Swiss dairy company Emmi saw group sales grow by 2.8% in 2018, as its renewed focus on speciality cheeses begins to show.
Sales stood at CHF 3.46 billion ($3.47 billion) – higher than the CHF 3.36 billion ($3.37 billion) recorded last year – with CEO Urs Riedener optimistic “that the acquisitions made in recent years will continue to strengthen our sales performance”.
Growth in the Americas and Europe helped offset a nominal decline in reported sales in Switzerland, Emmi’s home market, while the company recorded organic growth across all three regions and across the business overall – 2.3%, its highest rate of organic growth since 2014.
Riedener continued: “We are pleased that we have achieved significant organic growth. With the focus on brand expansion, the good performance of niche areas such as Italian speciality desserts and goat’s milk products, and the upswing in the emerging markets of Tunisia, Chile and Mexico, we are also achieving the right quality of growth.”
The company began to see the effects of acquisitions throughout 2017, including that of Italian Fresh Foods in March and an increased stake in Mexideli in October. It also saw the negative impact of its disposal of its stake in Venchiaredo in July 2017 and part of the trading goods business last January.
Success factors included Emmi Caffè Latte (Switzerland and abroad), Italian speciality desserts, international goat’s milk products (particularly in the US and Netherlands) and dynamic development in Tunisia and Chile.
The Lucerne-based company has made significant inroads into speciality cheeses, investing in cheese importers and producers like JL Freeman, Porto Alegre, Jackson-Mitchell and Bettinehoever in the past couple of years.
Global growth in dairy products was 3.13%, in cheese was 1.84%, and in fresh products was 5.74%.
Overall growth in Switzerland was CHF 1.71 billion ($1.72 billion), followed by the Americas at CHF 1.04 billion ($1.05 billion) – a 10% increase in sales from last year – and the rest of Europe at CHF 593.3 million ($595 million).
© FoodBev Media Ltd 2019