Resilient by nature
Annual Report 2022
ROCKWOOL Group Annual Report 2022
Other
reports
Resilient by nature
Report on Danish Corporate Governance
recommendations 2022
ROCKWOOL A/S
Resilient by nature
Remuneration Report 2022
Management’s review
Introduction
Message from the Chairman and CEO 04
Five-year overview 08
Financial highlights 2022 09
Strategy and business
The ROCKWOOL purpose and strategy 10
Our business model 11
By Nature 12
Outlook 2023 14
Insulation segment - Business update 16
Systems segment - Business update 18
Non-nancial review
Sustainability 23
EU Taxonomy 26
Climate-related nancial disclosures 29
Governance and shareholder information
Risk management 30
Corporate governance 34
Shareholder information 42
Financial performance 44
Financial statements
Consolidated nancial statements 51
Financial statements for
ROCKWOOL A/S 93
Overview
Sustainability Report 2022
Remuneration Report 2022
Corporate Governance
Report 2022
ROCKWOOL Group Annual Report 2022
3
Chairman Thomas Kähler
and CEO Jens Birgersson
Record growth in
a turbulent year
Dear stakeholders,
Many words could describe 2022 and turbulent
is certainly one of them. We had an excellent
start to the year with strong sales and high
demand for our stone wool insulation, which led
to record volume growth in the first half of the
year. In the second half of the year, the unfolding
war in Ukraine, soaring energy prices, inflation
and steady increases in interest rates changed
the picture considerably, contributing to a
decline in construction activity in key markets.
Considering this context, the business performed
well. Our reported sales, driven primarily by price
increases, grew a record 27 percent in 2022 and
while profitability ended lower than expected at
the outset of the year, EBIT margin still came in
at a respectable 10.3 percent.
Importantly, the Group’s Net Promoter Score
among customers and key stakeholders
remained high, which reflects the priority we
place on serving our customers, all the more so
during challenging times.
ROCKWOOL Group Annual Report 2022
4
Health and safety
The health and safety of everyone working with
us remains our highest priority, and we put a lot of
work into improving our safety performance every
year. We are very pleased to see our Lost Time
Incident (LTI) rate decreased in 2022, an indication
that many things went well. However, this positive
development was overshadowed by the tragic
fatality of one of our colleagues at the Malkinia,
Poland factory. As a result of this incident, we
have implemented additional accident prevention
measures and even more specific safety instructions.
Results, investments and other activities
Sales grew well in almost all European and Asian
markets, while remaining flat in the United States
and declined in China. Net sales for the year
reached 3907 MEUR, a 27 percent increase in
reported figures over 2021, while EBIT margin was
10.3 percent, 2.7 percentage points lower than
2021. Corrected for costs of 13 MEUR associated
with Ukrainian relief aid and reconstruction activities,
EBIT amounted to 415 MEUR with an EBIT margin
of 10.6 percent. Net profit was 273 MEUR, a 10
percent decrease over 2021. Our balance sheet
remains strong, with a 75 percent equity ratio and
minimal net debt.
Despite the volatile macroeconomic environment,
we continued to invest in our factories, both by
expanding capacity and improving efficiency. We
added Grodan capacity at the Toronto, Canada
factory and Rockfon capacity in Cigacice, Poland.
We also opened the new factory in Qinyuan, China
in December, replacing the old one in Guangzhou
which closed in September. Investment in the new
production facility in Soissons, France, was delayed
in 2022, owing to a local legal challenge, which we
expect to resolve soon.
Additional technology upgrades across our
manufacturing facilities included further automation,
more efficient maintenance practices, and faster
production lines. The aggregate result was a boost
in production capacity equivalent to adding another
factory.
We also began converting the Flumroc factory
in Switzerland from fossil fuel to electric melting
technology, which should be completed during
2024. We continue investing in developing new
and improved technologies to ensure we meet our
ambitious decarbonisation goals.
Underscoring the value of these projects is data
from the factory in Moss, Norway, which we
converted to large-scale electric melting in 2020.
Emissions are down as expected, while the factory’s
production efficiencies are better than anticipated
and the ability to process recycled stone wool is
meeting expectations.
On the business in Russia
Following Russia´s invasion of Ukraine, we
cancelled all new investments in Russia. And in
accordance with EU sanctions, we relinquished
operational management involvement in our
Russian business in the spring of 2022, while
deciding to retain ownership of the business there.
While certainly a difficult decision to take, ethically
and commercially we believe that retaining
ownership of the business is the right thing to
do. Why? In short, if we were to depart Russia,
our factories and the intellectual property rights
to our unique technology would most likely be
nationalised or otherwise transferred to local
players. Since the factories operate independently
of our head office, they would continue to operate
– just under different ownership.
It therefore remains our view that retaining
the business in Russia is the least bad option
available to us. And of course, we will continue
to comply with all international sanctions.
Reconstruction efforts in Ukraine
We condemn the war on Ukraine, which is
having a devastating impact on the country
and its people, to whom we express our full
sympathy. It will take many years to rebuild
the country and ROCKWOOL is committed to
supporting that process.
On 31 August 2022, our shareholders approved
utilising between 100-200 MDKK (13-27 MEUR)
on reconstruction activities in the Chernihiv
region northeast of Kyiv. While large-scale
reconstruction activities will begin as soon as
circumstances allow, the Chernihiv administration
responded positively to our offer to provide
emergency shelter and other support for many of
those left homeless by the war.
In November and December, we delivered
weatherised tents and portable heaters to
provide temporary shelter for up to 400 people.
In addition, we delivered multiple generators
that are helping to power hospitals, residential
buildings, and other important facilities. We also
increased the deliveries of ROCKWOOL’s winter
insulation mats, which are being used to help
keep people warm in shelters. All deliveries are
at the regional administration’s request.
The road ahead
We expect the challenging macroeconomic
environment to continue in 2023, with demand
softening and uncertainty remaining high. On
the positive side, the policy environment for
energy efficiency and building renovation is
increasingly favourable. We expect to see a
gradual implementation of governmental and EU
support schemes that deliver the required energy
efficiency in accordance with the climate targets
for 2030 and 2050.
For 2023, we forecast a sales decline of up to 10
percent in local currencies, with an EBIT margin
in the range of 8 to 10 percent. We anticipate
the energy efficiency agenda in Europe and
North America will speed up renovation rates in
the mid-term and create higher demand for our
circular, non-combustible stone wool. We will
continue to invest in more capacity to support
our long-term growth, and forecast 2023 full-
year investments to be around 400 MEUR.
To our colleagues, thank you for your
dedication, commitment, and hard work again
this past year. And to our customers and
suppliers, thank you for entrusting us to help
meet your needs and helping us to meet ours.
Thomas Kähler Jens Birgersson
Chairman CEO
ROCKWOOL Group Annual Report 2022
5
We create sustainable solutions to protect life,
assets, and the environment today and tomorrow.
Austria
Belarus
Belgium
Bulgaria
Canada
China
Croatia
Czech Republic
Estonia
Finland
France
Germany
Hungary
India
Italy
Japan
Korea
Latvia
Lithuania
Malaysia
Mexico
Norway
Philippines
Poland
Romania
Russian Federation
Singapore
Slovakia
Spain
Sweden
Switzerland
Thailand
The Netherlands
Turkey
Ukraine
United Arab Emirates
United Kingdom
United States
Vietnam
Manufacturing facilities
Sales ofces
World leader with
local presence
51
manufacturing facilities
in 23 countries
120
+
Countries in which
we have sales
Ofce and factory locations
ROCKWOOL Group Annual Report 2022
7
Five-year overview
2022
(MDKK)
2022
MEUR
2021
MEUR
2020
MEUR
2019
MEUR
2018
MEUR
Income statement
Net sales 29 068 3 907 3 088 2 602 2 757 2 671
EBITDA 4 748 638 602 522 548 507
Amortisation, depreciation and write-downs 1 760 236 201 184 176 166
EBIT 2 988 402 401 338 372 341
Financial items -324 -44 -8 -13 -5 -7
Prot before tax 2 664 358 393 325 367 335
Prot for the year 2 031 273 303 251 285 265
Balance sheet
Non-current assets 17 108 2 301 2 129 1 927 1 825 1 468
Current assets 8 385 1 127 951 817 869 963
Total assets 25 493 3 428 3 080 2 744 2 694 2 431
Equity 19 186 2 580 2 394 2 092 2 118 1 877
Non-current liabilities 1 530 206 163 158 160 121
Current liabilities 4 776 642 523 494 416 433
Net interest-bearing cash / (debt) -171 -23 76 95 212 375
Net working capital 3 283 441 306 213 247 198
Invested capital 19 308 2 596 2 294 1 961 1 889 1 542
Gross investment in plant, property and equipment 2 439 328 301 335 393 220
Cash ow
Cash ow from operating activities 2 929 394 426 438 402 408
Cash ow from investing activities 2 481 334 310 362 400 212
Free cash ow 448 60 116 76 2 196
2022
(MDKK)
2022
MEUR
2021
MEUR
2020
MEUR
2019
MEUR
2018
MEUR
Others
R&D costs 409 55 45 41 41 38
Number of patents granted 179 179 253 148 235 268
Number of full-time employees (year-end) 12 197 12 197 11 968 11 448 11 691 11 511
Ratios
EBITDA margin 16.3% 16.3% 19.5% 20.1% 19.9% 19.0%
EBIT margin 10.3% 10.3% 13.0% 13.0% 13.5% 12.8%
Payout ratio 37.3% 37.3% 33.5% 37.7% 33.3% 33.3%
ROIC 16.4% 16.4% 18.8% 17.6% 21.7% 22.8%
Return on equity 11.0% 11.0% 13.5% 11.9% 14.3% 14.9%
Equity ratio 75.3% 75.3% 77.7% 76.1% 78.5% 77.1%
Leverage ratio 0.04 0.04 -0.13 -0.18 -0.39 -0.74
Financial gearing 0.01 0.01 -0.03 -0.05 - 0.10 -0.20
Non-nancial key gures
CO
2
intensity (scope 1+2) per tonne stone wool (index*) 83 85 91 96 96
Energy efciency in own buildings (index*) 61 81 95 94 100
Water intensity from stone wool production (index*) 86 85 90 93 97
Number of countries where we offer recycling service 19 17 14 11 11
Landll waste from our stone wool production (index*) 49 49 50 84 105
Lost time incident frequency rate 2.7 3.6 3.0 2.9 3.5
Absolute GHG emissions (scope 1+2) (index**) 96 100 90 - -
Absolute GHG emissions (scope 3) (index**) 99 100 89 - -
* Index=100 in 2015 (baseline).
** Index=100 in 2019 (baseline).
For denitions of key gures, ratios and exchange rates see p. 87.
ROCKWOOL Group Annual Report 2022
8
2021
202120202018 2019
2018
2019 2020
2019 20202018
2800
2400
2000
1600
2000
1500
3000
4000
2500
1000
2021
200
400
300
500
100
0
20%
16%
28%
24%
12%1200
400
300
200
100
0
2021
2018 20202019
12%
6%
18%
30%
0%
-6%
EBIT
EBIT margin
EBIT
415MEUR*
Up 4% compared to 2021
Maintenance
Capacity
Sustainability
Acquisitions
Sustainability investments
109MEUR
Up from 91 MEUR in 2021
Net sales
Growth (reported)
Sales increased
23%
in local currencies
Invested capital
ROIC
ROIC
16.4%
Down from 18.8% in 2021
Net sales & sales growth
(MEUR)
EBIT & EBIT margin
(MEUR)
ROIC & Invested capital
(MEUR)
Investments
(MEUR)
14%
12%
13%
11%
10%
9%
2022*
2022
2022
2022
3500 24%
* excluding costs to Ukrainian relief aid
and reconstruction of 13 MEUR.
Financial highlights 2022
ROCKWOOL Group Annual Report 2022
9
At the pinnacle of ROCKWOOL’s strategy is our
corporate purpose: to release the natural power
of stone to enrich modern living. This reflects
our purpose’s unifying nature, conveying that
stone is our core raw material and the bedrock
on which our business is based.
And while the stone we use may be millions of
years old, what we do with it is cutting-edge. Every
day, ROCKWOOL’s creative and entrepreneurial
employees are developing and applying new
technologies and innovations to release the
potential of stone to enrich modern living.
As we look to the future, stone wool and the
products we make with it have an important role
in helping to provide adequate housing for all
people and in addressing some of society’s
biggest challenges, including urbanisation,
climate change, and energy independence.
The combination of more people living in more
densely populated areas, the worsening
consequences of climate change, and the need
to reduce dependence on imported energy
increases the global priority for energy efficient
buildings. Why? Because while our existing
buildings provide vital infrastructure, they are
also currently responsible for nearly one-third of
global final energy consumption and energy-
related CO
2
emissions.
Proper insulation alone can reduce a building’s
heating needs by up to 70 percent. When
combined with other technologies like heat
pumps and renewable energy sources – for
example, in deep renovation projects – the
savings are even greater.
For Europe and many other parts of the world,
reducing the energy consumed by buildings is a
critical step towards reducing dependence on
imported fuels and thereby achieving greater
energy independence and security.
At the same time, the world also needs to feed a
growing population using fewer resources, while
also managing the effects of more frequent
extreme weather events, particularly in urban
environments. In both cases, specially engineered
stone wool products are providing solutions.
The ROCKWOOL business strategy is driven by our
people and our commitment to creating solutions
that connect global trends with profitable business
opportunities by designing superior products and
services to protect life, assets, and the environment,
and to create comfortable, healthy, and attractive
spaces. In other words, by enriching modern living.
Our aspiration is to grow faster than the
construction market overall by offering top-quality
products and services, strengthening our brand,
building long-term customer relations, and driving
an operationally effective business across all
segments and geographies where we are active.
As our business is inherently capital intensive,
we focus on leveraging our natural strengths to
balance risks, which includes a differentiated
approach across selected geographies.
In North America, for example, we are expanding
our production capacity to capture significant
growth opportunities within all major business areas.
In Europe, we will grow faster than the market
by launching new products and services, while
improving our customer-facing activities and
the productivity of our production platform. We
will expand capacity where needed to meet
steadily growing demand and enhance our
geographic coverage and customer service
level.
In Asia, the approach is different, in that we will
develop and grow our local business selectively
where there is a clear demand for our premium
quality offerings.
Continuing to recruit, develop, and retain highly
skilled, highly motivated colleagues is essential
to achieving our growth ambitions and fulfilling
our purpose. Doing so will remain a high
priority for ROCKWOOL Group across all our
business areas and operations.
At ROCKWOOL, everything we do is based on
releasing the natural power of stone to enrich
modern living. Profitably offering solutions to
address the challenges created by enduring global
trends will help ensure our successful future growth.
The ROCKWOOL purpose and strategy
The ROCKWOOL business strategy is driven by
our people and our commitment to creating solutions
that connect global trends with protable business
opportunities by designing superior products and
services to protect life, assets, and the environment,
and to create comfortable, healthy, and attractive
spaces. In other words, by enriching modern living.
ROCKWOOL Group Annual Report 2022
10
Our business model
What does ROCKWOOL Group do?
We transform volcanic rock into stone wool, a versatile material with many natural strengths
that make it ideal for use in a range of applications in buildings, industry, transportation,
horticulture and water management.
Our business is dened by:
Our purpose
Low-risk transactional sales
Local business
Capital intensive production
Our impact on society
We see enormous opportunity to leverage the natural power
of stone to create products that accelerate progress towards
a safer, healt hier, low-carbon future.
Volcanic rock is mixed with lime
stone and can contain up to 75
percent recycled material – in
certain geo graphies and product
lines – before being heated to
more than 1500°C.
A nal heat treatment cures the
binder, giving the stone wool
dimensional stability, before
nal processing and production
into a wide range of products.
The molten rock is spun into
wool. A binder and either
a special oil or wetting agent
are added depending on the
application of the end product.
