Business segments

Last updated: June 3, 2020

With our global network of manufacturing and sales units, we’re well placed to support our customers’ growth wherever they operate. Mastering three distinctive technologies we develop and make packaging that helps great products reach more people, more easily.

Our three business areas are organized into three reporting segments. In March 2020, we announced the integration of Foodservice EAO and Fiber Packaging segments under one segment, Fiber Foodservice EAO, as of June 1, 2020. The segments will continue to be reported separately, at least for the remainder of the financial year 2020.

Read more about the businesses here

Fiber Foodservice EAO add_circle_outline

Foodservice Europe-Asia-Oceania

Foodservice paper and plastic disposable tableware, such as cups, is supplied to foodservice operators, fast food restaurants and coffee shops. The segment has production in Europe, South Africa, Middle East, Asia and Oceania.

Foodservice EAO segment's website

Our competitive advantages

  • Unique footprint and leadership position
  • Wide product range and scale to serve and innovate globally
  • Impeccable quality and service for our customers
  • Renewed innovation on sustainability challenges

Focus areas

  • Footprint expansion and optimization
  • Product portfolio expansion
  • Lead in innovation and sustainability
  • Drive automation and layout optimization across our factories
  • Pursue M&A to expand product range, geographical presence or access to channels

Financial ambitions and achievements

Meur Long-term ambition 2019 2018* 2017 2016 2015 2014
Net sales   956.7 881.7 807.5 741.0 667.5 620.4
Comparable net sales growth 5–7% 4% 4% 4% 5% 4% 4%
Adjusted EBIT   85.7 77.1 70.1 63.2 52.4 57.4
EBIT Margin 9–11% 9.0% 8.7% 8.7% 8.5% 7.9% 9.3%
Adjusted RONA 15+% 11.5% 13.0% 13.0% 13.7% 14.2% 17.6%
Capex   74.7 57.8 53.4 46.9 39.6 33.6
Operating cash flow   66.8 53.9 57.1 38.0 35.4 41.9

All figures excluding IAC.

* 2018 figures restated for IFRS 16 impact.

Products, customers, sales split and competitors

 

Fiber Packaging

Recycled and other natural fibers are used to make fresh product packaging, such as egg, fruit, food and drink packaging. The segment has production in Europe, Oceania, Africa and South America.

Fiber Packaging segment's website

Our competitive advantages

  • Full control throughout the value chain from raw material sourcing to NPD
  • Centralized research and development
  • Sustainability knowhow
  • Local service backed by global knowledge
  • Strong teams and continuous knowledge sharing

Focus areas

  • Continued investments in new capacity
  • Expansion of product portfolio
  • Active interest in potential acquisitions
  • Innovations and sustainability
  • Continuous improvement: operational efficiency, cost management
  • Knowledge sharing

Financial ambitions and achievements

Meur Long-term ambition 2019 2018* 2017 2016 2015 2014
Net sales   293.4 283.0 285.1 267.8 260.3 247.0
Comparable net sales growth 5–7% 6% 4% 5% 5% 5% 9%
Adjusted EBIT   29.0 31.2 28.2 34.6 33.5 35.0
EBIT Margin 13–15% 9.9% 11.0% 9.9% 12.9% 12.9% 14.2%
Adjusted RONA 18+% 12.6% 14.2% 12.8% 16.4% 17.7% 20.4%
Capex   29.5 23.4 22.0 27.6 34.1 27.3
Operating cash flow   22.4 25.1 20.7 16.7 9.9 17.5

All figures excluding IAC.

* 2018 figures restated for IFRS 16 impact.

Products, customers, sales split and competitors

North America add_circle_outline

The North America segment serves local markets with Chinet® disposable tableware products, foodservice packaging products, as well as ice-cream containers and other consumer goods packaging products. The segment has production in the United States and Mexico.

North America segment's website

Our competitive advantages

  • Leading shaped paperboard converter
  • Chinet® brand
  • 21st century new cup capacity
  • Ice-cream systems
  • Capability for customer promotions

Focus areas

  • Safety
  • Leading Molded Fiber – Chinet® brand
  • Build out paperboard in Goodyear and Batavia
  • 21st century work environment
  • Build culture to attract best employees and best customers
  • Positioning; positive market disruptor and alignment with brand forward customers

Financial ambitions and achievements

Meur Long-term ambition 2019 2018* 2017 2016 2015 2014
Net sales   1,152.7 1,002.7 1,000.4 1,005.1 947.7 769.3
Comparable net sales growth 2–5% 9% 5% 2% 6% 4% 6%
Adjusted EBIT   111.4 73.0 104.1 107.6 88.2 38.4
EBIT Margin 9–10% 9.7% 7.3% 10.4% 10.7% 9.3% 5.0%
Adjusted RONA 11–14% 13.0% 9.2% 14.2% 16.3% 14.1% 7.2%
Capex   54.6 62.9 97.9 97.9 40.9 36.7
Operating cash flow   125.0 19.8 31.7 40.4 61.1 18.7

All figures excluding IAC.

* 2018 figures restated for IFRS 16 impact.

Products, customers, sales split and competitors

Flexible Packaging add_circle_outline

Flexible packaging is used for a wide range of consumer products including food, pet food, hygiene and health care products. The segment serves global markets from production units in Europe, Middle East and Africa, Asia and South America.

Flexible Packaging segment's website

Our competitive advantages

  • Unmatched footprint in emerging markets
  • Good reputation among blue-chip customers
  • Global R&D knowhow to speed up innovations & commercialization
  • Wide product offering
  • Strong teams & resource pool in India

Focus areas

  • Harvest full benefits of the recent growth initiatives
  • Continue expanding in emerging markets
  • Ensure cost competitiveness and continue improvements in operational efficiency
  • Develop and innovate sustainable solutions fit for the circular economy
  • Build on strength in consumer convenience solutions and agility in on-demand packaging

Financial ambitions and achievements

Meur Long-term ambition 2019 2018* 2017 2016 2015 2014
Net sales   1,016.4 952.3 912.7 868.6 868.9 618.0
Comparable net sales growth 6–8% 3% 7% 4% -1% 3% 7%
Adjusted EBIT   82.6 67.8 69.7 73.8 68.8 45.5
EBIT Margin 9–11% 8.1% 7.1% 7.6% 8.5% 7.9% 7.4%
Adjusted RONA 15+% 11.1% 10.0% 10.8% 11.6% 12.3% 13.6%
Capex   44.4 49.7 41.1 25.7 31.6 24.7
Operating cash flow   88.8 42.2 36.6 87.9 63.5 27.8

All figures excluding IAC.

* 2018 figures restated for IFRS 16 impact.

Products, customers, sales split and competitors