Kamstrup achieves satisfactory result in a challenging 2022

March 15th, 2023
In a year characterised by new geopolitical challenges, Danish technology company Kamstrup achieves a highly satisfactory annual result. Despite severe challenges with delivery, there is reason to be optimistic. Kamstrup delivers more meters than ever along with a record order intake and growth in new markets.

2022 was a year that offered new challenges with the war in Ukraine in addition to those which emerged in the wake of covid-19. Particularly the prolonged delivery times continued to be a significant challenge in 2022. In spite of close collaboration to counter the challenges, many customers experienced delivery times which were too long. In the fourth quarter, however, the delivery situation was successfully improved, and overall, Kamstrup delivered a record number of smart metering solutions and services in 2022.

Despite the challenges, Kamstrup delivers a highly satisfactory result with a turnover of DKK 2.8 billion (EUR 375 million) – an 18% increase compared to 2021. The profit before tax was DKK 308 million (EUR 41 million) – a notable increase of 45% compared to 2021.

“We are naturally very pleased with the good annual result. Until September, however, we had massive challenges, and the component shortages caused great delivery issues. Since October 2022, we have continuously improved deliveries, and the expectation is that we at the end of 2023 have a fully satisfactory delivery situation,” states Kim Lehmann, CEO at Kamstrup.

Notable order intake growth despite delivery challenges

Kamstrup can present a record-high order intake of DKK 3.6 billion (EUR 480 million). This is an increase of 24% from last year.

The significant increase in Kamstrup’s order intake is, among other things, driven by the accelerated global focus on energy efficiency, reducing water loss, and electrification. Additionally, Kamstrup is going through substantial internationalisation, and the growth in multiple markets outside the Nordics is crucial to the satisfactory result.

In 2018, Kamstrup’s sales outside the Nordics accounted for 42% of the total turnover. In 2022, it is 68% of the total turnover.

“The result and the growth in new markets tell the story of an increase in global demand for green technological solutions to the world’s climate challenges. To a large extent, we have successfully met the demand through a strong expansion strategy. We experience increased relevance worldwide for our smart solutions,” explains Kim Lehmann.

Despite the progress, 2022 was characterised by geopolitical instability that led to considerable challenges with production and deliveries, which meant many customers, even with a record-high number of delivered smart meters, experienced delays in deliveries and extended delivery times. 

“Especially in the year’s first three quarters, we were challenged in our supply chain due to missing component deliveries and the challenges that first covid-19 and later the war in Ukraine have caused. Through exceptional planning and dialogue with our customers, we have together attempted to remedy the situation in a reasonable manner. Still, we know that many have experienced missing deliveries,” says Kim Lehmann.

Investment in the future

Especially the last quarter of the year became pivotal for a satisfactory result in Kamstrup. Here, deliveries were successfully accelerated, and a significant final sprint was delivered. With this starting point, Kamstrup remains optimistic when looking ahead.

“Right now, we see sensible tendencies in the market. The delivery situation is noticeably improving. The global demand for digital green solutions is increasing and we experience a strong global momentum on multiple markets," explains Kim Lehmann.

At the same time, Kamstrup is preparing for future, high delivery performance as well as ensuring the framework for further growth. While Kamstrup continues a high level of investment in innovation at 11% of turnover, notable investments are now made in supply chain, warehouses, and expansion of manufacturing capacity. A growth in employees of 130 in 2022 and an expected growth in employees of 200 worldwide in 2023 emphasise furthermore the image of a growing company.

“We will be well-equipped to handle future demand and we will be geared for strong delivery performance. We will continue to be suppliers of sustainable solutions in the highest quality in the future,” finishes Kim Lehmann.

Contact regarding this press release:

Mads Husted Nielsen, Digital Communication Manager

Phone: +45 29 21 77 68