Grammer awarded largest contract for seats in its history

World’s largest construction machinery OEM enlarging its existing delivery contracts for offroad driver seats substantially

Share of construction machinery business in total revenue set to widen

Amberg, September 02, 2015 – Grammer AG has achieved a major sales success in its Seating Systems Division. The world’s largest construction machinery OEM has substantially enlarged its existing delivery contracts for Grammer driver seats. Looking forward, Grammer will be broadening its existing delivery arrangements massively and supplying seats for new vehicle types. Whereas Grammer previously only supplied seats for the US OEM’s wheel loaders, they will additionally be factory-fitted to excavators and wheel excavators from 2017. This will cause the volume of revenue which Grammer’s Seating Systems Division generates with this customer each year to rise from the single-digit millions to the mid double-digit millions. 

With this contract, which is the largest one for seats in the company’s history, Grammer will be able to substantially strengthen its position as a supplier to the world’s largest construction machinery OEM. At the same time, the share of construction machinery business in Grammer’s group revenue will widen as a result. On top of this, Grammer sees the contract for the delivery of seats for new vehicles types as confirming its own quality standards. This is because the special work environments under which the construction machinery is operated make great demands on the performance of the driver seats, which are permanently exposed to extreme conditions. 

“Given the current challenging conditions in the commercial vehicle markets, the significance of this major contract awarded by the world’s leading construction machinery OEM cannot be stressed enough and is clear testimony to Grammer’s innovativeness and competitiveness. The resultant substantial increase in volumes in the Offroad segment will support the Grammer Group’s long-term growth targets on a sustained basis,” said Hartmut Müller, Chairman of the Executive Board of Grammer AG. 

Orders to be executed internationally

With the substantial progress already made in its internationalization strategy, Grammer will be able to rely on its worldwide production capacities to execute the new delivery contract for the customer to optimum effect. Production will be based simultaneously at Grammer’s plants in Germany, the United States, Brazil and China from 2017.

 

Company Profile

GRAMMER AG, Amberg, Germany, specializes in the development and production of components and systems for automotive interiors as well as driver and passenger seats for utility and offroad vehicles. In the Automotive Division, we supply headrests, armrests and center console systems to premium automakers and automotive system suppliers. The Seating Systems Division comprises the truck and offroad seat segments as well as train and bus seats.

Grammer is represented in 20 countries worldwide with a workforce of over 10,700 employees across its 30 subsidiaries.

The GRAMMER share is listed in the SDAX and traded on the Frankfurt and Munich stock exchanges via the electronic trading system Xetra as well as in over-the-counter trading at the Stuttgart, Berlin and Hamburg stock exchanges. 

 

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