~400 km
Average transport distance
for insulation in Europe (includ-
ing import/export)
In certain geographies and product
lines, our products can contain
up to 75%
recycled material
120+
countries with
sales activity
85%
of sales does not cross
customs borders
All Rockpanel boards are
durable like stone,
easy to cut, and resistant
to the effects of moisture,
temperature, re and
weather.
In schools with no sound
absorption, children cannot hear
up to
70% of consonants their
teachers speak.
Rockow can ab sorb up
to
95% of its volume in
water, without losing its
rigidity and strength.
Urban horticulture can
reduce land
use for vegetable
growing by
75%
or more.
Proper insulation
alone can reduce
heating needs
by 70%.
S
t
o
n
e
w
o
o
l
i
s
f
u
l
l
y
r
e
c
y
c
l
a
b
l
e
51
manufacturing
facilities in
23 countries
ROCKWOOL Group Annual Report 2022
11
Our choices matter,
also for building materials
As an industry, we must make responsible
choices for the climate and for our
collective health and wellbeing. We
know that buildings are the biggest
source of emissions globally, so like all
parts of our lives, the choices we make
as we design and specify for them, must
speak to our common values.
For us at ROCKWOOL, this means
choosing to innovate products and
processes that cut emissions and
waste and contribute to healthier,
more responsible spaces. For building
professionals, this means making smart,
conscious choices across materials,
treatments and finishes. Because, as
the architects of our homes, schools,
hospitals, offices and care facilities,
they have the power to decide how
healthy and safe our societies’ indoor
environments are. Now, and in the future.
Our buildings can do so much more
than provide sanctuary, shelter, comfort
and warmth. They can be consciously
designed and specified with integrity,
so that they truly enrich modern living.
And we at ROCKWOOL can make this
possible for the architects who want to
step up and make the responsible choice,
who refuse to compromise, and who
want to do more than simply meet the
minimum acceptable standard.
Stone wool is made from abundant basalt
rock, so ROCKWOOL products are rich
in the material’s inherent elemental
properties. So, because stone wool does
not burn, ROCKWOOL insulation is fire
safe by nature. Because stone wool can
be infinitely recycled without ever losing
performance, ROCKWOOL insulation is
circular by nature. And because stone
wool is made from stone, ROCKWOOL
insulation is durable by nature.
Which means that we can empower
everyone to make the responsible choice.
We can inspire everyone to design and
to build for the health of people and our
planet. And we can do it by nature.
ROCKWOOL Group Annual Report 2022
12
SOUND
ABSORBENT
ROCKWOOL stone wool insulation is
excellent at reducing and absorbing
sound, and can make even the noisiest
infrastructures seem quieter.
MOISTURE
RESISTANT
ROCKWOOL stone wool insulation repels
water and resists moisture, protecting
the long-term health of buildings and the
people within them.
BREATHABLE
ROCKWOOL stone wool insulation
helps create healthy, comfortable indoor
environments. Its breathability also helps
prevent the growth of mould and mildew.
FIRE SAFE
ROCKWOOL stone wool insulation can
withstand temperatures of over 1000°C
and can help stop the spread of fire,
keeping your family safe.
CIRCULAR
ROCKWOOL stone wool can be
removed and recycled into new stone
wool again and again, without ever
losing performance.
DURABLE
ROCKWOOL stone wool insulation lasts
for at least 65 years! It’s unaffected
by weather, humidity and temperature
changes – and needs no maintenance.
ROCKWOOL Group Annual Report 2022
13
With softer demand in the construction industry and
available capacity in the market, we expect 2023 to be
a challenging year.
Outlook 2023
Market review
ROCKWOOL achieved record sales in 2022 led by strong market demand during
the first half of the year and significant price increases throughout the year. Growing
concerns over inflation, higher interest rates, and the war in Ukraine led to a slow-
down in most businesses, which was especially visible in the second half of 2022. We
adjusted factory capacity to align with market demand, while continuing to invest in
new capacity and sustainability during the year.
We added capacity for Grodan in North America and Rockfon in Europe as well as
began a major renovation of the Flumroc factory in Switzerland, which will replace
coal-fired cupola furnaces with an electric melter. In China, we transferred production
from an old factory in Guangzhou, which was decommissioned in September, to a new
factory in Qinyuan.
At the end of 2022, the global growth picture pointed to a market downturn. European
construction sentiment surveys showed weakness, with leading indicators in negative
territory for around 12 months in a row. The decline was broad-based, affecting
all main markets and subsegments, led by residential housing. Non-residential
construction fared moderately better but is expected to lose momentum during 2023.
ROCKWOOL Group Annual Report 2022
14
Sales decline of up to
10%
in local currencies
EBIT margin between
8-10%
Investments excl.
acquisitions around
400MEUR
We expect the challenging macroeconomic
environment to continue in 2023, with
softening demand and high uncertainty. We
expect energy prices to continue to stabilise,
although still remaining at a high level. On
the positive side, the policy environment for
energy efficiency and building renovation is
increasingly favourable. We expect to see a
gradual implementation of governmental and
EU support schemes that deliver the required
energy efficiency in accordance with the climate
targets for 2030 and 2050.
Outlook 2023
With softer demand in the construction industry
and available capacity in the market, we expect
2023 to be a challenging year. The uncertain
timing of energy efficiency-driven renovation
volume demand compounds the effects of the
slowdown in new construction activity.
In Europe, we see a continued lower demand
in most markets and especially within the
residential segment. The ambitious EU targets
for energy efficiency and the significant subsidy
schemes to support renovation dedicated
in several European countries' recovery
and resilience plans, will eventually have a
significant positive impact on the insulation
industry. Forecasting sales and earnings for
the year thus requires balancing the need to
safeguard market share, profitability, input
costs, and optimising capacity utilisation.
After hitting a low demand point mid-2022,
we expect that sales in North America will
continue the recovery into 2023. The factory in
Ranson, West Virginia is fully operational, and
we benefit from the improved logistics footprint
to better service our customers in the eastern
United States.
The prospects for our Systems segment
look positive, driven by Rockfon’s portfolio
expansion, stabilisation of demand in North
America for Grodan as well as Grodan
entering a new major crop market, in this case,
strawberries, and Rockpanel’s expansion into
new markets.
We started the year by introducing modest
price increases in most markets, however
we expect to pursue a more differentiated
approach across the market with focus on
margin recovery and protecting market shares.
Based on the significant lower demand we have
seen in the past months, we forecast net sales
for the full year to decline with up to 10 percent
in local currencies.
Energy prices have slowly declined during
the past months albeit still high compared to
historical levels and we assume some increased
uncertainty on energy related costs, as the year
progresses. With lower sales volumes, tight cost
control and continued focus on productivity, we
expect an EBIT margin in the range of 8 to 10
percent.
We remain convinced that the energy efficiency
agenda will accelerate mid-term renovation
rates in Europe and North America and
create higher demand for our circular, non-
combustible stone wool. We will therefore
continue the relative high level of capacity
investments.
For 2023, we expect construction of the new
insulation factory in France to commence
and that it will be one of our larger capital
expenditures. Combined with our regular
maintenance and sustainability investments,
we expect the overall capital expenditure
to be around 400 MEUR for 2023, excluding
acquisitions.
Outlook
2023
ROCKWOOL Group Annual Report 2022
15
Insulation
segment
Key gures Insulation segment
MEUR Q4 2022 Q4 2021 2022 2021
External net sales 707 621 3 034 2 291
EBIT 71 69 312 275
EBIT margin 8.4% 9.4% 9.0% 10.4%
Financial results
Insulation segment sales reached 3034 MEUR,
an increase of 29 percent in local currencies
and 32 percent in reported figures. All markets
and businesses contributed to the solid growth,
mainly driven by sales price increases.
Based on our commitment to support recon-
struction activities in Ukraine, spent or accrued
costs of 13 MEUR were recognised in operating
costs in the Insulation segment.
Insulation segment EBIT reached 312 MEUR
with an EBIT margin of 9.0 percent, a decrease
compared to 2021 of 1.4 percentage points.
Adjusted for the Ukrainian relief aid and
reconstruction costs, EBIT margin was 9.4
percent. Sales price increase could not fully
offset the very high inflation on energy,
production materials, and logistic costs.
78%
of sales
ROCKWOOL Group Annual Report 2022
16
Insulation segment
Business update
Insulation solutions
ROCKWOOL offers re-safe, thermally-efcient,
highly durable, and recyclable stone wool insulation.
As central banks increased interest rates to fight
inflation, construction activity in the residential
sector dropped off in the second half of the
year, especially new builds. The renovation
market was less impacted due to sharp focus on
energy independence and energy efficient
renovation, especially in markets with effective
incentive schemes such as Italy and France. In
the commercial sector, the decline was more
gradual.
Sales in the Insulation segment grew in 2022,
driven primarily by price increases. This was not
sufficient to balance out the high inflation and
therefore profitability decreased.
In Western and Eastern Europe, sales increased
across most countries compared to 2021. In
North America, sales also increased, despite a
more rapid rise in interest rates compared to
Europe and the negative impact this had on the
market and economic sentiment.
South Asia had solid sales growth as well,
driven by the post-COVID recovery and good
progress in key markets. Sales in China were
negatively affected by the country’s COVID
policy and issues in the property sector. In the
technical insulation business, sales grew well in
Europe and North America mainly from inflation
driven sales price increases, while export
projects had a more difficult year.
The insulation business performed well despite
high inflation, especially in energy. Overall,
2022 was a turbulent year, with many cross-
cutting forces at play. However, these factors
also highlighted the vital importance of energy
independence, which contributed to
accelerating more ambitious legislation on
energy efficiency and renovation.
The construction industry’s
strong growth in 2021
carried into the rst half
of 2022 as economies
continued to recover from
the effects of COVID-19.
However, a combination of
lower demand, supply chain
challenges, and rampaging
ination and energy costs
contributed to softer market
conditions as the year
progressed.
ROCKWOOL Group Annual Report 2022
17
Systems
segment
Key gures
MEUR Q4 2022 Q4 2021 2022 2021
External net sales 248 221 873 797
EBIT 30 26 90 126
EBIT margin 11.9% 11.8% 10.3% 15.9%
Financial results
Systems segment sales amounted to 873
MEUR, which is an increase of six percent in
local currencies and nine percent in reported
figures. Rockfon and Rockpanel performed well.
Grodan sales were still negatively impacted
by lower sales in North America although the
situation improved during fourth quarter.
Systems segment generated an EBIT of 90
MEUR with an EBIT margin of 10.3 percent,
down 5.6 percentage points compared to 2021.
The lower margin related mainly to impact
from a negative product mix and inflationary
pressures, not fully offset in the price increases.
22%
of sales
AmsterdamROCKWOOL Group Annual Report 2022
18
Ceiling and wall solutions
Rockfon ceiling and wall solutions improve
acoustic performance and indoor climates, while
resisting humidity and inhibiting mould growth.
Systems segment
Business update
We provide customers
with indoor acoustic
solutions for ceilings
and walls.
Our indoor acoustic systems combine stone
wool acoustic tiles with suspension and specialty
ceiling and wall systems that create beautiful,
comfortable spaces. Our acoustic products are
easy to install, durable and help reduce noise
and lower stress levels, significantly improving
wellbeing and indoor comfort.
Sales for Rockfon in 2022 grew across all major
markets. The growth rate slowed during the
second half of the year due to weaker economic
conditions.
In general, the market for interior acoustics
among commercial and residential building
owners continues to be positively influenced by
government-sponsored and private renovation
programmes.
In addition, the natural benefits of stone wool
continue to be appreciated and recognised
across the design community. In Europe, for
example, we launched a range of high-end
design products that match acoustics with
modern trends in design, including a greater
connection to nature (biophilic design) and
circularity.
We continue to see key decisionmakers for
office space, healthcare and education facilities
putting greater focus on Indoor Environmental
Quality (IEQ) and its role in occupant health and
wellbeing. Our stone wool acoustic systems are
well suited to meet these challenges and the
high standards of the leading green building
rating systems such as LEED, WELL and DNGB.
ROCKWOOL Group Annual Report 2022
19
Precision Growing
Less soil, water, and fertiliser, lower CO
2
emissions, with a signicantly higher yield.
That’s Precision Growing.
Based on Precision Growing principles, these
solutions are used to cultivate a variety of crops.
Compared to soil-based methods, our solutions
produce higher yields per square metre using
far less water and fertiliser. What’s more,
Grodan systems make it possible to reduce or
eliminate chemical plant protection products.
We also offer customer-specific advice and
tailor-made analytic tools that facilitate the
sustainable production of healthy, safe and
fresh food produce.
The Grodan business faced significant
challenges in 2022 due largely to rising costs
for energy and resources impacting the
horticulture industry as well as an over-stocked
supply chain in North America, particularly in
the cannabis sector. The fresh produce business
slowed in Europe as greenhouse growers cut
costs by among other things postponing crop
cycles. The produce sector in North America
grew modestly.
We are developing new markets, including
strawberry cultivation on Grodan stone wool.
We began working with strawberry growers in
2021 to learn more about the needs of these
customers and how Grodan can help them meet
their goals. In 2022, we saw tangible results for
these growers, including higher yields.
Systems segment
Business update
We are the global leader
in supplying innovative,
sustainable stone wool
growing media solutions for
the professional horticulture
industry.
ROCKWOOL Group Annual Report 2022
20
Design freedom
Whether shape, colour, engraving or even
bending the boards, design freedom is
at the heart of Rockpanel facades.
Systems segment
Business update
Our cladding and other boards are robust,
flexible and visually appealing, and fit perfectly
with modern architectural trends such as
organic shapes, natural materials, sustainability
and fire safety, while also providing cost
efficiency and ease of installation.
Rockpanel delivered stable growth in its key
markets in 2022. Our Woods, Stones, and
Metals product lines, which combine the look
of these materials with the many strengths of
stone wool, continued to be very popular.
The creative designs and ease of installation
of our products are especially important to
contractors and installers. We continued
bringing that message and the Rockpanel
story directly to local distributors in 2022 with
roadshows at dealer locations that encouraged
local installers to try our products before
buying them.
We also continued expanding our market
reach in 2022 and early 2023, adding Norway
and Finland to our Nordics presence that also
includes Denmark and Sweden. With Norway and
Finland, Rockpanel is now active in 15 countries.
We manufacture
board material mostly used
in ventilated constructions
for façade cladding, roof
detailing, softs and fascia.
ROCKWOOL Group Annual Report 2022
21
Modern living
Lapinus products contribute to safety and comfort
in our daily life and help mitigate the effects of
climate change in urban areas.
Systems segment
Business update
With Rockflow, an underground system that col-
lects, retains, filters and infiltrates rainwater, we
help cities become more resilient to the effects
of climate change. In 2022, we celebrated our
250th Rockflow project. While it is well estab-
lished in the Netherlands and Denmark, Rock-
flow is active now in six European countries with
a focus on growth.
Our Rockzero wall systems also had a solid
2022. This was primarily driven by repeat cus-
tomers who want to construct easy-to-assem-
ble, high-quality, energy efficient homes.
With urban acoustics, we develop products for
controlling vibration from train tracks. This is
especially important in urban areas to protect
infrastructure and quality of life for people liv-
ing nearby. Our products, marketed as Rockdel-
ta, are well known and used in the Nordics and
have gained popularity in Canada. After a slow
start in 2022, sales recovered in the second half,
as larger projects were planned.
The global market for loose fibres, including
for use in the automotive sector – where our
fibres are used in more than 75 percent of all
passenger car brake pads – is still the largest
contributor to our overall business. Despite
market challenges last year, the business
remained stable.
We develop and supply
innovative stone wool-based
products for a wide range of
applications currently in four
core areas: urban climate
adaptation, residential prefab
construction, urban acoustics
and automotive & OEM.
ROCKWOOL Group Annual Report 2022
22
Sustainability is integral
to our business strategy.
