Electronic Cigarettes Holding AG Announces Continued Strong Growth And Plans To Cover 25 Countries
*Electronic Cigarettes Holding AG announces promising results for the first half of 2014 and continued expansion of its business in Europe. The leading online marketer and distributor of e-cigarettes is also venturing into the offline markets in the first quarter of next year. *
With online shops currently in 18 European countries and with more planned for next year, Electronic Cigarettes Europe, or ECE, is the leading actor on the online e-cigarette market today. Trading success and significant expansion generated an encouraging result (EBIT) of CHF 2.3 million in its first financial year (2012/2013). However, EBIT for the first half-year of 2014 already surpassed that of last year, indicating that the company will close the financial year at a high note. In 2015, ECE expects to see continued increase in sales across its vast portfolio of electronic cigarette products – estimating EBIT to triple in size, amounting to CHF 15 million by the end of next year.
“We have a very attractive business model with the highest profit margin and EBIT in the global industry, as such we have a second to none organic growth financed entirely by our own profit. This is quite unique.” said ECE’s CEO Robin Roy Krigslund-Hansen.
Meantime, e-cigarettes, which contain nicotine, but no tar or carbon monoxide, have fast become a popular alternative for smokers looking to quit. ECE has currently over 50 000 customers around Europe – a figure which is likely to rise with at least 60 per cent within the next 3 months, as new countries are introduced, taking the total number up to 25.
Until now, only an online retailer, the company has set its sights on the offline shopping world, with best-selling brand DanSmoke™ soon to be available also in big retail stores across Europe.