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Haarslev Industries A/S
Bogensevej 85, 5471 Soendersoe
CVR.no. 89 52 38 18
Annual report for 2025
Adopted at the annual general meeting on
Soendersoe, 30 April 2026
Chairman at the general meeting
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Contents
Management´s review ............................................................................................................................ 3
1. Introduction ................................................................................................................................ 20
2. Translation of foreign currencies .................................................................................................... 21
3. Accounting policy IFRS .................................................................................................................. 22
4. Revenue ...................................................................................................................................... 23
5. Cost ............................................................................................................................................ 26
6. Employee benefits ........................................................................................................................ 27
7. Special items ............................................................................................................................... 28
8. Net finance cost ........................................................................................................................... 28
9. Income tax .................................................................................................................................. 29
10. Intangible assets....................................................................................................................... 30
11. Property, plant and equipment .................................................................................................. 32
12. Leases ..................................................................................................................................... 34
13. Equity investments in Group enterprises ..................................................................................... 35
14. Inventories .............................................................................................................................. 37
15. Work in progress for third parties ............................................................................................... 38
16. Trade receivables ..................................................................................................................... 40
17. Receivable from Group enterprises and other receivable ............................................................... 41
18. Deferred tax ............................................................................................................................ 42
19. Equity ..................................................................................................................................... 43
20. Other provisions ....................................................................................................................... 43
21. Borrowings and lease liabilities long term .................................................................................... 44
22. Financial instruments and risk .................................................................................................... 46
23. Contingent liabilities ................................................................................................................. 50
24. Securities ................................................................................................................................ 50
25. Related parties ......................................................................................................................... 51
26. Cashflow statement .................................................................................................................. 52
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Company information
The Company
Website: www.haarslev.com
E-mail: DK-info@haarslev.com
Registered office: Nordfyns Kommune
CVR no.: 89 52 38 18
Financial year: 01.01 - 31.12
Executive Board
CEO Kim Kirk Christensen
CFO Rasmus Misser
CCO
Henning Haugaard
COO Anders Erik Ola Svehag
Board of directors
Chairman Jørn Mørkeberg Nielsen
David Hess
Lisa Åberg
Auditors
DELOITTE STATSAUTORISERET REVISIONSPARTNERSELSKAB
Ultimate Parent Company
Haarslev Holding S.A.R.L., 9A Rue Gabriel Lippmann, L-5365 Munsbech, Luxembourg which is owned by Altor
Fund III GP Limited.
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Statement of the Board of Directors and Executive Board on the annual report
Executive Board
Board of directors
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Independent auditor´s report
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CVR No. 33963556
Identification No (MNE) mne116 8 1
Identification No (MNE) mn e4776 4
Haarslev Industries A/S
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Management´s review
Who we are
Facts and numbers about us (approximate numbers)
No. 1
in protein upcycling of animal by-products
6
production sites worldwide
17
70
sales and service centers globally
certified engineers
120
countries sold to
190
EURm revenue
750
employees globally
66,000
m
2
production area
Vision and Values
Vision
Haarslev will be the undisputed market leader and provide technical solutions that enable our
customers to run their feed and food processing operations more efficiently, more sustainably and
more profitably.
Our values are:
Customer-focused
Committed to the success of our customers
Working together
Teamwork is at the heart of how we operate
Performance-oriented
Striving for excellence and delivering above and beyond our commitments
Primary Activities
Haarslev Group Holding A/S serves as a holding company. Haarslev is a global provider of process solutions
and equipment for the drying, dehydrating, and processing of fish-based and animal by-products, as well as
by-products from bio processing segments including wastewater, biogas production, and plant-based protein
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development. The Group also provides its process solutions, drying and dehydrating equipment to the
municipal and industrial environmental sectors.
Business Model and Strategy for Haarslev Group
Haarslev is the largest global industry player within end-to-end solutions for the attractive global market for
protein upcycling. The market is large and fundamentally stable with +5–6% growth p.a., driven by growth in
underlying protein consumption, increased industrialization of protein processing, sustainability focus, and
technology advancements.
From offices around the globe, Haarslev employees take pride in providing end-to-end solutions with the
specialist equipment and know-how this takes. As the global population continues to grow and the world’s
supply of vital proteins, minerals, fuel, and other essentials are increasingly constrained, Haarslev seeks to play
its part in utilizing resources more efficiently.
Leading Processing Supplier
Haarslev designs, manufactures, and services market-leading equipment, control systems and spare parts and
services solutions for the Pork, Poultry & Beef, fish, and Bio Processing industries. Haarslev installs,
commissions, monitors, and provides service for these solutions to keep them running 24/7.
Leadership through Innovation
We invest in products and process innovation. Dedicated Haarslev Innovation and Process departments are
working to continuously improve the overall efficiency, capacity, and quality of our equipment. In the coming
years we plan to step up our investments in innovation and new product development. Haarslev is well
positioned to benefit from attractive market tailwinds, being the largest, most innovative, end-to-end solution
provider.
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Global Reach
Haarslev has around 800 employees in 13 countries around the world. We provide a unique service network
with 8 service hubs and an Aftermarkets team. More than 150 people work on helping customers around the
world keep their processing operations running 24/7. Our local presence is complemented by a strong network
of experienced agents and distributors with which we have a partnership to deliver the best solutions to our
customers globally.
Worldwide Customer Base
With customers located in more than 120 countries across the globe, Haarslev is a truly global company.
Haarslev is extremely focused on building long-standing partnerships, as part of a strategy centered around
customer centricity and strong co-operation with customers across industries and geographies.
Haarslev’s long heritage as market leader implies that the company has significant untapped aftermarket
potential. The long service life of Haarslev equipment (15-25 years) provides steady and predictable aftermarket
demand.
Clear and Performance-oriented Strategy
Haarslev Group expects to grow faster than the market in the coming years, and with a clearly formalized plan
under execution focused on capturing strong capital sales market growth, driving increased penetration, and
delivering on significant operational initiatives.
