Staying in the flow Tristone

STAYING IN THE FLOW

Tristone Flowtech, a specialist in flow technology solutions for the automotive industry, is a benchmark when it comes to tailor-made fluid solutions - air, water, hot and cool. Following an acquisition in China in 2020, this globally operating automotive supplier group has recorded an excellent financial performance despite the pandemic.

With its broad portfolio of innovative technology, Tristone offers complete and integrated flow technology solutions with high added value. The group is highly specialized in fluid applications in the areas of motor and battery cooling as well as air charge systems.

Tristone is benefiting from the trend towards a reduction in space and fuel consumption with the introduction of polyamide materials as well as the introduction of new powertrain concepts with hybrid and electrical cars and the integration of fluid motor and battery cooling systems.

Headquartered in Frankfurt am Main Tristone has been part of the Chinese Zhongding Group since 2017. For 2020, the company confirmed a sales record with €322 million in total annual sales as well as €151 million in new business awards. The year-on-year sales growth of over 7.7% includes the activities of the Group’s acquisition of a second facility in China in January 2020.

Excellent performance despite pandemic

Following Tristone’s strategy, 50% of the total business awards were received in the battery cooling product family, clearly reflecting Tristone’s strategic plan, its alignment with the market and the OEM´s commitment to promoting sustainability by reducing CO2 emissions.

“We are very proud of this achievement, having again outperformed the records achieved during recent years. For the second time in a row, we´ve managed to break the €100 million new business awards barrier,” says Bernd Bitter, Vice President of Sales and Marketing.

Ignacio Salazar, President and CEO of Tristone Group, added: “After a very difficult year with an average production drop of 22% in the markets where Tristone is present, our company has managed to increase the sales level versus the previous year. Our positioning in battery cooling applications has been key to reaching these results and growth above the market average.”

He said that the amount of business already booked for the future gives the company an excellent basis to further develop the Group in line with its strategy, and shows that Tristone is following the right technology trends with suitable solutions for its customers.

The company can be particularly proud to have maintained overall positive earnings, despite the tremendous negative impact of the global Covid-19 pandemic on the automotive sector and the associated demand volatility and rolling global shutdowns.

Strengthening in China

This positive financial performance has been supported by Tristone’s acquisition of its second plant in China early last year - Anhui Zhongding Rubber Hose Products Co. Ltd., Ningguo, focusing mainly on engine and battery cooling hoses as well as air charge hoses supplied to local Chinese OEMs.

According to the company, the intention behind this acquisition was to strengthen market position in the fields of engine and battery cooling systems as well air charge systems and also to access the local Chinese OEM automotive passenger car market.

‘With our two production plants in China in Ningguo and Suzhou, Tristone Group will be in a position to offer a broader product portfolio, being a full system supplier and design partner to our global OEM customers in China as well as the local Chinese OEMs,” says Sonja Rossteuscher-Schütze, CFO of the group.

“Our product portfolio will include not only engine cooling hose systems, but also air charge hose systems, wrapped turbocharged hose systems, plastic PA pipe systems and plastic surge tanks. In a next step, Tristone will be in a position in the Chinese market to also produce plastic quick connectors, plastic ducts as well as automated produced engine cooling hoses,” she added.

Good year ahead

Summarising Tristone’s outlook for the coming years, Ignacio Salazar says: ‘Despite a turbulent first half of last year, the Group has managed to maintain its positive momentum. The high amount of booked business for the years to come guarantees a robust development plan aligned with the required technical solutions expected by our customers.”

He affirmed that Tristone continues to grow faster than the market average, with its geographic expansion being a key driver. “Being a design partner for our customers positions our company as a value-added supplier to our global OEM customer base,” he says, adding that Tristone will follow a clear strategy focusing on growth outside of Europe.

The company is expecting further steep sales growth of over 20% in 2021, driven primarily by ongoing start-ups in China, Europe, NAFTA, and India, including new products and applications with new patented technology. With a revenue forecast at €385 million in 2021, Tristone can look into the near future with well-founded optimism. n