Saab 2012 Annual Report Download - page 32

28 SAAB ANNUAL REPORT 2012
GEOGRAPHIC AREAS
SAAB – AN INTERNATIONAL
SECURITY GROUP
Saab is an international group with operations on every continent. In recent years, we have
sharpened our market focus with an aim to strengthen our local presence while increasing
sales and market shares. In 2012, approximately 64 per cent of sales and 57 per cent of
order bookings were generated outside of Sweden.
SWEDEN
Saab’s position
Sweden has been our largest market since
Saab was founded. Today we have approxi-
mately 11,100 employees and the majority of
our research and development in the country.
Orders and sales increased slightly year on
year in 2012.
Market trends
Sweden is expected to increase its defence
budget slightly in the coming years. In 2011
Sweden’s defence spending accounted for
approximately 0.4 per cent of total global
defence spending. In 2012 Sweden decided
to invest in the development of the next gen-
eration Gripen and to procure 40-60 aircraft
of this type.
Investments in civil security are expected to
continue to rise in this area.
REST OF EUROPE
Saab’s position
Saab has operations in all Nordic countries
and in several other countries in Europe.
Important markets are the UK, France
and Germany. Today we have about 800
employees in the rest of Europe. Orders
increased by 34 per cent year on year in 2012
and we received orders for tactical training
systems from the British armed forces. Sales
increased by 4 per cent.
Market trends
Denmark, Finland and Norway are expected
to increase their defence budgets in the
coming years. In 2011 defence spending in
the area accounted for approximately 1.2
per cent of total global defence spending.
The rest of Europe, where defence budgets
declined in light of the nancial situation, ac-
counted for about 21 per cent. The UK, Ger-
many and France all reduced their defence
spending year on year in 2011. Together,
these three countries accounted for approxi-
mately 9.9 per cent of total global defence
spending in 2011. Defence appropriations are
expected to decrease in the coming years in
the rest of Europe.
Investments in civil security are expected to
continue to rise throughout this area.
Sales,
SEK billion Sales, SEK billion
Orders,
SEK billion Orders, SEK billion
8.7 8.8
2012201120102009
7.7
9.2
4.8 5.0
2012201120102009
6.0
5.1
1.9
2.8
2012201120102009
1.9
2.2
8.3
9.0
201220112010
9.0
3.5
4.7
201220112010
3.8
1.9
3.1
201220112010
1.3
Sales,
SEK billion Orders, SEK billion
AMERICAS
Saab’s position
In 2011 Saab strengthened its position
through the acquisition of Sensis. Saab today
has about 800 employees in the Americas.
Orders increased in 2012 by 69 per cent, and
orders received included those for port-
able weapon system Carl-Gustaf and the
next-generation laser-based training system
for U.S. Army combat vehicles. Saab also
signed a memorandum of understanding with
the Inter-American Development Bank for
projects that offer nancing to Latin American
cities to promote sustainable development.
Sales increased by 46 per cent.
Market trends
In 2011 the Americas accounted for ap-
proximately 42 per cent of total global
defence spending, equivalent to about
USD 690billion. In Latin America, Brazil,
which is one of the stronger economies,
accounted the largest share of defence
spending. In terms of the world’s total
defence spending, Brazil accounts for
approximately 2.0 per cent. Defence
appropriations declined year on year in
2011 throughout the area, and are also
expected to decline in coming years.
Investments in civil security are expected
to continue to rise throughout this area.