Annual report 2023
medmix Beauty: pureDEFINITION brush

Consumer & Industrial

Consumer & Industrial review

In our Consumer & Industrial business area, we provide our customers with high-quality products and outstanding services adapted to our customers’ needs. In the Industry segment, we design, develop and market a broad range of products such as dispensers, cartridges and mixers for two-component adhesives and sealants for use in the construction, transportation, electronics, infrastructure and general industrial sectors, as well as in the DIY market. Micro-brushes and applicators for eyes, eyelashes, lips and facial make-up are the most important products of our Beauty segment. They are sold to a broad customer base that ranges from the most iconic names in the beauty industry to independent (“Indie”) labels and regional brands.

Key figures

millions of CHF

 

2023

 

% of C&I revenue

 

+/–% change

 

+/–% organic 2)

 

2022

 

% of C&I revenue

Revenue Industry

 

130.9

 

42.3%

 

–11.6%

 

–10.3%

 

148.2

 

50.7%

Revenue Beauty

 

178.6

 

57.7%

 

23.9%

 

16.6%

 

144.1

 

49.3%

Total revenue Consumer & Industrial (C&I) 1)

 

309.6

 

100.0%

 

5.9%

 

2.9%

 

292.3

 

100.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

Business area cost of goods sold

 

–200.5

 

–64.8%

 

–7.2%

 

 

 

–187.0

 

–64.0%

Business area gross profit

 

109.0

 

35.2%

 

3.6%

 

 

 

105.3

 

36.0%

1) Revenue from external customers.

2) Adjusted for acquisition and currency effects.

Revenue by market segment

2023

Revenue by market segment

2022

Industry now at full operation to meet demand going forward

The Industry segment achieved a revenue of CHF 130.9 million compared to CHF 148.2 million in 2022, a decrease of -10.3% on an organic basis. The acquisition in 2022 of the plastics business of Universal de Suministros, S.L. contributed 240 basis points to market segment growth and 120 basis points to business area growth. Universal de Suministros, S.L. is a Spanish manufacturer of cartridges, mixers and accessories for construction and industrial adhesives.

Throughout 2023, revenues were restrained by limited production capacity and the restricted availability of certain products. Despite these constraints, the market segment retained all significant customers and even gained new business. Towards the end of the year, in the context of softer end user demand and higher interest rates, customers reduced order quantities. In 2024, with our new production facility in Spain now able to produce the complete range of fully validated products, the segment’s focus will be on increasing production efficiency.

The segment’s innovation efforts resulted in an expansion of our portfolio of lower CO2 footprint products with a new sustainable dispensing solution made of up to 100% post-consumer recycled (PCR) polypropylene in November 2023. The MIXPAC greenLineTM B system (50 ml) is a process-safe precision system which supports our customers in achieving their corporate sustainability goals.

In early 2024, the MIXPAC greenLineTM 400 ml won the BIG (Business Intelligence Group) innovation award in the construction category. Designed for seamless integration into existing compatible dispensers, this novel solution offers a reduced carbon footprint and supports the circular economy without requiring any process changes. Several new dispensers for this market segment, including the COX speedfleX™, a revolutionary ultra-compact battery powered dispenser, were developed and launched with remarkable speed.

With the official inauguration of our production facility in Valencia we are now at full operation and back on track to meet the growing demand from European and global customers in our Industry segment.

Beauty benefiting from several customer product launches

The Beauty market segment grew organically by 16.6%. Revenues were CHF 178.6 million in 2023 compared to CHF 144.1 million a year earlier, benefiting from several customer product launches in the first half of the year. Our own innovation, the new Micro Bristle Applicator, successfully gained footholds in new cosmetic fields outside our core eyelash applications with seven launches in 2023. Despite organic growth moderating in the second half as expected, the Beauty market segment reached all-time high half-year revenues of CHF 92.4 million due to the first-time consolidation of Guangdong Qiaoyi Plastic. Qiaoyi added CHF 16.8 million of revenue, representing 1'300 basis point of Beauty market segment growth and 640 basis points of business area growth.

In 2024, we expect Beauty segment growth to continue, although at a more moderate pace, driven by ongoing customer launch activity and our own initiatives. The market segment will also benefit from the full-year consolidation of Qiaoyi.

Sustainable designs, materials and production processes remain key in the Beauty segment going forward. Our ability to focus on sustainable innovation was proven by the launch of an all-new shadow printing (patent pending) service. The process modifies the surface of cosmetics products and packing without impacting recyclability as no additional foil or ink is used. It delivers striking surface finishes for perfect brand aesthetics.

Definition of alternative performance measures (APMs):
For the definition of the alternative performance measures, please refer to the chapter alternative performance measures.