Key Application
Haarslev Group is focused on driving services across three main applications:
Poultry, Beef and Pork Rendering Solutions, serving protein processors and third-party rendering
Fish Processing Solutions, to produce fish meal and oil from fish by-products
Bio Processing Solutions, technology used in wastewater plants, biogas production and plant-based
protein processes
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Given Haarslev’s differentiated expertise across all application segments, our team of industry professionals can
anticipate market developments and changes, enabling us to adjust our business accordingly and serve our
customers to the highest standards.
Across application, our offerings cover the full product life cycle – from pre-project feasibility studies, design
and manufacturing to service and installation and, ultimately, de-commissioning the solutions.
Global Sales and Aftermarket Network
Haarslev’s physical presence across the globe offers customers a local level of proximity, providing immediate
response and first-class service from our skilled employees. We are continuously evaluating our network to
optimize our skills and service levels and strengthen our connection with customers, especially within
aftermarket spare parts and services.
Revenue Breakdown
Haarslev’s main revenue segment is capital sales, encompassing greenfield projects and equipment
replacement/upgrades. The standalone, modular portfolio is the building block for larger projects. Our installed
base is large and growing, effectively driving our resilient service and parts revenues.
Revenue for FY 2025 for Haarslev Group
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Corporate Strategy
For the period 2025–2028 Haarslev has a strategic plan under execution focused on capturing strong capital
sales market growth, driving increased Aftermarkets penetration, and delivering on significant operational
initiatives, while continuing to invest in key organizational resources. In 2025 Haarslev increased its focus on
project. Also in 2025, an increased focus on the Service segment including spare parts to the Aftermarket was
reiterated by forming a functional organization responsible for delivering results in Service.
Development in Activities and Financial Affairs
The revenue in Haarslev Industries A/S (excluding subsidiaries) decreased by 36.5% to DKK 505.023k (2024:
DKK 795.287k). Comparing actual performance in 2025 to the Outlook for 2025 presented in the 2024 Annual
Report, revenue and EBITDA decreased. The results for the year 2025 did not meet the budget expectations
despite a strong gross margin focus, better pricing practices and better project execution. Management
considers the result for 2025 to be not satisfactory.
Order Intake (OI) in 2025 was lower than expected, several capital sales projects anticipated for 2025 being
postponed, and deselection of specific lower-margin projects.
EBTDA (Earnings Before Interest, Tax, Depreciation and Amortization)
Haarslev industries A/S is owned by Haarslev Group A/S, which is owned by Haarslev Group Holding A/S. The
two holding companies have only the activity to be holding companies.
Haarslev Group Holding A/S
In the following the EBITDA development in Haarslev Group Holding A/S as well as in Haarslev Industries A/S
(excluding subsidiaries) is illustrated:
The normalized EBITDA has decreased by DKK 55,503k or 21% compared to 2024. Normalized EBITDA reflects
underlying business performance and excludes special and exceptional items that are not considered part of
normal operations. The decrease is solely driven by lower Revenue because of less Order Intake.
Special items in 2025 amounting to DKK 64,166k relate to a provision on Inventory. A strategic decision to
change the methodology of obsolete or slow-moving inventory has resulted in such provision.
DKK´000 2025 2024
Profit before net financials cf. Income statement (including special and exceptional items) 60.442 236.667
Depreciation, amortisation, impairment losses and write-downs cf. Adjustment to cash
flow statement 50.226 41.293
EBITDA (including special and exceptional items) 110.668 277.960
Special items (included in Annual Report in separate line Special items) -64.166 21.208
Exceptional items (included in Annual Report in ordinary operation) -37.374 -10.959
Normalised EBITDA (excluding special and exceptional items) 212.208 267.711
Exceptional items (other than included above)
Normalised EBITDA, continued operations 212.208 267.711
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Exceptional items of DKK 37,374k (2024: DKK 10,487k) comprise restructuring costs, legal fees and a strategic
project.
Haarslev Industries A/S
For Haarslev Industries A/S the normalized EBITDA (excluding special and exceptional items) has decreased by
DKK 91,672k. The decrease is driven by lower revenue from volume.
The entity's income statement for 2025 shows a profit after tax of DKK 35.997k (2024: profit after tax of DKK
169.141k).
The entity's balance sheet as of 31 December 2025 shows an equity of DKK 173.863k (2024: DKK 251.910k)
and total assets of DKK 1.362.016k (2024: DKK 1.426.630k).
Capital resources and funding
Total cash flow was positive by DKK 30.593k (2024: negative by DKK 289k). Cash flow from operating activities
was positive by DKK 112.539k (2024: positive by DKK 68.508k).
A new bank agreement covering the period to 30 June 2027 was signed in November 2025. As part of the
agreement with the Group´s lenders, the Group must comply with certain financial covenants. The outlook for
2026 is in compliance with these financial covenants based on the key assumptions that the Group will not
experience any significant operational issues throughout 2026.
Based on these assumptions and the budget for 2026, Group Management considers that the Group´s capital
resources and funding will be on an acceptable level and improved compared to 2025 throughout the year
2026.
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Uncertainty relating to recognition and measurement
In the opinion of Management, the following accounting estimates and assessments are significant in the
preparation of the Consolidated Financial Statements:
Key accounting estimate Note Estimation risk
Work in progress (and thereby revenue and production costs) 18 Medium
Inventory (and thereby production costs) 17 Medium
Risk Management
Because of its operations, investments, and financing, the Group is exposed to volatility in terms of raw
material prices, exchange rates, and the level of interest. The risk of changes in raw material prices is to a
degree contractually transferred to our customers. The Group does not enter financial instruments for
hedging.
Operational Risk Management
The main operational risk in the Group relates to the execution of large complex customer projects. The
Group’s extensive know-how and many years of experience within project management are the main
components in mitigating this risk. Bid reviews and project support from central knowledge centers are an
integrated part of the project management process.
Additionally, several reporting procedures have been set up in order to monitor project progress and to
ensure actions are taken if unforeseen issues arise during the project lifetime. The status on the largest
projects is reported to the Board of Directors on a monthly basis.
