GEOBRA BRANDSTÄTTER
Playmobil defends its market share / Growth abroad / Sales of flower pot systems double
Compared with record results in anniversary year 2004, geobra Brandstätter (Zirndorf / Germany; www.playmobil.com), which manufactures and sells toys under the trademark "Playmobil", posted only slightly sales growth in 2005 to EUR 361m. However, the showing can be regarded a positive, in view of the economic weakness of this segment. While foreign business rose by 4% to account for 59% of the total, sales of the well-known plastic figures and games in Germany declined 5%.

Nevertheless, the toy manufacturer last year managed to defend its German market share, which had risen in 2004 to 8.4%. Growth was seen in particular in France, the Benelux and Italy. The company is intensifying its plans to expand in eastern Europe and South America and intends to examine the sales potential in Asia-Pacific more closely during the coming year. The company once again emphasised its commitment to Germany as a manufacturing location. Commercial director Franz Höhe said the market´s demand for high quality as well as the proximity to European customers make production at Dietenhofen indispensable.

In 2005, the group´s overall sales rose by 2% to EUR 377m. The "Lechuza" product line – flower pot systems of expandable PP – accounted for sales of EUR 7m, double the 2004 figure. Höhe told journalists that the company aims to push sales of this relatively small but growing business to EUR 14m in 2006, with EUR 20m targeted for 2007.

For the current year, the Playmobil management team is optimistic, with growth is expected to be around 5%. To manufacture the group´s many new products, 490 new moulds worth around EUR 15m will be needed. Some 60% of the precision tools required are supplied by the company´s own high-tech mould production plants at Zirndorf and Malta. In line with its motto of "no compromises on quality", geobra still declines to use cheaper moulds produced in Asia.
01.03.2006 Plasteurope.com 701 [204620]
Published on 01.03.2006
Playmobil: Trotz schwacher Branche weiter auf bewährtem KursGerman version of this article...

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