The Swedish Ikea Group, the world leader in home furnishings, sees great signs of recovery in consumption in many of its markets.
Ikea has made a net profit up 3.1 % to 3.3 billion euros over the last twelve months. "Consumer spending is improving in many countries," said Tuesday the CEO, Peter Agnefjall." While the difficult economic situation is perhaps not yet finished, there are positive signs."
Distributors have problems in Europe, where it generates nearly 70% of its turnover, where a sluggish economy and austerity measures are crippling the consumer morale.
The Swedish group, which operates more than 300 stores in 26 countries, including Switzerland , reported growth in China, where they opened two stores, in the United States and Russia. Southern Europe shows positive signs, as well as Central Europe, but sales fell in Italy and Spain.
In October, Ikea had reported an increase of 3.1 % of its annual turnover to € 27.9 billion, up to 1.8% in comparable sales area.
Ikea, which employs 135,000 people, will invest € 2.5 billion during the current fiscal year in shops and factories as well as in renewables and malls.
Growth will come from existing markets, such as China, where it already operates eleven stores, as well as new markets such as India, where it has yet to open its first store.
Peter Agnefjall aims to increase online sales, an area in which Ikea is facing an increasingly offensive competition.
The Group does not sell on the internet in half of the 26 countries where it operates, so that he can count on brand awareness: the paper catalog is published to 212 million copies in 29 languages, which allows it to claim the title of second most widely read publication in the world after the Bible.