In relation to the preparation of the financial statements, management has a particular focus on the control
procedures in relation to the following items:
• Revenue recognition of large projects
• Valuation of work in progress
The formal monthly reporting procedures, as well as review meetings, are set up to mitigate risks related to
these items.
Resources
The Group has considerable resources within its field of activity, which may be divided into four categories:
Customers, Technology, Processes, and Staff Relations.
Customers
The Group aims at creating value for its customers by providing intelligent solutions, created in cooperation
with the individual customer, meeting the customers’ expectations through the delivery of customized, high-
quality products, delivered in accordance with terms of delivery, etc. The key performance indicators in this
respect include customer satisfaction and customer loyalty. Follow-up is made regularly through close
dialogue with customers.
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Technology
It is important for the Group – in both the short and long term – to ensure the right portfolio of production
technologies and a continued further development of existing production technologies.
Processes
The critical business processes relate to the development of individual solutions, quality, and service. The
individual methods and procedures are documented in order to make sure the customer receives the agreed
service. Compliance with time of delivery and the scope of warranty expenses are important indicators of the
functionality of business processes. The Group constantly makes great efforts to ensure that the goals set up
for the business processes are complied with.
Furthermore, the Group’s internal development activities are constantly focused on improving products and
processes, often in cooperation with the customer.
Staff Relations
In order to continuously be able to deliver and develop competitive products and solutions, it is crucial that
the company is capable of recruiting and retaining highly qualified employees.
The number of employees has developed as follows:
Average number of employees was 241 in 2025 (2024: 295).
Research and Development Activities
The Group is not engaged in research, but is developing its technologies, processes, and competencies on an
ongoing basis. One part of this development work is related to updating and improving existing technologies,
both equipment and software solutions, while the other is related to the development of new equipment.
Statutory Report on Corporate Social Responsibility
Haarslev has published a statutory CSR and Diversity statements on the Company’s website, see the Danish
Financial Statements Act, § 99a and § 99d and voluntary diversity disclosure. The CSR and Diversity
statements are developed for Haarslev Group Holding A/S and subsidiaries. To read these statements please
visit www.haarslev.com/esg
Corporate Governance
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Shareholder Relations
On an ongoing basis, the Board of Directors assesses whether the company’s capital structure is in accordance
with the interests of the company and its stakeholders. The overall objective is to ensure a capital structure
that supports long-term, profitable growth.
The company’s Articles of Association stipulate no limits of ownership or voting rights. If an offer is received
for an acquisition of company shares, the Board of Directors will consider this in accordance with the law.
The Haarslev Group’s principal shareholder is Altor Fund III GP, which owns approx. 76% of the company’s
shares, while 20% of the Group’s shares are owned by Haarslev Group A/S (own shares). The remaining shares
are owned by management and employees of the Group.
The company will from time to time hold a limited number of its own shares, when changes in Group
Management take place.
Board of Directors
Jørn Mørkeberg Nielsen (chairman)
Elected by the General Assembly. Member of the Board of Directors in 2020.
Chairman of the Board of Haarslev Industries A/S and Haarslev Group A/S. Chairman of the Board of
Landmeco A/S, Chairman of the Board of Skiold A/S, Chairman of the Board of Skiold Group A/S, Member of
the Board of Viet-Jacobsen Fonden.
David Hess
Elected by the General Assembly. Member of the Board of Directors in 2020.
Member of the Board of Haarslev Industries A/S, Haarslev Group A/S. Member of the Board of Altor Equity
Partners A/S.
Lisa Åberg
Elected by the General Assembly. Member of the Board of Directors in 2025.
Member of the Board of Haarslev Group A/S, Haarslev Industries A/S. Member of the Board of SATS ASA,
Avanza Bank, Swegon and Caljan A/S.
Tine Drud Vester Olsbæk (employee representative)
Elected by employees. Member of the Board of Directors since 2025.
Kurt Andersen (employee representative)
Elected by employees. Member of the Board of Directors since 2024.
Responsibilities of the Board of Directors
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The Board of Directors has monitored the preparation of the financial reporting, the internal controls, and the
audit of the financial statements.
The Board of Directors ensures that the Executive Board complies with the objectives, strategies, and
procedures laid down by the Board of Directors. The reporting from the Executive Boards of the respective
companies takes place systematically, both at meetings and through written and verbal reporting on an
ongoing basis.
Among other things, this reporting includes a description of the development in key markets, as well as the
Group’s operational and financial development. The Board of Directors holds meetings according to a fixed
plan, with at least five meetings a year and extraordinary meetings if required.
Management remuneration
In order to attract and retain the Group’s management competencies, remuneration of the members of the
Executive Board and executives is determined considering their responsibilities, value creation, and the
conditions of comparable enterprises. This remuneration includes performance-related elements aimed at
aligning interests between company management and the shareholders, as the schemes consider both short-
term and long-term goals.
Such performance-related elements include cash bonuses as well as a warranty program for selected key
executives responsible for the day-to-day management.
Dividend policy
Payment of dividend takes place in due consideration of the necessary consolidation of equity as a basis for
the Group’s continued expansion. Dividend proposed for 2025 amounts to DKK 35.000k. (2024: DKK
100.000k).
Stakeholders
The Group constantly seeks to develop and maintain good relations with its stakeholders, as such relations are
considered to be of significant and positive importance to the Group’s development. On this basis, Haarslev
Group Holding is pursuing active communication with its stakeholders and, moreover, has separate policies
for various key areas such as staff, environmental factors, and responsibility towards customers and society at
large. These policies are to ensure that information of importance to, among others, investors, employees,
and authorities is provided and published in accordance with rules and agreements.
Part of the work of the Board of Directors is to ensure both compliance with and regular adaptation of the
guidelines in accordance with the development in and around the Group.
Events after the balance sheet date
No events that would influence the evaluation of this annual report have occurred from the date of the
balance sheet up to this current date.
Outlook
Haarslev enters 2026 with a solid pipeline distributed across segments and geographies.
The outlook for 2026 is positive. An internal increased focus on Service / Aftermarket is expected to grow the
business segment in the next period – hereby increasing the resilience in the Haarslev Group revenue.
