The paper group reports record numbers for the second year in a row. "Last year was the best year ever for the group. The best result was achieved by the basic company of the group, HIT OFFICE, when sales increased by fifty-one percent and profit increased fourfold," calculates Šťastný.
The group, whose business is based on trade in food packaging and office products, achieved an EBITDA of over 110 million crowns last year with sales of 641 million crowns.
You won't hear any complaints or whining from Šťastný, who, according to this year's Forbes ranking, are among the two hundred largest family businesses in the Czech Republic. As the founder of the company says, luck favors those who are prepared, and even if it sounds like a cliché, he sees an opportunity in a crisis.
"We stuck to this motto. It is always necessary to be prepared for a change in the development of demand, which was fully confirmed for us in the post-covid era. We didn't wait with folded hands, but actively prepared for what would happen next," says Šťastný and lists several investments that the company has made in recent years.
They range from the construction of a new warehouse, the reconstruction of other production areas, the purchase of new technologies, and the timely purchase of materials. This was the key step that helped the group achieve another record last year.
"We bought material for the new warehouse and increased the stock by one hundred percent and the production capacity by about twenty percent," he recalls at the beginning of last year, when customers recovered from the pandemic and started buying again. "Those who stood and waited kept waiting, because when the demand came, they had nothing to produce from," says the head of the company, which, thanks to sufficient material and production capacity, succeeded in securing not only old customers, but also new ones.
HIT OFFICE was founded right after the revolution as a convenience store in a small town and today its customers are mainly wholesalers such as Makro or chains such as the German Edeka. In addition to the Czech Republic and neighboring countries, it also sells to, for example, Switzerland, France, Italy and other countries.
Although the name of the company would suggest an office focus, today the center of gravity of its business is in food packaging. The best-selling of them are paper coasters, bowls and cups for drinks - for all of them, the company also invests in new materials that are plastic-free and can be fully recycled.
Just like after the pandemic, Šťastní did not wait for anything during the energy crisis and built a photovoltaic power plant, the output of which will cover roughly a third of the company's operational consumption. At the same time, they invest in energy savings.
If they will report record results for the third time in a row? "So far this year is marked by uncertainty. Markets and our customers are unable to estimate possible developments. In the first three months, there is a noticeable drop in demand," admits Šťastný, who continues to believe that demand will pick up again.
He sees great potential in expanding cooperation with multinational chains. “Until now, they have been importing disposable products from China and are now looking for European suppliers. In May, there is a contracting fair in Amsterdam, which we participate in and where we would like to succeed," concludes Jiří Šťastný.
Source: FORBES Magazine
Author: Pavla Francová
Photo: Michael Tomes