Family business roundup: Revenues increase at JCB, H&M, L?Oreal and Daphne Holdings
Family-owned machinery giant JCB has reported its best ever annual results, while a number of family businesses in Europe and Asia have seen their revenues increase in the first months of 2012.
JCB, the British construction equipment manufacturer controlled by the Bamford family, said on 17 April that revenues jumped 37% in 2011 to £2.75 billion (€3.34 billion), from £2 billion in 2010. This was the company’s strongest result in its 66-year history.
EBITDA at the Staffordshire-based firm, which was founded by Joseph Cyril Bamford and is currently chaired by his son Sir Anthony Bamford, also reached a record £355 million in 2011.
In Sweden, fashion retailer Hennes & Mauritz, controlled by the Persson family, reported a 26% rise in sales during March, compared to the same month last year.
The results were affected by “favourable weather”, family member and managing director Karl-Johan Persson said in a statement. However, he added that the rainfall Europe is currently experiencing will have a “very negative effect” on April’s trading figures.
L’Oreal, the French cosmetics giant controlled by the founding Bettencourt family, saw revenues rise by 9.4% to €5.64 billion in the three months to 31 March, from €5.16 billion during the same quarter in 2011.
The Clichy-based family business said on 12 April that sales grew in all of its operating regions but were particularly strong in Asia-Pacific, where they jumped 22.6% during the quarter.
“Despite the economic environment which remains uncertain, the first three months have reinforced our confidence in the group's ability to achieve another year of growth in both sales and profits," Jean-Paul Agon, non-family chairman and chief executive, said in the statement.
In Asia, family-controlled shoe retailer Daphne International Holdings also had a good start to 2012.
The Hong Kong-based company, which is 24.4% controlled by the Chang family, said on 12 April that same-store sales during the three months to 31 March were up 22% compared to the same period in 2011.
Although the Chang family is Daphne’s biggest shareholder, two other families also hold a stake.
The Chen family, which is represented on the company’s board by Tommy Chen, controls about 10% of the shoe manufacturer through its holding company Top Glory, while another Chen family owns a 9% stake, with family member Eddie Chen holding the chairman and chief executive roles.
