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Bosch to invest 1300 cr to expand Automotive Technology business in India
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Written by James   
Tuesday, 09 March 2010

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Bangalore: Of the Rs. 2000 crores investments announced by Bosch in India during the period 2010-2012, a significant amount will be invested at Bosch Ltd. for introducing new products, expansion of existing products, broadening research and development activities in India. Around 65% of the amount would be invested to expand the Automotive Technology business in India.

In markets such as India, one of the main challenges is ensuring that driving is affordable and at the same time eco-friendly. The majority of India’s car buyers want safe, fuel-efficient, and reliable vehicles at a very affordable price. Bosch has worked towards examining the requirements of low-priced vehicles and has developed innovative technologies for this segment. As a result, specially designed, cost-effective products were developed without compromising on quality. The Value Motronic engine management system, a low-cost control unit platform for gasoline engines and the CRS 1.1 common rail system for low- priced vehicles are results of the efforts in this direction.

Bosch Limited registers 4.6 % growth in 2009

Bosch Limited has registered a sales growth of 4.6 % in the year 2009 on the back of an impressive 20% growth in the 2nd half of the year.

The company posted net sales of Rs. 4749.8 crores in 2009 with Profit Before Tax (PBT) at Rs. 793.4 crores accounting for 16.7% of net sales, compared to 18.9% in the year  2008. The Profit After Tax (PAT) stood at Rs. 590.6 crores, which is 12.4% of net sales compared to 14% for the previous year.

Announcing the company’s financial results, Mr. V. K. Viswanathan, Managing Director, Bosch Limited, said “The year 2009 was one of the most difficult years in our company’s history, owing to the effects of the global economic meltdown. The automotive sector was one of the worst affected with sales declining rapidly in end 2008 and beginning of 1st quarter of 2009. This decline was partially arrested by the stimulus packages offered by the Indian Government. Consequently, sales of passenger cars and light commercial vehicles stabilized quite early than expected. However, market recovery in the heavy commercial vehicle segment began only by the 3rd quarter 2009. Despite the visible signs of economic recovery, we continued to steer ahead cautiously with renewed vigour, focusing on delivering value to all our customers”.

The company’s Diesel Systems business was down by only 2.7% despite the decline in the 1st half of 2009 by 24%. Starter & Generators division de-grew by 10.9%, where as the Automotive Aftermarket business grew by 17.3% in 2009. The Gasoline Systems business grew by 121%, albeit on a smaller base.

The non-automotive business sectors especially Packaging Technology and Power Tools showed robust performance with growth of 15.9% and 19.3% respectively. However, Security Technology business was down by 17.4% compared to the previous year.
 
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