GLOBAL supplier of technology and services Bosch said on Monday it posted double-digit growth in consolidated sales in the Philippines in its 2016 fiscal year, driven by strong performance across the company’s wide range of products offered to the consumers.
Bosch reported sales of $56 million (51 million euros, P2.8 billion) for 2016, up 13 percent from the previous year, on the back of high demand for its construction, automotive and manufacturing solutions and increased consumer spending power amid steady economic growth.
According to Andrew Powell, outgoing managing director of Bosch Philippines, the company achieved double-digit sales growth in the country for the third consecutive year, making the Philippines “one of the best performing markets” in Southeast Asia for the firm.
He also said they are expecting strong double-digit growth this year. “We are number two in Asean last year, next to Vietnam, and we want to be the number one this year in sales growth,” Powell told reporters during the company’s annual press conference held in Makati.
Bosch said it has also strengthened its workforce in the country by 16 percent to 530 associates over the course of 2016 to address the company’s goal to expand its geographical footprint, as well as its product and solutions portfolio.
Powell believes the expansion has contributed greatly to the company’s success to sustain the double-digit growth in 2016.
“We believe we’ve been successful because of our moving out into the provinces and not just relying on Metro Manila. We’ve focused here in Manila and now we’re expanding our network and organizations throughout the country. We are expanding our distribution, our project portfolio throughout the regions. That’s the major drive of this success,” he added.
In 2016, the company officially inaugurated its newest business hub in Cagayan de Oro (CDO)—its third outside of Metro Manila—to address the rapid development in the Mindanao region.
The CDO hub provides showroom, sales, training and after-sales support for Bosch products and solutions across every business division that is present in the Philippines. This gives them opportunities to further market their innovations to the local customers.
“All Bosch divisions present in the Philippines have developed greatly” last year, Powell said, noting that the Power Tools division remained its strongest contributor to sales in the country, while the Automotive Aftermarket division achieved a double-digit increase in sales, attributed to its “parts, bytes, services” offering, making 2016 its strongest year yet.
For 2017, the global company is looking at a sales growth of between three and five percent.
Powell also said Bosch will be investing 300 million euros on its own center for artificial intelligence in the next five years.
In Asia Pacific, Bosch recorded an 8.3 percent increase in sales in 2016 to 20.8 billion euros. It also generated 28 percent of its total sales revenue in Asia Pacific compared to 27 percent in the previous year. Overall, the company generated sales of 73.1 billion euros last year, and it employed roughly 389, 000 associates
worldwide as of December 31, 2016.