DEN Finland announces a profit with nearly 500 houses sold this year

The construction industry is experiencing turbulent times and has even seen bankruptcies caused by uncertainty in the market, rising interest rates, and inflation. Despite the ongoing situation, DEN Finland has focused intently on its profitability and is set to pass over 500 houses sold by September this year. DEN Finland is Finland’s largest builder of single-family houses with its brands Designtalo, Finnlamelli, and Ainoakoti, which it operates collaboratively with Kesko, a leading Finnish trading sector operator.

“Throughout the year, we have managed to maintain the profitability of our business while still remaining strongly committed to our customers and our long-term responsibility to building their homes,” says Managing Director Otto Tarkiainen from DEN Finland.

“In this current climate, our customers appreciate the reputation, reliability and financial stability that we have cultivated over our long history. In addition, we’re able to offer fast turnaround times as well as easy and risk-free turnkey solutions for all of their housebuilding needs,” Tarkiainen explains.

This year, DEN has sold over 450 houses and is on track to exceed over 500 houses sold by September. In times of economic uncertainty, many customers look for especially compact as well as cost and energy-efficient solutions. Designtalo’s Ideal collection and Finnlamelli’s Rehti collection have proven particularly popular among DEN’s customer base.

“Our sales and delivery rates for this year have reached the level they were at pre-covid. This year, we’re on target to deliver over 530 houses, the majority of which will be turnkey homes,” Tarkiainen notes.

DEN Finland’s stability and financial planning is also evident in its stable and long-term ownership. DEN Finland is part of the DEN Group, whose biggest long-term shareholder is a fund owned by CapMan, a publicly traded private asset management and investment company, which together with Tesi (Finnish Industry Investment Ltd) serves as a majority shareholder in DEN.

Achieving profitability through enhanced construction quality and operational adjustments

“We have managed to weather the storm in spite of today’s challenging economic circumstances. We have adjusted our operations through cost-savings measures, implemented a development project that focused on effective construction, and earned our customers’ trust with our timely collections and reliable solutions,” Tarkiainen summarises.

Through its Kunto construction development project, DEN has managed to enhance the quality of its construction practices and cost-savings efforts through e.g. operational and managerial development, helping to eliminate virtually all construction delays. The company has also adjusted its operations with the help of well-targeted cost-savings measures.

DEN Finland Oy’s operating profit before goodwill amortization was €6.9 million in 2022 and €7.7 million in 2021. The company’s profit forecast for 2023 also remains positive.

Further information and interview requests

Maria Mroue, Director of Marketing, Communications and ESG, DEN Finland
maria.mroue [at] den.fi | +358 50 393 4974

 

We at DEN do responsible and sustainable work on the biggest purchases in our customers’ lives

DEN is a Finnish company whose roots in single-family house construction go back more than 30 years. We are guided by our mutual values: appreciation, courage, sustainability and happiness. The group employs over 400 professionals.

DEN consists of Designtalo, a pioneer in turnkey single-family houses; Finnlamelli, provider of the best natural log houses; and Ainoakoti, our collaborative collection with K-Rauta. For more information, visit den.fi.