2022 Was Pivotal Year for Charlotte-Based Manufacturer of Precision Components
Compass Precision just completed its third full calendar year. To get caught up on all things Compass, we sat down and chatted with Compass CEO Gary Holcomb.
Were you happy with what Compass accomplished in 2022?
Very. Our sales grew organically more than 15% over 2021. We invested in six new CNC machines. We added four new members to our management team and promoted three others. And we acquired two companies, bringing our total to seven. It was a good year.
Tell us more about these new machines.
We spent nearly a million dollars at the beginning of 2022 on a DMG Mori NTX 2500 multi-tasking mill/turn machine at Advanced Machining in Salisbury, NC, one of our original three operating companies. That investment was the biggest one we had ever made in a single machine. At the end of 2022, we topped that total by investing well over a million dollars in a DMG Mori NHX 4000 horizontal machining center with 12 pallets. This machine is at Strom Manufacturing, our newest acquisition in North Plains, OR. In between, we added three vertical machining centers and a lathe between Tri-Tec Industries in Charlotte, Douglas Machining in Winona, MN, and Quality Products, also in Charlotte.
Why are you investing so much in CAPEX?
Three reasons. First, customer demand required it. Second, we wanted to expand our capabilities. And third, CNC machining technology is advancing quickly and we want to stay on the leading edge.
Tell us about your management additions and promotions.
We hired Justin Kovscek and Katlin Pennison as R&D Machine’s Vice President & General Manager and Operation Manager, respectively. Justin and Kat come to us with terrific management experience in CNC machining. In addition, we promoted Christina Douglas and Ben Kubis to be co-General Managers at Douglas Machining. Christina and Ben have earned their stripes and now get to contribute at a higher level. Finally, we promoted Luke Honbarger to Quality Manager at Gray Manufacturing and hired Joe Fabrizi and Nate Hogue for the same positions at Quality Products and R&D Machine, respectively. Luke, Joe, and Nate are great contributors and promoting/hiring them demonstrate our commitment to quality.
What about acquisitions? What companies did you purchase last year?
We did two add-ons in 2022. In April we acquired R&D Machine in Oldsmar, FL. Great shop focused on machining complex components for A&D and space customers. Then in July, we bought Strom Manufacturing in North Plains, OR. Terrific operation making precision parts for high tech and specialty markets in Pacific Northwest. We love them both.
Will Compass continue Investing in new equipment and acquiring more companies?
Absolutely. We particularly like highly automated equipment capable of doing more and faster, with fewer set-ups. And we are attracted to add-on acquisition candidates that extend our differentiated capabilities. Remember, we are all about doing the hard stuff, with whatever capabilities are required.
Finally, have to ask – what’s with the Steeler jersey?
Just about everyone knows the Pittsburgh Steelers are my favorite team. I admire their continuity (one city and one owner since 1933, three coaches since 1969) and success over a very long period of time. Compass Precision aspires to attain similar levels of excellence.
For more information about Compass, please contact CEO Gary Holcomb directly at [email protected].