- Challenges and market environment
- Business model
- Strategy
- Our focus: Clearly Sustainable
- Material topics and Sustainable Development Goals (SDGs)
- Governance structure
- Organisation
- Performance review
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- Introduction to the performance review
- Customers and suppliers
- Finances
- Innovation and intellectual property
- Production and products
- Employees
- Environment
- Financial report
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- At a glance
- Financial Report of the Vetropack Group
- Consolidated balance sheet
- Consolidated income statement
- Consolidated cash flow statement
- Changes in consolidated shareholders’ equity
- Consolidation principles
- Valuation principles
- Notes
- Ownership structure
- Company participations
- Report of the statutory auditor on the consolidated financial statements
- Five-year overview
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- Financial Report of Vetropack Holding Ltd
- Balance sheet
- Income statement
- Notes
- Board of Directors’ (BoD) proposal for the corporate profit appropriation
- Report of the statutory auditor on the financial statements
- Five-year overview
- Corporate Governance
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- Introduction
- Board of Directors
- Management Board
- Remuneration and additional information
- Shareholders’ participation rights
- Auditors
- Information policy
- Blocking period
- Contact address
- Remuneration report
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- Introduction to the remuneration report
- Principles of the remuneration scheme and its components
- Organisation and authorities for determining remuneration
- Description of the remuneration components
- Board of Directors’ (BoD) remuneration
- Management Board’s remuneration
- Comparison of remuneration disbursed with remuneration approved by the Annual General Assembly
- Shareholdings
- Report of the statutory auditor on the remuneration report
- Sustainability report
Foundations
for successBusiness model
The driving force behind value creation
Glass production involves complex processes and high utilisation of resources. At the core of Vetropack's business model is the company's purpose: "We make it possible for everyone to enjoy food and beverages in the most elegant, safest and most responsible way". These words express the force that drives individual action: the basis for developing unique, high-quality products and services. In line with the company's purpose, the core processes are geared to value creation in various dimensions. This requires resources of various kinds. Value creation results in value for Vetropack’s key stakeholders: our customers, shareholders, employees and partners, and the environment.
Resources used
Customers and suppliers
A broad customer base and partnerships with suppliers built on trust are key drivers of value creation at Vetropack. They help us to achieve a high level of financial certainty in our planning, thus facilitating targeted investments. They also allow us to try out new ideas and grow together as we overcome challenges. Close cooperation between customers, Vetropack’s own specialists, external designers and mould-makers opens the way to efficient development work that results in winning products.
Finances
Vetropack's strategy aims to achieve long-term development of the company, taking account of its stakeholders' concerns. This approach is in line with the expectations of our majority shareholders. We finance the majority of the company's growth from our own balance sheet, and we use return on operating capital employed (ROOCE) as the most important metric for monitoring business development. Thanks to our focus on sustainably boosting return on capital employed, Vetropack increasingly acts as a group (“group first” approach) and prioritises investments with high synergy potential.
Innovation and intellectual property
At Vetropack, we set ourselves the goal of meeting our customers’ requirements with innovative, high-quality and environmentally sustainable products, placing emphasis not only on innovations in our products, processes and organisational structure, but also on developing entirely new business models. We achieve this goal by managing intellectual property (patents) on a systematic basis, and by engaging our customers and suppliers in close dialogue that stimulates both process and product innovations – thus contributing directly to improved efficiency for both sides: Vetropack on the one hand, and our customers and suppliers on the other.
Production and products
Vetropack’s production system follows lean production principles, and aims to systematically reduce inefficiencies of all kinds. We also apply uniform quality standards and check each individual glass container to ensure that we deliver outstanding product quality. Vetropack continuously improves all the processes along its value chain in the spirit of “One brand, one quality”, stepping up the use of digital tools and automation solutions. This allows us to realise efficiency savings and meet our customers’ desire for comprehensive information on product quality.
