Balance Sheet 2018

Ravensburger plays well

Ravensburg, June 28, 2019 – The Ravensburger Group has increased its net revenue* compared to previous year by 4.3% (4.9% after adjustment for exchangerate effects) to EUR 491.5 million. At the same time, the company boosted profitability. Net income increased by EUR 7.8 million to EUR 31.5 million, resulting in a net return on sales of 6.4%.
This business development put Ravensburger ahead of the market trend – also thanks to its internationalization strategy. While the markets for games and toys in Western Europe and the USA declined by 4.6%, sales** of Ravensburger toys in these countries increased by about the same rate.
Commenting on the business trajectory, Chairman of the Board Clemens Maier said: "Consumers responded well to our brands and products and we’re satisfied with our increased sales and net revenue. From this strong position, we’re driving ahead with the restructuring of our company so we can grow on today’s changing markets."

Bucking the market trend: sales of Ravensburger toys grow

In 2018, the volume of the eight*** most important European toy markets plus
the American toy market contracted by a total of 4.6%. A major reason for this was the consolidation in international toy retailing, including the insolvency of
a number of large toy retail chains. Only the German market increased and grew by 2.1%. And Ravensburger’s business developed even better: The company was one of only two manufacturers in Europe’s top ten who were able to achieve growth in 2018. Globally, Ravensburger toys generated sales of EUR 418.3 million, up by 5.6% on previous year. On the foreign markets, where Ravensburger sells two thirds of its toys, growth was 4%, and domestically it reached 6.7%. This resulted in a larger market share for the Group. In Germany, Ravensburger climbed to number three on the market for games and toys, making it the market leader in the merchandise groups games, puzzles, and arts-and-crafts products.


With innovative toys like tiptoi or GraviTrax, Ravensburger has further developed its business over recent years. Now the company is presenting another innovation at Nuremberg Toy Fair: the no-screen game console "toi+", an inhouse development due to go on sale at the end of 2019. The main element is the "Core", a roughly palm-sized element with sensors, processor and speakers which can be plugged into various toys, ranging from movement game to logic trainer.

Driver of sales: internationally developed and marketed products

The biggest driver of sales and best-selling Ravensburger product in Germany in 2018 was the GraviTrax marble track system. The innovative in-house development was already one of the most sought-after toys in the Christmas business the year before. After its launch, the marble track toy was released on the international markets in 2018, where it also achieved impressive success.

Ravensburger took the opposite direction with its Disney Villainous board game, which also significantly contributed to sales. It was developed in 2018 in the USA under the Wonder Forge brand and around a quarter million copies were sold on the American market. Three months ago, Ravensburger launched the strategy game that won the “game of the year” award onto the German
market.

Above market level: Ravensburger books

Last year, the German children’s and youth book market increased significantly by 4.4%****. And Ravensburger’s book business grew even faster, up by 7.8% to EUR 68.7 million. Consequently, Ravensburger slightly increased its market share in the book business and remains the second-largest German children’s and youth book publisher. A significant contributor to higher book sales was the nonfiction book range “Guinness World Records 2019”, published under license by Ravensburger.

Internationalization: Ravensburger expands in the USA

Internationalization is part of the Ravensburger strategy. This includes a focus on the USA, the largest market for toys and games. In recent years, Ravensburger has systematically expanded its position there, restructured sales operations, and acquired the two American toy manufacturers Wonder Forge and ThinkFun. These investments are paying off: The company achieved its greatest growth rate on the US market last year. All the Ravensburger brands improved their results in the USA. It also made a difference that ThinkFun, which Ravensburger took over in September 2017, contributed fully to Group sales last year. The North American market for games and toys is now the most important foreign sales market for Ravensburger products.

Reorganization: Ravensburger as a global player

Ravensburger’s sales markets are changing, consumers are changing how they purchase and use products, and the trend for concentration in the international retail landscape is continuing. In response to these developments, Ravensburger initiated a strategic restructuring program three years ago. One aspect is the reorganization of the Group which is currently under way. Ravensburger is transforming both its sales and supply chain operations. In the past, the areas toys, books, and brands were treated separately. Now they are being brought together into organizational units that cover all products and brands. Furthermore, the product areas are adopting a global approach with international marketing and product development at various Ravensburger locations. This is how the company is preparing for the increasing internationalization of the markets and changes in consumer behavior. The reorganization that began last year is scheduled to be largely complete by the beginning of 2020.
* Net revenue = Ravensburger sales to retailers, source: Ravensburger
** Sales = retailer sales to consumers, source: NPD EPoS Panels
*** Markets for games and toys D, F, UK, I, SP, B, NL, CH; source: NPD EPoS Panels
**** Source: Media Control