Our performance as a Group is determined
by more than our financial results. We
also measure our impact on society, the
environment, and the health and safety of our
people. We do this while investing in new ideas
to grow the business and safeguarding the data
underpinning it all.
For more information regarding ROCKWOOL’s
sustainability and corporate responsibility
approach, please see our 2022 Sustainability
Report.
Sustainability goals progress
Keeping our people safe is ROCKWOOL’s top
priority. As an industrial company employing
approximately 12 200 people, we fully recognise
that our employees face safety risks, which we
take very seriously. In 2022, the goal was to
have zero fatalities and to reduce the Lost Time
Incident (LTI) rate by at least 10 percent.
Tragically, a colleague died as a result of injuries
sustained while working in one of our factories
in 2022. In response, Group Management led
a detailed investigation into the incident and is
implementing several corrective actions at all
ROCKWOOL factories, in the Group health and
safety management system, and in our Group
engineering department. Senior management
is monitoring these changes closely to ensure
that all corrective actions are taken.
In 2022, we successfully reduced our LTI rate by
24 percent, from 3.6 in 2021 to 2.7. This followed
implementing a new strategy to improve our
safety performance and the allocation of extra
resources to support our work around safety.
We met the Group intermediate goal for energy
efficiency in offices this year, finalising the deep
renovation of nine offices during the year. Using
our own products, we can document that deep
renovation of buildings makes sense from a
social, environmental and economic perspective.
Meeting this goal means we have now met
all five intermediate sustainability goals with
baseline 2015 and for a number of these, we are
well on the way to fulfilling our 2030 goals.
We reduced the CO
2
intensity of our
production by 17 percent, compared to the
2030 goal of 20 percent. And we added
Finland and Romania to the countries where we
offer our Rockcycle® reclaimed waste service,
reaching a total of 19 countries compared to
the 2030 goal of 30 countries.
In 2022, we reduced absolute Scope 1 and 2
CO
2
emissions by four percent and Scope 3 CO
2
emissions by one percent compared to the 2019
baselines. We remain committed to achieving the
ambitious, science-based decarbonisation targets
we set in 2020 (see p. 48 of our Sustainability
Report).
In 2022, we reduced the water intensity of our
production by 14 percent compared to baseline.
Production waste going to landfill increased
slightly compared to last year, representing a 51
percent improvement compared to baseline.
The United Nations Sustainable Development
Goals (SDGs) help steer ROCKWOOL’s ambitions.
Coastal and other vulnerable communities will
bear the brunt of climate change’s devastating
impacts. It is with these significant environmental
threats in mind that ROCKWOOL has added SDG
14, Life Below Water, to the 10 SDGs to which we
are already committed, bringing the total number
of prioritised SDGs to 11.
For more information about this, see the
infographic on the next page.
Sustainability
ROCKWOOL Group Annual Report 2022
23
The UN SDGs drive
our sustainability work
Our aim is to turn sustainable development
challenges into business opportunities, creating
innovative products that address some of modern
society’s pressing challenges.
ROCKWOOL was one of the first companies in our industry to commit and contribute actively
to the UN Sustainable Development Goals (UN SDGs) framework. Since 2016, we have used
the framework to set our own Group goals and measure our progress and achievements.
Drawing on extensive consultation with both internal and external stakeholders, we initially
prioritised 10 of the 17 SDGs. In 2022 we added an 11th – SDG14 “Life below water”. You can
read more about our commitment to SDG14 on p. 6 of our Sustainability Report. We consider
these 11 SDGs to be the most material for our business. We review this materiality every year
through our annual strategy process.
We take a lifecycle approach
The 11 SDGs provide the framework for our eight Group-level sustainability goals, two of which
are science-based targets, verified and approved by the Science Based-Targets initiative (SBTi).
True sustainability, however, goes beyond reducing one’s operational footprint. For seven of our
11 priority SDGs, we use externally developed product handprint metrics to track the positive
impact of our products in use. For more information on our handprint and footprint progress,
see pp. 8-9 of our Sustainability Report. On p. 15 in the Sustainability Report, you can see how
our handprint product metrics and sustainability goals are distributed along our value chain.
ROCKWOOL Group Annual Report 2022
24
Diverse and inclusive culture
We want all our people to feel comfortable
being who they are at work and to feel
valued and included. To achieve this, we are
committed to providing equal opportunities to
all employees, promoting diversity, and working
against all forms of discrimination among
ROCKWOOL employees.
The diversity of our workforce is one of
our strengths. Our employees represent a
multiplicity of backgrounds, nationalities and
competencies. There are 79 nationalities
represented across the Group, including 34 at
the headquarters in Hedehusene and five in the
Group Management team.
However, we recognise that we still have a lot of
progress to make and have set Group goals to
achieve this. Increasing female representation
in management roles is a particular focus area.
For further information about our goals and
progress related to female representation in
the Group, please see p. 38 in our Sustainability
Report.
Research and development
Research and development (R&D) activities
continue to be critical for ROCKWOOL. Our
R&D functions are globally organised with
most activities placed at the headquarters in
locations around the world. R&D covers a
wide range of activities such as research
into materials, product development, new
or updated production technologies and
processes, among others. We collaborate
with universities as well as public and private
partners supporting research activities and
applying technology in practice. There were
179 new patents granted in 2022.
Privacy and data protection
Privacy compliance is essential to gaining
and maintaining the trust of our employees,
customers and suppliers. A global data privacy
organisation with a local presence ensures
support and governance.
The privacy compliance programme includes
a privacy policy, a privacy manual and a
handbook with guidelines for selected business
areas as well as specialised templates and
privacy notices. New employees must complete
e-learning training as part of their on-boarding
process.
REPORTING ON CORPORATE
SOCIAL RESPONSIBILITY
Reporting on Corporate Social
Responsibility cf. section 99a of the
Danish Financial Statements Act
We report separately on corporate
social responsibility in our 2022
Sustainability Report in accordance
with section 99a of the Danish
Financial Statements Act.
Reporting on management gender
composition cf. section 99b of the
Danish Financial Statements Act
We report separately on management
gender composition in accordance
with section 99b of the Danish
Financial Statements Act in our 2022
Sustainability Report.
Reporting on diversity cf. section
107d of the Danish Financial
Statements Act
We report separately on diversity in
accordance with section 107d of the
Danish Financial Statements Act in
our 2022 Sustainability Report.
2022 Sustainability Report.
ROCKWOOL Group Annual Report 2022
25
EU Taxonomy
The EU Commission has established the EU
Taxonomy as a specific, science-based classification
system to identify economic activities that are
environmentally sustainable and have a substantial
positive climate and environmental impact. It is
intended to help scale up investments in sustainable
activities, avoid greenwashing, and increase market
transparency by introducing disclosure obligations
on companies and financial market participants. At
ROCKWOOL, we welcome this initiative.
An economic activity is taxonomy-aligned
when it complies with all the requirements as
described in the Taxonomy Regulation. This
means that the activity contributes substantially
to one or more of the taxonomy-specific
environmental objectives, it does not harm any
of the environmental objectives, and it is carried
out in compliance with the minimum safeguards.
We have identified our 2022 global activities
that pass the screening criteria for substantial
contribution in the Climate Delegated Act in the
EU Taxonomy and are thereby considered to
be taxonomy-eligible. We have carried out the
“Do No Significant Harm” (DNSH) assessment
and assessed our alignment with the OECD
Guidelines for Multinational Enterprises and
UN Guiding Principles on Business and Human
Rights, to determine the extent to which these
activities are aligned with the taxonomy.
DNSH to "Climate change adaptation"
In 2022, ROCKWOOL conducted a climate
scenario analysis to evaluate physical climate-
related risks across our global manufacturing
sites. Two alternative climate change scenarios
were analysed: a ‘high physical impact’ 4°C
warming scenario; and a ‘rapid transition’
scenario whereby warming is limited to 2.0°C,
considering the time horizons 2030 and 2050.
The analysis shows that while the physical climate-
related risks across our global manufacturing
sites will not change significantly for either
scenario in the foreseeable future, new potential
climate-related risks have been identified at
certain sites. We will collaborate with relevant
business units to ensure mitigation plans for all
applicable physical climate-related risks are in
place and assessed at regular intervals.
DNSH to "Sustainable use and protection of
water and marine resources"
We control and mitigate risks to local water
quality at our manufacturing sites among other
ways through our environmental permits and
environmental management programmes. At
many of our factories, production process water
is recirculated in a closed-loop without any
discharge. At the remaining factories process
water is discharged to municipal wastewater
treatment plants. We will ensure continued focus
on mitigating risks to local water quality at all
our manufacturing sites, and reinforce these
mitigation efforts when necessary.
In 2022, we conducted a water scarcity
assessment covering all stone wool manufacturing
sites, with the exception of those in Russia. The
assessment determined that five ROCKWOOL
manufacturing sites were located in areas of
high or extreme high water stress. However,
these factories’ water usage is estimated to
be immaterial. Nonetheless, on the basis of
dedicated water management plans, we will
continue to prioritise implementing water
efficiency improvements at these factories as
part of our overall efforts to fulfil the Group
sustainability goal of reducing water use intensity
by 20 percent in 2030 compared to 2015.
DNSH to "Transition to a circular economy"
ROCKWOOL has a strong circular business model
with products that are durable and long-lasting,
easily disassembled, recyclable, and containing
recycled material. In addition, we have set
ambitious circularity goals to further strengthen
this business model. These goals are to reduce
factory waste going to landfill by 85 percent
by 2030 compared to 2015 and offer reclaimed
material services in 30 countries by 2030.
DNSH to "Pollution prevention and control"
The DNSH criterion to the objective of "Pollution
prevention and control" requires the activity not
to use specific substances of concern/chemicals
listed in European Regulations, as specified
by Appendix C in Annex I of the Commission
Delegated Regulation (EU) 2021/2139.
Taxonomy-aligned Taxonomy-eligible but not aligned
Sales
59%
OPEX
66%
CAPEX
66%
ROCKWOOL Group Annual Report 2022
26
ROCKWOOL has carried out a review of
substances and chemicals used in its production
process. ROCKWOOL has identified the use of
one chemical for the binder, formaldehyde, which
is covered by subparagraph (g) in Appendix C.
The use of formaldehyde has been assessed
to qualify for the derogation “essential use for
society” for the main part of our product range
as there are no better alternatives to guarantee
the needed performance that are acceptable for
the environment and health. For part of our light
stone wool product range, alternative binder
solutions exist in the market, and therefore it is
our assessment that the “essential to society”
derogation cannot be claimed for these
products. To reduce our environmental impact
still further, we will continue to focus attention on
the use of all Appendix C substances.
DNSH to "Protection and restoration of
biodiversity and ecosystems"
All our stone wool factories have an
environmental permit where requirements are
made to protect the environment. Furthermore,
all factories are part of the Group’s environmental
management programme. Robust compliance
and conformance programmes are in place at
all sites. In 2022, all ROCKWOOL stone wool
factories were mapped to determine the location
of biodiversity-sensitive areas in close proximity
to the factories. To ensure continuous protection
of specific biodiversity-sensitive areas, we will
be assessing more closely our environmental
management programmes at relevant sites and
strengthening them where deemed necessary.
Compliance with "Minimum safeguards"
In 2021 and 2022, ROCKWOOL carried
out several activities to strengthen its due
diligence governance and internal processes
within human rights. These activities included
revising the Group Code of Conduct for which
the Board of Directors are responsible and
approving a dedicated Human Rights policy and
procedure replacing the former Human Rights
commitment. These key actions provide the
necessary framework within which we can ensure
compliance with internationally recognised
human rights. Also in 2022, a risk assessment
was conducted to identify salient human rights
risks in own operations, thereby ensuring that we
focus our efforts on the most important areas.
No material negative events or impacts were
identified during 2022.
As we continue to strengthen our efforts in this
area, we will enhance supplier management
processes and guiding documents to define,
control, communicate, and document
ROCKWOOL’s approach to sustainable sourcing
and to ensure enforcement of a revised Supplier
Code of Conduct. This process will include a tool
to monitor suppliers in terms of sustainability and
other risk factors.
It is our assessment that there are adequate
internal controls as well as ethics and compliance
programmes for preventing and detecting
bribery. The Group treats tax governance and
compliance as important elements of oversight,
and considers there to be adequate tax risk
management strategies and processes in place.
The Group promotes employee awareness of
the importance of compliance with all applicable
competition laws and regulations.
Taxonomy-aligned net sales
The dominant taxonomy-eligible activity is the
production and sales of insulation products.
Sales from the Systems segment have also been
reported as taxonomy-eligible where the
products contribute as a key component in an
external wall or roofing system. The sources of
net sales are contracts with customers.
Based on the result of the DNSH screening,
some light stone wool products are deemed not
to fulfil the alignment criteria due to the use of
formaldehyde in the stone wool binder.
The total taxonomy-aligned net sales amount to
59 percent.
The taxonomy-aligned KPI is based on full year
figures and net sales can be reconciled to the
Group’s consolidated income statement.
Taxonomy-aligned OPEX
Total operating expenses consists of direct costs
related to research and development, building
renovation activities, maintenance and repair and
any other cost related to day-to-day servicing of
assets property, plant and equipment.
The share of operating expenses considered
taxonomy-eligible primarily relates to the direct
cost of sales of the taxonomy-eligible activities. A
proportionate part of logistic and maintenance
costs was also reported as taxonomy-eligible.
Research and development costs related to
taxonomy-eligible projects were included.
Where both taxonomy-aligned and taxonomy
non-aligned activities are carried out, the
taxonomy-aligned portion of the operating
expenses is determined on the basis of the
taxonomy-aligned net sales. Operating expenses
is a subset of operating costs in the Group’s
consolidated income statement.
66 percent of the operating expenses is assessed
to be taxonomy-aligned.
Taxonomy-aligned CAPEX
Total capital expenditure consists of additions to
tangible and intangible fixed assets including
right-of-use assets during the year. The CAPEX
figures can be reconciled to the additions in
notes 3.1-3.3. No CAPEX plans have been
included.
ROCKWOOL’s taxonomy-eligible share of
investments primarily relates to construction of
insulation factories and equipment, capacity
expansion related to taxonomy-eligible activities
as well as safety and environmental investments
including energy renovations of own buildings.
66 percent of investments are assessed to be
taxonomy-aligned.
ROCKWOOL Group Annual Report 2022
27
EU Taxonomy (continued)
Substantial contribution criteria DNSH criteria
Economic activities Total Proportion
Climate
change
mitigations
Climate
change
adaptations
Climate
change
mitigations
Climate
change
adaptations
Water &
marine
resource
Circular
economy Pollution
Biodiversity
and
ecosystems
Minimum
safe
guards
Taxonomy-
aligned
proportion
MEUR % % % Y/N Y/N Y/N Y/N Y/N Y/N %
Net sales
Environmentally sustainable activities (taxonomy-aligned)
3.5 Manufacture of energy efciency equipment for buildings 2 297 59% 100% 0% Y Y Y Y Y Y Y 59%
Taxonomy-eligible - but not aligned - activities
3.5 Manufacture of energy efciency equipment for buildings 1 108 28% 100% 0% Y Y Y Y N Y Y -
Taxonomy non-eligible activities or activities not covered
Taxonomy non-eligible activities 502 13% - - - - - - - - - -
Total activities 3 907 100% 87% 0% Y Y Y Y Y/N Y Y 59%
OPEX
Environmentally sustainable activities (taxonomy-aligned)
3.5 Manufacture of energy efciency equipment for buildings 2 167 66% 100% 0% Y Y Y Y Y Y Y 66%
Taxonomy-eligible - but not aligned - activities
3.5 Manufacture of energy efciency equipment for buildings 439 13% 100% 0% Y Y Y Y N Y Y -
Taxonomy non-eligible activities or activities not covered
Taxonomy non-eligible activities 678 21% - - - - - - - - - -
Total activities 3 284 100% 79% 0% Y Y Y Y Y/N Y Y 66%
CAPEX
Environmentally sustainable activities (taxonomy-aligned)
3.5 Manufacture of energy efciency equipment for buildings 206 62% 100% 0% Y Y Y Y Y Y Y 62%
7.2 Renovation of existing buildings 14 4% 100% 0% Y Y Y Y Y Y Y 4%
Taxonomy-eligible - but not aligned - activities
3.5 Manufacture of energy efciency equipment for buildings 8 2% 100% 0% Y Y Y Y N Y Y -
Taxonomy non-eligible activities or activities not covered
Taxonomy non-eligible activities 105 32% - - - - - - - - - -
Total activities 333 100% 68% 0% Y Y Y Y YN Y Y 66%
ROCKWOOL Group Annual Report 2022
28
Climate-related financial disclosures
Reviewing climate-related risks and opportunities
is an integrated strategic focus for the majority of
the Group’s business unit management teams
and a fixed part of business reviews.
