Palsgaard A/S

Beskrivelse af virksomhedens væsentligste aktiviteter

Principal activities
The principal activities of Palsgaard A/S and the Palsgaard A/S Group are production and sale of ingredients for the food industry, and for technical applications. Palsgaard A/S is the world´s only full-service emulsifier and stabilizer company. It offers customer-tailored solutions for the global food industry, as well as non-food markets such as polymers and personal care.

Beskrivelse af udviklingen i virksomhedens aktiviteter og økonomiske forhold

Development in activities and financial and economic position
Our activity during 2023 was a rollercoaster. The 1st half of the year we realized all-time high activity and best profit in the Group’s history. However, we faced a significant drop in customer demand in 2nd half which led to much lower activity and profits. Since our Net Working Capital peaked in April 2023, we have managed to free up cash flow amounting 319 DKK million. This is driven by lower raw material prices but also due to 28% less inventory volume. The investment program in expansion of the production capacity has continued in 2023 where we have invested approx. 340 DKK million in our production facilities. The largest part of our capex program relates to our production facilities in Denmark but also our factory in The Netherlands will get a significant increase in their production capacity. The investment activities will continue in 2024 and 2025 and when the planned expansions are completed the production capacity will almost be doubled in the Group.

Omtale af betydningsfulde hændelser, som er indtruffet efter regnskabsårets afslutning

Significant events after the end of the financial year
No events have occurred after the end of the financial year of material importance for the company's financial position.

Beskrivelse af virksomhedens forventede udvikling

Future expectations
For 2024 we expect a profit before tax for the Group at a level of 150 – 200 DKK million and for the company a profit before tax at a level of DKK 125 – 175 million. We expect to start production in one of our new production facilities here in Denmark and the new production facilities in Holland and we continue our investment in another production facility here in Denmark.