Despite a financial year affected by the energy crisis, KMC believes in positive rates in the future and is investing further in the development of refined potato ingredients.
At the Annual General Assembly KMC’s Chairman of the Board Kristian Møller Sørensen presented yet another satisfying account. The accounts are characterized by sharply increasing raw material, logistics and energy costs that has not been possible to compensate in the sales prices.
- Our turnover is higher than ever, but the crisis affects the result negatively because our processes are energy-intensive and we have closed all trade with Russia, says Jesper Burgaard CEO at KMC.
The year's net revenue landed at DKK 2.328 billon which is DKK 250 million higher (+12%) than last year. The ordinary profit after tax amounts to DKK 138 million which is DKK 21 million lower (-13%) than last year's result of DKK 158 million. Despite higher productivity and an improved raw material base, sky high gas prices have created lower earning. This is despite the fact that KMC has taken energy measures to reduce dependency on natural gas. Furthermore, the closure of trade with Russia results in a total loss of DKK 16 million. Under the difficult conditions the management considers the year's result to be satisfying.
Despite these uncertain times KMC foresees increased business opportunities in the future. Therefore, KMC has decided to establish a new innovation center placed beside the head quarter in Brande.
- The Covid pandemic is losing its grip and now we focus on getting through the next crisis. We are optimistic because plant-based foods are becoming more and more popular, and we are experiencing great demand for our products. That is why we will invest further in our R&D facilities to be able to continue delivering tomorrow's ingredients to the worldwide market, says Jesper Burgaard and continues:
- KMC has always focused on utilizing all the potato's good properties. Through refinement and innovation, we have created a circular business model. That work will continue in the following years. KMC expects an increased turnover in 2022/23. If the gas prices are kept at a reasonable level it will continue to be profitable for Danish farmers to grow potatoes in 2023.
For further information please contact KMC CEO Jesper Burgaard on phone: 2033 8811 or Chairman of the KMC Board Kristian Møller Sørensen on phone: 4019 3000.