Rassini, S.A.B. de C.V. (Formerly Sanluis Corporation) Business Report FY ended Dec. 2015
|(in million MXN)|
|FY ended Dec. 31, 2015||FY ended Dec. 31, 2014||Rate of change
|Sales by Division|
|Suspensions Division North America||7,515.0||6,148.3||22.2||3)|
|Suspensions Division Brazil||1,369.7||2,395.4||(42.8)||4)|
|Brakes Division North America||4,028.1||3,370.4||19.5||5)|
1) Net Sales
-The Company’s net sales for the fiscal year ended December 31, 2015, totaled MXN 12,897.2 million, an increase of 8.4% over the previous year. The increase in sales was driven by sales growth from both of the Company’s North America divisions. These were partially offset by decreases in sales in the Suspensions Division Brazil due to weaker economic conditions in the country.
2) Operating Income
-In the fiscal year ended December 31, 2015, the Company’s operating income increased by 9.7% to MXN 1,447.9 million. Factors leading to the increase in income include new contracts for products with higher levels of technology, increased sales, and strict control over fixed costs.
3) Suspensions Division North America
-The Company’s Suspensions Division North America had sales of MXN 7,515.0 million in the fiscal year ended December 31, 2015, an increase of 22.2% over the previous year. The increase in sales was driven by the launch of new platforms, expanding its product portfolio to supply leaf springs for the heavy truck market in North America, and winning new contracts with DTNA and Ford to provide the automakers with suspension technology.
4) Suspensions Division Brazil
-The Suspensions Division Brazil’s sales decreased by 42.8% from the previous year to MXN 1,369.7 million in the fiscal year ended December 31, 2015. Due to the weaker economic conditions in the country, production of commercial vehicles, the Company’s main market in Brazil, decreased by 45%.
5) Brakes Division North America
-In the fiscal year ended December 31, 2015, the Brakes Division North America had sales of MXN 4,028.1 million, an increase of 19.5% over the previous year. Increased market penetration by the division, as well as capacity expansions in casting and machining led to the successful launch of several programs, thus contributing to the increase in sales for the division.
-In the second quarter of 2015, the Company announced that it would expand its product offerings for the North America heavy commercial truck market to include leaf springs. The Company hopes that expanding their products will allow it to capitalize on the growing market in North America. The Company expects to double its market share in North America’s heavy commercial truck market by 2018.
-The Company has introduced technologies and components for the following vehicle models and platforms.
- Replacement leaf springs, coil springs, and brake discs for General Motor’s T1XX platform.
- Brake discs for the new Tesla Model X
- Rear and front brake discs for the Ford Mustang
- Brake discs and ferritic nitrocarburizing (FNC) treatment for FCA’s MP, JL, and PF vehicle platforms. These platforms include vehicle models like the Jeep Patriot, Jeep Compass, Jeep Wrangler, and Dodge Dart.
- Front suspension technology for the F-650 and F-750 Work Truck Series assembled at Ford’s facility in Ohio
- Coil springs for the Mercedes-Benz CLA
-In 2015, the Company won new contracts in North America which totaled over MXN 25,000 million worth of new sales over the next five years.
-The Company received the “Supplier Quality Excellence Award” from GM in 2015.
-The Company was recognized by Daimler Trucks North America (DTNA) and received the “Masters of Quality Award 2014.”
-The Company has an engineering, research and development center in Plymouth, Michigan, U.S. The Company also has technical centers in following locations;
- Piedras Negras, Coahuila, Mexico
- San Martin Texmelucan, Puebla, Mexico
- Sao Paulo, Brazil
|(in million MXN)|
|FY ended Dec. 31, 2015||FY ended Dec. 31, 2014||FY ended Dec. 31, 2013|
Investments in Mexico
-In April 2015, the Company completed its MXN 378 million investment in its brake foundry at Puebla, Mexico in order to maintain flexibility, fulfill increasing demand, and improve market share.