DO & CO I THE GOURMET ENTERTAINMENT COMPANY ANNUAL REPORT 2004I 2005 Ladies and Gentlemen, I am pleased to present to you the DO & CO Annual International Event Catering also made a sterling Report for 2004/2005. Annual reports are not showing this past business year. The division put in normally what you would think of as entertaining an excellent performance in the Formula 1, one of reading. As “Gourmet Entertainers” we have tried to its culinary customers since 1992. It also managed change that by conveying as modern and “tasty” a the entire VIP hospitality operations at the European picture of our company group as possible. Soccer Championships in Portugal for the first time Business year 2004/2005 was one of the most in 2004. These highlights plus one or two other successful the DO & CO Group has ever had. Our prestigious sports events are featured on the total sales of over EUR 134 million set an all-time following pages, along with a host of private and sales record and boosted EBIT substantially over the corporate celebrations. year before, to EUR 3.45 million. The Division Restaurants & Bars is virtually on a We are clearly positioned on the market. The par with the other divisions. Of special note in this DO & CO Group brands stand for unsurpassed segment is the successful development of K.u.K. quality and innovative products. Our corporate Hofzuckerbäckerei Demel. With the restructuring of culture is flexible and is always open to new ideas. this legend long completed, the expansion phase These traits are probably what have enabled us to now begins. A Demel will be opening in Salzburg in post strong growth in all divisions at a time when October 2005. markets and demand are undergoing a radical In closing, I thank all our employees for their transformation. unrivaled commitment and tireless efforts to deliver Our Airline Catering Division had a boom year top quality and service. We are fully aware that you despite the difficult market climate. In an ever more are this company’s most valuable assets. polarized market, we offer an extremely flexible and I also express my appreciation to our customers innovative product portfolio on the world market. for the trust you have placed in us. As always, our DO & CO stands for the ultimate in premium greatest aspiration is to be your favorite host, at quality. At the start of the year, we acquired a 27 % occasions large and small. It makes us happy to see stake in a new partner SUPPLAIR B.V. This firm has you enjoying “Gourmet Entertainment by DO & CO”. the reputation of being the most creative and fastest growing supplier to Economy Class in the world. It is an ideal strategic combination, warmly welcomed Best regards, The “Oyster Slurper”, the illustration on the cover of this publication, is a work from the six- by customers and sure to open up grand market part “Epicure Series” that Erich Sokol † created exclusively for DO & CO. Note the details. opportunities to this unique alliance. Our Even after years of looking at his work, you can always find something new. That is a basic performance, quality and innovation are in great principle our company lives by. As one of the first to pave the way for DO & CO, Erich Sokol demand. The best proof of this is our high caliber showed us what it means to live a quality life. He was a visionary who helped to shape the clientele, including customers such as British company in its formative years. From his pen is the distinctive DO & CO logo – a symbol for Airways, Emirates Airlines, Cathay Pacific, Lauda Air, “an excellent grocers, prompting you to wonder why you don’t know it”. We shall be eternally and Lufthansa, which put us in charge of its First grateful to him. I Class Lounges in Frankfurt. Attila Dogudan 1786 DIVISION DIVISION DIVISION I International I DO & CO Group I Restaurants & Bars I Airline Catering Event Catering ”Best tastes of the world” ”First look at the menu – The Gourmet Restaurants, Lounges & Bars are the segment in then choose the airline” Entertainment Company – which the company first started. Today, they the “no headache partner” remain the flagship stores of DO & CO and a Airline Catering is the largest division in the group, accounting for 45.4 % of consolidated sales. This showcase for the entire breadth of our product DO & CO is synonymous with an all-encompassing portfolio. As the heart of the group, this division past business year DO & CO handled the catering for 20 international airlines. Product development total product for special events. Besides its core also serves