Haworth Inc reports 2014 revenues jumped 27 percent
HOLLAND, MI – Haworth, Inc. had 2014 global sales of $1.8 billion, an increase of 27 percent over 2013, the company announced.
The privately-held office furniture-maker attributed the double digit revenue increase to strong organic growth and the acquisition of the Poltrona Frau Group, the company said.
Chief Executive Franco Bianchi said the company is on track for continued growth in 2015.
“I believe our success is based on delivering results with a focus on client needs – our employees and dealers deserve the credit and thanks for this,” Bianchi said in a statement. “More than just contributing to our success, their tenacity, creativity, loyalty and hard work make Haworth successful.”
Last year, the company reported 2013 sales of $1.41 billion, a 7.3 percent increase over 2012 sales.
Based on revenues, Haworth ranks as the third largest West Michigan-based office furniture maker. Grand Rapids-based Steelcase holds the top spot globally with sales of $3.1 billion and Zeeland-based Herman Miller comes in second with $2 billion, according to industry analyst Mike Dunlap.
Haworth’s growth is “very indicative of what we are seeing throughout the North American market,” said Dunlap, whose quarterly survey of executives keeps a finger on the pulse of the $10 billion industry.
Dunlap predicts a 6.5 percent growth for the industry in 2015, compared to the 4.5 percent forecast by the Grand Rapids-based trade association, Business and Institutional Furniture Manufacturers,or BIFMA.
The uptick in office furniture sales is fueled by several factors: a recovering economy, pent up demand for updated workspace and companies expanding their workforces, Dunlap said.
Haworth began 2014 with the purchase of the iconic Poltrona Frau Group, comprised of the Poltrona Frau, Cappellini and Cassina businesses – a move that generated headlines across Europe
This Italy-based group of companies both expanded and complimented Haworth’s commercial interior business.
The acquisition also extended Haworth’s reach into additional markets, such as premium residential furniture and interiors for retail, hospitality and vehicles.
Haworth also continued its investment in new products for commercial interior work environments, and continued to make improvements to the company’s high-tech big screen product, Bluescape.
Here are some highlights of what Haworth accomplished in 2014:
• In June, Haworth won four NeoCon 2014 awards at the annual Chicago trade show, including the most prestigious Best In Competition for newly-introduced collaborative furniture line, Openest, designed by Patricia Urquiola.
For the second consecutive year, the company won NeoCon’s best of competition and received gold for Suite, a casegoods product; and silver for Trivati, in the architectural products category.
• Haworth rolled out new global benching system, Intuity, and three new design pieces from its Italian companies: GranTorino HB by Poltrona Frau; Ginger Ale by Poltrona Frau; and Dalia by Cappellini.
• Haworth Health Environments also opened a new permanent showroom at the Merchandise Mart and introduced an enhanced seating, sleepers and casegoods line, Conover.
• In Asia Pacific, sales increased and Haworth continued to invest in the growing region with the opening a new factory in Chennai, India, where the company first stared operations in 1997.
• Haworth raised its profile in Europe, in the Orgatec 2014 furniture fair in Germany during October. It unveiled new products for the European market, including YourPlace by brodbeck design and Dynamo by Simon Desanta.
• Haworth produced its 9th annual sustainability report announcing the company’s goal to remove 56 chemicals of concern from its global products. Haworth also donated land that adjoins its Holland headquarters, at 1 Haworth Center off M-40, to contribute to improved water quality in the Lake Macatawa watershed.