Villeroy & Boch passes one-billion-euro revenue mark

Thanks to the acquisition of Ideal Standard, the German group posted revenues exceeding €1 billion in the first nine months of the year for the first time ever.

The Villeroy & Boch Group’s acquisition of Ideal Standard – announced on 18 September 2023 and completed on 29 February 2024 – has proved a big success, establishing the company as one of the world’s largest sanitaryware manufacturers and propelling it past the one-billion-euro revenue mark for the first time ever.

The German multinational achieved this milestone on 30 September 2024, when its consolidated revenue for the first nine months of the year reached €1,007.8 million (including licence income), a 55% increase compared to €650.6 million in the same period of 2023. The result was significantly bolstered by the €364.6 million contribution from Ideal Standard since 1 March 2024.

Operating EBIT saw double-digit growth, increasing to €64.5 million in the first nine months of 2024, up from €57.8 million during the same period in 2023 (+11.6%). However, net profit declined from €37.7 million in 2023 to €5.6 million in 2024, impacted by one-off effects related to the acquisition of Ideal Standard and associated financing costs.

Bathroom & Wellness Division’s sales climb to €800 million

With the inclusion of Ideal Standard, Villeroy & Boch’s Bathroom & Wellness Division accounted for nearly 80% of the Mettlach-based group’s total sales in the first nine months of the year. Revenue reached €799.5 million, marking an 83.5% increase compared to the €435.8 million achieved in the same period the previous year. Without Ideal Standard’s contribution, the division would have maintained a stable performance over the nine-month period.

The biggest revenue growth was achieved in the business areas of ceramic sanitaryware (+€151.6 million) and fittings (+€150.8 million). In terms of geographic markets, sales in the EMEA region more than doubled, reaching €697.2 million compared to €341.4 million in the first nine months of 2023. The Asia Pacific/America region also saw strong organic growth, up 8.3%. The division’s operating profit (EBIT) rose to €52.3 million, a 14.4% increase year-on-year.

The Dining & Lifestyle Division

The Dining & Lifestyle Division showed a less dynamic performance over the nine-month period, with sales reaching €206.2 million, a decline of 2.9% (or €6.1 million) compared to the same period in 2023. This was primarily due to cyclically weak consumer demand. E-commerce sales increased slightly year-on-year (+1.2%), while revenue from the company’s own retail stores remained essentially stable. By contrast, sales declined in concession shops (-12.1%) and among stationary retail partners (-9.2%).

Growth in investment

From January to September 2024, Villeroy & Boch invested a total of €31 million, an increase of €6.5 million compared to the same period in 2023. Of this, €26.7 million was allocated to the Bathroom & Wellness Division (+€9.8 million). Key investments in this division included the continued development of the new sanitaryware factory in Thailand, which involved the purchase of a pressure casting system. A similar system was also installed at the Hungarian site, and production capacity was expanded at the bathroom furniture factory in Treuchtlingen, Germany.

The remaining €4.3 million was allocated to the Dining & Lifestyle Division, covering the purchase of new machinery and moulding equipment for the Merzig and Torgau sites, as well as modernisation of the retail stores. Villeroy & Boch received the TecnAward 2024 in the Best Sanitaryware Manufacturers category at Tecna in Rimini on 25 September in recognition of its ongoing investments in its production facilities.

Outlook for 2024 as a whole

Despite the uncertain conditions in the construction market, the Management Board of Villeroy & Boch has confirmed its 2024 forecast for significant growth in revenue, operating profit (EBIT) and investments.