as a firm foundation for the successful product, the supply of food and beverages, the brands in the group: DO & CO, DEMEL and AIOLI. in recent years has been driven by changes in the airline catering market. DO & CO responded to division also generates innovative ideas, themes these changes by entering into an alliance with and approaches within its own in-house creative SUPPLAIR based on a forward-looking model. In agency. Customers can rely on perfect planning, another encouraging development, DO & CO was execution and supervision as well as a partner with singled out to be in charge of guests services at the a solid financial record. The DO & CO team handles Lufthansa First Class Lounges. events involving anywhere from 2 to 100,000 guests. Sales in business year 2004/2005 were by far the highest in the company’s history. Key Figures for 2004/2005 Key Figures for 2004/2005 Key Figures for 2004/2005 Key Figures for 2004/2005 Sales: EUR 26.03 million Sales: EUR 60.97 million Sales: EUR 47.26 million Sales: EUR 134.26 million Change against previous year: +24.1 % Change against previous year: +22.2 % Change against previous year: +73.2 % Change against previous year: +36.8 % EBITDA: EUR 1.51 million EBITDA: EUR 3.98 million EBITDA: EUR 3.37 million EBITDA: EUR 8.86 million Change against previous year: +6.3 % Change against previous year: +7.6 % Change against previous year: +10.5 % Change against previous year: +8.4 % EBITDA margin: 5.8 % EBITDA margin: 6.5 % EBITDA margin: 7.1 % EBITDA margin: 6.6 % EBIT: EUR 0.46 million EBIT: EUR 0.82 million EBIT: EUR 2.17 million EBIT: EUR 3.45 million Change against previous year: +53.3 % Change against previous year: +70.8 % Change against previous year: +18.6 % Change against previous year: +32.2 % EBIT margin: 1.8 % EBIT margin: 1.3 % EBIT margin: 4.6 % EBIT margin: 2.6 % Sales in E m Sales in E m Sales in E m Sales in E m 70 70 70 140 60 60 60 130 134.3 50 50 61.0 50 120 40 40 49.9 40 110 44.4 43.9 47.3 30 30 30 100 20 20 20 32.0 30.0 90 26.0 27.3 98.2 21.0 91.8 94.6 10 20.7 10 10 80 15.5 0 0 0 70 01/02 02/03 03/04 04/05 01/02 02/03 03/04 04/05 01/02 02/03 03/04 04/05 01/02 02/03 03/04 04/05 DO & CO Restaurants & Catering Aktiengesellschaft Division Divisions Restaurants & Bars International Event Catering & Airline Catering Italy / Spain / Strategic GB / USA Germany Austria Germany Austria Portugal Investments DO & CO im Haas Haus DO & CO DO & CO DO & CO Lounge DO & CO Deutschland DO & CO Italy Restaurantbetriebs Party-Service & Catering International Catering SUPPLAIR B.V. GmbH Holding GmbH S.r.l. GmbH GmbH Ltd., GB 27 % DO & CO - Salzburg DO & CO DO & CO España DO & CO Albertina DO & CO Frankfurt DO & CO - LAUDA-AIR Restaurants & Betriebs International Investments Restauración & Catering, Restaurants, Catering & GmbH GmbH GmbH Ltd., GB S.L. Handling GmbH 50 % DO & CO Catering- DO & CO im PLATINUM DO & CO DO & CO München DO & CO - Portugal Consult & Beteiligungs Restaurantbetriebs Event & Airline Catering GmbH Restauracao e Catering, GmbH GmbH Ltd., GB Sociedade Unipessoal, Lda DO & CO - Baden AIOLI – Vienna Airport DO & CO DO & CO Berlin Restaurants & Restaurants & Catering Holdings USA GmbH Veranstaltungs GmbH GmbH Inc., Wilmington Casino Wien DO & CO New York Café - Restaurant & Catering Catering GmbH Inc. K.u.K. Hofzuckerbäcker DO & CO Miami Ch. Demel´s Söhne Catering Inc. GmbH AIOLI Restaurants & Party-Service GmbH B&B Betriebsrestaurants GmbH The World of DO & CO AUSTRIA K.u.K. Hofzuckerbäcker Café-Restaurant & Catering GERMANY SPAIN Ch. Demel´s Söhne GmbH im Casino Wien GmbH Kohlmarkt 14 Kärntner Straße 41 DO & CO A-1010 Vienna A-1010 Vienna DO & CO Berlin GmbH DO & CO Restauración & Restaurants & Catering AG Tel: +43 (1) 535 17 17-0 Tel: +43 (1) 512 48 36-195 An der Spreeschanze 2 Catering España, S.L Stephansplatz 12 Fax: +43 (1) 535 17 17-26 Fax: +43 (1) 512 77 94 D-13599 Berlin Joan d’Alos, 36 A-1010 Vienna [email protected] [email protected] Tel: +49 (30) 337 730-0 E-08034 Barcelona Tel: +43 (1) 74 000-144 Fax: +49 (30) 337 730-31 [email protected] Fax: +43 (1) 74 000-194 [email protected] [email protected] Café Griensteidl AIOLI - Vienna Airport Michaelerplatz 2 Restaurants & Catering GmbH A-1010 Vienna Postfach 107 DO & CO Frankfurt GmbH GREAT BRITAIN DO & CO Tel: +43 (1) 535 26 92-0 A-1300 Vienna-Schwechat DO & CO Lounge GmbH Party-Service & Catering GmbH Fax: +43 (1) 535 26 92-14 Tel: +43 (1) 74 000-261 Langer Kornweg 38 Dampfmühlgasse 5 [email protected] Fax: +43 (1) 74 000-160 D-65451 Kelsterbach DO & CO Event & Airline Catering Ltd.