French family business PPR has announced strong results this week, boosted by its luxury division, but Greece’s Coca-Cola Hellenic has seen its profit plummet by 28%.
PPR, the luxury and retail group controlled by the Pinault family, said revenues jumped 11.1% in 2011 to €12.2 billion, from €11.01 billion in 2010.
The Paris-based group, which owns brands such as Yves Saint Laurent, Balenciaga and Stella McCartney, added that operating income for the same period was €1.6 billion, up from €1.37 billion in 2010 – a 16.8% increase.
PPR’s growth was driven by its luxury divisions where revenues rose by 22.6% last year, to €4.9 billion in 2011 from €4 billion the previous year. However, sales at the group’s retail chain Fnac, decreased, falling 3.2% during the same period to €4.2 billion in 2011, from €4.3 billion in 2010.
The luxury giant also announced it expanded its executive board to include Patrizio di Marco and Marco Bizzarri, chief executives of Gucci and Bottega Veneta respectively, as well as Franz Koch, head of Puma. Francois-Henri Pinault, the son of the group’s founder, currently serves as chairman and chief executive.
“The changes to the executive committee reflect PPR’s transformation into a more operational group and give the chief executives of its major brands the opportunity to be more closely involved in the group’s decision-making processes,” the group said in a statement on 16 February.
In contrast to PPR’s strong results, operating profit at Coca-Cola Hellenic, the world’s second-biggest bottler of Coca-Cola beverages, fell 28% to €468.4 million, from €649.9 million last year.
However, revenues at the Greek business, which is controlled by the David-Leventis family and owns bottling plants for Coca-Cola in 28 countries including Switzerland, Italy and Russia, rose by 1% during the same period to €6.85 billion, from €6.79 billion in 2010.
The David-Leventis family owns 23% of the business through Kar-Tess Group and family member George David serves as chairman. US-based Coca-Cola Company holds an additional 23%.