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© batman2000 dreamstime.com Analysis | February 20, 2015

German components distribution with decent growth in 2014

The German components distribution market (according FBDi e.V.) grew in the fourth quarter (ended December 2014) by 7.2 percent. Solid order intake.
The fourth quarter ended with a plus of 7.2 percent, the full year turnover increased with 7.6 percent. Revenues for the quarter rose to EUR 698 million, the full year ended with revenues of EUR 2.96 billion. Order intake stagnated sequentially in 4Q/2014, but increased about 5 percent to EUR 2.95 billion.

No shifts when it comes to technologies

The semiconductors grew in 2014 above average (+ 8.9 percent to EUR 2.04 billion, corresponding to a market share of more than 69 percent). Passive Components recorded an increase of 6.8 percent to reach EUR 435 million, which is a 15 percent share. The electro-mechanics group, however, decreased somewhat: The revenue growth crumbled during the year, but ended with a growth of 4.1 percent, reaching EUR 308 million and a total market share of 10 percent. Power supplies grew with 3.7 percent to EUR 65 million (2.3 percent of the total market), displays decreased with 1.1 percent to EUR 85 million (2.7 percent of the total market).

FBDi CEO Georg Steinberger: "While the overall economy is growing at just under 1 percent, were the electronics and the distribution industries able to grow. For Semiconductors, German growth was above European average. Memory, micro components and programmable logic showed a below average performance.”

For 2015, Steinberger expect a mixed picture: "The development depends not only on pure market demand, which is relatively stable, but also on the exchange rate between the euro and the dollar. Most manufacturers have already begun to consider the weaker euro and presented plans to increase prices. The German high-tech industry however benefits from the euro weakness, as it improves export opportunities outside the EU. Unpredictable, however, remains the political situation."

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