Manila, The Philippines / June 2011 – In fiscal year 2010, the Bosch Group - a leading global supplier of innovative technologies and services in the areas of automotive and industrial technology, consumer goods and building technology - generated sales of 47.3 billion euros. This is 24 percent more than in the previous year and represents the highest level of annual sales in the 125 years of the company’s history. The global upswing of sales revenue is expected to continue for 2011 according to the good start in the first quarter with sales up by roughly 15 percent.

In Asia Pacific, Bosch sales grew by 43 percent to 11 billion euros year on year. This represents 23 percent of the Bosch Group’s sales, making it the second most important region for sales after Europe. This share is expected to rise to 30 percent by 2015. To further expand its local presence Bosch will invest some two billion euros into the region between 2011 and 2013.

Bosch in the Philippines grew by 23 percent, generating sales of 16 million euros in 2010. The company also experienced a strong first quarter 2011 with brisk sales generated through its Automotive Aftermarket and Power Tools business divisions, which grew by 19 and 49 percent, respectively. In addition to drives and controls (hydraulics), packaging technology and security systems in the country, Bosch recently added thermotechnology (heating systems) and automotive original equipment (OE) to its local portfolio.

“The company’s strong growth in the Philippine market during the past year validates the Bosch Group’s long-term strategy for the country,” said Joseph Hong, Managing Director of Robert Bosch Inc. Philippines. “Diversification through innovative products as well as business lines and our expanded local presence contributed to the very positive development last year.”

Sustained growth with auto industry

In 2010 Bosch Philippines increased sales of its automotive business by 27 percent, retaining its leadership as the largest automotive aftermarket parts supplier in the country. During the upcoming year the company aims to further strengthen its market position within the local automotive market which already ranks among the Philippines top five GDP contributors. In 2009 alone a record number of 168,000 vehicles were sold in the Philippines, an increase of 30 percent year on year.

With a broadened product portfolio Bosch will be able to better serve a greater number of motorists, including those with diesel and commercial vehicles which account for a third of the local market. In addition, the company will also expand the number of its Bosch Service stations, a network of independent workshops across the country. Within the next years Bosch plans to establish a Bosch Service workshop in every key city nationwide.

With an estimated 6.5 million registered motor vehicles in the Philippines, local workshops also increased demand for electronic vehicle diagnostics. Bosch diagnostic equipment is already used in many repair shops throughout the country and Bosch will continue to serve local market needs by launching some 200 new diagnostic products over the medium term, beginning with the Bosch KT-310 diagnostic scanner for Philippine-specific vehicles.

Technology for responsible mining

The Philippine Power Tools division also showed strong sales performance in the last fiscal year. The positive result was fostered through growth in the manufacturing and construction market, hardware stores and the local mining industry, which alone holds 19 large-scale mining projects at the moment. Being one of the largest system suppliers for Philippine mines, Bosch Power Tools will continue to introduce specially designed products for the local market.

In order to further strengthen its local position, Power Tools will keep its focus on market intelligence and diversification. In the previous year the product line was expanded with several products including a rotary hammer for construction and the largest local range of cordless lithium-ion tools. Likewise an expanded line of Skil-branded tools now offers affordable grinders and drills which benefit several micro industries.

Mobilizing offshore outsourcing services

Apart from the global growth of its technology business, Bosch sees great potential in expanding its services in the local Business Process Outsourcing (BPO) sector. The newly established Bosch Communication Center, a local subsidiary of the Security Systems division, serves both internal and external clients and is proficient in all major Asian languages. The local Communication Center already achieved an above-target performance during its first year of operation.

Bosch Philippines plans to further strengthen its position in the BPO market by expanding its sales organization, increasing voice service coverage for English-speaking markets such as IT, travel and tourism and offering more back office solutions for finance and accounting. Bosch currently operates 21 established Communication Centers worldwide.

Supporting local society through social projects

“The strength of the Philippine market also allows us to sustain our social projects in the fields of education, health and humanitarian support,” explains Hong. One example for the company’s activities in this area is the “Bosch Class of 2010” project which was launched in 2006. Since then close to 100 high school graduates have been supported by the company. This year, Bosch Philippines will sponsor college scholarships for the students.

“We are deeply gratified by the commitment of our scholars. Their dedication adds greater significance to our 125th anniversary year,” said Hong, citing the spirit of generosity and will of company founder, Robert Bosch, which paved the way for the special ownership structure and entrepreneurial freedom of the Bosch Group.

Year of milestones - 125th anniversary

The Bosch Group will celebrate a landmark year in 2011 with both its 125th anniversary as well as the 150th birthday of the company’s founder. In 1886, Robert Bosch opened his “Workshop for Precision Mechanics and Electrical Engineering” in Stuttgart, Germany. By 1913, Bosch products were being sold on every continent – with 88 percent of sales being generated outside Germany. Today, the Bosch name is well-known across the globe