Behr Group, the air conditioning and engine cooling systems supplier embroiled in an anti-trust investigation, reported that 2012 sales were EUR3.7bn, on a par with 2011.
CEO Peter Grunow, 63, who retires at the end of June, described the results as “satisfactory despite a considerable slowdown in Europe”. The company, in which the Mahle Group has a 36.8% stake, was able to reduce its net debt and “has a sound financial footing,” he said.
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Behr’s air conditioning unit registered a slight drop in sales while engine cooling, helped by a strong performance of the joint venture Hella Behr Plastic Omnium, a supplier of front-end modules, grew moderately. Behr’s aftermarket unit also recorded slight growth.
Global headcount was reduced from 17,421 to 17,285 while investment of EUR113m stayed the same; this was mostly used to set up new facilities in China and eastern Europe.
Behr said that it was cooperating fully with authorities in Europe and the US investigating suspected competition-restricting practices since May 2012. The deficit of EUR49m posted under net income was influenced by the expenditure on risk provisions, especially in association with the ongoing antitrust proceedings, as well as by warranty issues, the company said.
Although Mahle put plans on hold to gain a majority stake in Behr in the aftermath of the anti-trust investigations, talks resumed towards the end of 2012 and Grunow said that he fully expects it will be possible to prepare the groundwork for the majority takeover this year.
Grunow will be succeeded as CEO on 1 July by 43 year old Jörg Stratmann who joined the board of management on 1 February to assume responsibility for sales and the customer centres. Stratmann worked in various functions at Siemens Automobiltechnik, Siemens VDO and Continental before he became a member of Mahle’s corporate management committee.
