Emmi Reports Broad-based Growth
Despite the global turmoil and negative foreign exchange trends, Emmi, the Swiss dairy group, generated net sales of SFr3.706 billion (€3.43 billion) and growth of 6.1 % in 2020. Organic growth was 1.9 %, confirming the robustness of Emmi’s business model, the well-balanced nature of the product and country portfolio, and the organisation’s adaptability.
The Swiss business was the main contributor to growth in the first half of the year, whereas the foreign markets performed strongly in the second half. Brand concepts such as Emmi Caffè Latte and Kaltbach also posted gains during the crisis. In Switzerland, the increase in imported milk products had a negative effect on Emmi.
The trends that emerged in the first half of the year as the coronavirus rampaged continued in the second half. Globally, retail sales increased, whereas the food service business, convenience products and some branches of the food industry that are relevant for Emmi suffered massive falls.
Overall, organic sales growth rates were very similar in the first and second halves of the year. However, a detailed examination shows considerable geographical differences. In the first six months of the year, Emmi’s Swiss business enjoyed the sales-boosting effects of the coronavirus crisis; in the second half, however, the factors inhibiting sales dominated and the consistent trend towards imported dairy products over recent years intensified. Conversely, important growth markets such as Chile and Tunisia rallied and growth in Europe was strong, delivering major contributions to the Group’s sales growth.
