Report on the first half of 2023
for ROCKWOOL A/S
Release no. 11 – 2023
to Nasdaq Copenhagen
Earnings call
ROCKWOOL Group will host an earnings call on 31 August 2023 at 14.00 CEST. The call will be transmitted live on
www.rockwool.com.
1/15
30 August 2023
Strong results in a depressed construction market
Highlights
▪ Sales in H1 2023 reached 1783 MEUR, a decrease of seven percent
in local currencies and eight percent in reported figures compared to
last year, driven by lower sales in many European markets.
▪ Sales in Q2 2023 reached 917 MEUR, a decrease of seven percent
in local currencies and 10 percent in reported figures compared to
last year.
▪ EBITDA in H1 2023 reached 358 MEUR, up four percent, yielding a
20.1 percent EBITDA margin. Sales prices were maintained while
energy costs decreased bringing earnings back to a normalised and
satisfactory level.
▪ EBITDA in Q2 2023 reached 194 MEUR, an increase of three
percent. The EBITDA margin was 21.2 percent.
▪ EBIT in H1 2023 increased two percent to 237 MEUR, with a 13.3
percent EBIT margin. Excluding the 27 MEUR donation to the
Foundation for Ukrainian Reconstruction*, EBIT margin in H1 2023
was 14.8 percent.
▪ EBIT in Q2 2023 increased one percent to 133 MEUR, with a 14.5
percent EBIT margin, up 1.6 percentage points. Excluding the 13
MEUR donation to the Foundation for Ukrainian Reconstruction in
Q2, EBIT margin was 16.0 percent.
▪ Investments reached 131 MEUR in H1 2023, including expansion for
Rockpanel and Grodan and electrical melter conversion in Flumroc.
▪ Cash flow from operations before financial items and tax amounted
to 290 MEUR for the first half of 2023 almost a doubling of same
period last year.
▪ Shareholders may from 30 August 2023 until 13 September 2023
request conversion of A shares to B shares. For further information
please refer to https://www.rockwool.com/group/
about-us/investors/conversion-shares/.
*) Of which 100 MDKK was approved at the EGM on 31 August 2022 and
the remaining 100 MDKK at the AGM on 29 March 2023. Together they
constitute the 27 MEUR donation.
Outlook 2023
▪ Sales decline up to eight percent in local currencies, changed from
previously up to 10 percent decline.
▪ EBIT margin around 13 percent, changed from previously around 12
percent.
▪ Investment level around 325 MEUR excluding acquisitions, changed
from previously 400 MEUR.
“In line with the sluggish market, sales
declined overall in the second quarter,
though unevenly across our main
geographies. The slowdown in construction
activity hit sales hardest in Eastern Europe,
less so in Western Europe, while sales in
North America and parts of Asia regained
momentum and growth. Importantly,
profitability returned to more satisfactory
levels, largely owing to prices holding
steady in an inflationary environment,
energy costs declining, and operational
efficiency remaining solid. Operational cash
flow improved, primarily the result of our
teams’ agility in adapting to changing
market conditions”.
CEO Jens Birgersson
2/15
Main figures / key figures for the Group
Unaudited
Audited
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
Income statement items in MEUR
Net sales
917
1 018
1 783
1 942
3 907
EBITDA
194
187
358
342
638
Amortisation, depreciation and write-downs
61
56
121
109
236
EBIT
133
131
237
233
402
Profit before tax
137
86
243
169
358
Profit for the period
102
62
180
125
273
Balance sheet items in MEUR
Non-current assets
2 318
2 267
2 301
Current assets
1 172
1 305
1 127
Total assets
3 490
3 572
3 428
Equity
2 609
2 573
2 580
Non-current liabilities
218
195
206
Current liabilities
663
804
642
Net interest-bearing cash / (debt)
-37
-78
-23
Net working capital
502
505
441
Invested capital
2 662
2 645
2 596
Cash flow items in MEUR
Cash flow from operating activities
173
105
238
107
394
Cash flow from investing activities
54
85
131
155
334
Free cash flow
119
20
107
-48
60
Others
Number of full-time employees (end of period)
11 965
12 424
12 197
Ratios
EBITDA margin
21.2%
18.4%
20.1%
17.6%
16.3%
EBIT margin
14.5%
12.9%
13.3%
12.0%
10.3%
ROIC (rolling 4 quarters)
15.3%
18.0%
16.4%
Return on equity (rolling 4 quarters)
12.7%
11.6%
11.0%
Equity ratio
74.8%
72.0%
75.3%
Stock market information (DKK)
Earnings per share
35
21
62
43
93
Cash flow per share
59
36
82
37
136
Book value per share
899
885
887
Share capital (million)
216
216
216
Price per A share
1 744
1 579
1 636
Price per B share
1 754
1 584
1 637
Market cap (million)
37 729
34 104
35 311
Number of own shares
50 288
52 202
47 857
For definition of key figures and ratios see page 87 in the ROCKWOOL Group Annual Report 2022 available on our website: www.rockwool.com/.
