Haribo Produktion A/S

Ledelsesberetning

Operating reviewThe Group's principal activitiesHARIBO Produktion A/S manufactures and sells high quality confectionary products, mainly to the Nordicmarket.HARIBO Produktion A/S, established in 1935 as the first HARIBO company outside Germany, is part ofthe international HARIBO Group (Germany). Profit/loss for the year (including comparison with forecasts previouslyannounced)The Company's income statement for 2024 shows a profit of DKK'000 192,923 as against DKK'000143,286 in 2023. The main driver for the positive profit is the income from equity investments in groupentities. Equity in the Company's balance sheet at 31 December 2024 stood at DKK'000 1,527,212 asagainst DKK'000 1,367,609 at 31 December 2023.Net sales of HARIBO Produktion A/S in 2024 were above 2023 and slightly ahead of expectations for theyear due to increased demand from HARIBO sales entities in the Nordics. Profitability in 2024 benefittedfrom increased output and as 2023 profit was negatively impacted by one-off costs of a product recall.Smaller operational changes and continued significant investments have been made to increaseefficiency and capacity of the factory going forward.HARIBO Produktion A/S has continuously offered products of the highest quality and continues to providea variety of tastes, textures, shapes and sizes to fulfill the need of the consumers. 2025 OutlookHARIBO Produktion A/S will continue to produce high quality confectionary products for the Nordicmarkets in 2025. For 2025 we expect growing production demand from growing sales of our group entities in the Nordicscountries to their customers and will focus our efforts on efficiently satisfying this demand. We expectand prepare for continued volatility of raw material prices. Profit is expected to improve compared to lastyear, driven by mentioned further increased output and our investments and focus on efficiency.Knowledge resourcesHARIBO Produktion A/S will continue its strategy of increasing investments in training and recruitment ofnew employees in key and strategic functions.Risk assessmentHARIBO Produktion A/S has identified its potential risks and has taken the necessary steps to secure theCompany’s assets and minimize the risks.The Company has a strong cooperation with the HARIBO Group and uses the resources in the globalHARIBO Group to secure its assets. Furthermore, the Company is continuously in contact with theauthorities and with the Company’s insurance partner to make sure that the Company is updatedregarding both legislation and new technology, in order to secure both the employees and other assets.Research and development activitiesResearch and development are carried out by HARIBO Produktion A/S in cooperation with the HARIBOGroup, to keep the leading position on the Danish market within sugar confectionary. Events after the balance sheet dateNo events have occurred after the end of the financial year, which significantly effects the annual report.