For identified risks, business unit or Group
function leadership propose mitigating actions,
which are evaluated to ensure effective Group-
level risk management. For more information
related to the sustainability governance structure,
please visit www.rockwool.com/group/about-us/
sustainability/.
The annual Sustainability Report details
ROCKWOOL’s approach and performance
relative to the Group’s sustainability goals as
well as the extent to which our actions live up to
the Paris Agreement on Climate Change goals.
ROCKWOOL has publicly supported the
recommendations of the Task Force on
Climate-related Financial Disclosures (TCFD)
since 2019. The relevant sections for TCFD
reporting in this Annual Report and in our
Sustainability and Remuneration Reports are
outlined in the table.
Task Force on Climate-related Financial Disclosures (TCFD) reporting recommendations
Recommendation Our disclosure in brief
Governance Group Management approves and provides feedback to the portfolio of programmes and targets within the
sustainability area and reports to the Board of Directors. The Group has established an Enterprise Risk Manage-
ment (ERM) Committee and an Integrity Committee. The committees oversee the work with climate-related risks
and opportunities and secure leverage and integration of sustainability across the Group. Details about the
committees can be found at www.rockwool.com/group/about-us/sustainability/. Sustainability measures are used in
the long-term incentive schemes for the CEO, please see Remuneration Report, p. 6.
Disclose the organisation's governance around
climate-related risks and opportunities.
Strategy We have prioritised 11 SDGs on which to focus our efforts and set eight sustainability goals, including two
science-based targets, after consulting with key internal and external stakeholders as well as evaluating our core
competencies. Our annual strategy process examines how best to address the opportunities and challenges we
face in making progress on our sustainability priorities and renes the implementation plans. For more information
please see Sustainability Report, pp. 13-15.
Disclose the actual and potential impacts of
climate-related risks and opportunities on the
organisation's businesses, strategy and nancial
planning, where such information is material.
Risks and opportunities With a large number of manufacturing facilities and capital-intensive production, ROCKWOOL is subject to risks
associated with the increase in severity and frequency of extreme weather events. Such events can include ash
oods and ooding caused by rivers overowing, which could impact one of our factories in Germany and to a less-
er extent our factories in Canada and the United states. In 2022, ROCKWOOL conducted a climate scenario
analysis to evaluate physical climate-related risks across our global manufacturing sites. Two alternative climate
change scenarios were analysed: a ‘high physical impact’ 4°C warming scenario; and a ‘rapid transition’ scenario
whereby warming is limited to 2.0°C, considering the time horizons 2030 and 2050. The analysis has given us a
better understanding of the potential climate-related hazards that may impact our manufacturing sites globally. We
will work closely with relevant business units to ensure we have sufcient mitigation plans in place to address these
hazards. The ERM Committee is responsible for reviewing and updating the internal risk management framework
and for implementing related processes, please see p. 31. Climate-related opportunities are closely linked to the
Group’s commercial strategy relating to the sale of more carbon emission-abating products. As such these
opportunities are integrated into the different business unit strategies, which are updated annually.
Disclose how the organisation identies,
assesses and manages climate-related risks.
Metrics and targets
The annual Sustainability Report discloses our approach; 2030 CO
2
intensity goal and 2034 science-based targets;
key performance indicators; and performance in line with our goals and the UN Sustainable Development Goals.
We disclose a comprehensive set of three-year comparable quantitative data for energy, carbon (including Scope
1, 2 and 3 emissions), water, air emissions, waste and safety. We have also disclosed detailed information to CDP on
our greenhouse gas emissions and approach to climate change management since 2007. For more information
please see Sustainability Report, pp. 17-41.
Disclose the metrics and targets used to
assess and manage relevant climate-related
risks and opportunities, where such informa-
tion is material.
ROCKWOOL Group Annual Report 2022
29
Systems and processes
The Board of Directors is responsible for
ensuring that the Group’s risk exposure is
consistent with its targeted risk profile.
The Board also evaluates that appropriate
awareness and management processes are in
place. Managing the risk process is part of the
Chief Financial Officer’s area of responsibility
and includes providing regular updates to the
Audit Committee and Board of Directors.
All Group functional heads and Managing
Directors of our subsidiaries must ensure that
a risk review within their areas of responsibility
is conducted at least once a year; and that
those risks are discussed, described, scored for
severity and likelihood, and quantified in terms
such as predicted financial impact.
The Group function or subsidiary proposes
appropriate mitigating actions for identified
risks, which are studiously evaluated to ensure
effective risk management at Group level. The
Group’s Enterprise Risk Management Committee
consists of members from the Group functions.
The committee is responsible for reviewing
and updating the internal risk management
framework and for implementing related
processes. The committee meets quarterly to
decide on the top risks to be included in the
quarterly updates to the Board of Directors.
The Audit Committee selects deep dives
into the Group’s top risks, which the “risk
owner” presents for the Risk Committee,
Group Management and finally to the Audit
Committee and the Board of Directors. With
these systems and processes, the Group
identifies and mitigates the risk. The objective
is to ensure that any residual risks are at an
acceptable level.
Key risks
Climate risks, energy supply, presence in Russia,
and cyber threats are currently the risks that would
have the highest potential to impact ROCKWOOL
Group if the risks were to materialise.
Carbon emission regulation
Description
As part of an energy-intensive industry,
ROCKWOOL faces specific climate-related
risks on both the regulatory and technological
fronts. Key innovations in our melting
technology and multiple other energy-saving
initiatives will contribute to achieving the
decarbonisation goals that are reflected in the
science-based targets we announced in 2020.
These targets are verified and approved by the
Science Based Targets initiative (SBTi). Read
more about our SBTi commitment in our 2022
Sustainability Report.
Climate-related regulations can represent
both an opportunity and risk: an opportunity
to positively influence the demand for carbon
emission abating solutions such as insulation;
and a risk, as regulation can increase industry’s
financial burden relating to carbon emissions.
Seventeen of the Group’s factories are included
in or linked to the EU Emission Trading Scheme
(ETS) Phase IV from 2020-2030. In addition, our
factories in the UK and Ontario, Canada are
included in a national ETS. The overall financial
impact of being under an ETS is expected
to be limited. However, in the longer-term,
more ambitious climate policy and associated
regulatory framework could lead to a risk of
increasing carbon cost.
Risk trend - stable
Mitigation
We closely monitor regulatory framework
developments to identify both risks and
opportunities early in the process.
At regular intervals we assess the ETS's financial
impact on our business. For the period 2020-
2030, the mineral wool sector has been granted
EU carbon leakage, which significantly increases
the number of free allowances allocated to each
factory.
In addition, our ambitious decarbonisation
strategy will reduce our absolute CO
2
emissions
significantly, as we are increasingly using low
or lower carbon-intensive energy sources.
Therefore, while we expect certain factories will
experience an allowance deficit in the period
2020-2030, the Group level allowance stock will
cover this deficit.
Energy supply
Description
ROCKWOOL is taking steps to decarbonise
our production process by introducing key
innovations in our melting technology. This
involves switching from coke to gas in some
factories, from coke or gas to electricity in
other factories, and building new factories
based on electricity. Consequently, our future
dependence on gas will remain fairly stable and
downward trending, while our dependence on
electricity will increase.
In 2022, the war in Ukraine and the subsequent
sanctions and diplomatic crisis between
Russia and the Western world resulted in the
almost total collapse of Russian gas exports to
Europe. The resulting natural gas shortage in
the European grid caused a spike in gas prices
and increased the risk of industrial disruption in
many countries.
The shortage of natural gas combined with
electricity production issues in Europe had a
significant impact on the electricity price, which
soared to unprecedented levels in 2022. The
high energy prices had a negative impact on
profitability and increased the risk of disruption
in our operations.
Risk trend – up
ROCKWOOL Group Annual Report 2022
31
Mitigation
To mitigate the risk of production disruption,
alternative energy processes and energy
sources are being identified for key European
factories, with the focus of continued
compliance with the environmental and safety
permits. Furthermore, ROCKWOOL’s energy
strategy was reviewed in 2022, including how to
source and the possible use of power purchase
agreements to ensure supply and act as hedges
against future spikes in energy prices.
Presence in Russia
Description
ROCKWOOL’s ownership of four Russian factories
and the consequences of Russia’s war against
Ukraine increase certain risks for ROCKWOOL.
The main risk factors are loss of brand value,
breach of EU, U.S., or UK economic sanctions, and
loss of key intellectual property and assets.
ROCKWOOL has experienced media and
public criticism primarily in Denmark due to our
continued operations in Russia. Worsening of
the war, breach of sanctions or actions by the
Russian authorities could lead to a decrease in
brand value and reputation.
The significant EU, U.S., and UK economic
sanctions have increased the complexity of
maintaining the business in Russia, as have
Russian government sanctions. Sanctions
compliance remains a fundamental priority for
ROCKWOOL.
Additionally, there remains a risk that the
Russian government will nationalise the four
factories or otherwise transfer ownership,
including key technologies and intellectual
property, to Russian actors. This would result in
the Russian state or a Russian competitor taking
over significant assets and income streams.
Risk trend - up
Mitigation
ROCKWOOL seeks to mitigate the risk of a
decrease in brand value and reputation by
engaging openly and extensively in the public
debate, primarily via the media, to explain
the reasoning behind our decisions and to
provide timely responses as questions arise.
Similar discussions occur privately among key
stakeholders as well.
Procedures and internal controls have been
established to secure compliance with all
sanctions. The Russian business operates
on a stand-alone basis with no operational
management involvement from ROCKWOOL
Group. All investments and cross-border sales
have been stopped. A continued cash flow in
the form of regular license income and dividend
from the Russian business is secured in close
cooperation with existing financial institutions.
Cyber threats
Description
Major companies including ROCKWOOL have
seen an increase in the frequency and severity
of cyberattack attempts to business operations.
As ROCKWOOL depends on IT systems, networks
and related processes to run day-to-day business,
the Group is vulnerable to system outages.
With the digitalisation of business processes,
a cyberattack or non-availability of IT
systems increases the potential financial and
reputational consequences for our business and
the ROCKWOOL brand. Preserving business
continuity and safeguarding sensitive business
data and critical assets against the global cyber
threat is extremely important to ROCKWOOL,
and therefore a top priority for operational
excellence and further digital investments.
Risk trend - stable
Mitigation
Key IT objectives include preventing digital
theft of intellectual property; limiting and
quickly rectifying operational disruptions; and
protecting the rights of external and internal
data subjects.
Also high on the IT security agenda is protecting
consumers against misinformation or misuse of
ROCKWOOL brands.
The Group’s IT strategy therefore comprises a
continued effort to strengthen the protection
against cyber threats. It involves investments in
cyber protection practices and tools regarding
core IT infrastructure, factory IT and operations
technology, and user devices that access
ROCKWOOL’s systems.
Furthermore, the IT strategy focuses on
reducing the human element of this IT
risk by continually improving the Group’s
authentication practices and usage of
credentials, and continuous education of users.
The Group's IT department systematically
mitigates risks based on internal assessments
as well as the findings of external IT auditors
and the evaluations of external experts. The
activities carried out by the Group and its
partners are expected to keep the risk of losing
the operational stability and integrity of all
digital services rendered for internal or external
use at an acceptable level.
Risk management (continued)
ROCKWOOL Group Annual Report 2022
32
Corporate
governance
We act with integrity and in accordance
with our values, rules and regulations.
ROCKWOOL’s governance principles and structure are designed to
ensure alignment with long-term shareholder interests and to enable
prudent management of the Group in accordance with relevant national
and international regulations as well as applicable corporate governance
recommendations.
The Board of Directors appoints the Registered Directors, consisting of the
CEO and CFO, who undertake the day-to-day management of ROCKWOOL.
ROCKWOOL Group Annual Report 2022
34
Shareholders and general meeting
The Annual General Meeting (AGM) is the
supreme body of the corporate governance
structure and elects the Board of Directors
as well as independent auditors. The AGM
approves any changes to the articles of
association and to the capital structure,
including any issuance of new shares.
The shareholders have the ultimate authority
over the company and can exercise their rights
by passing resolutions at general meetings.
Resolutions are adopted by simple majority of
votes, unless otherwise provided by legislation
or by the articles of association.
ROCKWOOL is not aware of shareholder
agreements containing pre-emption rights
or restrictions on voting rights. There is an
agreement among members of the founding
Kähler family to meet regularly to discuss their
interests in the company, including items at the
AGM, but there is no requirement for them to
vote jointly.
Board of Directors
The Board of Directors today consists of nine
members, six of whom are elected by the
shareholders at general meetings. Of these, four
members are deemed independent according
to the Danish Recommendations on Corporate
Governance. Three members are elected by the
employees, for a period of four years, pursuant
to the Danish Companies Act. The next ordinary
election takes place in 2026.
In 2022, Andreas Ronken retired from the Board
of Directors and was succeeded by Ilse Irene
Henne.
The roles and responsibilities of the Board of
Directors are defined in the Business Procedure
for the Board of Directors. The members of
the Board of Directors are elected by the
general meeting for a period of one year and
may be re-elected. The members of the Board
of Directors are non-executive members in
accordance with the Danish Companies Act.
The Board of Directors is responsible for the
overall purpose and strategy and shall ensure
proper organisation of ROCKWOOL. The Board
of Directors also ensures that the business is
developing on track toward agreed short- and
long-term goals. The Board of Directors formally
approves the Code of Conduct and the Audit
Committee ensures compliance hereof in the
Group.
Once a year, the Board of Directors performs
an overall self-evaluation focusing on the
composition and competencies of the Board
and the results achieved. The Board of Directors
has decided that an external consultancy shall
facilitate an in-depth self-evaluation every third
year, next time in 2024. In 2022, the Board of
Directors conducted the annual evaluation
based on a detailed questionnaire. Based on this
evaluation, the Board concluded that its present
composition is appropriate and sufficient for it
to perform its tasks and support long-term value
creation for the shareholders.
As for the special competences of each Board
member, please refer to the CVs listed on the
website, www.rockwool.com/group/about-us/
rockwool-group/people/.
The Board of Directors held 10 board meetings
and a strategy session in 2022. The meeting
agenda is set according to the annual cycle of
the Board, thus ensuring that the strategic and
operational policy framework of the Group is
reviewed and up to date. Information about
Board member meeting attendance can be
found on pp. 38-39.
The Board of Directors has established
a Chairmanship, an Audit Committee, a
Nomination Committee and a Remuneration
Committee. The committees report to the Board
of Directors.
Registered Directors
The Registered Directors are the CEO and
CFO, who are registered as directors with the
Danish Business Authority. The Registered
Directors are responsible for the day-to-day
management of the company and compliance
with the guidelines and recommendations set
forth by the Board of Directors. The Registered
Directors’ responsibility covers organisation of
the company as well as allocation of resources,
producing and implementing strategies and
policies and ensuring timely reporting to the
Board of Directors.
Group Management is formed by the Registered
Directors together with six senior vice presidents
responsible for division management and Group
functions.