3/15
Management report for the period
1 January to 30 June 2023
General update
Continued high interest rates and building costs in H1 2023 reduced new-build
construction activity in most European markets, in both residential and
commercial building sectors. Many markets are affected by the lower demand.
ROCKWOOL experienced lower sales during the first half of 2023 and
continued the factory capacity reductions that began at the end of 2022.
Lower energy costs and stable sales prices normalised margins and earnings to
a satisfactory level. Sales prices remained stable compared to year-end 2022,
however we are diligently monitoring this to safeguard our market share.
Global sales development
In the first half of 2023, ROCKWOOL generated net sales of 1783 MEUR, a
decrease of seven percent in local currencies. Currency translation had a
negative impact of one percentage point, which resulted in sales decline of
eight percent in reported figures.
In Q2 2023, ROCKWOOL generated net sales of 917 MEUR. While this is a
decrease of seven percent in local currencies compared to Q2 2022, the
volume decline relative to last year was smaller than it was in Q1. Currency
translation had a negative impact of three percentage points, which resulted in
a sales decline of 10 percent in reported figures.
The focus on energy efficiency in the EU recovery and resilience plans has so
far not resulted in a pick-up in renovation of existing European building stock.
However, the regulatory requirements under the EU Energy Efficiency Directive
and Energy Performance of Buildings Directive are encouraging and should in
due course result in an increase in demand for insulation.
Regional sales development
In the first half of the year, sales in Western Europe amounted to 1069 MEUR,
down six percent in local currencies, and seven percent in reported figures.
Sales in France, Spain and the United Kingdom performed well, while most
other markets declined compared to same period last year. In Q2 2023, sales in
Western Europe amounted to 541 MEUR, down eight percent in local
currencies and down nine percent in reported figures compared to same period
last year.
In Eastern Europe, sales for the first half of 2023 amounted to 299 MEUR, a
decrease of 22 percent in local currencies and 24 percent in reported figures.
All main markets showed double-digit sales decreases compared to first half of
2022. Sales in Q2 2023 amounted to 161 MEUR, down 18 percent in local
currencies and 26 percent in reported figures. Most countries experienced
double-digit sales decline in the quarter.
Group sales
-7%
Sales in Western Europe
-6%
Sales in Eastern Europe
-22%
4/15
In the rest of the world, H1 sales amounted to 415 MEUR, an increase of six
percent in local currencies and five percent in reported figures. In Q2 2023,
sales amounted to 215 MEUR, up eight percent in local currencies and four
percent in reported figures. Especially sales in North America and parts of Asia
regained momentum, delivering double-digit growth.
Regional sales
MEUR
Group profitability
During the first half of the year, EBITDA increased four percent to 358 MEUR
resulting in an EBITDA margin of 20.1 percent compared to 17.6 percent for the
same period last year. The increase in margin was driven by stable sales
prices, lower although still high energy costs, operational efficiency, and a
positive product mix. We have reduced the volatility in energy costs by hedging
about half of our expected electricity and natural gas consumption for the
second half of the year.
In Q2 2023, EBITDA increased three percent to 194 MEUR resulting in an
EBITDA margin of 21.2 percent compared to 18.4 percent for the same period
last year. Margins are back to a satisfactory level in an environment where
inflation remains high even with a decrease in energy costs.
