07.01.22
Fort Mill, SC
www.diversey.com
Sales: $2.6 billion
Key Personnel: Philip Wieland, CEO; Todd Herndon, CFO; Gaetano Redaelli, chief strategy development officer; Paul Budsworth, president, North America; Sinéad Kwant, president, Europe; Steven Ma, president, North America; Himanshu Jain, president, Indian subcontinent; Jorge Hileman, president, Latin America; Somer Gundogdu, president, emerging markets; Ruud Verheul, global president, food & beverage division; Michael Del Priore, chief information officer; Frank Theis, chief revenue officer; Brad Weber, chief supply chain officer; Annette Bergknut, chief human resources officer; Julia Velichko, chief procurement officer; Mike Chapman, general counsel
Major Products: Cleaning and hygiene products used primarily within the institutional and food and beverage markets
New Products: MoonBeam3 ultraviolet-C (UVC) disinfection technology. Acquisitions: Shorrock Trichem, Sanechem, Avmor, Tasman Chemicals and Birko & Chad Equipment
Comments: Sales fell less than 1% last year. Institutional sales fell nearly 4% to just over $1.9 billion. Diversey blamed the decline on lower demand for disinfectants. This decrease was slightly offset by a recovery in certain geographic markets, which led to an increase in sales in areas that were primarily impacted by covid-related shutdowns, particularly in restaurants, hotels and entertainment facilities.
Food and beverage sales rose more than 10% to $700 million. Organic sales increased 7.0%, as F&B was less affected by the pandemic as many of customers were considered essential businesses and did not experience shutdowns to the extent experienced in the institutional segment. The increase in sales is primarily driven by new customer wins, pricing actions, and the continued rollout of water treatment solutions.
By region, European sales rose 2.2% to more than $1.1 billion, but sales in North America slid nearly 10% to $708 million. Sales in Asia Pacific were up 3.6% to $338 million. Also making gains were MEA, up 6% to $231 million, and Latin America, up 8.7% to $183 million.
In January, 2022, Diversey acquired Shorrock Trichem, a distributor of cleaning and hygiene solutions and services based in Northwest England. Shorrock has sales of more than $30 million. Shorrock is Diversey’s fifth acquisition in the past 16 months. Having previously announced the acquisitions of Sanechem, Avmor, Tasman Chemicals and Birko & Chad Equipment, Diversey continues to grow scale, infrastructure and product capability in key markets to drive customer proposition improvements and optimize financial returns.
In March 2022, Diversey began distributing Reckitt products in the Middle East, Asia Pacific and Turkey. The agreement includes Dettol, Lysol, Harpic, Vanish, Airwick and Pine O Cleen. This collaboration in emerging markets significantly expands the geographic footprint established by the relationship Reckitt and Diversey already have in North America.
For Q1 2022, sales rose 4.5% to $660 million. Food and beverage sales jumped 14.8% to top pre-pandemic levels. Institutional sales rose less than 1% to $472 million.
On April 15, Diversey, like many other companies, added an energy surcharge to partially offset inflation and the significant rise in energy, gas and oil prices, ranges from 8-15% and will remain in place until the increased energy prices return to normalized levels, according to the company. A significant proportion of the raw materials and manufacturing for Diversey's portfolio are by-products of energy intensive processes. The impact of high energy costs and reduced output in these industries has resulted in significantly inflated costs for many businesses including Diversey.
In light of this, Diversey says it has taken several measures to mitigate the adverse effects, including reducing the use of energy in daily operations, optimizing supply chain, holding higher inventory, and refining the portfolio. Similarly, the company said it has also taken steps to help its customers manage their energy costs for example through low temperature washing, management information systems, concentrated products and dispensing systems, which offer insights into the usage of energy, in order to identify real savings.
Last fall, Diversey opened its Innovation Zone Research and Development Center at its corporate headquarters in Fort Mill, SC. The Innovation Zone brings Diversey’s North American R&D groups into a single facility. It houses numerous state-of-the-art labs where scientists and specialists develop the industry’s next generation of cleaning and hygiene solutions, according to the company.
