Test & Measurement | March 03, 2008
Rood Testhouse net sales rose by 7.2% in 07
Net sales in 2007 rose by 7.2% to € 9,528,000 (2006: € 8,892,000). The operating result rose by 53.2% to € 354,000 (2006: € 231,000).
These results are in line with previously formulated prognoses. The consolidated net profit amounted to € 5,000, compared to a net profit of € 141,000 in 2006. The gross margin increased by € 709,000 to € 8,657,000. With over 7% growth, Rood Technology outperformed the European market, which in fact contracted. Ongoing effort and dedication and focus on growth markets contributed to this result. Sales to the automotive sector increased yet again by 35% to € 5.4 million. Sales to the telecom and industrial medical sector decreased by approximately € 1 million to over € 2.6 million. “A few years ago, when we started to focus on high-quality operations at Rood (Qualification, Failure and Technology Analysis and Test Engineering), this did not guarantee the significant growth that is now occurring. These operations have now become the drivers of Rood's growth. Supply Chain Management will provide new momentum, with similar prospects. We intend to continue the incepted strategy with renewed effort,” said Philip Nijenhuis, CEO of Rood Technology. Rood Technology continues to focus on new markets, such as the new site in Dresden and the set-up of the Supply Chain Management (Asia – Europe). This strategy will be continued forcefully, where possible in collaboration with others. In this context, a strategic partnership was concluded and an intended takeover was announced. Additionally, Rood intends to conclude further strategic partnerships and/or takeovers. Collaboration with external parties is also being sought in order to claim the considerable tax losses in both Germany and the Netherlands in time. Rood Technology has set itself the objective of realizing double digit net growth (between 10% and 20%) in Test & Related Services in the next three years, based on the customary seasonal pattern, at an annual global market growth of 8%.