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Profitability is key and an increase in profitability is expected to be achieved from internal optimizations. The
geopolitical situation is a continuous risk to Haarslev. The general uncertainty could affect outlook more
negative despite of the end-market food producers/rendering market being less affected by such geopolitical
issues.
For 2026 a profit for the year margin of 5-7% is expected before tax.
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Financial highlights
Figures in DKK '000 2025 2024 2023 2022 2021
Profit/loss
Revenue 505.023 795.287 819.954 733.919 732.023
Gross profit 100.338 234.148 138.878 70.495 111.263
Profit/loss before net financials, tax and
special items -6.680 142.985 41.984 -24.741 31.146
Special items -46.523 0 0 -59.524
Profit/loss before net financials & tax after
special items (operating profit) -53.204 142.985 41.984 -84.265 31.146
Total net financials -8.897 -14.416 -20.359 -25.718 -20.049
Profit/loss for the year 35.997 169.141 57.750 -75.267 33.575
Total comprehensive income 21.953 174.143 41.252 -58.948 55.748
Balance
Total assets 1.362.016 1.426.631 1.361.914 1.390.851 1.263.751
Investments during the year in property,
plant and equipment 6.574 14.391 20.605 20.799 4.919
Equity 173.863 251.910 112.539 30.593 123.529
Cashflow
Net cash flow:
Operating activities 112.539 68.508 13.639 -57.388 99.349
Investing activities 24.848 -1.443 53.274 54.330 -10.494
Financial activities -106.794 -67.355 -69.712 -46.805 -84.007
Cashflow for the year 30.593 -290 -2.798 -49.863 4.848
Employee average FTE 241 295 334 334 343
Ratios profitability
Return on equity 17% 18% 9% 5% 10%
Gross Margin 20% 29% 17% 10% 15%
Ratios Equity
Equity ratio 13% 18% 8% 5% 10%
Equity and subordinated loan ratio 23% 27% 18% 13% 18%
Return of equity:
Gross margin:
Equity interest:
Equity and shareholder loan ratio: (Equity, end of year + subordinated loan) x 100
Total assets
Equity, end of year x 100
Total assets
Profit/loss before net financials and discontinued activities x 100
Revenue
Profit/loss for the year x 100
Average equity
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Separate statement of comprehensive income
Notes
Figures in DKK '000 2025 2024
4 Revenue 505.023 795.287
Production costs -404.685 -561.139
Gross profit 100.338 234.148
Distribution costs -35.631 -30.211
Administration costs -71.387 -60.953
Profit/loss before net financials, before special items -6.680 142.985
7 Special items -46.523 0
Profit/loss before net financials, after special items -53.204 142.985
13 Result from equity investments in Group enterprises 89.467 54.256
8 Financial income 28.663 36.169
8 Financial expenses -37.560 -50.585
Profit/loss before tax 27.366 182.825
9 Tax on profit or loss for the year 8.631 -13.684
Profit/loss for the year 35.997 169.141
Other comprehensive income
Exchange rate adjustments of investments in Group enterprises -14.044 5.002
Other comprehensive income, net of tax -14.044 5.002
Total comprehensive income 21.953 174.143
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Balance sheet 31 December
ASSETS
Notes Figures in DKK '000 2025 2024
10 Software 347 726
10 Completed development projects 6.457 6.803
10 Development projects in progress 1.055 6.299
10 Knowhow 16.706 22.532
Total intangible assets 24.565 36.359
12 Leases 4.906 7.561
11 Land and buildings 35.444 35.558
11 Machinery and equipment 7.564 8.877
11 Other fixtures and fittings, tools and equipment 12.661 12.958
11 Property, plant and equipment under construction 9.989 11.216
Total tangible assets 70.564 76.169
13 Equity investments in Group enterprises 482.053 440.954
17 Receivables from Group enterprises 486.907 494.909
17 Other receivables 380 387
Total investments 969.340 936.250
Total non-current assets 1.064.469 1.048.779
14 Raw materials and consumables 37.283 58.341
14 Product in progress 4.958 6.668
14 Manufactured goods and goods for resale 11.390 32.417
Total inventories 53.631 97.426
15 Work in progress for third parties 31.523 72.854
16 Trade receivables 42.311 44.112
17 Trade receivable from Group enterprises 125.535 146.299
Other receivables 2.792 932
Prepayments 770 5.838
Total receivables 202.932 270.034
Cash 40.985 10.392
Total current assets 297.547 377.852
Total assets 1.362.016 1.426.631
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Balance sheet 31 December (continued)
EQUITY AND LIABILITIES
Notes Figures in DKK '000 2025 2024
19 Share capital 500 500
Reserve for development costs 16.079 10.220
Reserve for exchange rate adjustments 1.151 15.195
Retained earnings 121.133 125.995
Proposed dividend 35.000 100.000
Total equity 173.863 251.910
21 Subordinated loan from Group enterprises 144.411 136.654
21 Leases 2.840 4.764
21 Other payables 21.328 32.680
18 Deferred tax liability 9.274 21.771
21 Total non-current liabilities 177.853 195.868
21 Leases 2.308 3.021
21 Payables to other credit institutions 286.928 273.040
15 Prepayment received from work in progress for third
parties
15 Prepayments received from customers 18.957 31.163
Trade payables 55.030 44.591
Tax payables 1.853 14.775
Payables to Group enterprises 566.573 508.176
20 Other provisions 15.436 26.995
Other payables 16.389 18.501
Total current liabilities 1.010.300 978.853
Total payables 1.188.153 1.174.721
Total equity and liabilities 1.362.016 1.426.631
22 Financial instruments
23 Contingent liabilities
24 Securities
25 Related parties
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Separate cash flow statement
Note Figures in DKK '000 2025 2024
Net profit/loss for the year 35.997 169.141
26 Adjustments -6.272 14.280
Change in working capital
Inventories 38.602 21.226
Receivables and payable from related parties 79.161 -38.230
Receivables -60 -4.717
Trade payables 10.439 -51.690
Other receivable relating to operating activities 5.075 13.600
Other payables relating to operating activities -37.643 -45.517
Cash flows from operating activities before net financials 125.300 78.093
Interest income and similar income received 28.663 36.169
Interest expenses and similar expenses paid -37.560 -50.585
Income tax paid -3.865 4.832
Cash flows from operating activities 112.539 68.508
Purchase of intangible assets -7.644 -4.963
Sale of intangible assets 4.526 2.865
Purchase of property, plant, and equipment -6.243 -8.225
Sale of property, plant, and equipment 997 859
Dividend received 33.212 4.043
Equity investments in Group enterprises 1 3.978
Cash flows from investing activities 24.848 -1.442
Dividend paid -100.000 -40.000
Receivables from related parties 6.889 714
Payment to credit institutions 2.967 -21.418
Other payable -13.245 -1.853
Payment of lease commitments -3.405 -4.798
Cash flows from financing activities -106.794 -67.355
Total cash flows for the year 30.593 -289
Cash beginning of year 10.392 10.682
Total cash 40.985 10.392
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Statement of changes in Equity
Refer to note 19 for further information.
