ANNUAL REPORT 2008 - Gorenje Group

45
BUSINESS OPERATION OF ATAG EUROPE BV
• By the acquisition of the Atag company, we have entered the Dutch market,
where all three Atag brands have more than a 30% market share. This acquisition
has also allowed us to increase our market share in Belgium by more than
10%.
• ATAG Europe BV managed to increase its sales volume by 1.7% to EUR 151.3
million. Despite the decline in sales, in some distribution channels even up to
15%, the company solidified its position in markets and consequently increased
its market share by an estimated 2%, in some distribution channels even by up
to 5%. The sales volume comprised 550,000 household appliances, of which
more than 90% were sold in the Dutch market, 7% in Belgium, and the remainder
in other export markets.
• The targeted sales volume was not fully achieved. In the second half of the year,
the company ended the year with 6.4% lower net sales revenue than initially
planned.
• The company managed to effectively control operating costs and ensure the
high profitability of sales and a cash flow within the plan. The synergies resulting
from cooperation between the two companies (joint purchasing, collaboration
in the development of new products, transfer of good practices, etc.) have also
contributed to the improved business operation of the Gorenje Group.
30
EBITDA 25
20
15
10
5
8%
7% EBITDA Margin
6%
5%
4%
3%
2%
1%
Positive
impact
of Atag
acquisition
on sales and
EBITDA of
the Gorenje
Group
Q3 2007 Q4 2007 Q3 2008 Q4 2008
Gorenje Group – including Atag
In mil EUR Q4 2007 Q4 2008 +/-
Sales 343 339 -1.2 %
EBITDA 29.1 22.8 -21.6 %
Margin 8.5 % 6.7 %
30
EBITDA 25
20
15
10
5
8%
7% EBITDA Margin
6%
5%
4%
3%
2%
1%
Q3 2007 Q4 2007 Q3 2008 Q4 2008
Gorenje Group – without Atag
In mil EUR Q4 2007 Q4 2008 +/-
Sales 343 300 -12.5%
EBITDA 29.1 17.5 -39.9%
Margin 8.5 % 5.8 %