(AOF) – Seb, a specialist in small household appliances and cookware, announced the acquisition of Pacojet, a family business specializing in the development and marketing of a revolutionary kitchen appliance, acclaimed by chefs for thirty years. This Swiss company founded in 1992 has designed a unique emulsifier for making ice creams, sorbets, sauces, mousses, stuffings, purées and much more, in less than 90 seconds.
With the acquisition of Pacojet, Seb’s professional activity is enriched with a complementary offer with an iconic brand and products that meet strong development ambitions in this segment.
In 2022, Groupe SEB professional activity sales amounted to €725 million, up 15.6% including 9.2% organic growth.
This segment represented 10% of the company’s overall turnover.
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Key points
– World leader in small household appliances born in 1944 with a vast portfolio of brands (All-Clad, Curtis, Krups, Lagostina, Moulinex, Rowenta, Supor, T-Fal, WMF…), including 4 global, 17 regional, 3 high-end and 6 professional;
– Revenues of €8 billion split between Western Europe for 33%, China for 27%, the rest of Asia for 8% and the Americas for 17%;
– Historical activity in cookware for 35%, behind small electrical appliances for 60%, diversification into professional products (8%) progressing rapidly;
– Business model favoring growth through the complementarities of brands and competitiveness through the manufacture of high value-added products in mature countries and the use of the circular economy;
– Capital locked by the founding families (41.91% of the capital, of which 32.81% acting in concert), followed by the Strategic Equity Fund (4.74%) and Peugeot Invest (4%), the Board of Directors of 17 members, chaired by Thierry de La Tour d’Artaise, Stanislas de Gramont taking over as general manager in July;
– Controlled balance sheet with shareholders’ equity of €3.5 billion against a debt of €2 billion, i.e. a leverage effect of 2.3.
Challenges
– Strategy based on organic growth, international expansion aimed at leadership in the countries, and competitiveness;
Innovation strategy:
– in industrial processes, to optimize technical platforms,
– in the offer, with 30% of the turnover achieved on products less than 18 months old and 3.5% of the turnover devoted to R&D (filing of 436 patents),
– partnerships with public research centers and, for 5 to 10% of sales, with industrialists with 7 research fields – food, robotics, chemistry, physics, physiology, social sciences and information technologies,
– investment, via the Seb Alliance fund, in innovative companies in well-being, connectivity and sustainable development, with a focus on online sales,
– opening of a global innovation center in Ecully;
– Environmental strategy aiming for carbon neutrality in 2050 with 2 levers:
– industrial process: eco-design, logistics,
– circular revolution (repairability, recycling of materials, rental, second life), actions for customers and society (SEB funds);
– integration of ESG criteria in compensation;
– Ramp-up of digital (40% of sales) and strengthening of the supply chain;
– Continued growth in the Professional business, bolstered by the acquisition of the Spanish company Zummo, the world leader in fruit juice extraction machines, and the Italian company San Marco.
Challenges
– Sensitivity of the euro vs the yuan, the real, the ruble, the Turkish lira and the dollar;
– Inflation of raw materials (50% of turnover with 1/4 of production located in Europe), freight costs and difficult supplies;
– Benefits of investments in information systems and D2C off and online;
– Rise in sales in the Germany, Austria and German-speaking Switzerland division, 1
er
the group’s market in Europe being restructured, and confirmation of growth in China;
– After an erosion of sales and a sharp decline in 2022 profit, assumptions for 2023: decline in sales in the 1st quarter, gradual improvement in Consumer sales, strong growth in Professional sales and operating margin up over the whole year;
– Dividend stable at €2.45.
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