- TTI Annual Report 2011 - http://www.ttigroup.com/onlinereport/ar2011 -
Review of Operations – Power Equipment
Posted By admin On March 25, 2011 @ 9:15 am In | Comments Disabled
Power EquipmentThe Power Equipment business, comprising of power tools, outdoor products and accessories, achieved an 11.6% increase in sales in 2011 to US$2.7 billion. This positive performance was the result of continued successful expansion of our MILWAUKEE® REDLITHIUM™ cordless platforms and strong growth in hand tools and accessories, as well as further expansion of our RYOBI® cordless lithium ion power tool and outdoor product ranges. The business accounted for 72.6% of Group turnover, against 70.5% in 2010.
IndustrialOur industrial power equipment business under the MILWAUKEE® brand had a strong year, delivering solid double-digit sales growth globally driven by further market penetration, built on the increasing adoption of lithium ion cordless products. During the year, MILWAUKEE® introduced REDLITHIUM™ and added a number of new products to their M12™ and M18® lithium ion cordless systems. MILWAUKEE®‘s game-changing cordless technology has won rapid end-user adoption in the industrial trade channels.
MILWAUKEE® power tool accessories achieved good performance for the year, experiencing solid growth with the launch of the second generation of Shockwave™ drilling and fastening accessories and wood Sawzall® blades with FangTip™ productivity-enhancing design and the advanced tooth NAIL GUARD™ feature. Our professional MILWAUKEE® hand tool program provided incremental growth building momentum with a successful second phase launch in 2011. The highly innovative range of hand tools targeted at professional users offers completely new features, providing the ultimate in productivity and performance.
Consumer and ProfessionalIn 2011, sales of professional and consumer power tools increased, supported by strong new product introductions in cordless products and accessories, as we continued to expand our professional range under the AEG® brand, while refreshing the consumer Do-it-Yourself consumer brand RYOBI® with a new line of products and the striking new hyper-green brand identity.
RYOBI® strengthened its position in North America as it enhanced the core 18-volt ONE+ System® by launching a range of new products that offer super-compact designs and improved performance. RYOBI® continues to build on its commitment to innovative product development and world-class marketing backed by a well trained in-store sales team. The success in product innovation, a key factor in driving growth, has established RYOBI® as the leading Do-it-Yourself brand with a strong product portfolio, a substantial and loyal end-user following, and solid retail partnerships with broad distribution.
In Europe and rest of the world, new product introductions throughout the year enabled our AEG® brand to deliver solid growth. Key among them was the launch of a new range of professional cordless tools using Pro Lithium™, the next generation high performance lithium ion technology. The 12-volt Omni Pro™ multi-tool range has generated end-user excitement with its flexible multiple head attachments which deliver lithium power to perform different tasks for the professional user. In the consumer Do-it-Yourself segment, sales of RYOBI® products increased, driven by new products and distribution partnerships.
Outdoor ProductsOutdoor products had a good year, as they benefited from the tremendous success of the RYOBI® power tools 18-volt ONE+ System®, which is now being applied to the outdoor products segment. We refreshed and expanded the RYOBI® 18-volt ONE+ System® through the launch of new products, including a new line trimmer and a hedge trimmer with HedgeSweep™ technology. Additionally, the new RYOBI® cordless 24-volt lithium ion platform exceeded sales targets as it captured the interest of end-users and garden enthusiasts, transforming their view of cordless outdoor technology by virtue of the products’ compactness, convenience, ergonomic design and high performance.
In Europe and the rest of the world, outdoor products benefited from the introduction of a range of RYOBI® 36-volt lithium ion cordless products. This technology breakthrough delivers power and run time performance that far exceeds other cordless products. As a result of the RYOBI® 36-volt range, consumers have a performance choice to replace gas driven products.
Article printed from TTI Annual Report 2011: http://www.ttigroup.com/onlinereport/ar2011
URL to article: http://www.ttigroup.com/onlinereport/ar2011/executive-summary/review-of-operations-power-equipment
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