Record year marks ‘new chapter’ for Rapala VMC
Rapala VMC Corporation today reported an all-time record year for 2021. Despite the significant shortfall resulting from its split with Shimano, the Finnish company’s net sales for the year increased by 13% to €294 million, with operating profit up 200% (comparable operating profit up 52%).
In announcing the impressive figures, Group President Nicolas Cederström Warchalowski described it as a new chapter for Rapala VMC and breakthrough year for its sustainability strategy.
In an eventful 12 months, Rapala has streamlined and remodelled its management structure, phased out thousands of Shimano SKUs, ramped down its Batam production unit and acquired Okuma’s European and Russian trademarks.
“Our team members around the world stood shoulder to shoulder in 2021 and successfully navigated all the pandemic-related obstacles in our way to deliver an all-time record-breaking year,” said Warchalowski. “I am so proud to look back at 2021 [….] and these great results.
“The increased focus on group brands meant they achieved €277.7 million. During 2021, several thousand Shimano SKUs were resolutely phased out and several thousand Okuma SKUs were prepared for a pan-European and Russia launch in 2022.
“That was a monumental task, but means that in 2022 we will begin to sell a rod and reel portfolio based entirely on group brands. This is a robust growth pillar for many years to come.
“With fewer management layers, less bureaucracy, less SKUs, fewer distribution centres, sharper brand strategies, an improved financial and operational platform, Rapala VMC today moves faster, executes strategy with more ease and has more fun while working together as a tighter ONE Rapala VMC team. The great transformational growth journey has only begun.”
Warchalowski also reiterated that Rapala would be working relentlessly in its ambition to take a leading position in sustainability in the sportfishing industry.
The announcement includes the group’s figures for July to December of 2021, which reveal an ‘exceptional swing’ compared to the first half of the year. Net sales were €134.6 million, down 7%, while operating profit was 5.8 million, down 50%.