Press Releases

CWS-boco International Company Results 2010

05/02/2011

Duisburg, 2 May 2011. CWS-boco International closed the fiscal year 2010 (ended on 31.12.2010) with sales of 734 million Euro. This corresponds to a slight decline of 2% as compared to the previous year (750 mil. Euro). The company results have been characterized by planned, one-off expenses consisting of special depreciations, project costs and provisions for re-alignment programs as a part of the realignment project “Focus Future”. After taking these special effects into account, the operating results lie at 53 million Euro and thus 9 percent below the previous year (57 mil. Euro).

 

Slight decline in sales and profit in the overall year 2010, re-alignment influences company results and sets the course for sustainable growth.

 

As one of the leading European service partners in washroom hygiene, mats and professional workwear, CWS-boco offers professional products and services solutions. In 2010, the CWS-boco group had sales totaling 734 million Euro and is thus 2% below that of the previous year. The slight decline in sales can be lead back to the final restructuring of the CWS-boco country subsidiary in Ireland as well as to the effects of the extraordinarily strong trade turnover with hand hygiene products in Q4 2009 as caused by swine flu. Furthermore, due to the late-cycle business model, negative economic trends as a result of the worldwide economic crisis in 2008 / 2009 had a delayed effect on company development in the first half of 2010. This trend changed in the second half of 2010, so that business registered overall a clearly positive development.

 

The project "Focus Future" was initiated in the middle of 2010, and with this project, management of CWS-boco International has set the course for sustainable growth. An important focus is on increasing customer intimacy and thus increasing the average duration of customer retention to more than 15 years. Through corresponding re-organization of sales and customer service as well as general programs to increase quality in operations and service, CWS-boco has already started important steps towards re-alignment in 2010. The company result 2010 were characterized by the resulting one-off special expenditures and lies at 15 million Euro (EBIT). After taking these special effects into account, CWS-boco International's 2010 operating results totaled 53 million Euro and is thus nine percent under that of the previous year. There are considerably less one-off expenses planned for the fiscal year 2011, so that the 2011 results before taxes and interest will improve significantly.

 

Maximilian Teichner, CEO of CWS-boco International is convinced that there will be strong opportunities for growth through the consistent realignment, explaining the goals of the project “Focus Future” by saying, "we want to be close to the customer and convince them through integrated innovations in products and services“. "Today we are already seeing that we are moving in the right direction. Turnover and results of CWS-boco International were already stabilized in the second half of 2010. The entire group got off to a strong start in 2011“, Teichner continued. By 2014, CWS-boco will implement realignment step by step on an international level. Overall, “Focus Future” is a long-term project: by 2014 the company wants to double the results before one-offs.