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George Velentzas: The outlook for Hellenic is bright |
GREECE. Hellenic Duty Free Shops (HDFS) has said it will continue to invest in new stores and in growing its business, even amid the major economic challenges facing Greece and the wider European market.
The company, the travel retail division of Folli Follie Group, reported first-half sales of €115.8 million, up by +12.5% on the same period in 2010, with EBITDA in the division rising by +22.2%. The performance came against the backdrop of deep financial crisis in Greece, with Greeks the key nationality for the business.
Deputy Chief Executive & General Director George Velentzas, a key figure in the company’s rise since he joined HDFS 31 years ago, said: “Growth is the key word. It is the present and the future for us and for our country. Growth is not just a means to survive, it is the essence of entrepreneurship; so it has to be pursued irrespective of circumstances.”
The company’s investments in new stores have been substantial. Over the past two years these include new outlets at Athens Airport, as well as at airports in Thessaloniki, Rhodes, Kos, Irakleion, Alexandroupolis and Zakynthos, plus a new airport in Agchialos.
The company’s positive outlook is reinforced by the fact that sales in the second half are normally stronger than in the first; that it has outstripped passenger traffic growth, and that the new stores opened are still at an early stage of operations.
Hellenic Duty Free Shops began operations with four stores in 1979 and now operates a network of 94 stores at 45 sales points (22 airports, 11 ports and 12 frontier stations) across Greece. Hellenic Distributions S.A. was later set up as a subsidiary company, operating in the ship supply sector and wholesale trade. In late 2010, Hellenic Duty Free Shops officially merged with sister companies Folli Follie and Elmec Sport.
Velentzas has been a pivotal figure in ensuring the HDFS business remains robust. He led the company’s battle against intra-EU duty free abolition, and directed its challenge against an EU demand that Greece close its duty free border stores in 2008, ensuring the sector’s survival until at least 2017.
In recognition of his contribution to the travel retail trade, JT International honoured Velentzas in 2009 with the “Award in Recognition of International Contribution to the Duty Free Sector”.
Velentzas was also a key figure in ensuring a smooth transition to new management when HDFS was privatized, after which he was appointed in 2000 as General Manager, before taking on his current role and title earlier this year.
