Earnings Roundup: Snap-on, Schneider Electric, Bosch Rexroth
Industrial Distribution staff -- Industrial Distribution, 4/22/2008 7:30:00 AM
A trio of tool and electrical product manufacturers announced quarterly sales and earnings figures.Snap-on Inc. and Schneider Electric both posted first-quarter results and Bosch Rexroth AG announced its full-year results for fiscal 2007.
Snap-on
For Kenosha, Wis.-based tools and equipment manufacturer Snap-on, first-quarter sales rose 2.3 percent to $721.6 million, compared with $705.7 million during the same period last year. Net earnings reached $56.6 million, up more than 45 percent compared with $39 million during the first quarter of fiscal 2007.
The company also announced its purchase of a stake in a Chinese hand tools manufacturer.
“We are also very pleased to announce that Snap-on recently completed the acquisition of a 60 percent interest in Zhejiang Wanda Tools Co. Ltd., a hot-forged hand tool manufacturer in China,” president and CEO Nick Pinchuk said. “This strategic joint venture builds on Snap-on’s current presence in the region and complements the company’s existing production capabilities in Kunshan, China. Our majority ownership of Wanda Tools, our first hand tool manufacturing facility in China, is expected to be a key contributor to our future state and is another important step in extending Snap-on’s manufacturing capability and market coverage in emerging markets around the world.”
Schneider Electric
Schneider Electric’s first-quarter sales reached $6.87 billion, up 10.7 percent compared with the first quarter of fiscal 2007. The French electrical products manufacturer said it posted organic growth of 9.5 percent for the quarter, with acquisitions contributing $428.7 million, or nearly 7 percent.
“Our performance is fuelled by our two engines for growth: Broad exposure in emerging countries and unique positioning in energy efficiency. Thanks to the development of targeted solutions for attractive verticals such as data centers, water treatment and hospitals, [Schneider] now generates close to 60 percent of its sales in markets supported by healthy growth drivers. As a result, we confirm our targets for full-year 2008 of an organic sales growth of between 6 percent and 8 percent,” chairman and CEO Jean-Pascal Tricoire said.
Bosch Rexroth
Bosch Rexroth’s 2007 sales rose 8.8 percent to $7.4 billion. The German power and cutting tools and motion control products manufacturer said it added about 3,100 employees, taking the total to roughly 33,000 worldwide.
Bosch Rexroth said 2007 sales rose 14 percent in Europe (excluding Germany, where sales increased 8.3 percent). Sales rose at a double-digit clip last year in India and China.
“The extremely positive economic development in Central and Eastern Europe is one of the key drivers of our growth," CEO Albert Hieronimus said. “The development we are seeing in India resembles that in China some years ago—the potential compares well."
Hieronimus said the United States will continue to be an important automation technology market for the company, despite the “fraught economic situation.”
“The increased sales for this supplier to practically every branch of the plant and machinery construction industry can be attributed in particular to industrial hydraulics and large gear systems for wind farms,” Bosch Rexroth said in a statement.
"Order volumes are looking good and we are expanding our capacities. We therefore expect a two-figure percentage increase in sales for 2008," Hieronimus said. There are no other articles related to this article.
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