Kvadrat A/S

Beskrivelse af virksomhedens væsentligste aktiviteter

Primary activitiesKvadrat has become a global leader in textile innovation and design.​
​We develop, produce and sell contemporary high-quality textiles and textile-related products for architects, designers and private consumers to specify in public spaces and domestic interiors.

Beskrivelse af usikkerhed ved indregning eller måling

Uncertainty relating to recognition and measurementRecognition and measurement in the consolidated financial statements and Parent company financial statement are not subject to any material uncertainties.

Beskrivelse af usædvanlige forhold, der kan have påvirket indregningen eller målingen

Unusual circumstances affecting recognition and measurementNo circumstances exert material influence on the consolidated financial statements and parent company financial statements.
Neither the Group nor the Parent company is exposed to risks apart from those generally occurring in our line of business.

Beskrivelse af udviklingen i virksomhedens aktiviteter og økonomiske forhold

Development in activities and financesThe revenue for the Group for 2024 amounted to DKK 1.645m compared to DKK 1.758m in 2023. Operating profit/loss amounted to DKK 73m compared to DKK -12m in 2023 and profit before tax amounted to DKK 14m compared to DKK -60m in 2023.
The revenue for the Parent company for 2024 amounted to DKK 721m compared to DKK 734m in 2023. Operating profit/loss amounted to DKK -1m compared to DKK -55m in 2023 and profit before tax amounted to DKK -9m compared to DKK -73m in 2023.
The result for both the Group and the Parent company has in FY 2024 been significantly affected primarily by the following circumstances.
Unstable marketplaces
Firstly, the marketplaces in which we operate were challenged in both activity levels and short-term outlooks during 2024 resulting in a decrease in consolidated revenue of 113m DKK or roughly 6 % compared to 2023. This is – in our perspective – attributable to an array of different factors and variables but contributing factors are without any doubts increases in inflation in the markets we operate in, high cost of capital and a slowdown in the construction and real-estate industries.
Cost of capital
Secondly, the cost of capital resulted in net financial costs of 59m DKK in 2024 to service the net interest-bearing debts of the Group consisting primarily of short-term credit facilities, long-term credit facilities, lease liabilities as well as mortgage debts. The net financial costs in 2023 amounted to 57m DKK resulting in an increase from 2023 to 2024 of 2m DKK.
Strategic projects
Thirdly, Kvadrat Group is still in the process of developing and growing the sale to the North American markets which is managed via Kvadrat Inc. Previously, Kvadrat Group had a long-standing and successful partnership with a local partner ensuring the distribution and sale of Kvadrat products in North America. This partnership was terminated with effect from 1 January 2021 and Kvadrat has since been building, developing, and improving the direct sale of Kvadrat products via Kvadrat Inc. This is a strategic project for Kvadrat Group which has required a significant number of resources and investments to make profitable within a relatively short time in the future – as was predicted when the strategic project was started.
Organisational adjustments
Fourthly and final, we have in 2024 worked to optimize and adjust our organisation and processes towards increased competitiveness. Increasing our competitiveness has resulted in a gross margin of 42.4% compared to 38.6% in 2024 and staff costs of 556m DKK compared to 608m DKK in 2023.

Omtale af betydningsfulde hændelser, som er indtruffet efter regnskabsårets afslutning

Events after the balance sheet dateNo events have occurred after the balance sheet date to this date, which would influence the evaluation of this annual report.

Beskrivelse af virksomhedens forventede udvikling

OutlookWe continue expecting a general uncertainty in the markets – in which we operate – in 2025 at least partially. We will continue our optimisation work and expect to see 7-9% revenue growth & 20% operating profit growth in 2025 compared to 2024.