Further internationalization - revenue of EUR 2.4 billion by 2014
MUNICH, Jan. 5, 2011 /PRNewswire-Asia/ -- International service corporation TUV SUD has significantly accelerated its growth. The Group's consolidated revenue for 2010 will rise by roughly 10 per cent to just under EUR 1.6 billion, more than doubling last year's increase (2009: EUR 1.43 billion, a year-on-year increase of 4.5 per cent). The number of employees also reflected this positive trend, rising this year by 1,400 to 16,000-plus.
"In the current fiscal year, we have provided important impetus – particularly for inorganic growth and the further internationalization of our company," noted Dr Axel Stepken, CEO and President of TUV SUD AG, at the annual financial results conference in Munich. The two largest acquisitions were the US company Global Risk Consultants (GRC), with 350 staff and revenue of USD 55 million, and Korea-based KOCEN Consulting & Service, with 316 staff generating revenue of EUR 14 million. TUV SUD further strengthened its international presence by acquiring a number of smaller companies and by establishing further international subsidiaries. Its acquisitions include US Company Mechanical Integrity, Austria-based ZWP, Global Advantage in Canada, US Playground Certification and the UK-based Laidler Group. The TUV SUD Group further established Swiss ECG and its new international subsidiaries TUV SUD France, TUV SUD Ukraine, TUV SUD Serbia and TUV SUD Sri Lanka. After the success story of TUVTURK, TUV SUD also continued the international expansion of its automobile services and entered the South African vehicle inspection market.
According to Stepken, a key growth driver in 2010 was the classic industry business, from the testing of power stations to industrial installations, lifts and transport infrastructure. "This is all the more notable given that the market for the inspection of plants and installations falling under regular supervision and inspection has been characterized by fierce competition since it underwent liberalization a few years ago," explained the CEO and President.
To continue on its path of success, TUV SUD expanded its investments this year. "In 2011, we plan an even more pronounced increase in investments to a total of around EUR 100 million," announced Stepken. The lion's share will be used to develop and expand new and sustainable business areas such as electro mobility and renewables.
"We will specifically expand our service portfolio in the field of wind power, for instance," explained the CEO and President. "In keeping with this, we are concentrating our activities in the field of offshore wind power in a separate department in Hamburg, which will launch operations in January 2011."
Softlines are another important growth sector. Over the last three years, TUV SUD's investments in building up and developing a global infrastructure for the testing of textile products, apparel and shoes has totalled EUR 10 million. Today, the Group has 300-plus staff in its 'softlines' area, working in 18 testing laboratories, 14 of which are located in Asia alone.
"TUV SUD will continue on this course of dynamic growth over the next years," announced Dr Stepken. "Based on this successful combination of organic growth and profitable acquisitions, we aim to increase our revenue to EUR 2.4 billion by 2014."
Media Contact:
| Ms. Faith Wang Cooperate Communication TUV SUD Greater China No. 88 Heng Tong Road, Shanghai 200070 |
Tel.: +86 21 6141 0726 Fax: +86 21 6140 8600 Email: haiyan.wang@tuv-sud.cn Website: http://www.tuv-sud.cn |
Established in Germany 140 years ago, TUV SUD is one of the world's leading technical services providers offering knowledge services, inspections, testing, expert opinions, certification and training. Approximately 15,000 employees at over 600 locations worldwide provide technology, system and know-how optimization.
TUV SUD has started business in China for around 20 years. So far, TUV SUD has partnered with over 10,000 local manufacturers.