Figures in DKK '000
Share capital
Reserve for
development
costs
Reserve for
exchange rate
adjustments
Retained earnings
Proposed
dividend
Total Equity
Statement of changes in equity for
01.01.2024 -31.12.2024
Balance as of 01.01.2024 500 0 10.193 67.074 40.000 117.767
Net profit/loss for the year 69.141 100.000 169.141
Transfers to/from other reserves 10.220 -10.220 0
Other comprehensive income
Foreign currency translation adjustment of
foreign enterprises
Total other comprehensive income
Total comprehensive income 10.220 5.002 58.921 100.000 174.143
Dividend paid
-40.000
-40.000
Transactions with owners
-40.000
-40.000
Balance as of 31.12.2024 500 10.220 15.195 125.995 100.000 251.910
Statement of changes in equity for
01.01.2025 -31.12.2025
Balance as of 01.01.2025 500 10.220 15.195 125.995 100.000 251.910
Net profit/loss for the year
Transfers to/from other reserves
-5.860
Other comprehensive income
Foreign currency translation adjustment of
foreign enterprises
-14.044
-14.044
Total other comprehensive income
-14.044
-14.044
Total comprehensive income 5.860 -14.044 -4.862 35.000 21.953
Dividend paid
-100.000
-100.000
Transactions with owners
-100.000
-100.000
Balance as of 31.12.2025 500 16.079 1.151 121.133 35.000 173.863
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Overview of notes and accounting policies
1. Introduction
Reporting entity
Haarslev Industries A/S is the reporting entity. Haarslev Industries A/S is a limited liability Company
incorporated in Denmark. Referring to 109(3) of the financial statement Act, no consolidated financial
statements have been prepared. Haarslev Industries A/S is included in the consolidated numbers of Haarslev
Group Holding A/S, CVR.no. 33 96 93 76, with registered office in Nordfyns kommune.
On 30 April 2026, the Board of Directors and the Executive Management Board considered and approved the
2025 Financial Statements of Haarslev Industries A/S. The Financial Statements will be presented to the
shareholders of Haarslev Industries A/S for approval at the ordinary Annual General Meeting on 30 April 2026.
The principal accounting policies
The principal accounting policies applied in the preparation are set out in the sections below. The principal
accounting policies applied in the preparation of the Financial Statements of the Company have been
consistently applied to all the years presented, unless otherwise stated.
The Company’s financial statements have been prepared in accordance with International Financial Reporting
Standards (“IFRS”) as adopted by the EU and additional Danish disclosure requirements for the financial
statements of reporting class C large, cf. the Danish Executive Order on Adoption of IFRSs (“IFRS
bekendtgørelsen”) issued in accordance with the Danish Financial Statements Act (“DFSA”).
The notes and accounting policy sections are divided into areas that describe the various aspects of the
accounts. The notes also include the accounting policy, estimates and uncertainties and figures.
The Haarslev Group has changed accounting policy for estimate of write down on inventory. The policy has
been updated, and items above 2 years has been written down 100%. Previous write down of inventory was 3
years 100%. This has impacted the year negative in the Haarslev Group with 64 mln DKK; allocated with 46,5
mln. DKK in the Company as special items; and 17,6 mln as negative impact through result from equity
investments. Besides the above, all accounting estimates has not been changed.
Measurement basis
The Company’s Financial Statements are prepared according to the historical cost convention except that
derivatives and financial instruments classified as “Fair value through profit loss” (FVTPL) are measured at fair
value. Assets classified as held for sale are measured at the lower of the carrying amount before the changed
presentation and the fair value less costs to sell. The accounting policies, set out below and in the notes, have
been used consistently in respect of the financial year and to comparative figures.
The Financial Statements are presented in Danish Kroner (DKK) which is the Company’s functional currency.
Application of materiality and relevance
The Financial Statements are based on the concept of materiality and relevance to ensure that the content is
material and relevant to the user. When assessing materiality and relevance, due consideration is given to
ensure compliance with applicable accounting legislation etc. and to ensure that the Financial Statements give
a true and fair view of the Company’s financial position at the balance sheet date.
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The Financial Statements consist of many transactions. These transactions are aggregated into classes
according to their nature or function and presented in classes of similar items in the Financial Statements and
in the notes as required by IFRS. If items are individually immaterial, they are aggregated with other items of
similar nature in the statements or in the notes.
Management provides specific disclosures required by IFRS unless the information is not applicable or is
considered immaterial to the decision making of the primary users of these financial statements.
Significant accounting policies
Management considers the accounting policies for the following areas as the most important for the
Company:
Revenue
Work in Progress
Inventory
Significant estimates
In the preparation of the Financial Statements, Management undertakes several accounting estimates and
assessments and makes assumptions which provide the basis for recognition and measurement of the assets,
liabilities, revenues and expenses of the Company. The key accounting estimates identified are those that
have a significant risk of resulting in a material adjustment to the measurement of assets and liabilities in the
following reporting period. These estimates assessments, and assumptions are based on historical experience
and other factors which the Management considers reasonable under the circumstances, but which by their
nature are uncertain and unpredictable. The assumptions may be incomplete or inaccurate and unanticipated
events or circumstances may occur, for which reason the actual results may deviate from the applied
estimates, assessments, and assumptions. In addition, the Company is subject to risks and uncertainties that
may cause actual outcomes to deviate from these estimates. Management considers the key accounting
estimates to be reasonable and appropriate based on currently available information. The actual amounts
may differ from the amounts estimated as more detailed information becomes available.
