Strong result for KE Fibertec

Press release
By Managing Director Carsten Jespersen, KE Fibertec AS

Strong result for KE Fibertec AS despite an uneven year of COVID-19

KE Fibertec AS in Vejen, Denmark, manufacturer of sustainable textile ducts for ventilation in all types of buildings, came out of 2020 with a strong result of just over DKK 16 M. in profit before tax. The result is admittedly 8 M. DKK lower than the record year 2019, but Man. Dir. Carsten Jespersen is still quite satisfied with the result, which is better than expected back in March, when COVID-19 hit Denmark.

“Immediately after the closure in March, we created a COVID-19 strategy, which was divided into different phases, so that we could quickly adapt. At first, it was all about the health of our employees, and the goal was to make sure no one got infected and to keep our three factories running. In the worst periods with high infection rates, this has meant, among other things, that we have worked in small "bubbles" in both Denmark and especially at the factory in the Czech Republic.

Already at the beginning of the shutdown, we agreed not to make use of the government's aid packages nor to send our employees home on division of labour. Instead, we chose to use the surplus resources that we have periodically had to carry out a number of internal projects, and it has been a good investment. Rarely have we experienced such an uneven year measured not only on orders, but also on activity. In that light, KE Fibertec will come out of 2020 in a reasonable way”, says Carsten Jespersen.

Recycling of surplus yarn at the weaving mill

“One of the projects we have completed in 2020, and which we are particularly proud of, is our recycling of approx. 7 tons of leftover yarn at our weaving mill. We have purchased two braiding machines, which means that we can already now produce all the different bulb cords, which are used for mounting the textile ducts in our mounting rails.

The advantage is that the leftover yarns are "free", they are fire-approved, Cradle to Cradle-certified, and they are shrink-stabilised - all properties that are very important to us in the finished product. In addition the payback time on the investment is only 1.6 years. Our philosophy is that the circular economy must be sustainable - also financially”, says Carsten Jespersen.

ISO 45001 and Global Goals of UN

“In January, we were certified according to the new work environment standard ISO 45001:2018. It was a somewhat different and more challenging experience, but the online audition went well, and we are very proud of that. As another natural development in our long-term strategy that KE Fibertec's products must not contribute negatively to the major climate challenges we face, we are in the process of meeting our ambitious goal of becoming carbon-neutral by 2030.

A step in this direction is that in 2021 we expect to be certified by Bureau Veritas according to the 17 Global Goals (SDGs). We are convinced that future generations, both employees and customers, will choose the products and the companies that want to make a positive difference in the climate accounts”, continues Carsten Jespersen.

Expectations for 2021

After a quiet beginning of the year due to the closure in November, we are back on track again. In general, we are optimistic about 2021 and expect an annual result at least on a par with 2020. Unfortunately, we have had to push the celebration of KE Fibertec's 25th anniversary in May to a later date, where we can meet again across national borders”, concludes Carsten Jespersen.

KE Fibertec's key figures over the last three years:

Note that KE Fibertec's consolidated financial statements have been consolidated into Jysk-Fynsk Kapital A/S. KE Fibertec AS is credit rated AAA by Bisnode Denmark.

Facts

• KE Fibertec is the largest manufacturer of textile ducts on the world market with head office, production facilities and own weaving mill in Vejen, Denmark. In addition, production has been established in Varnsdorf, CZ
• The group consists of the parent company in Denmark and seven subsidiaries in Europe, Vietnam and the USA
• KE Fibertec employs approx. 120 staff, of which just over half are located abroad
• Owned by Jysk-Fynsk Kapital (70%), L. E Kristiansen Erhvervsinvest ApS (10%) and KE Pulje 20% (owned by Managing Director Carsten Jespersen, Production Director Johnny Kusk Møller, and Financial Manager Svend Anker Fogh