Privately held Danish water pump giant Grundfos has reported continued momentum and sales growth in most markets with Western Europe, China, and the global service business as the main contributors.
The company has made a turnover of DKK 13.2 billion for the first half of 2019 and earnings before interest and tax (EBIT) of DKK 1.17 billion, which is an increase of 22.1 percent compared to 2018.
“We are very satisfied with our financial performance for the first half of 2019. Revenue has grown in our core markets, and combined with disciplined control of costs, we deliver the highest ever sales and EBIT in a first half of a year,” Grundfos CEO Mads Nipper said.
“Our teams have done a fantastic job in an increasingly volatile market, and I am proud to see the dedication all over the world to deliver a positive impact on climate and water while running a profitable business,” he added.
Grundfos in a press communiqué said an increasingly uncertain market influences expectations for the second half of the year and the full-year outlook.
Grundfos expects the global market to be affected negatively by trade barriers and a generally growing level of uncertainty. Hence, we expect a low single digit growth for all of 2019.
Meanwhile during the first six months of 2019, Grundfos reduced its energy consumption by 11 percent and water usage with 10 percent compared to the same period last year.
“I am very proud that we continue our momentum and positive impact on the world’s water and climate challenges. This progress gives us confidence on the journey towards our 2025 and 2030 ambitions. Our commitment and sustainability ambitions form the foundation for our newly launched 2025 strategy,” Nipper said.
The Grundfos Strategy 2025 is founded on the firm’s positive contribution to United Nations SDG #6 and #13:
Grundfos targets to reduce its CO2 emissions by 50 percent by 2025 and aspires towards climate positive status by 2030 while halving its water consumption by 2025.
By 2030 Grundfos expects to provide safely-managed drinking water to 300 million people and save 50 billion m3 of fresh water through water efficiency and treatment.
Grundfos, which has been in Sri Lanka for a quarter-century, sees ample opportunity in the island nation as the demand for water across drinking, agriculture and industrial use, is on the rise.