ROCKWOOL Group Annual Report 2022
35
Registered Directors
Chairmanship
Nomination
Committee
Remuneration
Committee
Audit
Committee
Board of Directors
Shareholders and general meeting
Remuneration of the Board of Directors and
the Registered Directors
Remuneration of the Board of Directors and the
Registered Directors is carried out in accordance
with the Remuneration Policy as adopted by the
Annual General Meeting. The remuneration
policy is available at www.rockwool.com/group/
The remuneration of the Board of Directors
amounts to 1 MEUR. The specific Board
remuneration and the remuneration components
granted to each Registered Director can be found
in the 2022 ROCKWOOL Remuneration Report at
www.rockwool.com/group/about-us/investors/.
Board Chairmanship and Committees
The Board of Directors has established four
substructures.
The Chairmanship
The Board of Directors has established a
Chairmanship consisting of the Chairman and
the Deputy Chairman. They prepare the Board
meetings.
Audit Committee
The Board of Directors has appointed an Audit
Committee consisting of three members. The
majority of its members are independent.
The Audit Committee monitors and reports on
the statutory audit, accounting and audit policies
and the financial and sustainability reporting
processes including auditor independence.
The committee also decides which policies
or processes, if determined by the Board of
Directors or the Audit Committee, should be
subject to thorough evaluation.
The Audit Committee monitors compliance with
applicable legislation, standards and regulations
and the internal controls and risk management
systems.
The Audit Committee also monitors cases from
the whistle-blower system.
Remuneration Committee
The Board of Directors has appointed a
Remuneration Committee consisting of two
members of the Board of Directors: the
Chairman, who is considered not to be
independent, and the Deputy Chairman, who is
considered independent.
The Remuneration Committee ensures that the
company maintains a remuneration policy for
the members of the Board of Directors, the
Registered Directors and senior executives,
including compliance hereof.
Corporate governance (continued)
Our governance model
ROCKWOOL Group Annual Report 2022
36
The Remuneration Committee makes proposals
for the remuneration of the Board of Directors
and the Registered Directors and reviews and
approves remuneration for other members of
Group Management.
The Remuneration Committee also ensures the
preparation of the annual Remuneration Report.
The Remuneration Report will be subject to a
non-binding advisory vote from the
shareholders. The Remuneration Report can be
found on the Group website.
Nomination Committee
The Board of Directors has appointed a
Nomination Committee consisting of two
members of the Board of Directors: the Chairman,
who is considered not to be independent, and the
Deputy Chairman, who is considered independent.
The Nomination Committee identifies and
recommends to the Board of Directors persons
who are qualified to become members of the
Board of Directors and Registered Directors. The
Nomination Committee further recommends
removal of such persons, if relevant. The
Nomination Committee reviews and suggests
changes to relevant corporate policies, including
corporate governance.
Recommendations on Corporate Governance
The Board of Directors has discussed and reviewed
the general recommendations for Danish listed
companies as provided by the Danish Committee
on Corporate Governance. ROCKWOOL complies
with all but two of the recommendations.
With respect to recommendation 3.3.2, to
publish information about the number of
shares, options, warrants or similar in the
company, and other Group companies, owned
by each member of the Board of Directors, the
company considers this to be a private matter.
It is ROCKWOOL’s judgement that disclosure of
such information will not add additional value
for shareholders and other stakeholders. Board
member remuneration does not include
share-based elements.
The recommendation 3.4.2, that a majority of
the members of board committees should be
independent, is not applied in the
Remuneration and Nomination Committees.
The Board of Directors finds that the
committees can perform their functions in a
prudent manner even if the majority of the
members are not independent.
A detailed review of ROCKWOOL’s position on
each of the recommendations and a description
of the internal control and risk management
system relating to financial reporting can be
found in the statutory report on corporate
governance prepared pursuant to section 107b
of the Danish Financial Statements Act at
www.rockwool.com/group/about-us/corporate-
governance/management-governance-report/.
ROCKWOOL Group Annual Report 2022
37
Board of Directors
Thomas Kähler
Chairman
Elected to the Board: 2008
Other positions related to the company
Member of the Chairmanship, Member of the Audit
Committee, Chairman of the Remuneration and
Nomination Committees, Member of the Kähler
Family Meeting.
Positions in other Danish companies
Chairman of the Board of Dansk Celleglas ApS;
Director and member of the Board of DURAPOR A/S;
Member of the Board of Metier Westergaard A/S.
Thomas Kähler participated in all Board and Audit,
Remuneration and Nomination Committee meetings
during 2022.
Carsten Bjerg
Deputy Chairman
Elected to the Board: 2011
Other positions related to the company
Member of the Chairmanship, Member of the
Remuneration and Nomination Committees.
Positions in other Danish companies
Chairman of the Boards of Hydrema Group A/S;
Arminox Investment A/S (and one fully-owned
subsidiary); Bogballe Investment A/S (and one fully-
owned subsidiary); CapHold Guldager ApS (and
one fully-owned subsidiary); and Robco Engineering
Investment A/S (and one fully-owned subsidiary).
Member of the Boards of Agrometer Investment A/S
(and three fully-owned subsidiaries); TCM Group A/S*
(and one fully-owned subsidiary); Aarhus Universitet;
Bjerringbro-Silkeborg Håndbold A/S; and COWI
Holding A/S.
Carsten Bjerg participated in all Board and Remuneration
and Nomination Committee meetings during 2022.
Ilse Irene Henne
Elected to the Board: 2022
Chief Transformation Officer (CTO) thyssenkrupp
Materials Services.
Other positions
Member of the Baden-Badener Unternehmer
Gesprache e.V., Klasse 135, Germany; Member of
the Board and member of the Audit Committee of
Arkema S.A., France; Chairperson of the Supervisory
Board of thyssenkrupp Materials Services, Essen,
Germany.
Following her election, Ilse Irene Henne participated in
all Board meetings during 2022 except one meeting.
Rebekka Glasser Herlofsen
Elected to the Board: 2020
Other positions related to the company
Chairperson of the Audit Committee.
Other positions
Chairperson of the Board of Norwegian Hull Club
and Handelsbanken Norge, Norway; Chairperson of
the Council, DNV, Norway; Member of the Boards
of Equinor ASA, Wilh. Wilhelmsen Holding ASA and
Torvald Klaveness Group, Norway; Member of the
Boards and Chairperson of Audit Committees of
SATS ASA and BW Offshore ASA, Norway; Member
of the Nomination Committee of Orkla ASA, Norway.
Rebekka Glasser Herlofsen participated in all Board
and Audit Committee meetings during 2022 except
two meetings.
ROCKWOOL Group Annual Report 2022
38
Carsten Kähler
Elected to the Board: 2021
Other positions related to the company
Member of the Kähler Family Meeting.
Other positions
Member of the Board of the Fahu
Foundation.
Carsten Kähler participated in all Board
meetings during 2022 except one
meeting.
Jørgen Tang-Jensen
Elected to the Board: 2017
Other positions related to the company
Member of the Audit Committee.
Positions in other Danish companies
Member of the Boards of VKR Holding
A/S; VILLUM FONDEN and Maj Invest
Holding A/S (and two fully-owned
subsidiaries).
Other positions
Chairman of the Board of Tænketanken
Europa (Think Tank Europe).
Jørgen Tang-Jensen participated in all
Board and Audit Committee meetings
during 2022.
Berit Kjerulf
Elected to the Board: 2022
Employee representative
Environmental Manager, ROCKWOOL
NORDICS.
Following her election, Berit Kjerulf
participated in all Board meetings
during 2022.
Connie Enghus Theisen
Elected to the Board: 2006
Employee representative
Senior Group Advisor, ROCKWOOL A/S.
Connie Enghus Theisen participated in
all Board meetings during 2022.
Christian Westerberg
Elected to the Board: 2018
Employee representative
Design Manager, ROCKWOOL A/S.
Other positions related to the company
Member of the Board of the
ROCKWOOL Foundation.
Christian Westerberg participated in
all Board meetings during 2022 except
one meeting.
*listed companies
For further information about
independence and competencies of
the board members, please refer to
www.rockwool.com/group/about-us/
rockwool-group/people/.
ROCKWOOL Group Annual Report 2022
39
Group Management
Jens Birgersson
President and Chief
Executive Officer (CEO)
Member of the Registered Directors
(in Danish: Direktionen).
Member of Group
Management: 2015
Positions in other Danish companies
Chairman of the Board of Randers Reb
International A/S, Denmark.
Other positions
Member of the Board of dormakaba Group,
Switzerland.
Kim Junge Andersen
Senior Vice President,
Chief Financial Officer (CFO)
Member of the Registered Directors
(in Danish: Direktionen).
Member of Group
Management: 2016
Other positions
Member of the Board of FORCE Technology,
Denmark.
Bjørn Rici Andersen
Senior Vice President,
Group Operations & Technology
Member of Group
Management: 2018
Volker Christmann
Senior Vice President,
Head of Insulation Central Europe
Member of Group
Management: 2015
Other positions related to the company
Member of the Board of the ROCKWOOL Foundation.
Positions in other Danish companies
Member of the Board of H+H International A/S,
Denmark.
Other positions
President of BuVEG Bundesverband energieeffiziente
Gebäudehülle e.V., Germany (federal association of
energy-efficient building envelope).
ROCKWOOL Group Annual Report 2022
40
Anders Espe Kristensen
Senior Vice President,
Head of Systems Division
Member of Group
Management: 2021
Other positions related to the company
Member of the Board of AKUART A/S.
Henrik Frank Nielsen
Senior Vice President,
Head of Insulation North East Europe
& Russia
Member of Group
Management: 2007
Rafael Rodriguez
Senior Vice President,
Head of Insulation South West Europe
Member of Group
Management: 2022
Other positions
Member of The Shift Forum, France.
Mirella Vitale
Senior Vice President,
Group Marketing, Communications
& Public Affairs
Member of Group
Management: 2016
ROCKWOOL Group Annual Report 2022
41
Shareholder information
ROCKWOOL shares
ROCKWOOL A/S is listed on Nasdaq
Copenhagen in two share classes: ROCKWOOL
A and ROCKWOOL B. The class B share is
included in multiple indices including the
leading Danish stock index Nasdaq OMX C25,
MSCI Global Standard, and STOXX® Europe
600 Construction & Materials.
In 2022, the class B share price decreased by 43
percent while the class A share decreased by 31
percent. That compares with a 13 percent
decrease in the benchmark index STOXX®
Europe 600 Construction & Materials and a 14
percent decrease in the Nasdaq OMX C25
index during 2022.
The official share price on 31 December 2022
was 1637 DKK (B share) and 1636 DKK (A share).
The combined market capitalisation at the end
of the year was 35 311 MDKK.
Each class A share of a nominal value of 10 DKK
entitles the holder to 10 voting rights and each
class B share of a nominal value of 10 DKK
entitles the holder to one voting right.
Share capital amounts to a nominal value of
216 207 090 DKK, of which nominally 109 065 220
DKK (2021: 111 555 580 DKK) is class A share
capital, and nominally 107 141 870 DKK (2021:
104 651 510 DKK) is class B share capital.
The changes in nominal value between class A
and class B shares arise from the conversion
scheme initiated 24 August 2022. The conversion
scheme gives shareholders a voluntary right to
convert class A shares to class B shares, under
certain terms and conditions, four times a year.
Further details are available at www.rockwool.
com/group/about-us/investors/conversion-
shares/.
The company had 37 596 (2021: 31 867)
registered shareholders on 31 December 2022.
By the end of 2022, 23 percent (2021: 22
percent) of the shares were owned by
shareholders located outside Denmark. In terms
of voting capital, seven percent (2021: seven
percent) was located outside Denmark.
For a list of shareholders holding more than five
percent of the share capital or the votes, please
refer to p. 101.
Capital structure and dividend
Management regularly assesses whether the
ROCKWOOL capital structure is in the interests
of the Group and its stakeholders. The overall
objective is to ensure continued development
and strengthening of the Group's capital
structure that supports long-term profitable
growth.
Votes per shareholder categoryOwnership per shareholder category
Share price development 2022
(DKK)
The ROCKWOOL Foundation Own shares Private investors with less than 5%
Institutional investors with less than 5% Other shareholders with more than 5%
OMX C25ROCKWOOL B STOXX
®
Euro 600 Construction & Materials
01/01 01/02 01/03 01/04 01/05 01/06 01/07 01/09 01/10 01/11 01/12 01/0101/08
6%
23%
0%
42%
29%
28%
0%
48%
7%
17%
3000
2000
1000
2022 2022 20222022 20222022 20222022 20222022 2022 2022 2023
ROCKWOOL Group Annual Report 2022
42
Stock market information
2022 2022 2021 2020 2019 2018
(EUR) DKK DKK DKK DKK DKK
Earnings per share 13 93 104 86 97 91
Dividend per share 4.7 35.0 35.0 32.0 32.0 29.9
Cash ow per share 18 136 147 150 136 140
Book value per share 119 887 823 707 719 638
Share capital (million) 29 216 216 220 220 220
Price per A share 220 1 636 2 379 2 075 1 439 1 430
Price per B share 220 1 637 2 859 2 296 1 585 1 697
Market cap (million) 4 748 35 311 56 295 47 062 33 072 34 168
Number of own shares 47 857 47 857 56 228 403 912 72 894 75 865
Number of A shares of 10 DKK (10 votes) 10 906 522 10 906 522 11 155 558 11 231 627 11 231 627 11 231 627
Number of B shares of 10 DKK (1 vote) 10 714 187 10 714 187 10 465 151 10 743 296 10 743 296 10 743 296
It is the intention of ROCKWOOL that the net
debt should be maximum one time the EBITDA,
with due regard to the Group’s long-term
financing requirements.
The dividend policy is to pay out a stable
dividend that is at least one-third of net profit
after tax.
After assessing the outlook for the economic
cycle, investment plans and structural business
opportunities, and considering the dividend
policy, the company can further decide to
initiate share buy-backs to adjust the capital
structure.
At the Annual General Meeting on 29 March
2023, the Board of Directors will propose a
dividend of 35 .00 DKK per share for the
financial year 2022 (2021: 35.00 DKK). The
dividend payment occurs three banking days
after the Annual General Meeting.
Investor relations
As a listed company ROCKWOOL A/S has
defined a policy for its activities relating to
ROCKWOOL A/S' shares ("the shares").
The aim of this policy is to:
Ensure that the capital market has an accurate
picture of the earnings potential of the shares
by communicating relevant, correct,
balanced, and timely information to market
participants.
Ensure that ROCKWOOL A/S complies with
all relevant rules and regulations as laid out in
the Nasdaq Copenhagen Rules for issuers of
shares as well as applicable Danish and EU
legislation for publicly listed companies.
Ensure fair and transparent rules for the
trading of the shares by ROCKWOOL A/S
itself and by persons considered insiders.
Strive to ensure that ROCKWOOL A/S is seen
as an honest, accessible, reliable, and
responsible company by the capital markets.
Maintain broad coverage by both domestic
and foreign equity analysts.
Be knowledgeable, responsive and proactive
in our investor communication maintaining a
fair balance between expectations and
performance.
ROCKWOOL A/S' shares are generally
categorised within Construction and Materials
and are currently covered by 20 equity analysts,
13 of which are based outside Denmark. For
further details regarding analyst coverage
including recommendations and consensus,
please see www.rockwool.com/group/about-us/
investors/consensus-and-analysts/.
All investor relations materials and contact
information are available to investors at www.
rockwool.com/group/about-us/investors/.
Financial calendar 2023
8 February
Annual Report
for 2022
10 May
Report on the first
quarter of 2023
22 November
Report on the first
nine months of 2023
29 March
Annual General
Meeting
30 August
Report on the first
half-year of 2023
ROCKWOOL Group Annual Report 2022
43
Financial
performance
Record high sales with 23 percent growth in
local currency. Protability remained double-
digit despite soaring ination during the year,
especially in the third quarter, achieving a 10.3
percent full-year EBIT margin. Based on our
commitment to support Ukraine with relief aid
and reconstruction activities, spent and accrued
costs of 13 MEUR were recognised in the fourth
quarter.
