LUDWIGSBURG, Germany - Engine injection systems specialist Beru AG has benefitted from the diesel boom in Europe - notably the rising demand for diesel cars with fuel injections.
Beru saw sales grow almost 14 percent to DM485.1 million (A245.6 million) in the year to March 31. Profit after tax rose 62.3 percent to DM60.6 million.
'Beru has been consistently impressive,' said component sector analyst Thomas Aney at DresdnerKleinwortBenson in Frankfurt.
Growth in existing businesses was 7.7 percent as the European diesel market grew by 20.4 percent. The European diesel market now accounts for more than half of Beru's sales.
Beru raised investment by 25 percent during the 1999-2000 financial year, mostly to expand capacity and increase research and development.
'We expect solid internal growth again in the new year, despite a static automotive economy,' said CEO Ulrich Ruetz. He added that 'acquisitions in 2000-2001 could lead to considerable external growth.'
Beru has so far not made a big acquisition with the funds raised by its flotation on the Frankfurt stock market in October 1997.
Beru's new electronic tire-pressure sensing business added DM5 million to sales. Group sales were also boosted by the first-time inclusion of subsidiaries in Mexico, Korea and Spain.