Model Group has reported a growth in consolidated turnover from CHF 1.07 bn to CHF 1.21 bn in the past financial year, which corresponds to an increase of 14%.
The company says this was due to a higher average sales price for corrugated and solid board packaging as a result of significantly higher paper, board and energy prices.
On average, Model Group employed 4’541 people (previous year 4’473), of which almost 800 in Switzerland. Investments once again reached a high level of CHF 152 m (previous year CHF 156 m). The main areas of investment were a fully automated intralogistics system in Weinfelden, new wastewater treatment plants for Eilenburg and Weinfelden, two new corrugators including new buildings for Nymburk (CZ) and Bilgoraj (PL) and initial expenditure in connection with the major construction site at the paper mill in Eilenburg (Saxony).
In its 15 production sites in Switzerland, Germany, Poland, the Czech Republic and Croatia, Model Group produced almost 1.4 bn sqm of corrugated packaging and sheets (decrease of 13%) and 466,000 tons of packaging papers for corrugated board which corresponds to an increase of 14% or approximately 60,000 tons compared to the previous year. At the folding carton plants, the production volume was increased by 5% to 19,030 tons.
The partial decline in consumption also led to a drop in demand for corrugated packaging. As energy costs multiplied at the same time in the upstream value-added stage of paper production due to the sanctions policy and pipeline destruction, there was a price increase despite the decline in demand.