The Villeroy & Boch Group generated consolidated revenue of €340.7 million (including licence income) in the first half of 2020, down € 52.5 million or 13.4 % on the previous year; this was largely due to the weak second quarter as a result of the coronavirus pandemic. The downturn in revenue in the Tableware Division (-21.7 %) was significantly more pronounced than in the Bathroom and Wellness Division (-9.7 %), with the two divisions each seeing a decrease of € 26 million in absolute terms. The second quarter in particular was dominated by the coronavirus crisis, with total revenue declining by € 37.2 million or 19 %.
With incoming orders picking up again in June, orders on hand developed positively, increasing by € 46.1 million compared with 31 December 2019 to total € 90.9 million as at 30 June 2020. € 66.5 million (31 December 2019: € 35.3 million) of this figure relates to the Bathroom and Wellness Division and € 24.4 million (31 December 2019: € 9.5 million) to the Tableware Division.
Owing to the slump in demand as a result of the coronavirus crisis and the plant shutdowns and restrictions initiated, the Group closed the first half of 2020 with operating EBIT of € -10.0 million. After reporting a profit of € 4.3 million in the first quarter of 2020, the operating result declined by € 21.3 million year-on-year in the second quarter.
The Tableware Division generated revenue of € 93.9 million in the first half of 2020, down 21.7 % year-on-year (previous year: € 120.1 million). The significant reduction in revenue is due to the officially ordered worldwide closure of Villeroy & Boch sales outlets and the global slump in demand as a result of the coronavirus crisis. Following a downturn of -14.5 % in the first quarter of 2020, the coronavirus-related reduction in revenue intensified in the second quarter, particularly in April and May, totalling -30.5 %. The negative revenue development in the first half of the year affected all sales channels except e-commerce, which achieved gratifying growth in revenue of 26.0 %. By contrast, revenue at Villeroy & Boch retail stores fell by 34.4 %. Revenue from business with retail outlet partners declined by 21.3 %. Project business with hotel and restaurant clients was also extremely hard hit by the pandemic, with revenue falling by -47.0 % in the first half of 2020.
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