— Business review — Consumer & Industrial review
Consumer & Industrial review
Industry: All assets shipped from Poland to Spain with full production by the end of the year.
Beauty: Double-digit growth.
In our Consumer & Industrial business area, we provide our customers with high-quality products and services specifically tailored 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 construction, transportation, electronics, infrastructure and general industrial sectors, as well as in the Do-It-Yourself 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 regional to global brands and includes the most iconic names in the beauty industry.
Key figures Consumer & Industrial
January 1 - June 30
|
millions of CHF |
|
2023 |
|
2022 2) |
|
Change in +/–% |
|
+/–% adjusted 3) |
|
+/–% organic 4) |
|
Revenue Industry |
|
72.7 |
|
79.2 |
|
–8.3 |
|
–5.2 |
|
–8.3 |
|
Revenue Beauty |
|
86.3 |
|
69.5 |
|
24.2 |
|
29.6 |
|
29.6 |
|
Total revenue Consumer & Industrial 1) |
|
158.9 |
|
148.7 |
|
6.9 |
|
11.1 |
|
9.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Business area cost of goods sold |
|
–104.4 |
|
–92.4 |
|
–13.0 |
|
|
|
|
|
Business area gross profit |
|
54.5 |
|
56.3 |
|
–3.1 |
|
|
|
|
|
Business area gross profit margin |
|
34.3% |
|
37.8% |
|
|
|
|
|
|
1) Revenue from external customers.
2) The numbers as of June 30, 2022, have been adjusted following the deconsolidation of medmix Poland. A reconciliation to the previously published numbers is provided in note 14.
3) Adjusted for currency effects.
4) Adjusted for acquisition and currency effects.
Revenue by market segment
H1 2023
Revenue by market segment
H1 2022
Industry – full production efficiency to uplift profitability
Revenue in our Industry segment was CHF 72.7 million, a decrease of 8.3% organically year-on-year, given that production in the new facility in Valencia, Spain, will ramp up only in the second half of the year. Despite production constraints, the segment gained additional business by meeting emerging demands from our customers. Significant progress has been made in the new production facility in Spain, where all relevant assets from the former Poland site, including machines, molds and inventories, have been successfully transferred to Spain (with 20 machines installed), paving the way for full production before the end of the year. All operations of Universal de Suministros, S.L., acquired in H2 2022, continue to operate at full capacity and will be transferred to the new plant, ensuring a streamlined and efficient consolidation of activities by year end.
In June 2023, the innovative MIXPAC™ 30 mL PUR HT™ 1k cartridge kit was introduced, heralding a significant advancement in the industrial bonding of smartphone screens. This cartridge kit enhances performance and efficiency in the growing hot melt adhesives market, propelled by the demand for advanced consumer electronic products. This innovative solution serves as a confirmation of medmix’ commitment to delivering stable and scalable hot melt bonding solutions for diverse applications, meeting the requirements of global end-users.
Strong performance in Beauty
Our Beauty segment delivered revenue of CHF 86.3 million, an organic growth of 29.6% compared to H1 2022. In the first half of 2023, the Beauty segment capitalized on exciting new initiatives: several global customers successfully launched long-awaited products that had previously been delayed due to Covid restrictions. Additionally, our key innovation, the Micro Bristle Applicator, was successfully introduced into new cosmetic domains beyond our primary focus on eyelash applications. Furthermore, the expansion of our production facility in Germany has enabled us to attract and serve new customers, contributing to our growth in the market.
In line with our local-for-local growth strategy in China, we have acquired Guangdong Qiaoyi Plastic Co. Ltd, a beauty manufacturing business in Shantou, solidifying our position as a leading provider of innovative solutions in the region. This latest acquisition will strategically position medmix as a player in the Chinese beauty sector (the second biggest market in the world) and allow us to extend our global footprint in Asia.