EBIT for the first half of 2023 increased two percent, reaching 237 MEUR,
corresponding to an EBIT margin of 13.3 percent compared to 12.0 percent for
the same period last year. The result for the first half of 2023 includes two
donations to the Foundation for Ukrainian Reconstruction of 27 MEUR, of which
13.4 MEUR (100 MDKK) was approved at the EGM on 31 August 2022 and the
remaining 13.4 MEUR (100 MDKK) at the AGM on 29 March 2023. Together
they constitute the full donation approved by the general assembly. Excluding
the 27 MEUR donation to the Foundation for Ukrainian Reconstruction, EBIT
margin for the first half of 2023 was 14.8 percent, an increase of 2.8 percentage
points compared to last year.
In Q2 2023, EBIT amounted to 133 MEUR with an EBIT margin of 14.5 percent.
Excluding the donation to the Foundation for Ukrainian Reconstruction of 13.4
1 150
1 069
395
299
397
415
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
2 000
H1 2022 H1 2023
Western Europe Eastern Europe and Russia North America, Asia and others
Sales in rest of the world
+6%
EBITDA
+4%
EBIT margin
+1.3%-points
21%
20%
59%
60%
17%
23%
5/15
MEUR, EBIT margin for Q2 2023 was 16.0 percent, an increase of 3.1
percentage points compared to Q2 2022.
EBIT & EBIT margin
MEUR
Net financial items ended positive at 6 MEUR for H1 2023. Since March 2022
the foreign currency exposure on the intercompany balance between
ROCKWOOL A/S and the subsidiary in Russia has not been hedged.
Consequently we have recorded an unrealised exchange rate gain of 16 MEUR
during H1 2023, partly recovering last year’s unrealised exchange rate loss of
34 MEUR.
The effective tax rate was 26 percent for the first half of 2023, unchanged from
the same period last year and up 2.3 percentage points from full year 2022. The
increase compared to full year 2022 is driven by the non-deductible donations
to the Foundation for Ukrainian Reconstruction.
Net profit for the first half of 2023 amounted to 180 MEUR, which is 55 MEUR
higher than in the same period last year.
Balance sheet
Net working capital ended H1 2023 at 502 MEUR, an increase of 61 MEUR
compared to year-end 2022 but at the same level as H1 2022. The increase in
the first half of 2023 compared to year-end was driven by the seasonal increase
in trade receivables and inventory. The net working capital ratio ended at 13.4
percent, an improvement of 0.7 percentage points compared to end of H1 2022.
Due to higher invested capital and lower four quarters rolling EBIT, annualised
return on invested capital ended at 15.3 percent compared to 18.0 percent for
the same period last year.
At the end of H1 2023, total assets amounted to 3490 MEUR, an increase of 62
MEUR compared to year-end 2022 and a decrease of 82 MEUR compared to
H1 2022. The development mainly related to receivables being very high last
year due to sales growth and inflation-driven sales price increases while now
having come down to a lower but still high level at the end of H1 2023.
ROIC
-2.7%-points
90
111
105
95
102
131
68
101
104
133
0
20
40
60
80
100
120
140
Q1 Q2 Q3 Q4
2021 2022 2023
13.3%
11.2%
11.0%
10.5%
6.8%
12.0%
12.9%
13.2%
14.3%
14.5%
6/15
At the end of the period, the equity ratio remained solid at 75 percent after
dividend payment of 101 MEUR.
Cash Flow
Cash flow from operations before financial items and tax amounted to 290
MEUR for the first half of 2023, compared to 154 MEUR in the same period last
year. Operations continued to generate solid cash flow. The negative impact
from increased net working capital was lower than in 2022, despite transfer of
38 MEUR to the newly established Foundation for Ukrainian Reconstruction in
H1 2023. The transfer to the Foundation for Ukrainian Reconstruction covers
the donations made in 2022 and 2023.
Capital expenditure excluding acquisitions was 131 MEUR in H1 2023 including
the positive effect from grants of 13 MEUR received in China, compared to 155
MEUR in the same period last year. The conversion to the electrical melter in
Flumroc (Switzerland), additional production capacity in Bohumin (Czech
Republic), new Rockpanel capacity in Roermond (Netherlands), and additional
Grodan capacity in Toronto (Canada) were the largest individual investment
projects in H1 2023.
Free cash flow was 107 MEUR in H1 2023, compared to -48 MEUR in the
same period last year mainly from strong operational cash flow.
In H1 2023 cash flow from financing was -95 MEUR, compared to 132 MEUR in
H1 2022 mainly due to repayment of drawings on our credit facilities.
