Consolidation well underway – transformation kicked off

“In the past financial year we continued to work successfully on necessary structural issues of the past and improved the earnings position of many companies. With investments in the double-digit millions we have set the course for the future of the Berner Group,” explains Christian Berner, owner and CEO of Berner SE. Since Christian Berner joined the company in October 2012, he has put loss-making subsidiaries on a successful path of consolidation, placing the focus on profitability and result rather than revenue. A clear vision formed the basis of a new corporate strategy with which Berner wants to successfully accomplish the transformation. “Considerable investments are necessary to achieve this. We have already made most of them with our own funds”, Christian Berner adds.

For example, in the wake of a new compensation model for the field representatives of BTI that was introduced more than two years ago, staff turnover could be reduced by about one-third.

The Berner Group has roughly 9,000 employees throughout Europe (one-third of whom work in Germany) and more than half a million customers. Its business units are Berner, Caramba, and BTI.

In the past financial year (April 1, 2014 to March 31, 2015) especially the Automotive Division of the Berner Business Unit boosted its revenues, which grew to EUR 736 million. As in the previous year, the markets Spain and Portugal showed a strong increase in revenues; Italy returned to a path of growth. Yet Turkey, the Baltic States, and Metaplan in Finland also achieved up to two-digit growth rates.

The BTI Business Unit recorded revenue of EUR 156 million, not least owing to the sale of Krähe, its loss-making professional clothing division.

In its core business of car and truck wash, Caramba (Bremen) was able to continue its uninterrupted growth and maintain its position as market leader. Altogether the business unit recorded a slight downturn to EUR 147 million with its Caramba and Kent brands, mainly as a result of the consolidation efforts within Kent.

Outlook

The Berner Group is one of the biggest players on the European MRO market. By completing the consolidation of its revenue and through significant investments in the future, the company has laid the foundation for ambitious growth over the next three years. The objective is to become the market leader in terms of customer focus. “Generally speaking, small and medium-size businesses in Germany are reticent about making investments, especially in the area of digitization. The Berner Group is more courageous in this respect and already invests strategically in the future,” says Christian Berner. Its financial strength and size as well as its efficient market cultivation strategy have put the Berner Group into an excellent position to achieve its goal.