03/21/2007 08:57 AM
Duni continues its positive earnings trend for 2006
• Operating results increased 17 percent 2006 to around SEK 370 million
• Concentration of operations completed
• The board has been strengthened
• The first steps taken towards a prospective stock exchange listing
Duni, Europe’s leading provider of attractive quality products for table decorations and packaging for take-away, has been concentrated during the past year. In 2006 the American operation was sold and during the first quarter of 2007 the separation is being completed of the operations for airline catering within the separate company deSter Holdings B.V.
For the improved Duni, operating results increased pro forma by 17 percent between 2005 and 2006, from SEK 320 million (approximately EUR 35 m) to SEK 373 million (approximately EUR 41 m). At the same time turnover increased from SEK 3.7 billion (approximately EUR 398 m) to SEK 3.8 billion (approximately EUR 410 m). All business areas improved their results and the core operations within the professional market (hotels, restaurants, and catering companies) delivered the highest growth and improvement in results.
“The concentration in combination with the execution of a powerful rationalization program has led to a significant improvement in profitability. Today, the operating margin amounts to 10 percent. Duni has a strong position compared to several of its competitors, which creates preconditions for further growth organically as well as in terms of acquisitions,” says Fredrik von Oelreich, CEO of Duni.
With its main office in Malmö, Duni has 2000 employees in 17 countries. Approximately two thirds of sales are directed to the professional market and 20 percent is sold via retail outlets. The company is the market leader in Central and Northern Europe with sales in approximately 40 countries.
“Today Duni is a focused company showing a steady growth and is one of the most profitable operators within our industry. The company is on the verge of an ownership change and, therefore, the board has given management the task of preparing itself for a prospective stock exchange listing within 10 to 18 months,” says Peter Nilsson, former CEO of the Duni Group and newly appointed chairman of the board for the Duni AB.
Other newly appointed members of the board are Dr. Gerold Linzbach, CEO of German Symrise GmbH and Gun Nilsson, former Deputy CEO of the Duni Group and board member of Husqvarna AB.
If there are any questions, please contact Fredrik von Oelreich, CEO Duni AB, phone +46 734 19 61 22.