The Group’s financial situation remains solid with a relatively small net interest-
bearing debt of 37 MEUR end of H1 2023 and unused credit facilities of 475
MEUR.
Business segments
Sales per business
MEUR
498
724
664
568
807
723
604
796
621
707
173
200
202
210
211
194
193
214
221
248
0
200
400
600
800
1 000
1 200
Q1 Q2 Q3 Q4
924
Operational cash flow before
financial items and tax
+136 MEUR
Free cash flow
+155 MEUR
Systems
Insulation
671
866
778
1 018
797
842
955
1 010
917
7/15
Key figures Insulation segment
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
External net sales
723
807
1 387
1 531
EBIT
110
110
189
189
EBIT margin
13.7%
12.1%
12.1%
10.9%
Insulation segment sales for the first half of 2023 reached 1387 MEUR, which is
a decrease of nine percent in both local currencies and in reported figures. In
Q2 2023, Insulation segment sales reached 723 MEUR, which is a decrease of
eight percent in local currencies and 11 percent in reported figures compared to
same quarter last year. Insulation sales in Europe were still subdued as a result
of lower volume, especially in Eastern Europe, while sales in North America
and Asia grew and now represent 23 percent of the Group’s sales.
Insulation segment EBIT for the first half of 2023 reached 189 MEUR with an
EBIT margin of 12.1 percent, an increase of 1.2 percentage points compared to
the same period last year. Based on our commitment to support Ukraine
reconstruction activities, a donation of 27 MEUR to the Foundation for
Ukrainian Reconstruction was recognised in the Insulation segment – half in Q1
and half in Q2 2023. Excluding these donations, EBIT margin in H1 2023 was
13.8 percent, up 2.9 percentage points compared to H1 2022. In Q2 2023,
EBIT was 110 MEUR resulting in an EBIT margin of 13.7 percent. Excluding the
donation to Ukraine reconstruction activities, EBIT margin in Q2 2023 was 15.3
percent, up 3.2 percentage points compared to Q2 2022.
EBIT per business
MEUR
Key figures Systems segment
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
External net sales
194
211
396
411
EBIT
23
21
48
44
EBIT margin
11.6%
10.0%
12.0%
10.8%
59
79 79
69
110
110
78
52
69
71
31
23
25
42
21
23
27
16
26
30
0
20
40
60
80
100
120
140
Q1 Q2 Q3 Q4
Insulation sales
-9%
Insulation EBIT margin
+1.2%-points
Systems
Insulation
90
102
104
90
111
105
95
101
131
68
133
8/15
Systems segment sales for the first half of 2023 amounted to 396 MEUR, which
is an increase of one percent in local currencies but a decrease of four percent
in reported figures. In Q2 2023, sales amounted to 194 MEUR, which is a
decrease of two percent in local currencies and eight percent in reported figures
compared to Q2 2022. Sales in Rockfon and Rockpanel declined, especially for
Rockfon in North America, while Grodan has now fully recovered from the
previously overstocked supply chain in North America and achieved double-
digit growth in the quarter.
Systems segment EBIT was 48 MEUR in the first half of 2023, an increase of
eight percent and an EBIT margin of 12.0 percent, an increase of 1.2
percentage points compared to the same period last year. In Q2 2023, EBIT
amounted to 23 MEUR with an EBIT margin of 11.6 percent, up 1.6 percentage
points. The improved margin relates mainly to lower input costs and solid
performance especially in Grodan.
Sustainability
ROCKWOOL’s commitment to contribute positively to society while at the same
time reducing our operational footprint remains strong. In 2016, we set six
sustainability goals covering safety, CO
2
emission intensity, water efficiency,
landfill waste, reclaimed waste schemes and energy efficiency in owned offices
that are aligned with the United Nations Sustainable Development Goals
(SDGs). In 2020, we expanded our sustainability commitment, adding two
science-based target goals related to absolute carbon emission reductions.
For the five of the six sustainability goals with baseline 2015 and time horizon
2030, we set intermediate goals for 2022 all of which were met.
In 2022, ROCKWOOL ranked 16
th
overall among the world’s most sustainable
companies and #1 globally among Building Products companies, according to
the prestigious Corporate Knights Global 100 most sustainable companies
index. One can read more about these commitments and recognitions in our
annual and sustainability reports.
