Tonawanda News — Asian markets are often blamed for the loss of manufacturing jobs in the United States but for one North Tonawanda company they continue to be a significant reason for growth.
Taylor Devices, located on Tonawanda Island with plans to expand at the Buffalo Bolt Business Park, will meet with its shareholders in early November to highlight another record-breaking year. The company manufactures earthquake-related equipment and specialized apparatus for the U.S. military and allied nations.
President Doug Taylor told shareholders in his annual message that the company set all-time records for sales, operating income and net income during fiscal year 2012, with an $8 million increase in sales to $29,006,812.
Net income rose 55 percent from $1,416,509 in 2011 to $2,198,931 this year.
Taylor said a series of devastating earthquakes that struck Asia in 2011 have contributed to the company’s skyrocketing sales, most notably a 9.0 and a 7.1-level earthquake in Japan.
“These quakes demonstrated that Asian seismic design codes had underestimated the expected shaking levels to buildings and bridges,” Taylor said in a statement. “Unlike high seismic zones on the U.S. West Coast, which have had design levels in the magnitude 8.5 to 9.5 range for many years, some Asian countries had codes specifying much lower quake levels in the magnitude 6.5 range.”
Seismic products sales jumped 72 percent in 2012, with a dramatic increase in the sale of seismic and wind protection products, while Asian markets accounted for 54 percent of all corporate sales, rising 19 percent from 2011.
Taylor said that after the 2011 earthquakes many companies began requesting better protection for their buildings than local codes required.
“The easiest way to do this is by simply adding Taylor Devices Fluid Viscous Dampers, even though we are a relatively small company in a very specialized business, our seismic products are well known worldwide,” Taylor said.
In contrast to Asian growth, Taylor told shareholders that U.S. construction remains stagnant, which is likely a reason for a 10 percent decrease in domestic sales, though there is still a order backlog of $17.5 million. However, Canada has made strong investments in infrastructure projects that may coalesce with future growth.
“The company believes that future year growth will be tied strongly to the world economy, and specifically to construction markets, with the ability of building and bridge owners and contractors to obtain project financing being extremely important,” Taylor said.