Leifheit AG Reports Growth and Optimistic Projections for 2024

Leifheit AG, a leading European supplier of household goods, announced a successful financial year for 2023 with a 2.7% increase in group turnover, reaching EUR 258.3 million. Despite management changes costing EUR 2.7 million, the company's EBIT rose to EUR 6.0 million. Additionally, free cash flow improved significantly, hitting EUR 12.1 million, and a dividend increase to EUR 0.95 plus a special dividend of EUR 0.10 per share was proposed.

The company attributes its growth to targeted marketing efforts, product innovations, and the expansion of distribution channels, particularly in Europe. Notably, campaigns like 'Electricity Savers' in Germany, promoting energy-efficient laundry drying, contributed to the increased demand for Leifheit's products.

Revenue growth was noted across all core regions, with a notable 4.9% increase in Germany, driven by consumer interest in electricity-saving products. However, non-European markets saw a 27.4% decline in turnover.

Looking ahead to 2024, Leifheit AG anticipates slight growth in group turnover despite expected challenges from increased sea freight costs. The company plans to focus on profitable long-term growth, with a revised business strategy emphasizing brand investment, international expansion, and cost efficiency through lean management practices.