“We’re incredibly excited to open the doors of the Innovation Zone because it will help us fast track the development of new solutions that care for and protect people around the world,” said Paul Budsworth, president – Diversey North America. “This investment is an important step for advancing commercial cleaning capabilities and helping us to better support our global customer base.”
The Innovation Zone includes Diversey’s analytical lab, formulation lab, microbiology lab and dosing, dispensing and application lab.
“Housing all of our North American R&D experts in one state-of-the-art location allows for greater collaboration, knowledge-sharing and easier and more efficient product improvement,” said Rick Dayton, chief architect—infection prevention, Diversey. “We look forward to hosting customers and prospects, providing training on key systems and offering a behind-the-scenes look at our innovation process.”
Also last fall, during the HCPA New Horizons Conference, Ken Roach, technology fellow, Diversey, detailed the benefits of incorporating probiotics into industrial & institutional cleaning formulas. The result, he said, is superior results with significant savings of water and time. Compared to standard floor cleaner, bio-augmented floor cleaner requires 75% less time and 65% less water. Perhaps most importantly, a better clean can save lives. According to Roach, 50 million Americans get sick every year and thousands die every year, due to poor cleaning procedures. In fact, Roach said most illness can be attributed to human error.
Roach cautioned that bio-augmented cleaners cannot be used near food. Furthermore, these formulas still require traditional ingredients such as surfactants, builders and preservatives, along with bacterial spores. According to Roach, formulations may contain enzymes, but they’re not necessary as the spores will germinate and produce enzymes specific to the soil present. He pointed out that conventional cleaning components are necessary to deliver a result in a relatively short time.
“Bio-augmented formulas are not a panacea,” he noted. “But they do clean up what traditional cleaners miss.”
Roach called bacteria nature’s ultimate recyclers and noted that biodegradation is ultimately a bacterial process.
“If we can make the formulation mild enough for spores to survive, then we can get the benefits of bio-augmentation.”
www.diversey.com
Sales: $2.6 billion
Key Personnel: Philip Wieland, CEO; Todd Herndon, CFO; Gaetano Redaelli, chief strategy development officer; Paul Budsworth, president, North America; Sinéad Kwant, president, Europe; Steven Ma, president, North America; Himanshu Jain, president, Indian subcontinent; Jorge Hileman, president, Latin America; Somer Gundogdu, president, emerging markets; Ruud Verheul, global president, food & beverage division; Michael Del Priore, chief information officer; Frank Theis, chief revenue officer; Brad Weber, chief supply chain officer; Annette Bergknut, chief human resources officer; Julia Velichko, chief procurement officer; Mike Chapman, general counsel
Major Products: Cleaning and hygiene products used primarily within the institutional and food and beverage markets
New Products: MoonBeam3 ultraviolet-C (UVC) disinfection technology. Acquisitions: Shorrock Trichem, Sanechem, Avmor, Tasman Chemicals and Birko & Chad Equipment
Comments: Sales fell less than 1% last year. Institutional sales fell nearly 4% to just over $1.9 billion. Diversey blamed the decline on lower demand for disinfectants. This decrease was slightly offset by a recovery in certain geographic markets, which led to an increase in sales in areas that were primarily impacted by covid-related shutdowns, particularly in restaurants, hotels and entertainment facilities.
Food and beverage sales rose more than 10% to $700 million. Organic sales increased 7.0%, as F&B was less affected by the pandemic as many of customers were considered essential businesses and did not experience shutdowns to the extent experienced in the institutional segment. The increase in sales is primarily driven by new customer wins, pricing actions, and the continued rollout of water treatment solutions.
By region, European sales rose 2.2% to more than $1.1 billion, but sales in North America slid nearly 10% to $708 million. Sales in Asia Pacific were up 3.6% to $338 million. Also making gains were MEA, up 6% to $231 million, and Latin America, up 8.7% to $183 million.
