Business area Hügli

The business area Hügli posted solid growth for the food service segment and industrial customers. This positive development helped to make up for shrinking retail demand and the diverse market conditions in the individual countries, partially offsetting the lack of tender business and aggressive pricing policies in the European food retail sector.

Thanks to the experience gains and knowledge transfers resulting from the introduction of a new ERP system in the facilities in Radolfzell (DE) and Neuburg (DE), the rollout at the Steinach (CH) and Hard (AT) locations were completed successfully in 2025. Operations are running smoothly and uniform working methods in initial integrative and cross-country processes are returning efficiency gains. The next rollout at the Zásmuky (CZ) location has started and will be completed during the current year.

By relocating its production activities in Redditch (UK) to the existing facilities in Radolfzell (DE) and Zásmuky (CZ) in the medium term, Hügli is further optimising its production structures. This measure will serve to coordinate the production programmes at the locations, improve capacity utilisation and realise economies of scale. Production in Redditch will be discontinued once the relocation process has been completed. The local sales organisation will remain in place in order to further develop the proven market strategy in the UK.

Hügli, too, celebrated its 90-year anniversary in the reporting year. The efficiency enhancement project launched in 2024 brought the expected cost reductions in the past year. The strengthening of the production capacity of the individual locations will ensure sustainable growth through the use of maximum synergy effects. Hügli also reinforced its future organisational structures. The new Strategic Marketing & Portfolio Management and Supply Chain Management organisational units and the further refinement of the organisational design introduce a clear chain of responsibility to improve the end-to-end processes. The customer is coming more to the fore and will benefit from the greater emphasis on marketing and innovation.