Release from 31.08.2022
Gardena keeps growing with new business in the United States
Tobias M. Koerner, Senior Vice President Global Sales der Gardena Division, and Pär Åström, President der Gardena Division, presented the results for the first half of the year.
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Sales growth achieved in the pandemic was maintained despite the general economic challenges and late start of season in the first half of the year. Internationally, Gardena gained strong growth through the acquisition of Orbit Irrigation.
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In the first half of 2022, Gardena Division was able to increase its sales to 930 million euros compared to 726 million euros in the same period of the previous year. At the end of the year 2021, Gardena had surpassed the one billion euro sales mark for the first time.
“We managed to maintain the strong sales positions achieved in the pandemic, although the first half of the year initially started with a cool spring, and the general economic climate worsened. The acquisition of Orbit Irrigation in the United States and the introduction of new smart watering and robotic mowing features enabled Gardena to successfully continue the international expansion and technology-driven growth strategy,” says Pär Åström, President of Gardena Division, commenting on the current development.
The macroeconomic conditions in connection with a general slowing down of consumer demand in many industries, however, also affected Gardena. Recently, there had also been supply bottlenecks for components for robotic mowers.
“Increased prices for raw materials, components, transportation, and energy continue to cause significant cost pressure on the company. To compensate for this cost increase we also had to implement price increases for our own products,” explains Tobias M. Koerner, Senior Vice President Global Sales of Gardena Division. Regardless of this, Gardena is sticking to its long-term growth strategy and planned investments for the future.
Husqvarna Group currently employs around 2,560 people in Germany at its sites in Ulm, Heuchlingen, Niederstotzingen and Laichingen, as well as in field service. This is around 280 employees more than at the end of last year. Around 3,610 employees work for Gardena Division worldwide.
Exit of petrol-powered products of the McCulloch brand
Progress was made by both Husqvarna Group and Gardena on sustainability targets. The parent company has set itself a 35 percent reduction target in harmful greenhouse gases for scopes 1, 2 and 3 by 2025 compared to the base year 2015. By the 2022 half-year, the reduction achieved was already 31 percent. Husqvarna Group has committed itself to a goal of net zero emissions by 2050.
In 2019, Gardena Division, after assuming responsibility for the McCulloch brand in Europe, had subsequently exited product segments such as garden tractors and petrol-powered lawn mowers. Hand-held products such as chainsaws, lawn trimmers and leaf blowers will also be discontinued starting next year. Selected markets, such as France, will continue to sell off remaining stocks for another year.
“This means that Gardena Division is leaving behind entirely the business with petrol-powered products and is focusing exclusively on corded and in particular cordless power gardening tools under the Gardena brand as a founding partner of the ‘Power for All Alliance’. This is a further contribution to achieving our climate targets,” Tobias M. Koerner makes clear. For the upcoming gardening season several new lawnmowers and pruning loppers for the battery-system will be introduced.
The new EcoLine, the multiple award-winning range of high-quality gardening tools which are largely manufactured of recycled materials from household waste, has been positively received on the market. For the upcoming season the product line will be extended with a new garden hose which is made from more than 65 percent recycled material. Gardena is starting to use the learnings from EcoLine to increase the use of recycled materials across the product range.
In addition, Gardena has expanded its partnership with UNICEF, the United Nations Children’s Fund, thematically and, in addition to the water, sanitation and hygiene program, now also supports a UNICEF project in the Ivory Coast for the reuse of plastic waste.
Innovations for the 2023 season
In the new products for the coming 2023 season, Gardena is placing a special focus on efficient garden watering in view of the ongoing climatic changes.
The proven Micro-Drip system for water-conserving drip irrigation for beds and plant rows has been completely redesigned for even easier use. For lawn irrigation, new sprinklers are being introduced that use innovative nozzles to reduce consumption.
For intelligent control, the software of the GARDENA smart system is continuously being developed. The regular updates are available free of charge. Consumers were able to save more than 330 million liters of water last summer alone.1 That's the equivalent of 132 Olympic-size swimming pools.
The new pumps and domestic pressure tank units are characterized above all by quiet operation and reduced energy consumption.
For gardening enthusiasts who like to cook with herbs, vegetables and fruit grown on their own, there will be just the right cutting tools from Gardena in the coming year.
1Water savings June through September 2021 using intelligent scheduling
Note: Gardena Division sales for January – June 2022 amounts to 9,735 million Swedish crowns according to the half-year report of Husqvarna Group. For information purposes, the conversion into euros is based on the average exchange rate for the reporting period (1 EUR = SEK 0.095578069409719).
For over 50 years Gardena has provided everything passionate gardeners need. The broad assortment of products offers innovative solutions and systems for watering, lawn care, tree and shrub care and soil cultivation. Today, Gardena is a leading European supplier of high-quality gardening tools and distributed in more than 100 countries worldwide. Gardena is a brand of Husqvarna Group. Further information on gardena.com.