Electrolux Professional’s international headquarters in Stockholm, Sweden, has reported that its overall group financials have been positive in 2021.
The catering equipment manufacturer stated that the recovery of the hospitality industry has been faster than anticipated with its sales growing by 10% and its profit by 50%. This represents a net sales total of SEK7,862m (£635.3m).
60% of global net sales were from the food and beverage segment, with the remaining 40% from laundry. By region, 69% of net sales were from Europe, 16% from the Americas and 15 from Asia-Pacific, Middle East and Africa.
President and CEO Alberto Zanata analysed: “In 2020, we learned to adapt to a new reality and in 2021 the new reality became the new normality. We are now used to work both remotely and in the workplace, as well as being more flexible as new pandemic outbreaks come and go.
“Although it is still very challenging, we have also learnt to deal with the current shortage of components and reduced transportation capacity.
“In the beginning of the year, we were still heavily affected by the pandemic but between March and April we saw a sales recovery, spearheaded by the US, that has continued throughout the year.”
Looking at the company’s strategy, he revealed: “The restructuring program that was announced in 2020 has been implemented, creating substantial yearly savings. Further savings will be generated from the relocation of the production in Louisville, USA, to Thailand and Italy. The new state-of-the art beverage and laundry factory in Thailand provides higher business competitiveness, advanced logistics, and the ability to scale up for future expansion.
“In order to sharpen our focus on, and profitability of, beverage and food preparation, a separate division has been created within the food and beverage segment. It reflects the specific differences in the business model exemplified by different channel partners, lower sales values, and a faster-moving product cycle.”
New products launched during the year include a food preparation mixer and free-standing mobile workstation Libero Pro, while Skyline ovens and blast chillers, have all been further enhanced with improved functionality and connectivity.
On Electrolux Professional’s most recent buyout, Zanata commented: “The acquisition of Unified Brands significantly strengthens our presence in the US. Unified Brands has a very attractive portfolio of products and brands, as well as strong local market recognition, customer relations, and presence in chains, which supports our strategy to grow in foodservice chains.”
Summing up the current situation, he detailed: “As we enter 2022, our business in the hospitality industry is back or almost back to pre-pandemic levels in several countries, with the US being ahead. Underlying market trends remain supportive, and we have experienced several months of sales recovery and strong order intake, despite still dealing with global supply disturbances.”