Progress on sustainability goals
In the first half of 2023, our performance within the five sustainability goals that
have a time horizon of 2030 remains on or ahead of schedule.
From 2023 onwards, we have modified the Group safety goal to be “zero
fatalities and zero serious accidents”. We will continue to prioritise and focus on
a low frequency of Lost Time Incidents, but consider the updated safety goal to
be more meaningful than the annual goal set in 2016 to reduce the Lost Time
Incident (LTI) rate by at least 10 percent annually. In the first half of 2023, there
were no fatalities and one serious accident.
In 2022, we offered reclaimed waste schemes in 19 countries. We are currently
preparing to launch the schemes in two additional countries later in the year.
We continue to progress well on the conversion of our Swiss factory from coke
to green electricity with planned completion in 2024, which will contribute
positively to achieving our science-based targets.
Systems sales
+1%
Systems EBIT margin
+1.2%-points
9/15
Conversion of shares
In accordance with ROCKWOOL’s articles of association, shareholders may
from 30 August 2023 (as per this announcement) until 13 September 2023
request conversion of A shares to B shares. Further information on how to
submit a conversion request and on the terms and conditions can be found on
the company’s website:
https://www.rockwool.com/group/about-us/investors/conversion-shares/.
10/15
Outlook for the full year 2023
We now expect a sales decline up to eight percent, changed from previously up
to 10 percent decline.
We now expect EBIT margin to be around 13 percent, changed from previously
around 12 percent. The improvement is mainly due to a higher degree of
certainty for the earnings level into the autumn season resulting from greater
stability in sales prices and energy costs.
We now expect the investments excluding acquisitions to amount to around 325
MEUR, changed from previously around 400 MEUR. The decrease mainly
relates to delay in a few of the large factory projects.
2023 outlook overview
8 February 2023
10 May 2023
6 July 2023
30 August 2023
Net sales
in local currencies
Sales decline of
up to 10 percent
Sales decline of
up to 10 percent
Sales decline of
up to 10 percent
Sales decline of up
to eight percent
EBIT margin
Between
8-10 percent
Around 10 percent
Around 12 percent
Around 13 percent
Investments excluding
acquisitions
Around 400 MEUR
Around 400 MEUR
Around 400 MEUR
Around 325 MEUR
Further information:
Kim Junge Andersen, Chief Financial Officer
ROCKWOOL A/S
+45 46 56 03 00
At ROCKWOOL Group, we are committed to enriching the lives of everyone who
experiences our products and services. We help our customers and communities tackle
many of today’s biggest sustainability and development challenges, from energy
consumption and noise pollution to fire resilience, water scarcity and flooding. Our
product range reflects the diversity of the world’s needs, while supporting our
stakeholders in reducing their own carbon footprint.
Stone wool is a natural, fully recyclable, versatile material that forms the basis of all our
businesses. With approximately 12 000 dedicated colleagues in 40 countries and sales
in more than 120, we are the world leader in stone wool products, from building
insulation to acoustic ceilings, external cladding systems to horticultural solutions,
engineered fibres for industrial use to insulation for the process industry and marine &
offshore.
