Despite the coronavirus pandemic, the lack of specialists and the consequences of the UK exit from the EU (Brexit), GRIMME group of companies from Damme was able to achieve a successful economic result in 2021, comparable to the result of 2020. The turnover of the GRIMME Group increased from 509,1 million euros by 9,43% and amounted to 2021 million euros in 557,1. More than 80% of this turnover was realized outside of Germany. All manufacturing companies of the trademarks GRIMME, SPUDNIK, ASA-LIFT, INTERNORM and RICON were able to increase their turnover.
In parallel with the positive growth in trade turnover in recent years, the permanent workforce around the world has also grown: the enterprises now employ over 2850 employees (previously - 2700 people). 1850 employees work in Germany.
GRIMME Landmaschinenfabrik and its sales and service subsidiaries account for the bulk of the turnover, amounting to EUR 384,5 million compared to EUR 363,9 million in 2020. In Belgium, France, Russia and China, market shares were increased, as well as trade. The consequences of the UK's exit from the EU and high inflation in Turkey led to turnover losses in these countries.
SPUDNIK, located in Blackfoot, Idaho (USA), which became part of the GRIMME Group in 2003, reached a turnover of 2021 million euros in 110 under the leadership of Reiner Borgmann. SPUDNIK is the North American market leader and specializes in the production of potato, sugar beet and vegetable equipment. With the introduction of the stainless steel self-propelled spinach harvester, SPUDNIK is entering a completely new sector of vegetable technology.
In 2013, GRIMME fully integrates the Danish manufacturer of vegetable equipment - the company ASA-LIFTfounded in 1936. More than 130 employees under the leadership of Joas Ling achieved a turnover of more than 2021 million euros for the first time in 20. The growing worldwide trend of eating healthy vegetables, as well as the lack of workers for harvesting vegetables, is greatly increasing the demand for high-performance machinery. This is the reason for continued investment in the production site in Sorø, Denmark. With a line of vegetable machinery products ASA-LIFT and GRIMME The GRIMME Group already has the most extensive production program in this special sector and will make efforts to further develop it.
Innovative company Schmiede.ONE in Düsseldorf was founded in 2017 by Christoph Grimme and has 20 highly qualified employees dedicated to the development of robotics and digitalization. In close cooperation with the recently established Digital Business Department at GRIMME, the topics of the future are accelerated, innovative solutions for which are developed in the shortest possible time.
In 2019, GRIMME entered into a joint venture with Shaktiman, a family-owned firm in India, the world's largest manufacturer of tillers, to provide the Indian market with specialized machines for growing potatoes. Currently, this company offers planting and harvesting machines, as well as special tillage cutters. Within the shortest possible time, a two-row potato harvester with an picking table and a transfer elevator was developed, which is operated with tractors with a power of approx. 75 HP (~55 kW).
Investment in the future
In line with the increase in turnover, the level of income also increased, which made possible numerous investments in the future, carried out on the basis of own financing. In the coming years, more than 50 million euros will be invested in Germany alone. As a result, investments will reach the largest volumes in the entire 161-year history of the company. These investments include a significant expansion of the TECHNICOM exhibition center in Damme, as well as investments in machinery and equipment from all manufacturing plants worldwide. The next key area of investment will be the creation of workplaces that meet the requirements of ergonomics. In the Lower Saxony Park, located 15 km from Damme, new buildings will be built for the installation of harvesters and for technical validation, in addition, a large center for used machines and a training building. The freed up production capacity of the buildings in Damme will be used for logistics and production, which are subject to ever-increasing demands.
A new administrative building will be created in Damme. In addition, 10% of the turnover will be invested in new developments and improvements, with digitalization becoming increasingly important in this sector. In order to strengthen its position in the important Bavarian market, GRIMME will open a new center in Langquaid, south of Regensburg, in 2022.
Current dynamics of business activity
An extremely large number of factors have had an impact on business around the world in 2022. The situation in Ukraine and the extensive sanctions associated with it are having a strong impact on GRIMME Landmaschinenfabrik's business in Russia and Ukraine. In addition, production disruptions due to the coronavirus pandemic should be noted, which negatively affected delivery times. The procurement of parts and components in the global market is under difficult conditions, and this will create problems in the medium and long term. A significant increase in prices for raw materials, finished products, energy, the need to increase the wages of employees led to a forced rise in the cost of GRIMME products.
Despite all these problems, the GRIMME Group proceeds on the whole from a positive development of turnover and income level in all its enterprises. Although, in the event of a further aggravation of the situation around the world, unforeseen and significant consequences are not ruled out, which can have an extremely negative impact on the development of business activities.
The GRIMME Landmaschinenfabrik has grown significantly in recent years; along with this, the ever-increasing political, economic and social problems require great efforts. The One.GRIMME strategy is the active development of a family business with a future perspective. Digitization, an active sales structure, new business models, a significant increase in activity in the vegetable and sugar beet technology sector, an expansion of market leadership in potato technology, and shorter development cycles are just a few of our diversified activities. „We will continue the activities of our company in the fifth generation, guided by the principles of a successful company philosophy; With the introduction of the One.GRIMME strategy, a new foundation has been laid for the organization, we are excited about the challenges ahead and will make every effort to achieve them,” said Christoph and Philippe Grimme, who actively manage the fate of the GRIMME Group. Franz Grimme comments: “My wife and I are very proud that our sons participate with great enthusiasm in the various activities of the company with the support of the entire staff. We will continue to actively accompany our sons. It's good when you know that everything is in safe hands.“
Company group UGLY
The GRIMME Group includes agricultural machinery manufacturers GRIMME, SPUDNIK and ASA-LIFT, as well as the supplier companies INTERNORM and RICON. Seven production sites are located in Germany, Denmark, China and the USA. Sales and service subsidiaries are located in the UK, Ireland, France, Belgium, Turkey, Russia, Denmark, the Netherlands, Norway, Sweden, Finland, China, Poland, the USA and Germany. Shares in companies such as DKE-Data GmbH (agrirouter), CCI, AGBrain, Seedhouse, as well as in joint ventures with Shaktiman and SeedForward are also managed through the GRIMME Group.
The GRIMME group of companies has a total of over 3000 employees worldwide, 2850 of whom are permanent employees. The Board of Directors of the GRIMME Group consists of Franz Grimme (Chairman), Christoph Grimme (GRIMME Landmaschinenfabrik, SPUDNIK and ASA-LIFT), Philipp Grimme (INTERNORM and RICON), Franz-Bernd Kruthaup (GRIMME China and Shaktiman-GRIMME Joint Venture) and Dr. Michael Tönnies (Commercial Director).