A Danish timber and building materials chain reported a deeper annual loss for 2024, with a deficit of DKK 23.8 million, up from DKK 17.1 million in 2023. This marks the company's second consecutive year in the red, despite a 5 percent rise in revenue to DKK 1.16 billion.
Managing Director of Johannes Fog, Karsten Østergaard Larsen.
Managing Director of Johannes Fog, Karsten Østergaard Larsen, who assumed the role in early 2024, acknowledged the unsatisfactory result, citing rising personnel and delivery costs, increasing property taxes, and the completion of a new head office in Lyngby as major cost drivers.
'We have not watched passively,' said Østergaard Larsen, who stressed that the company has responded proactively to market pressures with a long-term recovery plan. Strategic initiatives already in place include cost reductions and operational improvements in logistics, sales, and service.
A key step in the company's strategy is joining the XL-Byg chain community, aimed at strengthening long-term competitiveness. Østergaard Larsen clarified that this move is not a response to losses but part of a broader restructuring effort.
Johannes Fog, which has over 100 years of trading history and is owned by a foundation that distributes profits to charitable causes, is under pressure to return to profitability. 'If I can't ensure that, I'm not a success,' the director stated.
For 2025, the company forecasts revenue growth between 5 and 10 percent and an improvement in EBITDA by approximately DKK 20–30 million, following a figure of DKK 8 million in the previous year.
Source: www.wood-supply.dk