Tradeshow giant Messe Frankfurt achieved a record financial high in 2013, grossing approximately €543 million ($747 million) in sales and more than €40 million ($55 million) in profits by the financial year’s end. Unsurprisingly, the highest sales growth was in Germany, where the company generated revenue of roughly €375 million ($516 million).
“This was achieved through improved capacity utilization at our exhibition grounds, through our services and through the comparatively stable economic climate in Germany,” says Klaus Münster-Müller, chief of finance at Messe Frankfurt.
The news of the company’s record success was presented at an end-of-year media event Tuesday where Münster-Müller and President and CEO Wolfgang Marzin were in attendance.
Marzin says the financial achievements were reached as part of the Messe Frankfurt 2020 strategic program targeting furthering corporate efficiency and profitability.
Strong overseas sales, which account for 31 percent of total revenue, were on par with last year’s figures of roughly €168 million ($231 million) for all consolidated sales outside Germany. Alongside the €40 million ($55 million) profit, Messe Frankfurt’s earnings before interest, taxes, depreciation and amortization, a benchmark figure for judging operating business performances, is approximately €104 million ($143 million).
“Our annual net income for the group is also over €30 million ($41 million), which is higher than planned and prior-year figures,” added Münster-Müller.
Key strategies for Messe Frankfurt this year were its growth through expansion and in-house optimization plans.
Marzin says there are plans to further domestic and international growth through widening the company’s portfolio via acquisitions and equity investments. In 2013, Messe Frankfurt acquired Watertech India, a water management trade fair and conference, positioned itself with events in central growth markets and expanded its role as an international organizer of environmental technology fairs.
“Next year, with our involvement in Wire & Cable Guangzhou, we will be moving into an industrial sector centering on wire, cable and optical fiber,” Marzin said.
The move joins Wire & Cable Guangzhou with two other Messe Frankfurt tradeshows, Guangzhou International Lighting Exhibition and Guangzhou Electrical Building Technology, all scheduled to occur at the same time.
Looking forward, Messe Frankfurt’s expansion plans are already underway. The Kap Europa congress center in Frankfurt, set to house conventions and conferences for roughly 2,500 attendees, will open as scheduled this spring with the first event already scheduled for June.
In 2013, Messe Frankfurt was responsible for 114 trade fairs and exhibitions, hosting 78,500 exhibitors and 3.6 million attendees.