Fagerhult Group presents a new structure with four business areas
As previously communicated during 2019, AB Fagerhult (publ.) (“Fagerhult Group”) has during the last year worked on a strategic alignment project. The ambition has been to find new opportunities for organic growth and to strengthen both our individual brands and collaboration across the Group. This work has resulted in a new structure for the Group and a new reporting basis, effective from Jan 2020.
The new structure for Fagerhult Group is based on four Business Areas; Collection, Premium, Professional and Infrastructure. Each of our 13 brands belongs to one of the Business Areas and the selection has been done based on product applications, geographic footprint and partner focus. For details on the different Business Areas, please see attached file Appendix 1 on page 3.
The new structure will also be reflected in a new reporting basis. For 2020 we will report financial results according to the four Business Areas. This replaces the current reporting structure based on geographical regions and product areas. In the up-coming 2020 reporting, 2019 has been re-stated to reflect the new Business Areas and allow comparable numbers. Proforma 2019 financials for the four Business Areas can be found in attached file Appendix 2 on page 4, including net sales and operating margin per quarter.
Starting now, we will also use the ‘Fagerhult Group’ name more clearly to show the connection between our brands in our different markets. This is a change that will be implemented during 2020. For more information about the new structure, please see the new Fagerhult Group website, www.fagerhultgroup.com, and also page 14-15 in the 2019 Annual Report.
New Fagerhult Group Management Team
There is also a new Fagerhult Group Management Team, reflecting the new Group structure with four Business Areas. The new management team consists of nine people; CEO, four Head of Business Areas, and four Group functions. For details on roles and names please see the new Fagerhult Group website; www.fagerhultgroup.com/about-us/ (under Management team).
Comments from CEO Bodil Sonesson:
- Despite the challenging situation with the Corona virus, we now launch our new structure for Fagerhult Group with four Business Areas.
- Our ambition with the new structure is to make sure we take advantage of all our strong brands and create a setup that is clear and easy to understand.
- We have created the new Business Areas based on each of our 13 brands different focus on product applications, geographic markets and partners.
- In all our new Business Areas we see big potential for increased collaboration and opportunities for organic growth.