Techtronic Industries Nordic Aps

Beskrivelse af virksomhedens væsentligste aktiviteter

Primary activitiesThe primary activities of Techtronic Industries Nordic ApS (TTI Nordic) are the wholesale trade of power tools, garden tools, and accessories. Trading takes place through distributors in Denmark, Sweden, Norway, Finland, Estonia, Lithuania, Latvia, and Iceland. Moreover, the affiliated companies in Norway, Sweden, and Finland provide sales support to TTI Nordic.
About the company
At TTI Nordic, we are proud of our iconic brands: MILWAUKEE and RYOBI, which we market in the Nordic and Baltic regions. Each of these premium brands has a rich history that we build on daily. Our customers are our partners, and we do everything possible to support their business. Our cutting-edge brands and products are recognized on the market for their deep heritage, superior quality, outstanding performance, and user-driven innovation. TTI Nordic consistently delivers exciting new solutions that enhance customer satisfaction and productivity through an ongoing company-wide commitment to cordless technology, innovation, and strong customer partnerships. This focus and drive provide a strong platform for sustainable leadership and growth.
TTI Nordic is part of Techtronic Industries Company Limited (the “Company”, the “Group” or “TTI”), which is a fast-growing world leader in Power Tools, Accessories, Hand Tools, Outdoor Power Equipment, and Floorcare & Cleaning for Do-It-Yourself (DIY) / Consumer, professional and industrial users in the home improvement, repair, maintenance, construction and infrastructure industries. The Company is committed to accelerating the transformation of these industries through superior environmentally friendly cordless technology. The TTI brands like MILWAUKEE, RYOBI and HOOVER are recognized worldwide for their deep heritage and cordless product platforms of superior quality, outstanding performance, safety, productivity and compelling innovation. Founded in 1985 and listed on the Stock Exchange of Hong Kong (“SEHK”) in 1990, TTI is included in the Hang Seng Index as one of their constituent stocks. The Company maintains a powerful brand portfolio, global manufacturing and product development footprint, healthy financial position with record 2023 worldwide sales of US$13.7 billion and over 47,000 employees.
TTI is a global strategy-based organisation. We have diligently researched and refined the key concepts for ongoing sustainability and growth. Early on, leadership identified four strategic areas that would drive our success: Powerful Brands, Innovative Products, Exceptional People, and Operational Excellence. The synergy in our four strategic drivers creates a culture of disruptive innovation and execution, resulting in world-class, powerful brands. This dynamic structure of interconnectivity not only maximises growth and improvement in every area of our company but also delivers the innovative, high-quality-driven products needed by consumers and professionals around the world.

Beskrivelse af usikkerhed ved indregning eller måling

Uncertainty relating to recognition and measurementAccording to note 15, warranty commitments have been recognised by DKK 45.7 million regarding expected
demands based on the previous experience of the level of repairs and returns. Based on future expectations, these warranty commitments include a significant element of uncertainty.

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

Unusual circumstances affecting recognition and measurementNo unusual circumstances that might have affected recognition and measurement occurred in 2023.

Beskrivelse af udviklingen i virksomhedens aktiviteter og økonomiske forhold

Development in activities and financesTTI Nordic revenue decreased by 1% compared to 2022 driven by our DIY / consumer segment, due to the economic environment in our markets and customer's inventory management, whereas our professional channel continued double digit growth. Nevertheless, TTI Nordic continued to outpace the competition in both consumer and professional segment by accelerating the transition to cordless tools and equipment, while consistently generating gross margin improvement and profit growth. The profit before tax for the year amounts to DKK 37 million.

Beskrivelse af virksomhedens forventede udvikling

OutlookOperating in the challenging and volatile environment of recent years has reinforced the importance of our Powerful Brands, Innovative Products, Exceptional People, and Operational Excellence.
Due to our and our suppliers’ rolling hedging, last year’s commodity and energy price increases will significantly impact our 2024 cost of sales and operating costs. We intend to offset the higher costs in absolute terms through pricing and a tight focus on non-strategic costs. TTI Nordic will continue to invest in sales and customer activities, as well as employees, to support the strong stream of innovative new product launches in 2024. We remain highly confident in continuing to drive gross margin improvement by introducing margin-accretive new products.
TTI Nordic is well-positioned to outperform the market in 2024. Consequently, the 2024 guidance is operating profit development of approximately +/- 5%.