The estimates and underlying assumptions are reviewed on an ongoing basis. If necessary, changes are
recognised in the period in which the estimate is revised.
In the opinion of Management, the following accounting estimates and assessments are significant in the
preparation of the Financial Statements:
Key accounting estimate Note Estimation risk
Work in progress (and thereby revenue and production costs)
15 Medium
Inventory (and thereby production costs) 14 Medium
2. Translation of foreign currencies
Functional and presentation currency
Items included in the Financial Statements of each of the Group’s enterprises are measured using the
functional currency of the primary economic environment in which the enterprise operates. The Financial
Statements are presented in Danish Kroner (DKK).
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Translation of transactions and balances
On initial recognition, foreign currency transactions are translated into the functional currency using the
exchange rate prevailing at the date of transaction. Currency gains and losses resulting from the settlement of
these transactions as well as from the translation at year-end exchange rates of monetary assets and liabilities
denominated in foreign currencies are recognised in the Income statement as Financial income or expenses.
Non-current assets acquired in foreign currency are translated at the exchange rate prevailing at the date of
acquisition. Gains and losses on hedges relating to the acquisition of non-current assets are recognised as part
of the value of the non-current asset at its initial recognition.
Translation of subsidiaries
In the Financial Statements, the Income statement items of subsidiaries with a functional currency different
from DKK are translated at the average exchange rate, calculated on an average for each month, while the
balance sheet items are translated at the exchange rates at the end of the reporting period. Foreign exchange
differences arising on translation of such subsidiaries’ equity at the beginning of the reporting period to the
exchange rates at the end of the reporting period and on translation of the Income statements from average
exchange rates to the exchange rates at the end of the reporting period are recognised in Other
Comprehensive Income and attributed to a separate translation reserve under equity.
When disposing of 100%-owned foreign enterprises, exchange differences which have accumulated in Equity
via Other Comprehensive Income, and which are attributable to the enterprise, are transferred from Other
Comprehensive Income to the Income statement together with any gains or losses associated with the
disposal.
3. Accounting policy IFRS
Presentation of the Statement of Income
Haarslev Industries A/S presents expenses in the Statement of Income in accordance with their function. This
allows the presentation of gross profit in the Statement of Income, which is a widely used performance
measure in the industry. The composition of the costs allocated to the individual functions is explained as
follows:
• Production costs encompasses all manufacturing costs (including raw materials, employee
benefits, and depreciation and amortization) related to goods and services captured in revenues.
They are measured at their actual cost based on “first in, first out” or weighted average cost;
• Selling and marketing expenses relate to the selling and marketing of goods and services.
• Administrative expenses relate to the strategic and governance role of the general management
of the Company as well as the representation of Haarslev as a whole in the financial, political or
business community. General and administrative expenses also relate to business support
activities of staff departments that are not directly related to the other functional areas.
New and amended standards and interpretations
Management has assessed that new or amended IFRS Accounting Standards and interpretations issued by the
IASB and endorsed by the EU effective on or after January 1, 2025; have not had a significant effect on the
consolidated financial statements. Furthermore; new or amended IFRS Accounting Standards and
interpretations issued by the IASB that have not yet become effective are generally not adopted until they
become effective and endorsed by the EU. Management does not anticipate any significant impact on the
consolidated financial statements in the period of initial application from the adoption of these new standards
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and amendments, apart from IFRS 18´Presentation and Disclosure in financial Statements´ which replaced IAS
1 effective from January 1, 2027.
IFRS 18 implementation
IFRS 18 will revise the presentation of Haarslevs income statement, mainly due to the classification of financial
income and financial interest expenses. This reclassification will result in a difference between the IAS 1
operating profit reported in prior periods and the new IFRS 18-defined operating profit, mainly due to the
inclusion of operating foreign exchange difference from intra group balances and related hedging activities.
Reported net results remain unaffected. Further, IFRS 18 is expected to introduce a new note with
management-defined performance measures in the audited section of the financial statements as well as
additional disclosures.
4. Revenue
Haarslev reports its revenue on the following parameters:
Activities (Capital Sales or Aftermarkets)
Geographical areas
Activities
Our revenue comprises of two activities, Capital sales and aftermarkets. In the following table revenue is
disaggregated by capital sales (comprised of revenue from greenfield and large projects, standard equipment,
and modernization equipment) and aftermarket (comprised of maintenance, service, and spare parts).
Capital sales revenue consist of DKK 164.285k as of 31 December 2025 (2024: 448.366k) recognized over time
and DKK 121.414k (2024: 130.412k) of revenue is recognized at a point in time. All Aftermarket revenue is
recognized at a point in time.
Geographical areas
In the following table, revenue is disaggregated by primary geographical markets. Revenue is allocated based
on the country where the customer is located:
Figures in DKK '000 2025 2024
Revenue comprises of the following activities:
Capital sales 285.699 578.778
Aftermarket 219.324 216.510
Total 505.023 795.287
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Revenue can be split into three large geographical areas, Denmark, other EU countries and non-EU countries.
Accounting policies
The Group recognises revenue from the following major sources:
Capital Sales
sale of specialised manufactured machines
installation of manufactured machines for specialised business machines
sales-related warranties associated with sale of manufactured goods
sale of standard machines
Aftermarkets
maintenance and spare parts
Revenue is recognised based on the considerations specified in contracts with customers based on the five-
step process as described in IFRS 15. Revenue is recognised, when or as control over distinct goods or services
is transferred to the customer, i.e. when the customer is able to direct the use of the transferred goods or
services and obtains substantially all of the remaining benefits, provided a contract with enforceable rights
and obligations exists and amongst others collectability of consideration is probable taking into account our
customer’s creditworthiness. Revenue is the transaction price Haarslev expects to be entitled to.
