AI Terminal
Hove A/S
Earnings Release • Mar 28, 2025
8430_10-k_2025-03-28_29bd1df3-68ff-4e40-9b24-4dbb1c09f273.pdf
Earnings Release
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Annual report 2024
28.3.2025 10:09:56 CET | Hove A/S | Annual report
Company announcement no. 49
Continued solid earnings, but slightly weaker revenue. Proposal to pay dividend.
In 2024 HOVE's revenue fell by DKK 17.7 million (-9%) to DKK 169.3 million, primarily because 2023 was a good year with high sales in the US. EBITDA was down by 34% to DKK 13.5 million, partly due to a decrease in gross profit because of the decline in revenue, and partly due to new hires in Sales and other costs.
Our activities with the lubrication of cranes in port terminals - including the introduction of our IT solution "Hove Smart Lube" - have also been intensive in 2024. The commercialization of the product is going slower than expected. HOVE won an order in a small port terminal in January 2025 and remain optimistic.
The US subsidiary performed satisfactorily, and India continued its positive development. Turkey and Brazil have not lived up to expectations. In Brazil, this led to the dismissal of the GM in 2024 and the outlook for Brazil remains uncertain.
We continued our debt settlement in 2024, and our total debt is now DKK 7.5 million including mortgage debt at the end of 2024. With a cash position of DKK 6.3 million HOVE is therefore almost debt free. We still hold a credit facility in our banks in Denmark and the US.
The coming year we will see launches of new pump models and updated versions of existing pumps. With these new products, we will strengthen our product portfolio and accordingly expect increased pump and grease sales", says Hans Christian Hansen, CEO.
Financial performance
- Revenue and EBITDA for the year are in line with the most recent guidance announced on 22 August 2024
- In the 2024 financial year, revenue declined from DKK 187 million to DKK 169.3 million (-9%)
- The gross profit declined from DKK 62.6 million in 2023 to DKK 61.5 million in 2024
- The gross margin increased from 33.5% to 36.3% due to better pump sales and lower share of private label
- EBITDA was down from DKK 20.5 million to DKK 13.5 million, due to increased staff costs and other external expenses
- Profit after tax increased to DKK 5.7 million from DKK 3.6 million in 2023 (58%)
- The Board of Directors proposes to the general meeting that an extraordinary dividend of DKK 0.14 per share, equivalent to a total dividend payout of DKK 3.45 million, to be distributed for the 2024 financial year.
Guidance
HOVE's guidance for 2025 is revenue in the range of DKK 160 – 190 million and EBITDA in the range of DKK 11 – 18 million.
Further information
Hans Christian Hansen CEO Email: [email protected]
Company contact
Hove A/S Herstedøstervej 7 DK - 2600 Glostrup CVR 25804821 Web: www.hove-as.com
Certified adviser
Norden CEF A/S
About Hove A/S
Hove is a supplier of lubrication solutions for mechanical bearings, primarily in the wind turbine industry. Hove's solutions provide customers with significant annual operating cost savings, while at the same time ensuring that lubrication is performed and documented correctly, which extends the life of the bearings. Over the past 20 years, Hove has set new standards for lubrication in the wind turbine industry. Hove's patented IoT solution will strengthen Hove's position as market leader. With its unique product and an experienced team, Hove has achieved a strong market position in the wind turbine industry and an international presence.