Summary
Parker-Hannifin Corporation, a global leader in motion control technology, reported strong performance in its 2002 fiscal year, with net sales reaching $6.15 billion. The company's diversified business segments, Industrial, Aerospace, and Other, contributed significantly to its revenue, with the Industrial Segment being the largest contributor at 66% of net sales. The report highlights Parker-Hannifin's robust manufacturing and distribution network spanning 38 states and 43 countries, serving a vast customer base of approximately 435,000. Key strategic actions during the fiscal year included the divestiture of its vehicle service contract and product warranty business in June 2002 and several acquisitions. The company maintains a strong focus on research and development, investing $109 million in fiscal year 2002 to drive product innovation. While facing a competitive landscape across all segments, Parker-Hannifin leverages its technological capabilities, quality, customer service, and broad distribution to maintain its market position. The company also proactively manages financial risks, including currency fluctuations and interest rate volatility.
Key Highlights
- 1Net sales for fiscal year 2002 reached $6.15 billion.
- 2The Industrial Segment accounted for 66% of total net sales, demonstrating its significant contribution.
- 3The company operates a vast global network with facilities in 38 US states and 43 foreign countries.
- 4A divestiture of the vehicle service contract and product warranty business was completed in June 2002.
- 5Research and development spending was $109 million in fiscal year 2002, underscoring a commitment to innovation.
- 6The company has a significant backlog of approximately $1.86 billion as of June 30, 2002, with most deliveries expected within the next 12 months.
- 7Parker-Hannifin is actively managing its exposure to foreign currency and interest rate risks through hedging strategies.