Employees
Vetropack’s sustainable growth and market success are underpinned by dedicated, highly qualified staff and an experienced management team. To stay innovative and competitive, Vetropack focuses on providing targeted and continuing professional development for its employees coupled with a systematic approach to fostering talent. Alongside practical on-the-job training programmes, all Vetropack staff have access to a training centre in Austria and the recently launched “Vetrocademy” – a professional development platform. Attractive career opportunities within the Group open up prospects for staff and help to retain their wealth of expertise within the company.
Environment
Vetropack aims to be as environmentally sustainable as possible in its production, and to position itself as a “green frontrunner” in the glass industry. Continuously reducing our environmental footprint in all business activities is a key tenet of our corporate strategy. The large amounts of energy required in the glassmaking process pose a particular challenge – one that Vetropack is tackling by modernising its production facilities on an ongoing basis and implementing an energy management system. In addition, we are systematically increasing our use of recycled glass and multi-trip containers so as to conserve natural resources as effectively as possible.
Corporate purpose
Corporate purpose
We make it possible for everyone to enjoy food and beverages in the most elegant, safest and most responsible way.
We
We are an exchange-listed Swiss family enterprise that has fostered honesty, commitment and transparency ever since the year our company was founded. Strong values, a work culture based on partnership and an ambience of collaboration: these are Vetropack's hallmarks. When we say “we”, we mean every single person who works for – and with – our company. Each and every individual plays a key part in our company’s success.
For everyone
We care deeply about our consumers and their needs. That's why we help our direct customers to provide the best possible service and support for their customers.
Food and beverages
We can look back on a lengthy tradition in the food and beverage industry, and we have an intimate knowledge of all its facets. We also have a deep understanding of the industry's stakeholders and their needs. Drawing on these assets, we focus on producing glass containers for this industry – and we aspire to offer the very highest quality and the best value in everything we do.
Elegant
For us, the elegance of glass stems from its simplicity, long-lasting beauty, and the variety of shapes and colours that this material offers for high-quality packaging solutions. In the food and beverage sector, packaging helps to communicate brand and quality to the end consumer. Glass is the most elegant material available to achieve this purpose. The look and feel of glass make a customer’s brand come alive for each and every consumer. And when we say "most elegant", we also mean the emphasis we place on designing products individually to meet customers' specifications. We offer a varied range of services, and we aim to build close, long-lasting relationships so we can develop a profound understanding of our customers.
Safe
Safety for everyone is our overriding concern: we focus on high-quality products that are constantly updated and optimised. Thanks to its natural origin and inert structure, glass is the perfect material for food-safe packaging. We take a holistic approach to safety, and we help our customers to optimise their value chains so as to guarantee the safety of their consumers.
Responsible
We regard glass as the most sustainable packaging solution of all, because it is manufactured from purely natural raw materials, is 100% recyclable, and can be reused an infinite number of times. But we believe that our responsibility goes far beyond the product itself: it also includes acting in a spirit of solidarity, taking responsibility for the environment, and managing our business economically and efficiently. We aim to make our carbon footprint as small as possible throughout the value chain. Being aware of our responsibilities, we see recycling as the key to optimising the product life cycle, including end-of-life management. Because we also feel committed to helping our customers succeed, we offer them services that go beyond our glass products – thus enabling them to achieve the success they seek.
Customer relationships in the spirit of partnership
Vetropack’s holistic value creation is based on customer relationships in the spirit of partnership. Huge demand on the glass container market has prompted us to invest more than the industry average in efforts to increase the availability and safety of our products. In this way, we secure the loyalty of our key customers and attract new ones. By identifying customer needs at an early stage, we can successfully expand our market positions and develop new areas of activity as we explore new lines of business along the value chain. This approach enables Vetropack to position itself as a high-quality partner and full service provider.
