News
Annual Report 2005
(From the AB Wilh. Becker Annual Report for 2005)
Becker Industrial Coatings: Growth in all sectors
2005 was another year of strong growth, with expanding sales in all markets. Excluding currency effects, BIC’s net sales rose by 9%.
Coil coatings sales increased by 8%. European markets started sluggishly but improved significantly in the second half of the year. High growth rates in Asia continued. Becker Industrial Coatings not only retained leadership of the European market, but can now claim to be the second largest supplier of coil coatings worldwide.
BIC’s success in coil markets is based on highly experienced, focused and specialised teams of sales, technical and
production staff. Long-term concentration on R&D enables BIC to offer a comprehensive range of coil products, including
plastisols, PVdF, high durable polyesters, chrome-free primers and thermal control coatings.
BIC is consolidating its position as European leader in special coatings for agricultural, construction and earthmoving equipment. A close focus on the market, with steady development of high solids and waterborne coatings (which offer
lower environmental impact), have been key factors in delivering an 7% growth in a liquid coatings market which is generally in decline.
BIC’s Plastic Coatings business segment, which focuses primarily on the mobile phone and TV sectors, increased by 37%. This was an exceptional performance when set against a 10% growth in mobile phone production and a sharply de pressed market for TV coatings. A strong, global partnership programme with the main manufacturers and their subcontractors is key to this major gain in market share.
Oil prices
Oil prices have climbed relentlessly over the last two years, putting great pressure on raw material prices. This is a challenge that BIC is facing with its suppliers, and by strenuous efforts to minimise internal operating costs.
Investment programme
Continuing growth in Asia has been supported by several projects. The largest investment was made in Malaysia, where a new, larger factory has been built and commissioned. This primarily supplies coil coatings to Southeast Asia but also supports a growing business in special coatings.
In Vietnam, BIC has established a sales office, supplied by the new factory in Malaysia. BIC has responded to the growing demand for the latest technologies for plastic coating in China by relocating the UV centre of excellence to Guangzhou, where Chinese colleagues are being trained to offer technical support to customers and BIC companies around the world.
In Europe, work has started on a new factory in the south of Poland, which is expected to be commissioned from October 2006, working up to full production by the end of the year. Major extensions to existing plant in France (Montbrison) and Germany have also begun.
2005 has been the busiest year yet for installing BeckryMix mixing systems. These systems are described in the panel opposite. Two were set up in Spain, one in France and one in Syria: all will be serviced from France.
Planning for the future
There will be several major projects in 2006, designed to further strengthen service, technology and competitiveness in future years.
A new coil coating system for thermal control, BeckryTherm, has been launched, primarily for roofing applications. High infrared reflectivity reduces air conditioning costs, while an interior component acts as a thermal barrier coating.
In R&D, BIC is making significant investments in new curing processes, including ultra-violet, electron beam and near infrared. The challenge which the market is demanding in the medium term is to increase the speed of coil coating lines with flash curing conditions of less than 5 seconds, and these technologies will play a key part. Investment in UV technology will also continue for plastic coating systems.
New production capacity will be developed in Vietnam, and small production units are planned in India. Investment will continue in mixing stations, bringing service closer to customers.
Released: May 2006