Genan Holding A/S

Development in activities and financesThe net result for the year was DKK 11.2 million, and the equity excluding minorities hereafter amounts to DKK 389.4 million, equalling an equity ratio of 53.9%.

Revenue developed positively in 2022, showing a 5% increase. This was a result of a positive development in the sale of rubber products, whereas steel income decreased in comparison with 2021 because of lower volume. Despite the positive impact on revenue, gross margin decreased from 24.6 in 2021 to 18.4% in 2022. This because of both extremely high energy costs and freight costs – in relation to overland transportation as well as sea freight.

As in previous years, the result for the year was impacted by exchange rate adjustments, primarily in relation to USD; and as in 2021, impact in 2022 was positive. A re-evaluation of the deferred tax asset was made in 2022, resulting in a positive impact on tax of DKK 7.8 million.

Management considers the result to be unsatisfactory and considers the year 2022 to have been extraordinary; especially with regard to the extreme energy costs seen in August and September.

The strategic focus of the group is to continue to optimise and develop core business, i.e. the production and sale of recycled ELT rubber products. Besides this business area, the group will continue to focus on the development of refined products (custom products and alternative areas of application) which, when developed, are expected to bring the group in a positive direction. However, focus will primarily be on products closely related to the core competences of the group, which is granulate production. The development of custom products and new areas of application is progressing as planned and will continue in the years to come.

The parent company has no real operating activities besides being the holding company.