In January, 2022, Diversey acquired Shorrock Trichem, a distributor of cleaning and hygiene solutions and services based in Northwest England. Shorrock has sales of more than $30 million. Shorrock is Diversey’s fifth acquisition in the past 16 months. Having previously announced the acquisitions of Sanechem, Avmor, Tasman Chemicals and Birko & Chad Equipment, Diversey continues to grow scale, infrastructure and product capability in key markets to drive customer proposition improvements and optimize financial returns.
In March 2022, Diversey began distributing Reckitt products in the Middle East, Asia Pacific and Turkey. The agreement includes Dettol, Lysol, Harpic, Vanish, Airwick and Pine O Cleen. This collaboration in emerging markets significantly expands the geographic footprint established by the relationship Reckitt and Diversey already have in North America.
For Q1 2022, sales rose 4.5% to $660 million. Food and beverage sales jumped 14.8% to top pre-pandemic levels. Institutional sales rose less than 1% to $472 million.
On April 15, Diversey, like many other companies, added an energy surcharge to partially offset inflation and the significant rise in energy, gas and oil prices, ranges from 8-15% and will remain in place until the increased energy prices return to normalized levels, according to the company. A significant proportion of the raw materials and manufacturing for Diversey's portfolio are by-products of energy intensive processes. The impact of high energy costs and reduced output in these industries has resulted in significantly inflated costs for many businesses including Diversey.
In light of this, Diversey says it has taken several measures to mitigate the adverse effects, including reducing the use of energy in daily operations, optimizing supply chain, holding higher inventory, and refining the portfolio. Similarly, the company said it has also taken steps to help its customers manage their energy costs for example through low temperature washing, management information systems, concentrated products and dispensing systems, which offer insights into the usage of energy, in order to identify real savings.
Last fall, Diversey opened its Innovation Zone Research and Development Center at its corporate headquarters in Fort Mill, SC. The Innovation Zone brings Diversey’s North American R&D groups into a single facility. It houses numerous state-of-the-art labs where scientists and specialists develop the industry’s next generation of cleaning and hygiene solutions, according to the company.
“We’re incredibly excited to open the doors of the Innovation Zone because it will help us fast track the development of new solutions that care for and protect people around the world,” said Paul Budsworth, president – Diversey North America. “This investment is an important step for advancing commercial cleaning capabilities and helping us to better support our global customer base.”
The Innovation Zone includes Diversey’s analytical lab, formulation lab, microbiology lab and dosing, dispensing and application lab.
“Housing all of our North American R&D experts in one state-of-the-art location allows for greater collaboration, knowledge-sharing and easier and more efficient product improvement,” said Rick Dayton, chief architect—infection prevention, Diversey. “We look forward to hosting customers and prospects, providing training on key systems and offering a behind-the-scenes look at our innovation process.”
Also last fall, during the HCPA New Horizons Conference, Ken Roach, technology fellow, Diversey, detailed the benefits of incorporating probiotics into industrial & institutional cleaning formulas. The result, he said, is superior results with significant savings of water and time. Compared to standard floor cleaner, bio-augmented floor cleaner requires 75% less time and 65% less water. Perhaps most importantly, a better clean can save lives. According to Roach, 50 million Americans get sick every year and thousands die every year, due to poor cleaning procedures. In fact, Roach said most illness can be attributed to human error.
Roach cautioned that bio-augmented cleaners cannot be used near food. Furthermore, these formulas still require traditional ingredients such as surfactants, builders and preservatives, along with bacterial spores. According to Roach, formulations may contain enzymes, but they’re not necessary as the spores will germinate and produce enzymes specific to the soil present. He pointed out that conventional cleaning components are necessary to deliver a result in a relatively short time.
“Bio-augmented formulas are not a panacea,” he noted. “But they do clean up what traditional cleaners miss.”
Roach called bacteria nature’s ultimate recyclers and noted that biodegradation is ultimately a bacterial process.
“If we can make the formulation mild enough for spores to survive, then we can get the benefits of bio-augmentation.”
