Hartmann's strategy 'Competitive edge - driving growth' delivered results in 2013. Our business has a strong platform, and we have enhanced our competitive edge and maintained our leading position. The positive results were based on operational improvements and a commitment to optimising the product portfolio in Europe as well as continued growth in North America. Our full-year guidance was met.

>Annual report 2013

CEO Ulrik Kolding Hartvig on Hartmann's performance in 2013:

"Our strategy delivered results in 2013, with the steady development continuing and operating profit improving significantly. Our European business developed favourably based on targeted efforts to focus our product offering and streamline the production network. Progress continued in North America, and we are looking forward to leveraging the capacity expansion we began in 2013."

Ulrik Kolding Hartvig on Hartmann's outlook:

"Our 2013 results provide a strong foundation for continuing the positive development in 2014. We expect to lift revenue to DKK 1.6-1.7 billion and reach a profit margin of 9.0-10.5% through a still more focused offering to our customers, further production efficiencies and capacity growth where relevant."

Highlights

  • In line with our expectations, Hartmann generated revenue of DKK 1,579 million for 2013 (2012: DKK 1,544 million) and an operating profit* of DKK 148 million (2012: DKK 114 million). At 9.4%, our profit margin* was at the high end of the expected range (2012: 7.4%).
  • Cash flows from operating activities amounted to a net cash inflow of DKK 177 million (2012: a net cash inflow of DKK 153 million), and return on invested capital was 23.0% (2012: 16.7%).
  • The Board of Directors proposes dividends of DKK 9.50 per share (2012: DKK 9.50), corresponding to 78% of our profit for the year (2012: 72%).
  • Hartmann's growth in North America continued with revenue of DKK 292 million (2012: DKK 267 million) and operating profit of DKK 63 million (2012: DKK 56 million), corresponding to a profit margin of 21.6% (2012: 20.8%).
  • Our European production network was streamlined through the closure of our factory in Finland and optimisation of management efficiency at our other European factories. North America initiated the activities to expand existing production capacity.
  • Ulrik Kolding Hartvig joined Hartmann on 1 January 2014 as our new CEO.
  • For 2014, Hartmann is expected to report revenue of DKK 1.6-1.7 billion and a profit margin of 9.0-10.5%.

* References to operating profit refer to operating profit before special items, and references to profit margin refer to profit margin before special items.

For additional information, please contact:

Ulrik Kolding Hartvig
CEO
Tel.: (+45) 45 97 00 57



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