Leifheit AG releases preliminary figures for 2018
- At EUR 234.2 million, Group turnover down slightly year on year
- EBIT within forecast range
- Strategic measures create basis for profitable growth
Nassau, 19 February 2019 - Leifheit AG, one of the leading brand suppliers of household items in Europe, released its preliminary figures for the financial year 2018 today. According to preliminary calculations, the Leifheit Group generated turnover of EUR 234.2 million in 2018, down slightly year on year (2017: EUR 236.8 million). The Board of Management expects Group EBIT of roughly EUR 13 million, in line with the forecast range for the operating result, which was adjusted over the course of the year. Earnings were affected by currency effects, price increases for materials, as well as one-off expenses related to Board of Management changes.
Ivo Huhmann, member of the Board of Management and the Chief Financial Officer of Leifheit AG, says: "We are currently making important targeted changes within the Leifheit Group. In 2018, we focused on initiating far-reaching strategic measures that we will implement step by step. In this context, we are making investments in order to do a more consistent and systematic job of leveraging potential in e-commerce, revise product segments in a focused manner, overhaul and integrate our IT environment, and further expand our business in Eastern Europe, among other goals. By way of these investments, that are expected to weigh on results in 2019, we are creating a company that will grow profitably in the years ahead in the interest of its shareholders."
In its domestic market of Germany, the Leifheit Group generated moderate turnover growth, bringing the figure up to EUR 97.6 million (2017: EUR 96.9 million). At EUR 100.7 million (2017: EUR 102.9 million), turnover development in Central Europe fell short of expectations. Outside Europe, Leifheit saw a significant decline in turnover to EUR 7.0 million in financial year 2018 (2017: EUR 9.2 million), which was mainly due to Project Business. The strategic focus on core markets in Central and Eastern Europe led in particular to positive development in Eastern European markets, where turnover grew significantly to EUR 28.9 million (2017: EUR 27.8 million).
The segments that are subject to reporting requirements, previously recorded as Brand Business and Volume Business, were reassigned in the reporting period. Turnover in the new Household segment, the largest by far, fell year on year from EUR 182.9 million to EUR 180.4 million in 2018. In the significantly smaller Wellbeing segment, Leifheit was able to increase turnover to EUR 19.9 million (2017: EUR 19.6 million). In the Private Label segment, on the other hand, the company recorded a slight decline in turnover to EUR 33.9 million (2017: EUR 34.3 million) with its French subsidiaries Birambeau and Herby.
Leifheit will release the full annual financial report for 2018 and the forecast for the current financial year on 28 March 2019 and will make them available online at financial-reports.leifheit-group.com.
Leifheit AG, founded in 1959, is one of the leading European brand suppliers of household items. The Leifheit Group divides its operating business in to the Household, Wellbeing and Private Label segments. Leifheit and Soehnle products - two of Germany's best-known brands - are known for high quality and great utility for consumers. Its French subsidiaries Birambeau and Herby are also active in the service-oriented Private Label segment with a selected product range. In each segment, the company focuses on its core areas of expertise in the product categories of cleaning, laundry care, kitchen goods and wellbeing. The Leifheit Group employs some 1,100 people and operates 15 locations and branches of its own around the world. Leifheit AG shares have been listed on the regulated market (Prime Standard) of the Frankfurt Stock Exchange since 1984. More information on Leifheit is available online at www.leifheit-group.com, www.leifheit.de and www.soehnle.de.
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