Needs-based product development
We set the trends for innovation in the glass packaging industry by collaborating closely with customers, suppliers and industry associations – right from the outset. To complement our own concepts and the ideas originated by our customers, we often commission external designers to develop product designs. Whichever route is chosen: comprehensive requirements must be specified for future glass packaging so that development work can be driven ahead efficiently, and to bring innovative solutions to market as quickly as possible.
Service plus+
We offer our customers a wide-ranging portfolio that goes well beyond the production of glass packaging as such. Our services include packaging design, high-quality production and on-time supply, advice and support in areas such as packaging analysis, bottling, conditioning and closure technology, glass finishing and labelling – and we can even assist with calculating environmental footprints. In these various ways, we help our customers to optimise all the steps involved in the process of launching new types of glass packaging. Going forward, we are keen to expand our service offering based on our existing expertise, so as to continue strengthening customer loyalty and opening up new business opportunities along the value chain.
Demand-driven planning
We work continuously to optimise product planning and availability. We use demand forecasts as the basis for aligning all our processes, from raw materials purchasing and production scheduling through to shipping of finished products. Optimal process coordination allows us to maximise utilisation of capacity in all our production facilities. To achieve this, we operate a digital system that will consolidate all aspects of production planning into one single, Group-wide process in the future. The overall objective is to make more efficient and flexible use of our production capacities.
Efficient production
To achieve our goal of energy-efficient production at optimum cost, we invest continuously to make our production lines more efficient and more flexible. This also allows us to process smaller batch sizes and multiple product segments, so we can respond better to seasonal demand peaks in the beverage market. Guided by our digitalisation roadmap, we are leveraging the opportunities offered by automation to simplify repetitive production and administration processes. Our Group is also investing extensively in production facilities and logistics to ensure reductions in energy consumption and related CO2 emissions. Our Strategy 2030 includes the key target of reducing greenhouse gas emissions from each metric ton of glass produced by 30% as compared to 2019 levels.
Circular economy
Our business model supports the transition to a circular economy, because it is based on natural raw materials that are almost infinitely reusable. Vetropack was already a pioneer of glass recycling back in the 1970s and nowadays, we collect used glass for recycling in all the countries where we operate glassworks. In many countries, we collaborate with special-purpose associations to maximise collection rates. We are also driving the development of returnable bottles ahead: these are made in part from resource-efficient lightweight glass (VIP glass), so they are even easier to handle. As part of our Strategy 2030, we have set ourselves the target of reaching a cullet share of at least 70 percent in Group-wide production by 2030.
Value generated
Customers
The Vetropack Group’s customers can rely on an experienced partner with a strong market position and an offering of over 2,500 different kinds of glass packaging, backed by comprehensive service. Even when faced with the most detailed of requirements, Vetropack develops innovative, cost-effective solutions that meet the highest quality standards, thus helping to increase the value of our customers’ brands. We also provide support for our customers as they implement lasting improvements to their entire process chain, from development through to bottling.
Shareholders
The Vetropack Group generates robust, profitable growth by focusing its corporate strategy on the long term and investing continuously in its production facilities and recycling systems. Thanks to this approach, the company has been able to pay a dividend to its shareholders for many years.
Partners along the value chain
The Vetropack Group places great value on treating its stakeholders as partners and, in particular, on strengthening relationships with strategically important suppliers. Our partners benefit from long-term business relationships and supply agreements that give them a high degree of certainty in their forecasting and planning.
Employees
Much of the Vetropack Group’s market success is driven by its employees. In return for their commitment, they can rely on an employer who offers stable and attractive jobs and actively promotes occupational health and safety. Staff also benefit from a wide range of opportunities for professional development that strengthen their loyalty to the company. Many employees appreciate working for a sustainable company whose products they can identify with.
Environment
Investments in state-of-the-art production facilities and logistics yield efficiency savings that deliver multiple benefits – not least for the environment, because cutting energy consumption also steadily reduces CO2 emissions. By utilising a high percentage of used glass in its production, Vetropack also contributes to an environment-friendly circular economy.
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- Financial Report of Vetropack Holding Ltd
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