The closing of the acquisition of Papyrus Deutschland in 2019 allowed us to achieve a clear leadership position in the distribution of paper in the markets where Inapa is present, establishing a solid basis for the Group’s future development.
The consolidation of Papyrus Deutschland’s acquisition in the period from August to December allowed to achieve an expressive turnover growth of 20% in 2019, surpassing the barrier of 1 billion euros in annual turnover (1,031 million euros). Disregarding the impact of the pandemic caused by COVID-19, impossible to estimate on the date I write this message, the annual turnover is expected to be above 1,200 million euros, representing a growth of 40% on 2018 turnover.
Inapa’s companies in the paper distribution sector achieved a total turnover of 922 million euros, representing a growth of 22% compared to 2018. This development, in a market that suffered a retraction of about 8% in Western Europe, was based on the acquisition in Germany and a resilient performance in other geographies.
We continued to ensure strong commercial discipline, betting on products with higher added value, which allowed us to increase the gross margin generated per ton of paper sold, as well as the gross margin as a percentage of revenue in other businesses.
The Group’s strategy for the 2019-2021 triennium is an evolution in the continuity of the strategy defined for the previous three-year period, based on four pillars of activity: paper business consolidation and optimization, diversified growth of the packaging and visual communication (viscom) business, strengthening financial sustainability and sustainable development.
We have a team prepared to respond to the challenges and opportunities for growth, diversification, efficiency and sustainability that will mark the coming years. To our employees, customers, suppliers, financial institutions and shareholders, we leave a special word of thanks for their contribution so that Inapa values may continue in order to reach its mission.