In 2019, the DEN Group’s net sales decreased by 8.4 per cent to EUR 178.0 million from the previous year’s EUR 194.4 million.
EBITDA-% improved slightly, while the amount of EBITDA in euro remained almost at the previous year’s level.
The number of employees at the end of the financial year was 457.
During 2019, the group carried out major structural changes and focused on improving profitability and reducing the amount of working capital committed to operations.
Reported EBITDA was EUR 4.6 million (4.9 M€ in 2018), or 2.6 percent (2.5%) of the company’s turnover.
DEN Group also took further steps in its internationalization process. Further construction projects in Sweden based on the Talliosake concept were launched. At Finnlamelli, the share of exports was 19% of the turnover in 2019. Finnlamelli’s main markets are Finland, Japan, Norway, Sweden, and the Netherlands.
DEN Group’s consolidated financial statements have been prepared in accordance with the International Financial Reporting Standards (IFRS).
Financial position and financing
The equity ratio at the end of the accounting period remained at 55,8 %, as in 2018. Gearing was 45.4% (12/2018: 53.5%).
In February 2018, DEN started a EUR 1.2 million investment in revamping the production at its Alajärvi laminated log factory. The renewed production line was completed in the summer 2019. The investment increased the production capacity materially.
The reasons behind the investment are the market trends of sustainability, ecological construction, and healthy living, whilst the investment ensures the operational reliability and capacity of the production line, with future business growth in mind.
Funds managed by private equity firm CapMan are the main owners of DEN. In addition, Finnish government-owned investment company Tesi (Finnish Industry Investment Ltd) together with a number of current and former members of the DEN Group’s personnel are also significant shareholders.