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Automotive, Bad Neustadt a. d. Saale, Automotive supplier

The past years

Press archive

Here you will find interesting press information about Preh´s innovations, new products and milestones.



Press Releases

Automotive specialist posts record sales in 2010 - 2nd plant being built in Mexico

Preh stays in the fast lane in first quarter 2011 and makes successful entry into electromobility growth market.

Preh GmbH, Bad Neustadt an der Saale, Germany, chalked up 30% sales growth in the first quarter of 2011 compared with the same period in the previous year. Sales revenues increased to €103.4 million in the first three months of 2011 (1st quarter 2010: €78.4 million). Preh is therefore continuing the growth course set in FY 2010, in which automotive sales climbed to a record mark of about €343 million (2009: €240 million). In 2010 Preh also returned to its pre-crisis profitability level: Its operating result before interest and taxes (EBIT) increased to €17.8 million.

At the end of 2010 the number of Preh employees throughout the world increased by 340 to 2,420. Preh’s management is also optimistic about FY 2011: In 2011 the company expects strong double-digit sales growth and revenues exceeding the previous year’s level. The number of Preh employees is projected to increase to 2,655 worldwide. The number of employees will also increase substantially in Bad Neustadt, in particular in the product development process. In addition to profiting from its classical market segments of climate control systems, sensors, and ECUs, Preh increasingly benefited in 2011 from the growth market for electromobility. In the area of electronic control units for battery management, Preh achieved a major breakthrough in the form of a contract from a leading German automaker to supply components for an electrical vehicle.

Dr. Michael Roesnick, president of Preh GmbH, said, “Since 2003 we have more than doubled our automotive sales from €169 million to €343 million in 2011. Even the major industry crisis in 2008–2009 did not knock us off our growth course. Over the past seven years, Preh has grown an average of 10.6% per year. Together with our new majority shareholder, Joyson, we will not only continue this growth trend, we will accelerate it.” 

 

Construction of a second plant in Mexico

The consistent internationalization strategy that Preh has pursued in recent years is a key success factor. After having built an initial production facility in Monterey, Mexico in 2005, the Bad Neustadt automotive supplier is building a second plant in Monterey in summer 2011 in response to strong growth in the NAFTA region. The new Mexican plant will have floor space of 8,300 m² in the first phase. In first quarter 2011, Preh achieved over 60% growth in the NAFTA region. Within just five years, the automotive electronics specialist has become the second-largest supplier of climate control systems in the USA.

In early April the Chinese automotive supplier Joyson announced that it was acquiring majority interest in Preh. Joyson, a privately held supplier of automotive electronic equipment, will hold 74.9% of the shares. The previous majority shareholder, Deutsche Beteiligungs AG, Frankfurt am Main, together with investment funds that it manages (“DBAG Group”) and Preh management will continue to hold 25.1%. The new fast-growing technology company, with more than €500 million in sales, will specialize in the automotive industry and have outstanding access to the European, US and Chinese markets. Preh management will continue to lead and expand the global activities of Joyson and Preh in the automotive electronics market from its location in Bad Neustadt, Germany, thus ensuring continuity for customers and employees. Execution of the purchase agreement is subject to approval by all relevant authorities. 

The Preh group of companies is active globally and has more than 2,500 employees in Germany, Portugal, Mexico, the U.S.A., China and Romania. Its headquarters is in Bad Neustadt an der Saale, Germany. The company was founded in 1919. In 2010, Preh achieved sales of €351 million, including sales from a non-automotive business that has now been spun off. Preh’s areas of engineering and manufacturing competence are focused on interior climate control and driver control systems, sensors, ECUs and manufacturing systems for major automobile manufacturers.

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  • The past years

    The Preh press archive

    All company
    press releases 2009– 
    to date.

    more

  • On the pulse of time: All the latest news about the company group.
  • Intelligent solutions for e-mobility,
    Car HMI and Commercial Vehicle HMI worldwide.
  • The amount of purchasing top quality know-how is limited.
    That is why we at Preh consistently rely on a
    high level of in-house vertical integration.
  • Passion for Excellence: Top automotive suppliers must constantly reinvent themselves
    and need to have a high level of flexibility,
    creativity and engagement.
  • Various documents for download, if required.