ROCKWOOL Group Annual Report 2022
44
Global sales development
Sales in the first half of the year showed strong
growth supported by sales price increases
and volume growth. Despite the increasing
inflation, the growth was substantially driven by
pandemic-related government-funded economic
recovery and stimulus packages, and a strong
focus on climate-related energy efficiency
actions.
During the second half of the year, and
especially in the third quarter, high energy
prices, the unfolding war in Ukraine, continued
soaring inflation, and steady increases in
interest rates changed the picture considerably,
contributing to a decline in construction activity
in key markets. Considering this context, the
business performed well, and towards the end
of the year, capacity was adjusted to adapt to
the market situation.
Net sales for 2022 reached 3907 MEUR, an
increase of 23 percent in local currencies and 27
percent in reported figures, which is at level with
the latest announced expectation. Compared
to the outlook announced in the Annual Report
2021, sales price increases throughout the year
were higher than initially planned and added to
the higher growth.
Regional sales development
Sales in Western Europe reached 2290 MEUR,
an increase of 25 percent in local currencies
and reported figures. All markets showed
solid double-digit sales growth. Sales in Italy
continued to show record high levels supported
by government incentive schemes for energy
efficiency renovation, although somewhat
slower in the fourth quarter. Germany and
the Nordic regions also achieved strong sales
growth.
Sales in Eastern Europe reached 813 MEUR, up
37 percent in local currencies and 45 percent
in reported figures, due to positive currency
impact. All markets except Ukraine saw double-
digit growth rates with especially Poland,
Hungary and Romania performing very well.
The sales decline in Russia accelerated in the
fourth quarter.
In the rest of the world, sales reached 804
MEUR, an increase of seven percent in local
currencies and 16 percent in reported figures.
Sales in North America showed good growth
during the year although hampered by the
decreasing sales in Grodan North America.
The insulation business in North America
showed strong double-digit sales growth well
supported by the new factory in West Virginia.
In Asia, most main markets achieved double-
digit growth throughout the year. Especially
sales in India and Japan showed strong growth,
the latter well supported by the new factory
in Japan. Sales in China were still impacted by
COVID restrictions during the year.
Group protability
Despite continued inflation in energy prices
and raw materials, the profitability was partly
recovered in the fourth quarter with an EBIT
margin of 10.5 percent. Adjusted for the
Ukrainian relief aid and reconstruction costs of 13
MEUR, the fourth quarter EBIT margin was 11.9
percent, an increase of 0.7 percentage points
compared to the fourth quarter in 2021. We
achieved a 10.3 percent full-year EBIT margin.
Adjusted for the costs related to relief aid and
reconstruction activities in Ukraine of 13 MEUR
EBIT margin ended at 10.6 percent, a decrease of
2.4 percentage points compared to 2021.
Due to the decrease in sales volume from
lower construction activity in key markets, the
capacity in the factories was adjusted in the
fourth quarter, which temporarily impacted the
operational efficiency and cost savings activities.
Overall, during the year, a strong focus on driving
efficiency, while investing in new competencies,
digitalisation and growth initiatives supported the
profitability.
EBITDA increased six percent to 638 MEUR with
an EBITDA margin of 16.3 percent. This is an
acceptable achievement in a year with such high
energy and raw materials costs.
Net sales development
Growth MEUR
Net sales 2021 3 088
Organic development 23% 704
Currency translation adjustment 4% 115
Net sales 2022 27% 3 907
EBIT development
Development MEUR EBIT Margin
EBIT 2021 401 13.0%
Earnings from operation -6.0% -24 -3.0%
Currency translation adjustment 6.3% 25 0.3%
EBIT 2022 0.3% 402 10.3%
Costs related to relief aid and reconstruction in Ukraine 3.3% 13 0.3%
EBIT 2022 adjusted for the Ukrainian relief aid
and reconstruction costs 3.6% 415 10.6%
ROCKWOOL Group Annual Report 2022
45
* excluding costs to Ukrainian relief aid and reconstruction of 13 MEUR.
80
100
Q1
120
140
60
1100
800
900
1000
Q1 Q3 Q4Q2
EBIT & EBIT margin
(MEUR)
700
600
Q3 Q4
2021 2022
Quarterly sales & sales growth (reported)
(MEUR)
In 2022, depreciation amounted to 236 MEUR, an increase of
35 MEUR compared 2021 due to full year depreciation effect
of the investments in insulation capacity especially in the
United States as well as new capacity for Grodan and Rockfon.
EBIT for the year reached 402 MEUR. Adjusted for the costs
related to relief aid and reconstruction activities in Ukraine of
13 MEUR, EBIT ended at 415 MEUR compared to 401 MEUR in
2021. The adjusted EBIT margin ended at 10.6 percent.
There is no direct comparison to the initial outlook announced
in February 2022 on EBIT margin, as the outlook for the full
year was based on situations with lower energy and raw
material prices. The surge in energy prices especially in third
quarter of 2022 that had not been fully priced in, changed
the underlying assumptions. The full year EBIT margin ended
within the outlook range announced later in 2022.
Net financial costs amounted to 45 MEUR, an increase of
36 MEUR compared to 2021. The increase mainly relates
to foreign currency exposure on the intercompany balance
between ROCKWOOL A/S and our subsidiary in Russia. Due
to the economic environment, it has not been possible to
hedge this position since March 2022, which has resulted in an
unrealised exchange loss, which at end of 2022 amounted to
34 MEUR.
Tax on profit for the year amounted to 85 MEUR compared to
90 MEUR in 2021. The effective tax rate ended at 23.7 percent,
up 0.7 percentage points compared to 2021.
Group profit after tax totalled 273 MEUR, a 30 MEUR decrease,
which we consider to be a satisfactory result taking the rapidly
increasing inflation and energy cost as well as the unrealised
exchange rate losses into consideration.
Balance sheet and equity
Net working capital ended at 441 MEUR, an increase of 135
MEUR compared to 2021. The increase is mainly reflecting
higher inventory values due to higher purchase costs and
higher volume of raw materials as many of the factories were
not producing during Christmas holidays. Also increased
trade receivables from the growth in sales had a negative
impact on working capital. As a percentage of sales, net
working capital was 11.3 percent compared to 9.9 percent in
2021.
Total assets at the end of 2022 amounted to 3428 MEUR,
an increase of 348 MEUR compared to 2021 mainly from
increased tangible assets, inventories, trade receivables and
cash.
Equity of the Group totalled 2580 MEUR as of 31 December
2022 compared to 2394 MEUR in 2021, corresponding to an
equity ratio of 75 percent. Equity was mainly affected by the
profit for the year.
The proposed dividend for 2022 is 35.00 DKK per share, at
level with 2021.
Q2
2021 2022
Record-high sales and respectable protability in turbulent
geopolitical and marcoeconomic environment.
3%
38%
11.0%
12.9%
6.8%
11.9%*
31%
27%
14%
20%
19%
34%
13.3%
11.2%
13.2%
14.3%
ROCKWOOL Group Annual Report 2022
46
60
30
0
120
90
Investments excl. acquisitions
(MEUR)
2021 2022
16
18
22
20
14
Return on invested capital (ROIC)
(%)
2021 2022
Q4Q3Q2
Q4
Q1
Q2 Q3Q1
Invested capital
Return on invested capital decreased in 2022, reaching 16.4
percent compared to 18.8 percent in 2021. The decrease
came from higher invested capital, as earnings remained
stable. Invested capital amounted to 2596 MEUR, up 302
MEUR compared to 2021. The increase mainly relates to
higher net working capital and higher tangible assets, as we
continue to invest in future growth.
Cash ow and investments
The Group’s financial situation remains solid with a low net
interest-bearing debt of 23 MEUR and unused credit facilities
of 500 MEUR at the end of 2022.
Cash flow from operating activities ended at 394 MEUR, a
decrease of 32 MEUR from 426 MEUR in 2021. The positive
impact from increased cash earnings was offset by the
negative impact from more cash tied up in net working
capital.
Capital expenditure excluding acquisitions reached 333
MEUR, an increase of 31 MEUR compared to 2021, at level
with our latest expectation. Compared to our expectation
announced in February 2022, the factory investment in
Russia was cancelled and the construction of a new insulation
factory in France was delayed. The largest individual
investments in 2022 relate to the electric melter conversion
in Switzerland and new capacity for Grodan and Rockfon.
Free cash flow amounted to 60 MEUR, a decrease of 56
MEUR compared to 2021, primarily due to higher net
working capital and investments.
Cash flow from financing activities ended at negative 14
MEUR, mainly as the dividend payments of 102 MEUR was
offset by drawings on our credit facilities of 115 MEUR.
17
18
18
16 16
20
19
19
6868
82
70
85
85
93
ROCKWOOL Group Annual Report 2022
47
Global sales development
Sales in Q4 2022 showed solid growth driven by
sales price increases and reached a record high
level of 955 MEUR, an increase of 11 percent in
local currencies compared to Q4 2021. Foreign
exchange rates had a positive impact of three
percent, resulting in an increase of 14 percent in
reported figures.
The sales growth in the quarter came from
inflation-driven price increases while sales
volume decreased compared to a very high Q4
2021. The high energy prices and continued
inflation, the war in Ukraine, and increasing
interest rates contributed to a decline in
construction activity in key markets.
Regional sales development
Sales in Western Europe ended at 565 MEUR in
Q4 2022, an increase of 16 percent measured in
both local and reported currencies. Especially
sales in France, Benelux and the Nordic region
remained strong.
In Q4 2022, net sales in Eastern Europe
amounted to 182 MEUR, an increase of two
percent in local currencies and nine percent in
reported figures compared to Q4 2021. The
increase in the Russian rouble exchange rate
had a positive impact in Q4 2022. Especially
Hungary, Romania and the Czech Republic
performed well during the quarter, while the
Russian market declined.
Sales in the rest of the world reached 208 MEUR
in Q4 2022, an increase of five percent in local
currencies compared to Q4 2021. In reported
figures, sales in Q4 2022 increased 12 percent.
Overall sales in North America were back to
growth after a slow third quarter, and Grodan
sales in North America have recovered from
the supply chain issues. Sales in most of Asia
grew double-digit and especially sales in Japan
showed good performance.
Group protability
In Q4 2022, energy prices came down somewhat
from the peak in Q3. Our contribution profit
improved as the impact from sales price increas-
es was able to offset the impact of inflation in
energy and raw materials. Lower volume and the
related capacity adjustments negatively impact-
ed efficiency and cost savings in operations.
Based on our commitment to support recon-
struction activities in Ukraine as approved at
the General Meeting in August 2022, spent or
accrued costs of 13 MEUR were recognised in
operating costs in Q4 2022.
2022 2021
MEUR
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Income statement
Net sales 924 1 018 1 010 955 671 778 797 842
Operating income 925 1 020 1 013 964 672 779 799 844
Raw material and production material costs 392 424 470 396 222 276 289 329
Delivery costs and indirect costs 128 141 135 114 91 107 117 123
Other external costs 55 62 71 85 48 51 51 55
Personnel costs 195 206 206 204 172 185 185 191
Operating costs 770 833 882 799 533 619 642 698
EBITDA 155 187 131 165 139 160 157 146
Depreciation, amortisation and write-downs 53 56 63 64 49 49 52 51
EBIT 102 131 68 101 90 111 105 95
Income from investments in associated companies - - - 1 - - - 1
Financial items -19 -45 -5 24 -2 -2 -2 -3
Prot before tax 83 86 63 126 88 109 103 93
Tax on prot for the period 20 24 18 23 20 25 24 21
Prot for the period 63 62 45 103 68 84 79 72
EBITDA margin 16.8% 18.4% 13.0% 17. 2% 20.7% 20.6% 19.7% 17.2%
EBIT margin 11.0% 12.9% 6.8% 10.5% 13.3% 14.3% 13.2% 11.2%
Statement of comprehensive income
Prot for the period 63 62 45 103 68 84 79 72
Exchange rate adjustments of foreign subsidiaries - 154 5 -142 32 6 11 29
Change in pension obligation - - - - - - - 28
Hedging instruments, value adjustments - 2 5 -6 - -2 2 -
Tax on comprehensive income - - - -5 - - -1 -1
Total comprehensive income 63 218 55 -50 100 88 91 128
Quarterly follow-up
ROCKWOOL Group Annual Report 2022
48
EBITDA in Q4 2022 reached 165 MEUR, an
increase of nine percent in local currencies and
13 percent in reported figures compared to
Q4 2021. The EBITDA margin was 17.2 percent,
unchanged compared to Q4 2021. Adjusted for
costs related to Ukrainian relief aid and recon-
struction activities, the EBITDA margin was 18.6
percent, an improvement of 1.4 percentage
points compared to Q4 2021.
Depreciation in Q4 2022 amounted to 64 MEUR,
13 MEUR above Q4 2021 driven by impact from
the high U.S. dollar exchange rate and one-off
depreciation of production equipment and
investment projects.
EBIT in Q4 2022 was 101 MEUR, compared to
95 MEUR in Q4 2021. EBIT margin ended at 10.5
percent, 0.7 percentage points below Q4 2021.
Adjusted for costs related to Ukrainian relief aid
and reconstruction activities, the EBIT margin
was 11.9 percent, an improvement of 0.7 percent-
age points compared to Q4 2021.
Business segments
External sales in Q4 2022 in Insulation segment
amounted to 707 MEUR, an increase of 11
percent in local currencies and 14 percent in
reported figures compared to Q4 2021. All
major businesses contributed to the solid sales
performance.
In Q4 2022, costs related to Ukrainian relief aid
and reconstruction activities of 13 MEUR was
recognised in the Insulation segment.
EBIT in the Insulation segment reached 71
MEUR resulting in an EBIT margin of 8.4
percent, down one percentage point compared
to Q4 2021. Adjusted for Ukrainian relief aid and
reconstruction costs of 13 MEUR, EBIT margin
in Q4 2022 was 10.0 percent, up 0.6 percentage
points compared to Q4 2021.
In Systems segment, quarterly net sales
reached 248 MEUR in Q4 2022, an increase in
local currencies of 10 percent and 12 percent
in reported figures compared to Q4 2021. All
businesses showed good growth, as the supply
chain difficulties in the North American market
for Grodan improved.
EBIT in the Systems segment reached 30 MEUR
in Q4 2022, an increase of 4 MEUR compared to
Q4 2021. EBIT margin was 11.9 percent, up 0.1
percentage point compared to Q4 2021.
