Group continues to grow
- Turnover up 10 percent on the previous year
- Good progress made in implementing the internationalisation strategy
- Balanced business portfolio of the Group makes the effects of the Corona crisis manageable
The Melitta Group had a successful financial year 2019. Despite persistently unfavourable conditions in the currency, coffee and pulp markets, the Group based in Minden achieved sales of 1,695 million euros. This is an increase of 10 percent over the previous year. During the same period, the number of people employed by the Group rose by 8 percent to a total of 5,654.
“We are very satisfied with the 2019 financial year,” commented Jero Bentz, member of the Melitta Group Chief Corporate Management. “In our anniversary year, we not only increased our sales by 10 percent as planned but have also been able to expand our market share in many of the markets we serve. We have once again made great progress in all our business segments with our growth and internationalisation strategy.”
Growth in the business segments
In the coffee business segment, the Melitta Group again achieved record sales figures in 2019. In Europe, more new products were launched on the market in 2019 than ever before. In addition, numerous initiatives were developed to expand the existing business in other European countries and to enter new markets. In South America, market share was again increased in the coffee and coffee filter business, despite the persistently difficult conditions. Record sales were achieved in the filter coffee segment. In North America, Melitta again increased its share of the coffee filter market. The B2B business also expanded significantly with several new corporate customers. In total, the Coffee segment generated sales of 624 million euros. This corresponds to 37 percent of group sales.
The coffee preparation business segment achieved sales of 482 million euros. This is an increase of 11 percent over the previous year. Coffee filters and coffee machines, especially high-quality machines and premium products, as well as the Melitta Professional Coffee Solutions (MPCS) business unit made a significant contribution to the increase in sales. MPCS provides the food service industry with fully automatic machines for coffee specialties, filter coffee machines, technical customer service as well as coffee, tea, cocoa and accessories.
In the household products business segment, the company Cuki Cofresco, which was acquired in mid-2018, was fully included in the Melitta Group's annual financial statements for the first time. Both Cuki Cofresco and Cofresco achieved higher sales than in the previous year, resulting in total earnings for this business segment of 539 million euros. This constitutes an increase of 25 percent compared to the previous year. The household products business segment launched numerous new products, many of which set new sustainability standards in their markets.
Internationalisation strategy is driven forward – focus on sustainability and innovation
In 2014, the Melitta Group launched its ‘Melitta 2020’ strategy program. The program, which is geared towards growth and internationalisation, will continue to determine the Group's future strategy. “Melitta 2020 has proven its worth”, explained Volker Stühmeier, member of the Chief Corporate Management. “With this program we have set the right course for the future. In the coming years, we will continue to internationalise and digitalise our business and strengthen our capabilities regarding sustainability and innovation.”
Looking to the future with confidence – despite corona pandemic
As with almost all companies, the corona pandemic has had a significant impact on the Melitta Group's business activities in recent months. As a result, some business units have seen their sales decline, while others have experienced an increase in demand. “The effects on the Group's key financial figures associated with the pandemic have been resolutely countered,” said Stühmeier. “As well as the many wide-ranging measures taken at an early stage, such as the introduction of short-time working, restrictive cost management and the postponement of various investment projects, the high level of commitment on the part of all our employees played a major role in this.”
With its broad range of products and services, its international orientation and its financial stability, the Melitta Group considers itself well positioned for the future. Many significant product innovations that take into account current global trends such as individualisation and the premium segment were launched in the past financial year. There are also great growth opportunities in the out-of-home business.
Sustainable annual report
Further information concerning the 2019 financial year can be found in the annual report. It is available in a print version, as a PDF and for the first time in an interactive online version. The print report was produced in as resource-saving a way as possible; strict sustainability criteria were consistently followed for the materials used, e.g. the paper consists of 90 percent recycled disposable cups. In this way, the Melitta Group gives expression to its high standards regarding sustainability with its annual report.
You will find the annual report as a PDF file and the interactive online version using the following link: https://report.melitta-group.com/annual-report-2019/
The Melitta Group
Melitta is an internationally operating group of companies and is one of the leading independent family businesses both in Germany and abroad. Melitta's main activities are the development, manufacture and sale of branded products for the enjoyment of coffee, for the storage and preparation of food and for household cleanliness. More information can be found at www.melitta-group.com.