In a year when all its nine business units performed well, the ULMA cooperative group achieved a record cumulative sales figure of €1.142bn in 2023. The Group held its Ordinary General Meeting this morning in Oñati, approving last year’s accounts and reviewing the keys to the future for developing its social and business project in a global environment that continues to be marked by major uncertainty.
The ULMA Group’s diversification and international expansion have in fact been decisive factors in managing the growth of its business against a backdrop of global uncertainty. The overall sales figure was 9% higher than the previous year’s, reaching a total of €1.142bn. A total of 205 new jobs were also created against a backdrop of difficulty in attracting certain profiles. In the words of its Managing Director, Iñaki Gabilondo, “All this has allowed the ULMA Group to become established as a key job creator and one of the benchmark cooperative groups in industry”.
It has a total staff of around 5,600 people, 53% of whom work at the Group’s cooperative parent companies, located in Oñati and Otxandio. The rest work at the business’s 72 subsidiaries in different countries.
International sales totalled €837m, an 8% increase since 2022. This figure accounts for 73% of the ULMA Group’s total income.
The Group’s EBITDA increased by 22% in 2023, reaching €224.7m, and cumulative net profit for the year was €106.8m. This improvement in the margins was due to the good performance of the different business units, together with supply chain enhancements and the price stability of raw materials, energy, shipping costs and transport.
In Mr. Gabilondo’s opinion, “2023 was an exceptional year that will enable us to continue enhancing a sound, competitive social and business project capable of addressing future challenges through innovation and the commitment of everyone who forms part of ULMA. We work to continue fostering the sustainable growth of all our business units and our commitment to the local environment”.
Over €104m of investment was made in 2023, revealing the ULMA Group’s financial strength, and the Group’s debt/EBITDA ratio has fallen substantially, to 0.89. Also, the BME’s alternative bond market has renewed its Commercial Paper Programme for an amount of €50m.
From a social impact perspective, Mr. Gabilondo says that “our ultimate aim is to leave a better legacy for the future generations through a commitment to economic, environmental, social and cultural development everywhere ULMA works”. As a result, €1.3bn was earmarked for social projects last year.
Outlook for 2024
In a global environment that continues to be marked by political, economic and social uncertainty, the substantial weighting of the ULMA Group’s international business allows it to balance its exposure to local risk and provide flexible access to a wide range of markets.
However, managing the margins in a context of reduced business activity and facing the changes deriving from the requirements in areas like digitisation and sustainability are just some of the challenges it will have to address in the upcoming future. The ULMA Group therefore plans to strengthen its investment in developing new products and services, in addition to enhancing its positioning and leadership on key markets.
Launch of UMT
Another of last year’s outstanding activities was the market launch of ULMA Medical Technologies (UMT), a ground-breaking initiative promoted by the ULMA Group for entering the healthcare market. Iñaki Gabilondo considers this approach as “part of our mission to promote new businesses that will ensure we comply with the goal of generating cooperative jobs suited to the needs of the new generations”.
UMT develops Artificial Intelligence-based solutions for early detection and treatment of eye diseases such as diabetic retinopathy, glaucoma and age-related macular degeneration.
Its diagnostic software has obtained the CE Marking certification for medical devices, enabling it to market its solution worldwide. The current stage of the project is the promotion and development of new applications for other types of diseases.
So far, the ULMA Group has invested €3.3m in this project, which now has a staff of 12 and is expected to start yielding profit in 2026.