2022 2021
MEUR Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Cash ow statement
EBIT 102 131 68 101 90 111 105 95
Adjustments for amortisation, depreciation and
write-downs
53 56 63 64 49 49 52 51
Adjustments of non-cash operating items -3 -1 3 5 1 1 1 -8
Change in net working capital -114 -70 51 -15 -97 -2 27 -10
Cash ow from operations before nancial items and tax 38 116 185 155 43 159 185 128
Cash ow from operating activities 2 105 145 142 29 145 167 85
Cash ow from investing activities -70 -85 -86 -93 -83 -68 -74 -85
Free cash ow -68 20 59 49 -54 77 93 0
Cash ow from nancing activities 136 -4 -106 -40 2 -97 -44 -55
Net cash ow 68 16 -47 9 -52 -20 49 -55
Business segments
Insulation segment:
External net sales 724 807 796 707 498 568 604 621
Internal net sales 101 102 103 131 74 84 91 105
EBIT 79 110 52 71 59 69 78 69
EBIT margin 9.5% 12.1% 5.8% 8.4% 10.3% 10.6% 11.2% 9.4%
Systems segment:
External net sales 200 211 214 248 173 210 193 221
EBIT 23 21 16 30 31 42 27 26
EBIT margin 11.6% 10.0% 7.7% 11.9% 17.6% 20.1% 14.4% 11.8%
Geographical segments
Western Europe 557 593 575 565 417 468 459 490
Eastern Europe and Russia 178 217 236 182 105 129 161 167
North America, Asia and others 189 208 199 208 149 181 177 185
Total net sales 924 1 018 1 010 955 671 778 797 842
Quarterly follow-up
ROCKWOOL Group Annual Report 2022
49
Consolidated financial statements
Income statement 52
Statement of comprehensive income 52
Balance sheet 53
Cash flow statement 54
Statement of changes in equity 55
Notes 57
Definition of key figures and ratios 87
Management’s statement 88
Independent Auditor’s Reports 89
51
ROCKWOOL Group Annual Report 2022
51
Income statement
1 January – 31 December
MEUR Note 2022 2021
Net sales 2.1 3 907 3 088
Other operating income 15 6
Operating income 3 922 3 094
Raw material costs and production material costs 1 682 1 116
Delivery costs and indirect costs 518 438
Other external costs 273 205
Personnel costs 2.2 811 733
Operating costs 3 284 2 492
EBITDA 638 602
Amortisation, depreciation and write-downs 3.4, 3.5 236 201
EBIT 402 401
Income from investments in associated companies 1 1
Financial income 5.1 16 10
Financial expenses 5.1 61 19
Profit before tax 358 393
Tax on profit for the year 6.1 85 90
Profit for the year 273 303
EUR
Earnings per share: 5.7
Earnings per share of 10 DKK (1.3 EUR) 12.7 14.1
Diluted earnings per share of 10 DKK (1.3 EUR) 12.6 14.0
Statement of comprehensive income
1 January – 31 December
MEUR Note 2022 2021
Profit for the year 273 303
Items that will not be reclassified to income statement:
Actuarial gains and losses of pension obligations 3.6 - 28
Tax on other comprehensive income -4 -2
Items that may be subsequently reclassified to income statement:
Currency adjustment from translation of entities 17 78
Hedging instruments, value adjustments 1 -
Tax on other comprehensive income -1 -
Other comprehensive income 13 104
Comprehensive income for the year 286 407
ROCKWOOL Group Annual Report 2022
52
Balance sheet
Assets – as at 31 December
MEUR Note 2022 2021
Goodwill 107 102
Software 14 9
Customer relationships 29 34
Other intangible assets 12 14
Software in progress 3 17
Total intangible assets 3.1 165 176
Buildings and sites 908 860
Plant and machinery 702 680
Other operating equipment 18 16
Tangible assets in progress 359 273
Total tangible assets 3.2 1 987 1 829
Right-of-use assets 3.3 88 61
Shares in associated companies 9 8
Long-term deposits and receivables 4 3
Deferred tax assets 6.1 48 52
Total financial assets 61 63
Non-current assets 2 301 2 129
Inventories 4.1 433 317
Trade receivables 4.2, 5.2 347 307
Other receivables 5.2 80 98
Prepayments 31 24
Income tax receivable 6.1 27 39
Cash 5.2, 5.3 209 166
Current assets 1 127 951
Total assets 3 428 3 080
Equity and liabilities – as at 31 December
MEUR Note 2022 2021
Share capital 5.6 29 29
Currency translation adjustments -117 -134
Proposed dividend 102 102
Retained earnings 2 567 2 398
Hedging -1 -1
Total equity 2 580 2 394
Deferred tax liabilities 6.1 55 51
Pension obligations 3.6 32 35
Lease liabilities 3.3 61 44
Provisions 3.7 19 16
Bank loans and other loans 5.2, 5.4 39 17
Non-current liabilities 206 163
Short-term portion of bank loans and other loans 5.2, 5.4 102 9
Bank debt 5.2, 5.3 7 1
Trade payables 5.2 270 283
Lease liabilities 3.3 24 19
Provisions 3.7 17 8
Income tax payable 6.1 26 26
Other payables 5.2 196 177
Current liabilities 642 523
Total liabilities 848 686
Total equity and liabilities 3 428 3 080
ROCKWOOL Group Annual Report 2022
53
Cash flow statement
Accounting policies
Comments
MEUR Note 2022 2021
EBIT 402 401
Adjustments for amortisation, depreciation and write-downs 3.4 236 201
Adjustments of non-cash operating items 4.3 4 -5
Changes in net working capital 4.3 -148 -82
Cash flow from operations before financial items and tax 494 515
Finance income etc. received 10 10
Finance costs etc. paid -38 -17
Taxes paid -72 -82
Cash flow from operating activities 394 426
Purchase of tangible assets -326 -295
Proceeds from sale of tangible assets 1 -
Purchase of intangible assets -8 -7
Business acquisitions, net of cash -1 -8
Cash flow from investing activities -334 -310
Free cash flow 60 116
Dividend paid -102 -93
Share buy-back programme - -3
Purchase of own shares -2 -4
Sale of own shares 1 1
Transactions with non-controlling interests - -8
Repayment of lease liabilities 3.3 -26 -21
Repayment of non-current receivables - 8
Proceeds from borrowings 124 26
Repayment of current debt -9 -100
Cash flow from financing activities -14 -194
Net cash flow 46 -78
Cash 1/1 165 240
Exchange rate adjustments on cash -9 3
Cash 31/12 5.3 202 165
Unutilised, committed credit facilities 500 600
ROCKWOOL Group Annual Report 2022
54
Statement of changes in equity
Accounting policies
Shareholders of ROCKWOOL A/S
Non-
controlling
interests
Total
equityMEUR
Share
capital
Currency
translation
adjustments
Proposed
dividend
Retained
earnings Hedging Total
Equity 1/1 2022 29 -134 102 2 398 -1 2 394 - 2 394
Profit for the year - - 102 171 - 273 - 273
Other comprehensive income - 17 - -4 - 13 - 13
Comprehensive income for the year - 17 102 167 - 286 - 286
Purchase of own shares - - - -2 - -2 - -2
Sale of own shares - - - 1 - 1 - 1
Expensed value of Restricted Share Units (RSUs) issued - - - 2 - 2 - 2
Dividend paid - - -102 1 - -101 - -101
Equity 31/12 2022 29 -117 102 2 567 -1 2 580 - 2 580
Equity 1/1 2021 29 -212 94 2 178 -1 2 088 4 2 092
Profit for the year - - 102 201 - 303 - 303
Other comprehensive income - 78 - 26 - 104 - 104
Comprehensive income for the year - 78 102 227 - 407 - 407
Share buy-back programme - - - -3 - -3 - -3
Purchase of own shares - - - -4 - -4 - -4
Sale of own shares - - - 1 - 1 - 1
Expensed value of Restricted Share Units (RSUs) issued - - - 2 - 2 - 2
Transactions non-controlling interests - - - -4 - -4 -4 -8
Dividend paid - - -94 1 - -93 - -93
Equity 31/12 2021 29 -134 102 2 398 -1 2 394 - 2 394
ROCKWOOL Group Annual Report 2022
55
Note 1 Basis of preparation
1.1 Critical accounting estimates and judgements 58
1.2 General accounting policies 58
1.3 New and amended standards and interpretations 59
1.4 Reporting under the ESEF Regulation 59
Note 2 Operating profit
2.1 Net sales and segmented accounts 61
2.2 Personnel costs 62
2.3 Long-term incentive programmes 63
Note 3 Invested capital
3.1 Intangible assets 66
3.2 Tangible assets 67
3.3 Leases 68
3.4 Amortisation, depreciation and write-downs 69
3.5 Impairment tests 70
3.6 Pension obligations 71
3.7 Provisions 73
Note 4 Working capital
4.1 Inventories 75
4.2 Trade receivables 75
4.3 Other cash flow notes 76
Note 5 Capital structure and financing
5.1 Financial income and Financial expenses 78
5.2 Financial risks and instruments 78
5.3 Cash 80
5.4 Loans 80
5.5 Own shares 81
5.6 Share capital 81
5.7 Earnings per share 81
Note 6 Other
6.1 Tax 83
6.2 Commitments and contingent liabilities 85
6.3 Related parties 85
6.4 Auditor’s fee 85
6.5 Events after the reporting date 85
6.6 Group companies 86
Notes
57
ROCKWOOL Group Annual Report 2022
Note 1
Basis of preparation
1.1 Critical accounting estimates
and judgements 58
1.2 General accounting policies 58
1.3 New and amended standards
and interpretations 59
1.4 Reporting under the ESEF Regulation 59
Notes
58
ROCKWOOL Group Annual Report 2022
58
Notes
ROCKWOOL Group Annual Report 2022
59
Note 2
Operating profit
2.1 Net sales and segmented accounts 61
2.2 Personnel costs 62
2.3 Long-term incentive programmes 63
Sales per business segment
(MEUR)
Insulation Systems
EBIT margin
10.3%
Average
number of FTEs
12 302
Reported sales
increase
27%
60
ROCKWOOL Group Annual Report 2022
60
1000
2000
3000
4000
0
20222021
1 30
27
ROCKWOOL Group Annual Report 2022
61
Notes
2.1 Net sales and segmented
accounts (continued)
ROCKWOOL Group Annual Report 2022
62
Notes
ROCKWOOL Group Annual Report 2022
63
Notes
2.3 Long-term incentive programmes (continued)
ROCKWOOL Group Annual Report 2022
64
Note 3
Invested capital
3.1 Intangible assets 66
3.2 Tangible assets 67
3.3 Leases 68
3.4 Amortisation, depreciation
and write-downs 69
3.5 Impairment tests 70
3.6 Pension obligations 71
3.7 Provisions 73
Capital
expenditure
Up 31 MEUR
compared to 2021
333MEUR
ROU assets
88MEUR
ROIC
16.4%
65
ROCKWOOL Group Annual Report 2022
65
Notes
ROCKWOOL Group Annual Report 2022
66
Notes
3.1 Intangible assets (continued) 3.2 Tangible assets
ROCKWOOL Group Annual Report 2022
67
Notes
3.2 Tangible assets (continued)
ROCKWOOL Group Annual Report 2022
68
Notes
3.3 Leases (continued)
ROCKWOOL Group Annual Report 2022
69
Notes
ROCKWOOL Group Annual Report 2022
70
Notes
3.5 Impairment tests (continued)
ROCKWOOL Group Annual Report 2022
71
Notes
3.6 Pension obligations (continued)
ROCKWOOL Group Annual Report 2022
72
Notes
3.6 Pension obligations (continued)
ROCKWOOL Group Annual Report 2022
73
Notes
11.3
44
ROCKWOOL Group Annual Report 2022
75
Notes
4.2 Trade receivables (continued) 4.3 Other cash flow notes
ROCKWOOL Group Annual Report 2022
76
Equity ratio
Compared to 77.7%
in 2021
Up 37 MEUR from
2021
Down 1.4 EUR from 2021
75.3%
Cash
Earnings per share
202MEUR
12.7EUR
Note 5
Capital structure
and financing
5.1 Financial income and
Financial expenses 78
5.2 Financial risks and instruments 78
5.3 Cash 80
5.4 Loans 80
5.5 Own shares 81
5.6 Share capital 81
5.7 Earnings per share 81
77
ROCKWOOL Group Annual Report 2022
77
Notes
ROCKWOOL Group Annual Report 2022
78
Notes
5.2 Financial risks and instruments (continued)
ROCKWOOL Group Annual Report 2022
79
Notes
5.2 Financial risks and instruments (continued)
Comments
ROCKWOOL Group Annual Report 2022
80
Notes
ROCKWOOL Group Annual Report 2022
81
Effective tax
rate in 2022
23.7%
Number of associated
companies in the Group
3
Number of subsidiaries
in the Group
60
Note 6
Other
6.1 Tax 83
6.2 Commitments and contingent liabilities 85
6.3 Related parties 85
6.4 Auditor’s fee 85
6.5 Events after the reporting date 85
6.6 Group companies 86
82
ROCKWOOL Group Annual Report 2022
82
Notes
ROCKWOOL Group Annual Report 2022
83
Notes
6.1 Tax (continued)
ROCKWOOL Group Annual Report 2022
84
Notes
ROCKWOOL Group Annual Report 2022
85
Notes
ROCKWOOL Group Annual Report 2022
86
ROCKWOOL Group Annual Report 2022
87
Management’s statement
Board of Directors
Registered Directors
ROCKWOOL Group Annual Report 2022
88
Independent Auditor’s Reports
Report on the audit of the Financial Statements
ROCKWOOL Group Annual Report 2022
89
Independent Auditor’s Reports
(continued)
ROCKWOOL Group Annual Report 2022
90
Independent Auditor’s Reports
(continued)
CVR no 33 77 12 31
State Authorised Public Accountant
ROCKWOOL Group Annual Report 2022
91
Statement on Management’s Review
The activities in the parent company ROCKWOOL A/S is to support the Group
through Group functions, holding of shares in the Group companies and funding
through the Group’s treasury function.
Income statement
Net sales in ROCKWOOL A/S consists of income from constructing and
maintaining the Group's manufacturing facilities and royalty for the use of
patents and trademarks.
In 2022, sale from constructing and maintaining the Group's manufacturing facilities
was 123 MEUR (2021: 103 MEUR), an increase of 20 MEUR as a result of increased
investment activities during 2022.
ROCKWOOL A/S holds the major patents and trademarks in the Group and
charges a royalty to the subsidiaries for the use of these rights. Group companies
paid royalty of 248 MEUR (2021: 220 MEUR).
Income from investments in subsidiaries was 250 MEUR (2021: 238 MEUR). The
increase is related to slightly increased activity and profitability in the Group
companies. Net financial expenses amounted to 35 MEUR (2021: net financial income
of 2 MEUR) the decrease is related to foreign currency exposure on the intercompany
balance between ROCKWOOL A/S and our subsidiary in Russia. Due to the economic
environment, it has not been possible to hedge this position since March 2022, which
has resulted in an unrealised exchange loss. In 2022, profit for the year totalled 262
MEUR against 292 MEUR in 2021.
Balance sheet
Total assets at year-end amounted to 3125 MEUR (2021: 2909 MEUR) and the
equity was 2534 MEUR (2021: 2360 MEUR).
Investment in subsidiaries was 2299 MEUR (2021: 2124 MEUR). The increase is
mainly due to increased activity and profitability in Group companies.
Management considers the result to be acceptable.
For further information, please refer to ROCKWOOL Group Management’s
review on pp. 3-50.
