Northern Europe’s largest foundry group Vald. Birn Holding A/S today publishes its financial statements for 2021 showing record revenue and earnings. Revenue has increased to DKK 1.2 billion, while earnings amount to DKK 207 million before tax. According to CEO Christian Pedersen from Vald. Birn Holding A/S and Group Chief Executive Officer Claus Beier from Vald. Birn A/S, the financial statements for 2021 show that the foundry group has taken a great step on the journey on which it has embarked based on a new strategy.
One of Denmark’s oldest foundation-owned industrial groups Vald. Birn, which includes the companies Vald. Birn Holding A/S, Vald. Birn A/S in Holstebro, A/S Tasso Odense, Uldalls Jernstøberi A/S in Vejen as well as Vald. Birn GmbH in Germany and Kockums Maskin AB in Sweden, can today publish its most impressive financial statements to date.
In 2021, the Group generated record revenue of DKK 1.2 billion against DKK 779 million for the previous year. This corresponds to a growth rate of a whopping 48 per cent. In the same period, earnings have grown from DKK 36 million in 2020 to DKK 207 million in 2021, and the equity now amounts to DKK 2 billion. According to Christian Pedersen and Claus Beier, it is thus a very well-consolidated group that is now ready to start a new strategy phase:
“The profit for 2021 is highly satisfactory, and there is much reason to be pleased with the record earnings. We have a very well-consolidated business that is heading in the right direction and has embarked on a new growth journey based on a new strategy.”
A significant part of the result can be attributed to the Group’s financial activities. Already in 2021, the individual operating companies were negatively affected by rising energy prices and shortages of raw materials. Added to this are the derived effects of the COVID-19 pandemic.
In 2022, the geopolitical uncertainty has led to new challenges in the form of further increases in energy and commodity prices as well as general high market volatility. In response to this, the operating companies use different price regulation mechanisms and hedging in relation to the development in primary commodities which limit the effect of the rising commodity prices:
“The visibility is relatively low, and, therefore, we don’t see ourselves in a position to put precise figures on the outlook for 2022. However, it’s important to say that we have both the strength and the will to continue investing in our companies and follow our long-term strategy, where the main objective is to create and maintain sustainable and profitable production jobs in the local areas in which we operate. We will shoulder this task in the coming years through, among other measures, new technology, smarter processes and more in-depth focus on sustainability,” Claus Beier concludes.
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