DENMARK: Danfoss has reported a sales growth of 18% in local currency to €3.3bn in the first half of 2021 – its best ever half-year results.
The company reported “extensive growth” in all regions, despite some parts of the world still being affected by the Covid-19 pandemic.
During this period, Danfoss continued to make significant investments in R&D, amounting to 4.7% of sales. At the same time, Danfoss delivered a 45% increase in operating profits with EBITA of €449m. This operating profit even outperformed the strong level of the first half of 2019, pre-Covid. Net profit was up 74%, amounting to €286m.
“Like other companies in the world, we have seen challenges in our supply chain due to holdups in logistics, shortages of electronic components and price increases on freight and raw materials,” revealed Danfoss CEO and president Kim Fausing. “Across our businesses, we continue to do everything we can to serve our customers and ensure a minimum of impact.”
Danfoss’ largest segment, its Climate Solutions business, which includes the company’s heating and cooling interests, was impacted but still registered a strong start to 2021. Sales were well ahead of the first half of 2020 and 2019 and all regions grew, with China showing record-high sales. Profitability was significantly ahead of the previous-year period.