Bosch Philippines targets double-digit growth this year

(Updated 7:08 p.m.) Banking on strong economic fundamentals, Bosch Philippines on Wednesday said earnings will likely register double-digit growth this year with the introduction of new products and services and additional business from the recently opened Cebu outlet.

 

"We are looking at a minimum double-digit growth this year," Joseph Hong, managing director of Bosch Philippines told reporters during a media briefing at F1 Hotel in Taguig City.

 

Hong noted one of the key drivers for growth in the Philippines is the upbeat economic climate. "The economy is quite strong, all economic indicators are positive," he said.

 

"Based on this backdrop and internal activities, such as introduction of innovative products and services going forward,  these are the key drivers for our growth," Hong addedd.

 

The expansion in the Visayas will also help boost sales and services.

 

In May 2013, Bosch opened its Cebu hub—its first office outside of Metro Manila which consists of a showroom, a service center, and a training center for dealers.

 

In 2012, Bosch Philippines posted a 30 percent jump in net sales to $28.8 million.

More service workshops

Bosch Philippines' automotive aftermarket business, one of its largest business divisions in the country, is looking to add nine service workshops this year.

"We're still expanding this service workshop concept. We are targeting nine more across the country this year," said Sangjo Park, country sales director for automotive aftermarket.

Park said they see continued growth in the automotive industry, which expanded by 11 percent last year, and this will drive the business segment's double digit growth this year.

Currently, the automotive aftermarket business division has expanded its local network to 26 Bosch Car Services Workshops, two Bosch Diesel Centers and eight Bosch Diesel Service Workshops.

Bosch's power tools division, which also posted a double-digit growth in the previous year, aims to sustain this momentum and add more to its dealer network on the performance of the country's construction and industry sectors.

"The construction and industry sectors are very strong so we're seeing strong growth [in the power tools division]. We are looking forward to expanding our geographic footprint. If there are areas that are underserved, we will look in to expanding," Hong said.

Bosch carries eight product lines of power tools across nearly 300 showroom location through its dealer network.

Security systems

Hong also said the security systems and thermotechnology divisions are also expected to expand with the real estate sector's continued growth.

"The other two divisions, security systems and thermotechnology, they're riding on the property sector, so we'll see more growth in that segment," he said.

The security systems division supplies fire detectors, video security, public address and conference systems to both private and government organizations in the country, including the House of Representatives and the Senate.

On the other hand, the thermotechnology division has an extensive portfolio of high-tech power generating systems, cost-efficient heating and cooling solutions for large-scale commercial and industrial applications. — VS/KBK, GMA News