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Oettinger Davidoff announces successful financial year 2019

Oettinger Davidoff announces successful financial year 2019

Oettinger Davidoff announces successful financial year 2019 1600 900 Michel Arlia

DavidoffOettinger Davidoff, as every summer, has presented their revenue numbers from last year: CHF CHF 453 million ($476 million).

While Oettinger Davidoff achieved their targeted goals, in the own-brand business, the Basel-based family company recorded a decline of -3.6% compared to the previous year. This follows a strong 2018, in which the Davidoff and AVO brands celebrated anniversaries with various products and activities. With growth of +1.6%, the Davidoff brand continued to expand its market share in the super-premium segment, while Camacho (-2.9%) and AVO Cigars (-12.6%) remained stable on an adjusted basis. The decline in the company’s consolidated total sales was largely due to the loss of the rack jobbing business in the Swiss confectionery market (Cruspi SA). On a comparable basis, net sales decreased by 1.0%. Sales performance was impacted by a difficult business environment in the US, where the premium cigar industry was exposed to unprecedented rebates and inventory reduction programs by key customers. In addition, the social unrest in Hong Kong affected not only local retailers but also duty-free business throughout the region. The improved sales performance of third party brands, especially sole agencies, was a key performance driver in 2019.