|Headquarter of APT in Neuss, Germany. Copyright: APT GmbH
Gelsenkirchen (pta017/07.03.2017/08:45) -
Since the start of January, APT has been operating as part of the Masterflex Group. And successfully: "The revenue taken so far fully meets our expectations. It is even slightly above target", says Dr Andreas Bastin, CEO of the Masterflex Group. "The first joint projects have been launched and have good chances of leading to big orders at a later stage. In addition, administration at both companies will be carried out more efficiently in future."
Background: APT Advanced Polymer Tubing GmbH, based in Neuss, produces and sells connectors made from fully or partially fluorinated plastics. It specialises in tubing of 0.2 mm to 130 mm in diameter as well as shrink tubing, which act as protective covers for plugs or similar components and protect their surfaces from corrosion or provide electrical isolation. Until the end of 2016, the former family company of around 30 employees concentrated its sales on the Germany/Austria/Switzerland region and on customers in the robotics and food industries, as well as analysis and lab technology. The medical technology industry was not actively catered to because of the necessary and expensive certification in this sector. With this business model, in 2016, APT generated revenue in the mid-single digits with a double-digit margin in its operating activities.
However, as of this year, the sixth group brand of the almost globally active Masterflex Group will offer significantly extended opportunities. This is because the broad product portfolio of the Masterflex Group can be extended to a very exciting industry: APT smooth bore hoses can be used at temperatures from -200°C to +260°C on a long-term basis. They are also permanently resistant to almost all chemicals and materials. Thanks to their durability and good level of compatibility, APT products are also very interesting for use in the medical industry.
The Masterflex Group, for its part, has been well-known in the medical technology sector as a quality provider for many years and possesses the necessary certifications. Therefore, they will push ahead with joint projects primarily in this area over the first year. Manfred Seeber, Sales Director Medical Products at the Masterflex Group: "The very smooth surface of these hoses reduces the development of blood clots when used in the human body. Therefore, such products are used successfully as implants for stents but also in gastroenterology and endoscopy. We are already looking forward to exciting new projects this year in the field of medical technology."
Furthermore, more regions and industries in the Masterflex Group will become interesting for APT products over the coming years: in this way, the sole APT sales contacts, which have been in North America until now, can be strengthened through the Masterflex Group's US location. Fluorinated plastic hoses also offer new connection opportunities in the industrial sector, the food industry and in pharmaceuticals.
The wide range of possible applications for hoses made from fluoroplastics is based on the comparatively expensive raw materials (high-performance thermoplastics) used. Essentially, APT extrudes the fluoridated thermoplastics FEP (fluorinated ethylene propylene), PFA (perfluoralkoxy alkane) and PTFE (polytetrafluoroethylene). This requires quite particular expertise in its production and high-quality machinery designed for this purpose.
Because of the expensive raw materials, the price range of APT hoses is, as a rule, higher than that for smooth bore hoses made by the Masterflex Group. In turn, only a customer who requires precisely these characteristics and applications is prepared to pay this higher price. Bastin: "We also have customers who need a whole range of smooth bore hoses of different qualities and quantities. Because there has long been a trend on the buyer's side to reduce the number of suppliers in order to downsize administration processes, we are in line with the latest trend in the industrial supplier business with our extended product portfolio. In this respect, we are very confident that revenue and operative results will continue to develop sustainably", says Bastin.
You can find an IR-presentation about the new Masterflex subsidiary on https://www.masterflexgroup.com/en/investor-relations/facts-figures/ir-presentation.html