The VELUX Group reports excellent 2014 result
The VELUX Group’s long-term investment strategy bore fruit in 2014 with increased turnover and considerably higher earnings.
The VELUX Group, global market leader in roof windows, reports a good result for 2014, reflected in the consolidated figures for VKR Holding.
With a net turnover of DKK 16.4 billion, an increased profit ratio of 12.3%, and a higher post-tax profit of DKK 1.3 billion, VKR Holding achieves a better result than in 2013.
The VELUX Group came out of 2014 even stronger, reporting a sound result despite the continuing crisis in the European building sector. Investments in the New Generation of roof windows that give more daylight, better energy efficiency and greater comfort, and the launch of a completely new product, Modular Skylights, made maximum impact in 2014.
Our offensive strategy from 2009 to make the largest investment in our history of DKK 1.7 billion in our new product platform, at the same time as developing a brand new product for the commercial market, in the midst of the worst crisis for many years for the building sector, pays off with the expected result for 2014,
Increased earnings in 2014
The first six months of 2014 saw brisk sales and the VELUX Group reports top-line progress on several of its key European markets. The market, however, lost some if its momentum in mid-summer, primarily because of the Russia-Ukraine crisis, which discouraged spending in some of the key European markets.
Despite continuing instability in the market, the VELUX Group ended up with a convincing result for 2014, partly because of significant growth in the British and American markets.
Massive investment in new product programme pay off in 2014
The New Generation of energy-efficient roof windows, providing greater comfort and with a larger pane area, received a warm welcome on all markets and played a major role in the excellent top-line result.
2014 was an excellent year, with top-line growth and, even more gratifying, a rise in earnings of more than 60%,
New Generation has been awarded prizes for raising the bar of window energy efficiency, increased comfort and bringing more daylight into people’s lives on every market. That’s something we’ve never experienced before!
The second of the Group’s strategic developments, Modular Skylights, aimed at commercial and public–sector buildings and developed in partnership with one of the world’s most acclaimed architect firms, Foster + Partners of London, also performed well.
VELUX Modular Skylight generated good results in 2014. Architects are enthusiastic about their slim profiles and the concealed motor technology that gives a very simplistic and aesthetic impression,
Transition to new platform ended with success
The increase in the VELUX Group’s earnings is also the result of a successful completion of the transition to the new product platform at the factories, and a sharp focus on cutting overall production costs.
We have completed the transition to the new product platform successfully and are right on track,
Focus on moderate growth in 2015
CEO Jørgen Tang-Jensen is extremely satisfied with the result and reveals that the company will sharpen the focus on growth and increased market share with new and innovative concepts in 2015.
Thanks to our new product programme and a clear and offensive strategy for the future, we are ready to nurture new growth, so the market can regain its stability. We expect moderate growth in 2015, led by developments in the USA,
Note to media
As in previous years, VELUX Group figures are consolidated in VKR Holding’s annual accounts for 2014.