11/15
Management statement
30 August 2023
Registered Directors
Board of Directors
12/15
Income statement
Unaudited
Audited
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
Net sales
Other operating income
Operating income
Raw material costs and production material costs
Delivery costs and indirect costs
Other external costs
Personnel costs
Operating costs
EBITDA
Amortisation, depreciation and write-downs
EBIT
Income from investments in associated companies
-
-
Financial items
-45
-64
-45
Profit before tax
Tax on profit for the period
Profit for the period
EUR
Earnings per share of 10 DKK (1.3 EUR)
Diluted earnings per share of 10 DKK (1.3 EUR)
Statement of comprehensive income
Unaudited
Audited
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
Profit for the period
Items that will not be reclassified to income statement:
Tax on other comprehensive income
-4
Items that may be subsequently reclassified to income statement:
Currency adjustment from translation of entities
-8
-51
Hedging instruments, value adjustments
-1
Tax on other comprehensive income
-1
Other comprehensive income
-9
-48
Comprehensive income for the period
13/15
Business segments and sales reporting
Unaudited
YTD Q2
Insulation segment
Systems segment
Eliminations
ROCKWOOL Group
MEUR
2023
2022
2023
2022
2023
2022
2023
2022
External net sales
1 387
1 531
396
411
-
-
1 783
1 942
Internal net sales
182
203
-
-
-182
-203
-
-
EBIT
189
189
48
44
-
-
237
233
EBIT margin
12.1%
10.9%
12.0%
10.8%
13.3%
12.0%
Goods transferred at a point in time
1 387
1 531
396
411
1 783
1 942
Geographical split of net sales
Unaudited
Audited
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
Western Europe
541
593
1 069
1 150
2 290
Eastern Europe and Russia
161
217
299
395
813
North America, Asia and others
215
208
415
397
804
Total net sales
917
1 018
1 783
1 942
3 907
Balance sheet
(condensed)
Unaudited
Audited
MEUR
Q2 2023
Q2 2022
FY 2022
Assets
Intangible assets
Tangible assets
Right-of-use assets
Other financial assets
Deferred tax assets
Non-current assets
Inventories
Receivables
Cash
Current assets
Total assets
Equity and liabilities
Share capital
Currency translation adjustments
-168
-117
Proposed dividend
Retained earnings
Hedging
-1
Total equity
Non-current liabilities
Current liabilities
Total liabilities
Total equity and liabilities
14/15
Cash flow statement
(condensed)
Unaudited
Audited
MEUR
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
EBIT
Adjustments for amortisation, depreciation and write-downs
Adjustments of non-cash operating items
-1
-4
-4
Changes in net working capital
-70
-64
-184
-148
Cash flow from operations before financial items and tax
Cash flow from operating activities
Cash flow from investing activities excluding acquisitions
-54
-85
-131
-155
-333
Business acquisitions, net of cash
-1
Free cash flow
-48
Cash flow from financing activities
-234
-4
-95
-14
Net cash flow
-115
Cash available – beginning of period
Exchange rate adjustments on cash available
-2
-5
-9
Cash available – end of period
Unutilised, committed credit facilities
Statement of changes in equity
Unaudited
Shareholders of ROCKWOOL A/S
MEUR
Share
capital
Currency
translation
adjustments
Proposed
dividend
Retained
earnings
Hedging
Total
equity
Equity 1 January 2023
-117
-1
Profit for the period
Other comprehensive income
-51
-48
Comprehensive income for the period
-51
Purchase of own shares
-3
-3
Expensed value of Restricted Share Units issued
Dividend paid
-102
-101
Equity 30 June 2023
-168
Equity 1 January 2022
-134
-1
Profit for the period
Other comprehensive income
Comprehensive income for the period
Purchase of own shares
-2
-2
Expensed value of Restricted Share Units issued
Dividend paid
-102
-101
Equity 30 June 2022
15/15
Main figures in DKK million
Unaudited
Audited
MDKK
Q2 2023
Q2 2022
YTD
Q2 2023
YTD
Q2 2022
FY 2022
Net sales
6 835
7 574
13 282
14 447
29 068
Amortisation, depreciation and write-downs
453
416
901
814
1 760
EBIT
992
978
1 764
1 735
2 988
Profit before tax
1 025
644
1 811
1 257
2 664
Profit for the period
758
464
1 340
930
2 031
Total assets
25 989
26 572
25 493
Equity
19 430
19 137
19 186
Cash flow from operating activities
1 289
776
1 774
794
2 929
Cash flow from investing activities
399
631
973
1 154
2 481
Exchange rate
7.45
7.44
7.45
7.44
7.44
Accounting policies
This unaudited interim report has been prepared in accordance with IAS 34 and additional Danish regulations for the
presentation of quarterly interim reports by listed companies. The interim report has been prepared in accordance with the
accounting policies set out in the Annual Report for 2022 with no significant changes.
Significant accounting estimates and assumptions
In preparing this interim report Management has made various accounting estimates and judgements that may significantly
influence the amounts recognised in the Consolidated Financial Statement and related information at the reporting date. The
accounting estimates and judgements which Management considers to be material for the preparation and understanding of
the interim report are stated in Note 1.1 in the Annual Report 2022 and primarily relates to impairment testing, expected
lifetime for tangible assets, deferred tax assets and uncertain tax positions.
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.
ROCKWOOL A/S
Denmark
Tel: (+45) 46 56 03 00
CVR number: 54879415
Report date: 2023-08-30