2018 in brief
The Beijer Electronics business entity expanded as planned, reporting markedly improved earnings in 2018. All regions achieved growth, mostly sourced from the new X2 series HMIs. The new “Fast track to the cloud” solution with BoX2 passed its test phase in the year. This solution–launched in the first half-year 2019–will be under a Software as a Service (SaaS) revenue model, with hardware invoiced on delivery and software with a subscription fee.
Offering and market
People and technology. Connected
Our vision is for people and technology to go hand in hand. We offer the market digital IIoT solutions integrating software, hardware and services. Our solutions are robust and enhance our customers’ operations with an emphasis on efficiency, reliable operation and IT security. They should be easy for people to integrate with the technology underlying operational processes by connecting networks and web-based services. We utilize state-of-the-art technology to create secure and reliable software and hardware solutions. Our guiding principle is to make complex things simple for users.
External analysts value the global market Beijer Electronics addresses at 36 billion SEK, with estimated yearly growth of 6–7%. The main growth drivers are an increasing need for new software solutions, tracking digital progress. Beijer Electronics’ estimated market share is some 3%.
Beijer Electronics reaches the end-users of digital solutions through a combination of channels. System integrators and OEMs utilize the solutions either for themselves, or bundled into their own solutions. Brand label customers sell Beijer Electronics products and solutions under their own branding. A network of distributors on selected markets complements in-house sales resources and direct sales. On local markets, Beijer Electronics provides support through consulting, servicing and support. We also create new sales channels to the market through partnerships, and through vendors of ERP and IT systems.
System solutions are used in a multitude of sectors and applications. The largest segment is manufacturing, including engineering, textiles, paper, food and beverages. Other segments like oil & gas, marine and offshore operate in exposed and harsh environments with highly specific and stringent standards on the flexibility, robustness, sustainability and reliability of solutions. We are at the leading edge of robust digital solutions. Segments like real estate automation, infrastructure, water & waste water often need specialized, tailored digital solutions for specific applications.
Customers and sales
Beijer Electronics sells its system solutions to a global base of some 3,400 customers of differing sizes. Its ten largest accounts represented 27% of sales in 2018.