impossible without diesel engines

In this context, Denner also emphasized the importance of diesel technology for meeting global warming targets. "It is only with diesel, for example, that the EU's ambitious CO2 targets can be reached." Diesel vehicles emit significantly less CO2 than comparable gasoline vehicles. "In the debate about air quality and particulate matter in our cities as well, diesel is not part of the problem, but part of the solution," Denner said. Thanks to modern filter technology, he went on, a diesel vehicle can even purge particulate matter from the ambient air in large cities.

"The diesel is an air-cleaning machine." Denner repeated his conviction that the diesel powertrain can become even better. Bosch has the technology, he said, to bring diesel nitrogen oxide emissions to an extremely low level, even in real driving conditions. "It is our development goal to get diesel vehicles complying with current standards not only at the test bench, but also on the roads," he went on. For some time now, therefore, Bosch has explicitly supported the introduction of a more realistic test cycle and of real-driving emissions measurements. Denner also spoke out in favor of regular checks of production vehicles by independent testing institutes.


0 COMMENTS ^ Go back to Top
WRITE A COMMENT ^ Go back to Top
 
Your email address will not be published.
Nickname
Email
Comment
Validation Code
   
 
 
NEWS
Poll: 2018 was hard for recruiting – 29 Interviews to one hire

Nearly nine out of ten companies had a tougher time finding suitable employees in 2018 compared with previous years, interviewing an average 29 candidates before hiring one person, a poll by HappyRecruiter show

 Read Full article »
CBRE maintains its market leader ranking with 24 per cent market share on the Bucharest-based office segment

In 2018, CBRE, the real estate consultant managed 24 per cent of the Bucharest-based office market, according to a release of the company.

 Read Full article »
Philippe Beucher takes a new opportunity outside Capgemini

After 5 years spent in Capgemini, Philippe Beucher, the Romanian company's branch CEO announced he decided to take another opportunity outside of the Group as of January 15th.

 Read Full article »
Amazon expands at Iasi with 5000 sqm of offices

At the end of 2020, the American company Amazon will rent an additional 5.000 sqm office spaces at Iasi, to amount over 18.000 sqm office space in Romania, according to sources in the real estate market and quo

 Read Full article »
Accelerator programme Legal Tech Hub Vienna to offer support for legal tech companies

The law firms Dorda, Eisenberger & Herzog, Herbst Kinsky, PHH, Schoenherr, SCWP Schindhelm and Wolf Theiss, today launched the Legal Tech Hub Vienna (LTH Vienna). The unique initiative, that brings together sev

 Read Full article »
Fusion and purchase market in Romania close to 2 billion euro in 2018

The fusion and purchase market in Romania came close to two billion Euro in 2018, according to an analysis made by Deloitte Romania, based on public sources and transactions made public.

 Read Full article »
DXC Technology to Acquire Leading Digital Innovator Luxoft

End-to-end IT services and solutions developer DXC Technology and Luxoft Holding announced a definitive agreement for DXC to acquire Luxoft, a global-scale digital innovator with differentiated offerings, deep

 Read Full article »
Deloitte study: What are the expectations of the employees and how can the employers adapt to the new trends?

Demographic and technological changes are the two major trends that transform the workforce, according to the Deloitte study "Voice of Workforce in Europe", which reached out to more than 15,000 people from ten

 Read Full article »
Ascentis: The top ten HR trends for 2019

Ascentis, specializing in in integrated Human Capital Management software published the main HR trends for 2019, findings resulted from the work together with their workforce and leadership strategist Eric Swen

 Read Full article »
CBRE managed transactions of 22,000 sqm for Regus and Spaces in Romania in the past years

Real estate consultancy company CBRE announced it completed rental transactions for approximately 22,000 sqm of coworking workspaces for the Regus and Spaces brands since 2015.

 Read Full article »
 
 
MOST READ ARTICLES
» Philippe Beucher takes a new opportuni...
» The most appreciated companies from th...
» ROMANIAN OUTSOURCING AWARDS FOR EXCELL...
» The Outsourcing industry announces its...
» Amazon expands at Iasi with 5000 sqm o...
» IBM to open its fourth business servic...
» Fusion and purchase market in Romania ...
» French energy operator Total opened su...
» Oracle reaches 4,200 employees and pla...
» Molson Coors started to grow its busin...
 
EDITOR CHOICE
KPMG study: Big data needs a big re-think: consumers are more anxious, but businesses can restore trust with greater transparency

Global KPMG study of 25,000 consumers reveals that we are embracing new technology, but are concerned about the types of data held by businesses.

 Read Full article »
Manpower: Romania's labor market, more prudent in the first quarter of 2019

More than two thirds (70 per cent) of employers in Romania anticipate no changes in the size of their payrolls in the first quarter (Q1) of 2019, the largest percentage in over two years, and this suggests the

 Read Full article »
Noni Jain, Wipro Europe: It is fundamental how you coach the employees and prepare them for the next level of an evolving organization

How do you attract and retain a globally-mobile workforce? What technologies do you need in your arsenal to get the most from the tech-savvy "Generation Y"? To drive innovation and attract and retain top talent

 Read Full article »
Engagement and inclusion through direct feedback from employees

As an example offered by Olga Botusan at Stefanini, the company implemented a satisfaction survey in previous years, and they constantly use the results and the feedback of colleagues to come up with better sol

 Read Full article »
Self-service tools in the new digitalized business ecosystem

IoT and advanced technologies, including robotics, are expected to replace all the conventional tools and systems at workplaces with their digitized versions by 2022 in all the top-ten economies of the world.

 Read Full article »
Latest News  
 
about us | newsletter | contact | members area | GDPR policy
Copyright © 2015 by Diplomat Media Events Design by Diplomat Media Events