Kesko Oyj Type Julkinen osakeyhtiö (OMX: KESBV) Industry Retail Founded 1940 Headquarters Helsinki, Finland Key people Matti Halmesmäki (President and CEO), Heikki Takamäki (Chairman) Services Supermarkets and hypermarkets, hardware retail, auto sales, department stores, consumer durables, agricultural supplies Revenue €8.777 billion (2010) Operating income €307 million (2010) Profit €205 million (2010) Total assets €4.177 billion (end 2010) Total equity €2.210 billion (end 2010) Employees 18,215 (average, 2010) Website www.kesko.fi
Kesko is a Finnish retailing conglomerate. It is engaged in the food trade, the home and specialty goods trade, the building and home improvement trade, and the car and machinery trade. It also has subsidiaries in Sweden, Norway, Estonia, Latvia, Lithuania, Russia, and Belarus.
The new Kesko company started operating at the beginning of 1941. The need to purchase goods for the shareholder-retailers and to support their business operations and start cooperation among them resulted in the forming of the K-retailer group.
By the end of the 1940s, Kesko's sales amounted to about 15 billion old Finnish markkas (equivalent to EUR 580 million in 2010), which was about 12% of the overall sales of the central companies operating in the Finnish trading sector.
Kesko Food is the leading operator in the Finnish grocery trade. Kesko Food's main functions include the centralised purchasing of products, selection management, logistics, and the development of chain concepts and the store network.
Kesko Food manages the K-food store chains, which are K-citymarket, K-supermarket, K-market and K-extra. There were 1,007 K-food stores in Finland in 2010. The K-food store network is the most comprehensive in Finland and 51% of Finns live less than a kilometre away from a K-food store.
Home and specialty good trade
The most widely recognised chains are:
- Anttila, which sells general consumer durables.
- Kodin Ykkönen, a subsidiary of Anttila, specialises in interior design.
- Intersport, the Finnish market leader in sports equipment.
- Musta Pörssi and Konebox, which sell electronics and household appliances.
- K-Kenkä and Andiamo, which are shoe retailers.
Building and home improvement trade
Rautakesko manages and develops the K-rauta, Rautia, K-maatalous, Byggmakker, Senukai and OMA retail chains and B2B sales in its operating area.
Rautakesko's main functions include the centralised development of chain selections, centralised purchasing and logistics, and the development of chain concepts and the store network.
All stores in Finland are owned by retailer entrepreneurs. There are also approximately 100 retailer-owned stores in Norway. Rautakesko's international business model combines the category management, purchasing, logistics, information system control and network improvements of the company's chains which operate in different countries.
Car and machinery trade
The car and machinery trade segment consists of VV-Auto and Konekesko with their subsidiaries.
- VV-Auto imports and markets Volkswagen, Audi and SEAT passenger cars, and Volkswagen commercial vehicles in Finland, and it also imports and markets Seat passenger cars in Estonia and Latvia. VV-Auto is also engaged in car retailing and provides after-sales services at its own outlets in the Greater Helsinki area and Turku.
- Konekesko is a service company specialising in the import, marketing and after-sales services of recreational machinery, construction and materials handling machinery, agricultural machinery, and buses and trucks. Konekesko operates in Finland, Estonia, Latvia, Lithuania and Russia. Konekesko arranges the manufacture of and sells Yamarin boats in Finland and exports them to several European countries and Russia.
VV-Auto and Konekesko represent the leading brands in their market area and are responsible for the sales and after-sales services of these brands either through their own or dealer network. The dealer network is complemented by a network of contract service centres.
OMX Helsinki 25 companies of Finland
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