- Economic environment characterised by numerous challenges
- Increased costs only partially compensated by higher turnover
- Numerous advances in the sustainable transformation of the Group
2022 was a challenging financial year for the Melitta Group. It was characterised by spending restraint on the part of customers, significantly increased energy, material and transport costs, and strong pressure on margins. Temporary raw material bottlenecks, protracted negotiations with retailers and the geopolitical changes triggered in particular by the war in Ukraine also had a negative impact.
“The difficult economic environment has had an impact on our earnings figures,” commented Jero Bentz, member of the Melitta Group’s Chief Corporate Management. “Nevertheless, we responded to the changed conditions promptly, in order to operate on a secure basis and to ensure our ability to deliver throughout. We have once again made great progress in our transformation into a sustainably oriented group of companies and invested in many future-oriented projects.”
Decline in earnings despite higher turnover
The Melitta Group generated sales of EUR 2,284 million in the 2022 financial year (previous year: EUR 1,882 million). The increase in sales is due in particular to necessary price adjustments and a normalisation of the business-to-business sector following the corona pandemic. In addition, the companies Roast Market GmbH and Corsino Corsini S.r.L., in which a majority stake was acquired in 2021, were included in the consolidated financial statements for the first time.
However, sales growth and the cost efficiency measures that have been introduced were not enough to prevent the Melitta Group’s earnings from being adversely affected. “In particular, the increased cost of materials and the high price fluctuations in the coffee and aluminium markets had a negative impact on the Melitta Group’s earnings situation. Furthermore, demand from private households has weakened considerably due to a gloomy consumer climate,” commented Volker Stühmeier, member of the Melitta Group’s Chief Corporate Management.
Healthy development over the past five years
Despite the difficult general conditions and the high fluctuations in demand triggered by the corona pandemic, the Melitta Group has developed very satisfactorily over the past five years. During this period, average sales growth of around 8 percent has been generated and the number of employees increased from 5,222 (31 December 2018) to 5,957 (31 December 2022).
As in previous years, a large number of new products and services were introduced to the market and product ranges were further developed over the past business year. In the coffee business field, new products included new coffee blends, the expansion of the product range in the whole bean segment, the expansion of the manufaktur coffee product range launched in 2021 and new products for the B2B market. In the Coffee Preparation and Household Products business sectors, numerous product categories were further developed, revised and improved, particularly from a sustainability point of view. In addition, several innovative products for the Melitta Group’s industrial customers were launched onto the market.
Sustainability further enhanced
The Melitta Group made excellent progress towards its goal of integrating sustainability into its Group strategy and the individual company strategies. Over the course of the past financial year, for example, the proportion of post-consumer and post-industrial recyclates used was significantly increased and the amount of direct and indirect CO2 emissions (Scope 1 and Scope 2) was continuously reduced. Special attention was also paid to the Group’s social business activities in India, development projects in the coffee-growing countries and the establishment of effective governance to ensure human rights are respected in the supply chains.
Under the heading ‘Transform to flourish’, the Melitta Group will continue its transformation into a Group with a consistently regenerative approach to business. Accordingly, many priorities and standards as well as structures and processes are currently in a process of change. The wealth of ideas, courage and perseverance exhibited by Melitta Bentz, who founded the company in 1908 and was born 150 years ago, serve as a model and inspiration for successfully bringing about this change. Her pioneering spirit and consistent focus on customer needs continue to shape the Melitta Group’s ethos and values to this day.
Constant revenue development expected for 2023
For the 2023 financial year, the Melitta Group expects the economic challenges to persist - not least due to the ongoing Russia-Ukraine conflict - and to have a significant impact once again on the Group’s business performance. The Melitta Group will nevertheless continue its strategy of internationalisation, innovation, sustainability, and digitalisation to make the most of the many opportunities for the further development of the Group. It is assumed that sales in 2023 will be similar to the previous year, with a slight improvement in the earnings situation.
Further information regarding the past financial year can be found in the annual report. The Sustainability Report, which will be published in autumn 2023, will provide information on progress made with the sustainability agenda.
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. Its 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 cleanliness in the home. More information at www.melitta-group.com.
Melitta Group Management GmbH & Co. KG
Corporate Communications and Sustainability
Director Internal & External Communication
Tel: +49 571/4046-281
Email: tanja.wucherpfennig (at) melitta.de