Hamilton Beach 2013 Annual Report Download - page 3

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HBB:
• Strong heritage brands with leading
market shares
• Strong relationships with leading retailers
• Highly professional and experienced
management team
• Successful track record of product line
expansion and new product innovation
• Industry-leading working capital
management
Kitchen Collection:
• Highly analytical merchandising skills
and disciplined operating controls
• A leading Kitchen Collection®store
format in outlet malls
Competitive Advantages Financial Objectives
HBB:
Achieve a minimum
operating profit margin
target of 10 percent
Kitchen Collection:
Achieve a minimum
operating profit margin
target of 5 percent
Strategic Initiatives
Kitchen Collection:
• Create a solid core store portfolio and increase comparable
store sales
– Enhance sales volume and profitability through refine-
ment of store formats and specific product offerings
– Improve inventory efficiency and store inventory controls
– Selectively increase the number of Kitchen Collection®
stores in strong outlet malls in well-positioned locations
HBB:
• Enhance placements in the North American consumer
business
• Achieve a leadership position in internet sales by providing
best-in-class retailer support and increased consumer
content and engagement
• Enter the “only-the-best” market with strong brands and
broad product line
• Expand internationally in emerging Asian and Latin
American markets
• Achieve further penetration of the global Commercial
market through an enhanced global product line
NACoal:
• Coal mines provide steady income and
cash flow before financing activities and
high returns on equity
• Steam coal contracts are structured to
minimize exposure to market fluctuations
of coal prices
• 2.2 billion tons of lignite coal reserves, of
which approximately 1.1 billion tons are
committed to current customers
• Outstanding operational and technological
mining skills
• Highly efficient heavy equipment utilization
• Excellent record of environmental
responsibility and employee safety
NACoal:
Earn a minimum return
on capital employed
of 13 percent, attain
positive Economic
Value Income from all
existing consolidated
mining operations
and any new projects,
maintain or increase
the profitability of all
existing unconsolidated
mining operations and
achieve substantial
income growth by
developing new mining
ventures
NACoal:
• Develop a metallurgical coal business platform
• Actively pursue domestic opportunities for new coal
mining projects
• Pursue a technologically enhanced fuel strategic platform
• Actively pursue international opportunities for new
value-added mining services and exports
• Expand capabilities in the non-coal mining market
NACCO Industries, Inc. is an operating holding company with subsidiaries in the following principal
industries: mining, small appliances and specialty retail. In 2013, total revenues were $932.7 million and
net income was $44.5 million.
Front cover:
Top: An electric-loading shovel loads mined lignite coal into a Kress haul truck at The Falkirk Mining Company in North Dakota. Middle: Hamilton Beach®products,
from left to right: Hamilton Beach®Searing Grill, Proctor Silex®1.5-quart Slow Cooker, Hamilton Beach®Stainless Steel Electric Kettle. Bottom: Kitchen Collection
provides a wide variety of specialty kitchen-related products, as shown in this bakeware display at the Kitchen Collection®store in Jeffersonville, Ohio.