Source

,

Sector

Consumer Cyclical

Industry

Restaurants

Region

Europe

Germany

Market Cap

1.330bn


Structural Decline, Governance Failures, and Shareholder Risk

  • Falling Demand: Active customers and orders have steadily declined since 2022; U.S. ready-to-eat sales temporarily offset losses, but Q1 2025 shows orders down ~18–19%, with price hikes no longer sustaining margins.
  • Deepening Losses: Rising costs in procurement, logistics, and marketing drove a €144M 2024 loss and a €127M Q1 2025 operating loss, prompting U.S. facility closures and >1,500 layoffs.
  • Governance & CEO Conflicts: Co-CEOs Richter and Griesel distracted by personal ventures and high-frequency share pledging (~6.6M shares, €108M initial loan); Supervisory Board oversight is weak, raising severe shareholder risk.
  • Compliance & ESG Issues: Multiple investigations (child labor, illegal immigration), ESG controversies, and fines for aggressive marketing damage reputation and operational credibility.
  • Overextended Growth: Rapid acquisitions and expansion into pet food created a sprawling, unintegrated structure, reducing efficiency and threatening sustainability.

Entry Date

2024-10-25 16:00:00

Entry Price

10.80

EUR

Current Date

2025-12-04 11:30:00

Current Price

5.9500

EUR

Close Date

Close Price

EUR

Tenure

404.9 days

Performance

44.91%