Capital Sales
Sale of specialised manufactured machines
The Group constructs and sells specialised (to customer´s needs) manufactured machines under long-term
contracts with customers. Under the terms of the contracts, the Group is contractually restricted from
redirecting the properties (machines) to another customer and has an enforceable right to payment for work
done. Therefore, the specialised machines in its complete state will have no alternative use to Haarslev as
Haarslev will incur significant costs to rework the design and function of the specialised machine to direct to
another customer. Revenue from sale of specialised manufactured machines is therefore recognised over
time on a cost-to-cost method, i.e. based on the proportion of contract costs incurred for work performed to
date relative to the estimated total contract costs. An expected loss on the contract is recognized as an
expense immediately. The management consider that this input method is an appropriate measure of the
progress towards complete satisfaction of these performance obligations.
The Group becomes entitled to invoice customers for sale of specialised manufactured machines based on
achieving a series of performance-related milestones, among others the time of delivery and the time of
finalising installation. The Group will previously have recognised a contract asset for any work performed
“Work In Progress” (WIP) recognised at sales price. Any amount previously recognised as a contract asset is
reclassified to trade receivables at the point at which it is invoiced to the customer. If the milestone payment
exceeds the revenue recognised to date under the cost-to-cost method, then the Group recognises a contract
liability for the difference “Prepayment from customers”. There is not considered to be a significant financing
Figures in DKK '000 2025 2024
Revenue comprises of the following geographical markets:
Revenue, Denmark 78.878 91.323
Revenue, other EU countries 244.436 592.719
Revenue, non-EU countries 181.709 111.245
Total 505.023 795.287
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component in sale of specialised manufactured machines as the period between the recognition of revenue
under the cost-to-cost method and the milestone payment is normally less than one year.
Installation of manufactured machines for specialised business machines
Haarslev can sell manufactured machines for specialised business operations with or without installation.
The delivery of machines and installation are seen as two separate performance obligations – even that the
two services can be sold at the same time. This is due to:
Haarslev identifies two deliverables in the customer contract: (a) machines and (b) installation.
The promise to transfer machines and service to the customer is separately identifiable.
The installation service is routinely performed by other providers and does not significantly modify
the machines
Machines are often sold at a fix price whereas the installation is sold on time & material.
Installation services are recognised as a performance obligation satisfied over time.
Revenue is recognised for these installation services based on the stage of completion of the contract. The
management have assessed that the stage of completion determined as the proportion of the total cost
expected to install that has elapsed at the end of the reporting period is an appropriate measure of progress
towards complete satisfaction of these performance obligations. Payment for installation is not due from the
customer until the installation services are complete. Therefore, a contract asset “Work In Progress” (WIP) is
recognised (at sales price) over the period in which the installation services are performed representing the
entity’s right to consideration for the services performed to date.
Sales-related warranties associated with sale of manufactured goods
Sales-related warranties associated with sale of manufactured goods cannot be purchased separately and
they serve as an assurance that the products sold comply with agreed-upon specifications. Accordingly, the
Group accounts for warranties in accordance with IAS 37 (refer to note 14).
Sale of standard machines
For sale of standard machines, revenue is recognised when control of the goods has transferred, being when
the goods have been shipped to the customer’s specific location (delivery). The standard machines have an
alternative use for Haarslev and the contract does not preclude Haarslev from directing the completed
standard machine to another customer. Standard Machines in progress are recognised as part of inventory
until delivery. A receivable is recognised by the Company when the goods are delivered to the customer, as
only the passage of time is required before payment is due.
Aftermarkets
Maintenance and spare parts
Maintenance relating to sale of manufactured machines is not included in the transaction price for the sale of
manufactured goods. The maintenance service is considered to be a distinct service as it is both regularly
supplied by the Company to other customers on a stand-alone basis and is available for customers from other
providers in the market. Revenue relating to the maintenance services is recognised at the time of invoicing.
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For spare parts, revenue is recognised when control of the spare parts has transferred, being when the spare
parts have been shipped to the customer’s specific location (delivery). Delivery occurs when the spare parts
have been shipped to the customer’s specific location. A receivable is recognised by the Company when the
spare parts are delivered to the customer, as only the passage of time is required before payment is due.
Accounting estimates
Sales of goods In Haarslev’s business model, relate to sales of standard equipment and sales of complete
solutions or systems (Sale of specialised manufactured machines). Standard equipment requires no or minor
modifications as requested by customers. Sales of complete solutions or systems (Sale of specialised
manufactured machines) require significant modifications either requested by the customer or required to
fulfil the customer’s needs.
The Company uses the percentage-of-completion method in accounting for its revenues for complete
solutions or systems. The percentage-of-completion method places considerable importance on accurate
estimates of the extent of progress towards completion and may involve estimates on the scope of deliveries
and services required for fulfilling the contractually defined obligations. These estimates include total
estimated costs, total estimated revenues, contract risks, including technical, political, and regulatory risks,
and other judgments. Under the percentage-of-completion method, changes in estimates may lead to an
increase or decrease of revenue.
5. Cost
Accounting policies
Production cost
Production costs comprise expenses incurred to earn revenue for the financial year. Production costs
comprise direct and indirect costs for raw materials and consumables, wages and salaries, rent and lease,
amortization, depreciation, and impairment losses relating to intangible assets and property, plant and
equipment included in the production process. Production costs includes ordinary write-down of inventories.
Furthermore, provisions for losses on contract work are recognized.
Sales and Distribution costs
Distribution costs comprise costs incurred for sale and distribution, including wages and salaries for sales staff,
advertising costs, travelling and entertainment expenses, etc. as well as amortization, depreciation, and
impairment losses relating to intangible assets and property, plant and equipment attached to the distribution
process.
Administrative costs
Administrative costs comprise expenses incurred for the administrative functions, including wages and salaries
for administrative staff and Management, stationery, and office supplies as well as amortization, depreciation
and impairment losses relating to intangible assets and property, plant and equipment used for
administration.
