Friedrich P. Kötter: “Germany needs a change of course in economic policy”

• ➔ Financial year 2024: 15.2% increase in sales due to new orders, including in the critical infrastructure sector, as well as company acquisitions / Number of employees increases by 8.1% to 16,000
• ➔ KÖTTER Security expands its portfolio to include cyber security: becoming one of the first providers in Europe to offer 360-degree corporate security under its own steam
• ➔ KÖTTER Cleaning remains firmly on track for sustainability as it celebrates its 40th anniversary / KÖTTER Personnel Services consolidates its market position despite a difficult economic situation

The KÖTTER Group has held its own in the market over the past financial year, thereby sustainably resisting the far-reaching structural economic crisis in Germany. Sales rose by 15.2% to 722 million euros, while the number of employees increased to 16,000 (+8.1%). The service group, which is among the top 10 facility service providers in Germany and, with its security division, is also the largest family-owned company in the security industry, announced this development today.

“I am proud that our group has stayed on course in the most difficult of waters and that it has been able to achieve this important growth in sales for our stable economic development through the triad of tremendous team spirit, industry diversification and holistic quality solutions,” said Board of Directors Friedrich P. Kötter. ”I would like to thank all of our employees for this. I am convinced that with such a cohesive performance, which reflects our team spirit KÖTTER United, as well as our increasingly digitalized system and special solutions, we will continue to be a top player in the security, cleaning and personnel services markets in the future.”

Family business owner again warns against exaggerated expectations

In this context, the family entrepreneur once again warned against exaggerated expectations. “Our development last year, achieved through organic and inorganic growth, is not a sure thing. On the contrary: because 2025 threatens to be the third consecutive year of recession, and at the same time, de-industrialization is continuing unabated, the environment for providers of business-related services remains extremely tense. Because: If there is less and less new investment in Germany or if the wave of insolvencies continues to hit new record levels, our services will also be less and less in demand.”

The divisions in 2024 at a glance / Key performance figures for system and special services

KÖTTER Security: The division strengthened its position as the largest family-owned company in the security industry in Germany. Drivers included new contracts in critical infrastructure (KRITIS), such as the personnel and goods controls at Berlin Brandenburg Airport (BER), which KÖTTER Aviation Security has been providing since July 1, 2024, as well as the further expansion of quality-centered Smart Security Solutions. Important building blocks here included the fire protection and comprehensive security solutions from KÖTTER Sicherheitssysteme, which were used to install, maintain or repair around 60,000 technical building systems for new orders alone, and the expertise of KÖTTER Fire & Service in the area of plant and works fire departments. The second pillar was the acquisition of the WAKO Group, which has made a name for itself particularly in northern Germany and has strengthened the KÖTTER team with over 800 employees.

KÖTTER Cleaning: Thanks to innovative and high-quality new orders and expanded orders from long-standing customers, KÖTTER Cleaning was able to continue to sustainably position itself on the market in line with the motto “Value preservation instead of mopping”. In connection with this, the division, which celebrates its 40th anniversary this year, strengthened its orientation as a comprehensive quality provider for cleaning and hygiene concepts, as well as special solutions such as long-lasting floor coatings (KÖTTER Coating) and environmentally friendly weed management. The Hygiene and Safety Concept (HSC) is an example of the successful solutions that KÖTTER Cleaning provides for almost all industries: On this basis, KÖTTER Cleaning has ensured a new level of cleanliness for clients who explicitly invest in cleaning and hygiene, with a total of around 350 million square meters (= 35,000 hectares) cleaned in 2024 alone – 100 times the area of New York’s Central Park.

KÖTTER Personnel Services: KÖTTER Personnel Services was able to solidify its market position in the temporary staffing sector, which has been especially difficult in the current economic environment. This shows that the transformation from a commercial specialist to a comprehensive provider of temporary staffing, service and work contract solutions and outsourcing, as well as industry experts for industry and production, chemicals and pharmaceuticals, office, logistics and skilled trades, has been significantly successful. The following example illustrates this: as a specialist in in-store logistics, KÖTTER Personnel Services ensured the quick and safe management of more than 20 million packages. By additionally promoting its own portfolio and network of locations, KÖTTER Personnel Services intends to continue down this path consistently.

Promotion of increasingly digitalized system solutions / certification for critical infrastructure protection

The group will continue to expand its business model of integrative and increasingly digitalized facility services. “When it comes to digitalization, our focus is on two core areas: on the one hand, further digital solutions are making collaboration with our customers and employees faster and easier,” says Friedrich P. Kötter. “At the same time, we are using digitalization and AI to expand existing services and develop new ones. Examples include the increasingly extensive use of cleaning robots or high-tech solutions for monitoring the increasingly important cybersecurity of companies”. In particular, the investment in the Luxembourg-based cybersecurity specialist G.I.P has provided a decisive boost here, positioning KÖTTER Security as one of the first providers of 360-degree corporate security in Europe to be provided in-house. Last, but not least, KÖTTER Security was recently able to further strengthen its expertise in high-quality critical infrastructure protection by becoming certified according to DIN EN 17483 (private security services – critical infrastructure protection). In this context, the parallel auditing for complete levels 1-3 once again underscored the company’s leading role in the security sector: As one of only a very few providers in Europe, the family-owned company is certified for Part 1 “General Requirements” as well as for the sector-specific Parts 2 “Airport and Aviation Security Services” and 3 “Security Services for Maritime Shipping and Seaports”.

Political pressure for reform: Excessive bureaucracy costs the group at least seven million euros a year

In view of Germany’s ongoing economic weakness, the Familienunternehmer is calling for strict and immediate realignment of economic policy and a rapid pace of reform after the federal election. In addition to reducing the tax burden and investing in analog and digital infrastructure, the focus here is on drastically reducing bureaucracy. “Unchecked bureaucratization has affected almost all sectors of the economy and has become a stumbling block and a huge burden for every company. The consequences of excessive bureaucratization cost our group at least seven million euros a year – and the trend is rising. This is money that we could invest more sensibly in the training and further education of our employees or in new digital offers for our customers,” Friedrich P. Kötter emphasized. “This shows the dual need for action: the regulatory jungle must be thinned out and a digitization offensive launched in the public sector to, for example, finally ensure the consistent creation of digital interfaces to corporate IT systems and data exchange between authorities.”