Pettinaroli A/S Northern Europe

Beskrivelse af virksomhedens væsentligste aktiviteter

Primary activitiesThe company’s principal activity is, like in previous years, the sale of Italian heating and plumbing components in several North European countries. The Company acts as sales and distribution center for Fratelli Pettinaroli S.p.A. in Northern Europe.

Beskrivelse af usikkerhed ved indregning eller måling

Uncertainty relating to recognition and measurementOur ERP systems and internal control procedures are designed to minimize uncertainty in recognition and measurement, which we consider insignificant.

Beskrivelse af udviklingen i virksomhedens aktiviteter og økonomiske forhold

Development in activities and financesWe expected a difficult year in 2024, but the difficulties in the market turned out to be more severe and with a longer duration than anticipated. We expected sales to recover during Q2 and Q3, but only in the last 2 months we saw the expected improvement.
We had expected a small growth in the budget for the year, bringing the result before taxes up from TDKK 5.226 in 2023 to TDKK 6.100, however the result turned out to be a loss of TDKK 900.
The negative development in the market in late 2023 was more persistent than anticipated and our turnover dropped more than 20%. Much of the effect also came from our major clients reducing their inventory quite much and since Pettinaroli offers day to day deliveries, the impact on the client’s services towards the market was not at risk, but our sales suffered much. Rebuilding the inventories are expected and a recovery of the drop in sales is to be expected as well.
Our digitalization of business processes was almost completed, reducing the IT costs significantly and we expect this investment in the past 3 years to benefit the coming period.
High-interest rates also negatively impacted profit, and the reduction in interest level came late in the year and too late to really impact the profit. However, we expect a continuation of interest reductions also throughout 2025 which will improve our financial expenses towards our parent company significantly.
In the autumn 2024, we opened a new assembly facility. We aim at reducing CO2-emmissions on freight of goods between Italy and Denmark by compacting the shipments and transporting far less air in our boxes. This new facility improves the service towards our customers as well as it improves the range of products, we can offer. All in all, it contributes positively for the years to come. Extra expenses due to staring this operation has also affected the result of 2024.
Finally, we started a new division, focusing on the balancing market, and we hired more staff. The initial period of starting the division was expected to be costly and would also have a negative influence on the result of 2024, and a positive impact on the years to come. The balancing division brings Pettinaroli A/S in line with the development plans of the Italian mother company.
We anticipated a minor decrease in operational profit due to increased internal activities and costs. However, the profit for the year was lower than expected. The operational profit is positive, but the interests paid to the mother company on the inventory brings the result of the year in a deficit.
Even though, it aligns with expectations given the circumstances both in the business and in the financial market.

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.