business

Grundfos sees growth despite increasingly challenging market

KUALA LUMPUR: Danish pump manufacturer Grundfos has seen continued sales growth in most markets in the first half of the year, with Western Europe, China and the global service business the main contributors.

Chief executive officer Mads Nipper said Grundfos was very satisfied with its six-month performance.

“Revenue has grown in our core markets, and combined with disciplined control of costs, we have delivered the highest ever sales and Ebit (earnings before interest and taxation) for a first half of the year,” said Nipper during a recent tour to its facilities in Denmark.

Nipper said its teams had done a fantastic job in an increasingly volatile market.

“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.”

Grundfos said increasingly uncertain market conditions had influenced its expectations for the second-half of the year and the full-year outlook.

He expected the global market to be affected negatively by trade barriers and a growing level of uncertainty.

“Hence, we expect a low single-digit growth this year.”

Established in 1945, Grundfos produces 16 million pump units annually and has a workforce of 19,000 people worldwide.

In the first six months, it reduced its energy consumption by 11 per cent and water usage by 10 per cent compared with the same period last year.

“More importantly, we have continued to contribute to significant energy savings for our customers and bring safe drinking water to people in need.

“I am proud that we are continuing our positive impact on the world’s water and climate challenges. The 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,” said Nipper.

By 2030, Grundfos is committed to reducing water consumption, providing safely-managed drinking water to 300 million people and saving 50 billion cubic metres of fresh water.

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