Management's review
of ROCKWOOL A/S
92
ROCKWOOL Group Annual Report 2022
92
Income statement –
ROCKWOOL A/S
1 January – 31 December
MEUR Note 2022 2021
Net sales 2.1 371 323
Costs of raw material and consumables 97 74
Other external costs 140 105
Gross profit 134 144
Personnel costs 2.2 67 62
Depreciation, amortisation and write-downs 3.1, 3.2 13 13
Operating profit / EBIT 54 69
Income from investments in subsidiaries 2.3 250 238
Financial income 2.4 10 13
Financial expenses 2.4 45 11
Profit before tax 269 309
Tax on profit for the year 2.5 7 17
Profit for the year 2.6 262 292
Parent company
financial statements for
ROCKWOOL A/S
Income statement 93
Balance sheet 94
Statement of shareholders’ equity 95
Notes 96
93
ROCKWOOL Group Annual Report 2022
93
Balance sheet –
ROCKWOOL A/S
Assets – as at 31 December
Equity and liabilities – as at 31 December
MEUR Note 2022 2021
Completed development projects 13 9
Acquired patents, licenses and trademarks 17 17
Development projects in progress 3 8
Intangible assets 3.1 33 34
Land and buildings 19 20
Other fixtures and fittings, tools and equipment 7 7
Prepayments and property, plant and equipment in progress 5 4
Property, plant and equipment 3.2 31 31
Investment in subsidiaries 3.3 2 299 2 124
Investment in associated companies 1 -
Receivables from subsidiaries 3.3 184 201
Fixed assets investments 2 484 2 325
Fixed assets 2.548 2 390
Inventories 1 1
Contract work in progress 3.4 35 21
Receivables from subsidiaries 509 409
Tax receivables 2 15
Other receivables 1 32
Prepayments 3.5 10 8
Receivables 557 485
Cash 19 33
Current assets 577 519
Assets 3 125 2 909
MEUR Note 2022 2021
Share capital 29 29
Revaluation reserve according to the equity method 472 296
Reserve for development costs 12 14
Retained earnings 1 919 1 919
Proposed dividend 102 102
Shareholders’ equity 2 534 2 360
Deferred tax 3.6 8 7
Payables to subsidiaries
73 -
Other provisions 1 2
Non-current liabilities 82 9
Bank debt 100 3
Trade payables 18 19
Payables to subsidiaries 379 508
Other payables 12 10
Current liabilities 509 540
Liabilities 591 549
Liabilities and shareholders’ equity 3 125 2 909
ROCKWOOL Group Annual Report 2022
94
Statement of shareholders’ equity –
ROCKWOOL A/S
MEUR
Share
capital
Revaluation
reserve
according to
the equity
method
Reserve
for
development
costs
Retained
earnings
Proposed
dividend
Total
equity
Shareholders’ equity 1/1 2022 29 296 14 1 919 102 2 360
Exchange rate adjustments - - - - - -
Profit for the year - 162 - -2 102 262
Development costs for the year - - -2 2 - -
Currency revaluation of investments in subsidiaries - 17 - - - 17
Other adjustments - -3 - -1 - -4
Expensed value of RSUs issued - - - 1 - 1
Purchase of own shares - - - -2 - -2
Sale of own shares - - - 1 - 1
Dividend paid to the shareholders - - - 1 -102 -101
Shareholders’ equity 31/12 2022 29 472 12 1 919 102 2 534
Shareholders’ equity 1/1 2021 29 71 12 1 857 94 2 063
Exchange rate adjustments - - 1 1 - 2
Profit for the year - 124 - 66 102 292
Development costs for the year - - 1 -1 - -
Currency revaluation of investments in subsidiaries - 71 - - - 71
Other adjustments - 30 - - - 30
Expensed value of RSUs issued - - - 1 - 1
Share buy-back programme - - - -3 - -3
Purchase of own shares - - - -4 - -4
Sale of own shares - - - 1 - 1
Dividend paid to the shareholders - - - 1 -94 -93
Shareholders’ equity 31/12 2021 29 296 14 1 919 102 2 360
95
ROCKWOOL Group Annual Report 2022
Notes for
ROCKWOOL A/S
1 1.1 Accounting policies 97
2 2.1 Net sales 98
2.2 Personnel costs 98
2.3 Income from investments
in subsidiaries 98
2.4 Financial income and
Financial expenses 98
2.5 Tax on profit for the year 98
2.6 Proposed distribution of profit 98
3 3.1 Intangible assets 99
3.2 Property, plant and equipment 99
3.3 Fixed assets investments 100
3.4 Contract work in progress 100
3.5 Prepayments 100
3.6 Deferred tax 100
4 4.1 Derivatives 101
4.2 Commitments and
contingent liabilities 101
4.3 Related parties 101
96
ROCKWOOL Group Annual Report 2022
Note 1
1.1 Accounting policies
The financial statements of ROCKWOOL A/S have
been prepared in accordance with the Danish Financial
Statements Act (accounting class D).
The financial statements are presented in EUR.
Changes in accounting policies
The accounting policies applied remain unchanged from
previous year.
The accounting policies are the same as for the
consolidated financial statements with the adjustments
described below. For a description of the Group’s
accounting policies, please refer to the consolidated
financial statements.
Recognition and measurement in general
Income is recognised in the income statement as earned.
All costs incurred in generating the year’s revenue are
also recognised in the income statement, including
depreciation, amortisation and impairment losses.
Value adjustments of financial assets and liabilities
measured at fair value or amortised cost are also
recognised in the income statement.
Assets are recognised in the balance sheet when it is
considered probable that future economic benefits will
flow to the company and the value of the asset can be
measured on a reliable basis. Liabilities are recognised
in the balance sheet when they are considered probable
and can be measured on a reliable basis. At initial
recognition, assets and liabilities are measured at cost.
Assets and liabilities are subsequently measured as
described below for each item.
Net sales
The company produces and sells machinery and
consultancy service. The projects typically include one
deliverable. Revenue from the projects is recognised over
time based on the progress and is based on the price of
the projects. As the work is done at the customer's site,
control is transferred along with the project progress.
Recognition is based on actual costs spent relative to
the total estimated costs for the project, as this method
is estimated to reflect the transfer of control. The credit
terms are normally end of month plus 20 days.
Royalty is received for the use of the ROCKWOOL
brand and technology. Royalty is based on the level of
sales in the subsidiaries and is recognised when earned
according to the terms in the agreement.
Intangible assets
The accounting policies for intangible assets follow
those of the Group with the exception of goodwill,
which is amortised over a period of 10 years using the
straight-line method.
An amount equal to the total capitalised development
costs after tax is recognised under Shareholders’ equity
in the Reserve for development costs.
Fixed assets investments
Investments in subsidiaries are recognised initially
at cost and measured subsequently using the equity
method. The company’s share of the equity of
subsidiaries, based on the fair value of the identifiable
net assets on the acquisition date, minus or plus
unrealised intercompany profits or losses, with addition
of any residual value of goodwill, is recognised under
Investments in subsidiaries in the balance sheet.
If the shareholders’ equity of subsidiaries is negative and
ROCKWOOL A/S has a legal or constructive obligation
to cover the company’s negative equity, a provision
is recognised. Net revaluation of investments in
subsidiaries is recognised under Shareholders’ equity in
the Revaluation reserve according to the equity method.
The reserve is reduced by payments of dividends to the
parent company and adjusted to reflect other changes
in the equity of subsidiaries.
The proportionate share of the net profits of subsidiaries
less goodwill amortisation is recognised under
Income from investments in subsidiaries in the income
statement. Goodwill in subsidiaries is amortised over a
period of 10 years using the straight-line method.
Inventories
Inventories are measured at cost in accordance with the
FIFO principle. Obsolete goods, including slow-moving
goods, are written down.
Contract work in progress
Contract work in progress is measured at the sales
value of the work performed, calculated on the basis of
the degree of completion. The degree of completion
is calculated as the proportion of the contract costs
incurred in relation to the contract's expected total
costs. When it is probable that the total contract
costs will exceed the total revenue on a contract, the
expected loss is recognised in the income statement.
Payments received on account are deducted from
the sales value. The individual contracts are classified
as receivables when the net value is positive and as
liabilities when the net value is negative.
Receivables from subsidiaries
Receivables from subsidiaries are recognised at
amortised costs and are subsequently measured after
deduction of allowance for losses based on an individual
assessment.
Leases
Leases in which a significant portion of the risks and
rewards of ownership are retained by the lessor are
classified as operating leases. Payments made under
operating leases are charged to the income statement
on a straight-line basis over the period of the lease.
Dividend
The dividend proposed for the financial year is shown as
a separate item under Shareholders’ equity.
Cash flow statement
ROCKWOOL A/S has in accordance with the Danish
Financial Statements Act, Section 86 (4) not prepared
separate cash flow statements. Please refer to the
consolidated cash flow statements.
References to notes to the consolidated financial
statements for the following notes, see information in
the consolidated financial statements:
– Own shares – see note 5.5
– Share capital – see note 5.6
– Auditor’s fee – see note 6.4
ROCKWOOL Group Annual Report 2022
97
MEUR 2022 2021
Revenue from projects 123 103
Royalties and other fees 248 220
Net sales 371 323
2.2 Personnel costs
MEUR 2022 2021
Wages and salaries 60 54
Expensed value of RSUs issued 1 3
Pension costs 6 5
Personnel costs 67 62
Average number of employees in ROCKWOOL A/S 480 435
Reference is made to note 2.2 and 2.3 to the consolidated financial statements concerning remuneration
of the Board of Directors and the Registered Directors.
2.3 Income from investments in subsidiaries
MEUR 2022 2021
Share of net profit/(loss) 261 248
Amortisation of goodwill -11 -10
Income from investments in subsidiaries 250 238
Note 2
2.1 Net sales
MEUR 2022 2021
Interest income 2 1
Interest income from subsidiaries 4 3
Foreign exchange gains 4 9
Financial income 10 13
MEUR 2022 2021
Interest expenses etc. 3 6
Interest expenses to subsidiaries 5 3
Foreign exchange losses 37 2
Financial expenses 45 11
2.5 Tax on profit for the year
MEUR 2022 2021
Current tax for the year 7 15
Change in deferred tax 2 -
Withholding taxes -1 2
Adjustment in current and deferred tax in previous years -1 -
Tax on profit for the year 7 17
2.6 Proposed distribution of profit
MEUR 2022 2021
Proposed distribution of profit:
Proposed dividend to shareholders 102 102
Revaluation reserve according to equity method 162 124
Retained earnings -2 66
Total profit 262 292
2.4 Financial income and Financial expenses
ROCKWOOL Group Annual Report 2022
98
Note 3
3.1 Intangible assets
Comments
Completed development projects and development projects in progress mainly comprise software development.
MEUR
Completed
development
projects
Acquired
patents,
licenses and
trademarks
Development
projects in
progress
2022
Total
2021
Total
Cost 1/1 87 44 8 139 134
Exchange rate adjustments - - - - 1
Additions for the year 3 2 3 8 6
Transfer of development projects in progress 8 - -8 - -
Disposals for the year -8 - - -8 -2
Cost 31/12 90 46 3 139 139
Amortisation and write-downs 1/1 78 27 - 105 99
Exchange rate adjustments 1 - - 1 -
Amortisation for the year 6 2 - 8 8
Disposals for the year -8 - - -8 -2
Amortisation and write-downs 31/12 77 29 - 106 105
Carrying amount 31/12 13 17 3 33 34
3.2 Property, plant and equipment
Comments
Of the total net book value of land and buildings, 1 MEUR (2021: 1 MEUR) represent land not subject to depreciation.
MEUR
Land and
buildings
Other fixtures
and fittings,
tools and equip-
ment
Prepayments
and property,
plant and
equipment in
progress
2022
Total
2021
Total
Cost 1/1 38 22 4 64 61
Exchange rate adjustments - - -1 -1 -1
Additions for the year - 1 5 6 5
Transfer of property, plant and equipment in
progress
- 3 -3 - -
Disposals for the year - -1 0 -1 -1
Cost 31/12 38 25 5 68 64
Depreciation and write-downs 1/1 18 15 - 33 30
Exchange rate adjustments - - - - -1
Depreciation for the year 1 4 - 5 5
Disposals for the year - -1 - -1 -1
Depreciation and write-downs 31/12 19 18 - 37 33
Carrying amount 31/12 19 7 5 31 31
ROCKWOOL Group Annual Report 2022
99
Comments
Prepayments consist of prepaid insurance, prepaid subscriptions and other prepaid cost related to subsequent
financial years.
3.6 Deferred tax
MEUR 2022 2021
Deferred tax 1/1 7 7
Change in deferred tax recognised in profit and loss 1 -
Deferred tax for the year recognised in equity - -
Deferred tax 31/12 8 7
3.5 Prepayments
Note 3
3.3 Fixed assets investments
MEUR
Investments in sub-
sidiaries
Receivables from
subsidiaries
2022
Total
2021
Total
Cost 1/1 1 828 201 2 029 2 026
Exchange rate adjustments - - - 1
Additions for the year - 14 14 20
Reductions/disposals for the year -1 -31 -32 -18
Cost 31/12 1 827 184 2 011 2 029
Value adjustments 1/1 296 - 296 71
Exchange rate adjustments 17 - 17 71
Share of net profit 261 - 261 248
Amortisation of goodwill -11 - -11 -10
Dividends received -88 - -88 -114
Other adjustments -3 - -3 30
Value adjustments 31/12 472 - 472 296
Carrying amount 31/12 2 299 184 2 483 2 325
3.4 Contract work in progress
MEUR 2022 2021
Sales values of work performed 171 206
Invoiced on account -136 -185
Contract work in progress, net 35 21
Recognised as follows:
Contract work in progress (assets) 35 21
ROCKWOOL Group Annual Report 2022
100
Note 4
4.1 Derivatives
Reference is made to note 5.2 to the consolidated financial statements concerning derivatives.
Comments
The policy is not to hedge exchange rate risks in long-term investments in subsidiaries.
When relevant, external investment loans and Group receivables are, as a general rule, established in the local
currency of the company involved, while cash at bank and in hand are placed in the local currency.
In the few countries with ineffective financial markets, loans can be raised and surplus liquidity placed in DKK or EUR,
subject to the approval of the parent company’s finance function.
Most Group receivables that are not established in DKK or EUR are hedged via forward agreements, currency loans
and cash pools or via the SWAP market.
To ensure adequate financial reserves as defined by the Board of Directors, investment loans can be raised on a
continuous basis to partly cover new investments and to refinance existing loans.
Ownership clauses have been issued and/or deed of postponements in connection with intercompany receivables.
Please refer to note 4.2.
4.2 Commitments and contingent liabilities
Comments
Operational lease commitments in 2022 and 2021 amount to less than 1 MEUR. The majority of lease commitments
expire within one year from the balance sheet date.
There are no contingent liabilities neither this year nor last year.
In 2022, no deeds of postponement have been given (2021: 192 MEUR).
4.3 Related parties
The Company has chosen only to disclose transactions which have not been made on an arm's length basis in
accordance with section 98(c)(7) of the Danish Financial Statements Act. No such transactions took place in 2022 and
2021.
ROCKWOOL A/S has registered the following shareholders holding more than five percent of the share capital or the
votes:
2022
Share
capital Votes
ROCKWOOL Foundation, DK-1360 Copenhagen K 23% 28%
15. Juni Fonden, DK-2970 Hoersholm 6% 11%
Dorrit Eegholm Kähler, DK-2830 Virum 4% 6%
ROCKWOOL Group Annual Report 2022
101
The ROCKWOOL
®
trademark
The ROCKWOOL trademark was initially registered in
Denmark as a logo mark back in 1936. In 1937,
it was accompanied with a word mark registration;
a registration which is now extended to more than 60
countries around the world.
The ROCKWOOL trademark is one of the largest assets
in ROCKWOOL Group, and thus well protected and
defended by us throughout the world.
ROCKWOOL Group’s primary trademarks:
ROCKWOOL
®
Rockfon
®
Rockpanel
®
Grodan
®
Lapinus
®
Additionally, ROCKWOOL Group owns a large number
of other trademarks.
Disclaimer
The statements on the future in this report, including
expected sales and earnings, are associated with
risks and uncertainties and may be affected by factors
influencing the activities of the Group, e.g. the
global economic environment, including interest and
exchange rate developments, the raw material situation,
production and distribution-related issues, breach of
contract or unexpected termination of contract, price
reductions due to market-driven price reductions, market
acceptance of new products, launches of competitive
products and other unforeseen factors. In no event
shall ROCKWOOL A/S be liable for any direct, indirect
or consequential damages or any other damages
whatsoever resulting from loss of use, data or profits,
whether in an action of contract, negligence or other
action, arising out of or in connection with the use of
information in this report.
©
ROCKWOOL A/S 2023
All rights reserved
Photography credits
Cover (likingthings/Shutterstock)
p.12 (Accenture Song
p.14 Accenture Song
p.17 Robin Pagmar/Mediaspjuth
p.30 Lukáš Večerka
p.33 Lukáš Večerka
p.34 Sean Mcmenomy
pp.38-41 Richard Edwards
p.44 Robin Pagmar/Mediaspjuth
p.50 Cousin production/Jakub Gabrhel
Design and production
ROCKWOOL Marketing Shared Service Center
Released
8 February 2023
ISSN
ISSN 1904-8653 (print)
ISSN 1904-8661 (online)
ROCKWOOL Group
Denmark
Phone: +45 4656 0300
CVR No. 5 4 8794 15
www.rockwool.com