Significant increase in order intake
Press release 2014-08-13
REHOBOT Hydraulics experiences significantly increased order intake
A strong order intake throughout 2014 and a weakened Swedish krona are leading to well-filled order books and a need for new recruitment for the long-established Eskilstuna company specialising in high-pressure hydraulics.
Since the beginning of the year, the company has seen a significant increase in sales compared to 2013. In the first half of 2014, order intake has been around +10% compared to the previous year, but due to the weakening of the krona, the company expects even stronger figures on an annual basis. Exports have been important for many decades, usually accounting for 65% of turnover. Some of the company's key markets are Scandinavia, Germany, the UK and the US.
Kjell-Roger Holmström, the company's CEO, says that last year it made a profit after net financial items of SEK 2.1 million, but that the ongoing trend points to a full-year profit in 2014 at a significantly higher level. The company has a purchasing and sales office in China, as well as sales and warehouses in the US and UK. However, all products are manufactured in Sweden, which the company is proud of.
The increased order intake means that the company now wants to employ five more people in production, thus increasing the production force from 25 to 30 employees. Kjell-Roger Holmström says "For our part, we are noticing both the weakening of the krona and the turnaround in the economy, which has led to a marked increase in orders. We have worked overtime during the summer and some have postponed their holiday leave in order to deliver products on time." When production resumed with full staffing after the holiday break, however, capacity utilisation was still at a high level. Kjell-Roger Holmström continues: "For a company like us, with high ambitions, this increased utilisation has led to lead times reaching high levels. We are therefore looking forward to welcoming more employees on the production side to bring down lead times."
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