Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Grundfos Delivers Strong Financial Performance In 2020

After having been significantly impacted by COVID-19 during the first half of 2020, Grundfos returned to stronger sales traction in the second half of 2020 with sales only 1.0% below 2019. Return on sales reached 9.9% and in a challenging year, Grundfos maintained a high customer satisfaction score and continued to deliver on its sustainability ambitions.

Return on sales (EBIT/Net turnover) reached 9.9% for the full year corresponding to Earnings before Interest and Tax (EBIT) of 2,606m DKK. Profitability was impacted by restructuring costs and other non-performance items. Adjusted for these non-performance items Grundfos’ return on sales reached 11.1%, which is the second highest in the company’s history.

Full year net turnover ended at 26.3bn DKK, corresponding to a decline in sales versus 2019 of 4.4% when measured in local currencies. A cash flow from operating activities of 3.5bn DKK and an equity ratio of 68.9% secures financial strength.

This is a result to be proud of, says Poul Due Jensen, CEO and Group President, Grundfos:

The COVID-19 pandemic made 2020 a challenging year for everyone and our main priority has been ensuring a safe working environment and to continue to serve our customers in the best possible way. We are therefore very satisfied with our result. Our financial strength allows us to invest further in our strategic ambitions and in innovation to fulfil our purpose of solving the world’s water and climate challenges and improve quality of life for people.

Grundfos also continued to deliver on its sustainability ambitions by once again reducing the company’s own water withdrawal by 51% and CO2 emissions by 36% compared to the 2008 baseline.

The annual employee motivation survey, conducted in September, also showed an increase in employee motivation to a record high level.

Grundfos is its people, and I am proud to see that we despite a global pandemic, deliver very strong financial results, an increase in our employees’ motivation and our customers’ satisfaction score. We also continued to deliver positive climate impact by significantly reducing our own energy consumption and enabling our customers to reduce their energy use as well. Furthermore, we have successfully gone live with our new customer-centric organization. Grundfos is in really good shape and ready for the future,” adds Poul Due Jensen.

Financial highlights full-year 2020:

  • Net turnover 26.3bn DKK
  • Sales growth (in local currencies) versus last year of -4.4%
  • Return on sales of 9.9%

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Stats: Auckland’s Population Falls For The First Time
In the wake of the COVID-19 pandemic, New Zealand’s population growth slowed down with Auckland recording a population decline for the first time ever, Stats NZ said today. “New Zealand saw slowing population growth in all regions... More>>



BusinessNZ: Third Snapshot Report Reveals $9.5 Billion Business Investment In Climate Action

Signatories to the Climate Leaders Coalition have committed to invest $9.5 billion over the next five years to reduce emissions from their businesses, as revealed in their third anniversary snapshot report released today... More>>

Digitl: The home printer market is broken
Printers are more of a security blanket that a serious aid to productivity. Yet for many people they are not optional.
Even if you don’t feel the urge to squirt ink onto dead trees in order to express yourself, others will insist on printed documents... More>>


Retail NZ: Some Good News In COVID Announcements, But Firm Dates Needed

Retail NZ is welcoming news that the Government is increasing financial support for businesses in light of the ongoing COVID-19 lockdown, and that retail will be able to open at all stages of the new “Covid Protection Framework... More>>

ComCom: Companies In Hot Water For Selling Unsafe Hot Water Bottles And Toys

A wholesaler and a retailer have been fined a total of $140,000 under the Fair Trading Act for selling hot water bottles and toys that did not comply with mandatory safety requirements. Paramount Merchandise Company Limited (Paramount) was fined $104,000 after pleading guilty in the Manukau District Court... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>