Saturday, January 26, 2013

How Eurocopter has achieved a spectacular growth in 2012

The helicopter subsidiary of EADS increased its turnover by 15% compared to 2011, reaching a record sales of 6.3 billion euros. Success is explained by the strategy implemented in services, whose share in the total turnover amounted last year to 42%.

In all subsidiaries of EADS, records fall one after the other. After Airbus, Aerolia ATR unveiled levels of supply and / or sales ever achieved ... it is the turn of Eurocopter to display a record turnover in 2012.The helicopter subsidiary recorded sales last year, which amounted to 6.3 billion euros, up 15% compared to 2011 (€ 5.4 billion, which was already a record). Brief and Eurocopter CEO Lutz Bertling, the last year has completely forgotten the financial crisis, which had dropped the orders including the civil to 4.3 billion in 2010 (against 5.8 billion in 2009) .

Eurocopter claims 44% of deliveries to the world market for civil helicopters and parastatals, including police and emergency services (for a market of 750 helicopters) in 2012, ahead of the U.S. Bell Helicopter (25%) and Italian Agusta Westland (16%). Nothing in the United States, "we have more than 50% of the market," rejoiced Lutz Bertling. The military market (a market of 698 units), the European helicopter comes in third position with 18% market share, behind the U.S. Sikorsky and Russian manufacturers have 24% each. Showing a cumulative growth rate of around 9% since 2006, the company appears "as one of the greatest achievements of European industry," argued Eurocopter in a statement.

Orders red├ęcollent

The orders are consolidated in 2012 of 469 units (45%) and services (47%), for a value of € 5.4 billion, which represents the third consecutive annual increase since 2010 (346 helicopters ordered 2010, 457 in 2011). The total order intake reached its second meillleur historical result and "marks a return to pre-crisis levels of 2008," said Lutz Bertling. Sales have been particularly stimulated by 249 orders for helicopters Ecureuil/Fennec/EC130 family and the strong performance of the Super Puma family (37 units), showing significant orders passed in the oil and gas sector, including a framework contract with the leasing company Milestone Aviation Group for sixteen EC225.

A winning strategy in services

The strategy implemented by management Eurocopter is now bearing fruit with significant growth in services (42% of sales in 2012) and 475 helicopters (49%) delivered in 2012. "Eurocopter has reached a new milestone in 2012, passing status helicopter to a provider of comprehensive solutions for helicopter missions, through the modernization of its product range, together with a broader array of services and an extension of its global presence, "thus confirming the Eurocopter CEO Lutz Bertling. Service activities, aggressively developed since the crisis, thus continued to grow, reaching 42% of the total, against 38% a year earlier.

The effort in services has also paid off during the year, with, including the installation of five new Full Flight Simulators, bringing their total number to twenty in the world, created in Mexico Turbomeca, a training center for engine maintenance, capacity expansion logistics and MRO (maintenance, repair and overhaul) with the inauguration in Perth (Australia) to a support center for oil and gas industries, capacity expansion helicopter maintenance and capacity building of the Eurocopter subsidiary in Japan, in a new facility on Kobe airport. Eurocopter has also continued to expand its MRO (aircraft maintenance) through the acquisition of Vector Aerospace Canada (400 million euros turnover in 2010). This transaction enabled Eurocopter to increase its international presence and offer new solutions, including leasing offer, support and modernization of the Super Puma AS332. "The strategy is paying off. We will continue to grow in the services sector," confirmed Lutz Bertling.

Roadmap 2013

Deliveries are expected to increase by 15% in 2013, provides the owner of Eurocopter. Among the objectives include maintaining the pace of delivery of Super Puma helicopters, Ecureuil, NH90 and Tiger, as well as preparation for the rise of the new EC175 promising. "The optimization is one of the priorities of Eurocopter in 2013," he said.

Military markets difficult

In the military, which is facing reduced defense budgets, Bertling will try to draw out of the game he hopes to be chosen to replace the Kiowa, helicopters entered service during the Vietnam War. The AAS-72X proposed to the U.S. Army "would not return much more expensive than upgrading the Kiowa," he said.According to the American magazine National Defense, the military should decide in the coming months if it only upgrade the Kiowa, built by Bell, or if it launches a tender in 2014.

In Europe, Eurocopter not expected to significant order cancellations, either in France or in Germany. The Executive Vice President of Eurocopter, Dominique Maudet, waits confirms France by the end of March an order of 34 NH-90 helicopters. Germany, Lutz Bertling still negotiating with Berlin changing orders of the German army. "The discussions were very constructive," he said. They were assisted by him through the delivery of four emergency Tiger combat helicopters deployed in Afghanistan. Finally, Spain has reduced its orders for helicopters but not the amount of contracts, asking for more support.

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