Without addressing Pon Holdings' solicitations for a minority stake in the company (SGI Europe Vol. 29 N° 35+36 of Nov. 20), the Accell Group said it will explore strategic options for its U.S. operations during the next six to nine months, including their possible sale. The Dutch-based group has decided to focus on its European business.
The company's U.S. business, which represents about 6 percent of the group's revenues, is expected to generate an operating loss (Ebit) of between 19 and 20 million euros this year, excluding potential writeoffs and costs related to the planned review of its operations. Excluding the U.S., the group should have an Ebit of around €51 million, or €57 million before extraordinary expenses.
Excluding the U.S., the group's growth has increased so far this year to 6 percent from 5 percent in the corresponding 11-month period of 2017, in spite of the delayed release of several innovations.
The management said it was on track with its “Lead Global, Win Local” strategy, launched last March. It mentioned, among other things, a 10 percent increase in orders in the Netherlands, the roll-out of a three-pillar omni-channel strategy and the establishment of standardized product platforms. The centralization of the parts & accessories business and of the procurement team are now fully in place, with 75 percent of all components now sourced centrally.
Accell has reconfirmed the strategic objectives set for 2022. The company will host an analysts' meeting next March 8 to update them on the status of its strategic initiatives.