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6. Employee benefits
Group Management (average 4 persons (2024: 4)) is considered to be key management personnel.
Incentive programs for executive boards members
With members of the executive board a cash-based bonus programs have been established which will be paid
if an external sale of the Haarslev Group occurs. The bonus amount will depend on historical and future
performance and enterprise value. Management expects that any outflow of resources related to the bonus
programs at present are remote.
Accounting policies
The employee benefit expenses relate to employees who are employed at Haarslev Industries A/S, both with
permanent and temporary contracts.
Wages, salaries, social security contributions, annual leave and sick leave, bonuses and non-monetary benefits
are recognised in the year which the associated services are rendered by employee of Haarslev. Where
Haarslev provides long-term employee benefits, the costs are accrued to match the rendering of the services
by the employee concerned.
Figures in '000 DKK
Personnel costs - type 2025 2024
Wages and Salaries 160.325 192.972
Pensions 16.326 18.881
Other personnel costs 2.831 2.077
Total 179.483 213.930
Personnel costs - function
Production costs 135.311 174.476
Distribution costs 34.330 29.079
Administrative costs 9.842 10.374
Total 179.483 213.930
Average number of employees during the year 241 295
Salaries and remuneration
Salaries, Board of Executives 8.110 4.758
Remuneration for the Board of Directors 162 162
Remuneration for the Executive Board and
Board of Directors
8.272 3.118
Key management personel
Wages and Salaries 7.201 4.259
Pensions
331
285
Severance pay
396
0
Other personnel costs 182 214
Total remuneration for key management
personel
8.110 4.758
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7. Special items
In 2025; the Group has changed their accounting estimate for inventory write down. This has impacted the
income statement with an amount of DKK 46,523k. (2024: 0k) for further disclosure; refer to note 1.
The Haarslev Group has changed accounting policy for estimate of write down on inventory. The policy has
been updated, and items above 2 years has been written down 100%. Previous write down of inventory was 3
years 100%. This has impacted the year negative in the Haarslev Group with 64 mln DKK; allocated with 46,5
mln. DKK in the Company as special items; and 17,6 mln as negative impact through result from equity
investments. Besides the above, all accounting estimates has not been changed.
8. Net finance cost
None of the financial income or expenses relate to fair value measurement.
Accounting policy
Financial income comprises interest income, including interest income on receivables from Group enterprises,
net capital or exchange gains on securities, payables and transactions in foreign currencies, amortization of
financial assets as well as tax relief under the Danish Tax Prepayment Scheme etc.
Financial expenses comprise interest expenses, including interest expenses on payables to Group enterprises,
net capital or exchange losses on securities, payables and transactions in foreign currencies, amortization of
financial liabilities as well as tax surcharge under the Danish Tax Prepayment Scheme etc.
Unrealised gain or loss from currency exchange rate are presented in the finance income and expenses.
Financial income
Figures in DKK '000 2025 2024
Interest, Group enterprises 21.880 25.845
Interest bank and others 883 1.045
Other financial income 5.900 9.278
Total 28.663 36.169
Financial expenses
Figures in DKK '000 2025 2024
Interest, Group enterprises 10.126 18.950
Interest bank and others 12.488 17.993
Lease interests 437 432
Other financial expenses 14.509 13.210
Total 37.560 50.585
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9. Income tax
Accounting policies
The tax expense for the period comprises current and deferred tax. It also includes adjustments to previous
years and changes in provisions for uncertain tax positions. Tax is recognised in the income statement except
to the extent that it relates to items recognised in equity or other comprehensive income. Provisions for
ongoing tax disputes are included as part of deferred tax assets, tax receivables and tax payables.
Tax for the year, which consists of current tax for the year and changes in deferred tax, is recognized in the
income statement by the portion attributable to the profit for the year and recognized directly in equity by
the portion attributable to entries directly in equity.
The Company is jointly taxed with all its other Danish entities in the Group.
The current income tax is allocated among the jointly taxed companies proportionally to their taxable income
(full allocation with a refund concerning tax losses). The Company is taxed jointly with Haarslev Group A/S
and Haarslev Group Holding A/S in the group and has joint, several and unlimited liability for income taxes and
any obligations to withhold tax at source on interest, royalties and dividends for the jointly taxed companies.
The total known tax liability for the jointly taxed entities total known net liability under joint taxation
arrangement is disclosed in the administration Company’s financial statement.
Other taxes consist of withholding taxes paid in Haarslev Industries A/S. Adjustment of tax related to previous
years is related to local adjustments after year-end report.
Income tax for the year
Figures in DKK '000 2025 2024
Tax on profit or loss for the year 0 -12.681
Adjustment of deferred tax for the year 12.497 -18.516
Tax compensation 0 20.000
Other taxes -1.640 -2.716
Adjustment of tax in respect to previous years -2.226 229
Total 8.631 -13.684
Compution of effective tax rate
Figures in DKK '000 2025 2024
Caclulated tax for the year -6.021 -40.221
Other taxes -1.640 -2.716
Adjustment of tax in respect to previous years -2.226 229
Tax compensation 0 20.000
Non-deductible exspenses -1.166 -6.085
Tax effect from result from equity investment in Group
enterprices 19.683 11.974
Not recognized tax asset 0 3.136
Effective tax rate 8.631 -13.684
Effective tax rate -32% 7%
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Accounting estimates
Management judgement regarding recognition of deferred income tax assets and provisions for uncertain tax
positions. Haarslev is subject to income taxes around the world. Estimates are required in determining the
worldwide accrual for income taxes, deferred income tax assets and liabilities, and provisions for uncertain tax
positions.
Haarslev recognises deferred income tax assets if it is probable that sufficient taxable income will be available
in the foreseeable future which usually is within 3-5 years, against which the temporary differences and
unused tax losses can be utilised. Management has considered future taxable income and applied its
judgement in assessing whether deferred income tax assets should be recognised.
In the course of conducting business globally, tax and transfer pricing disputes with tax authorities may occur.
Management judgement is applied to assess the possible outcome of such disputes. The 'most probable
outcome' method is applied when making provisions for uncertain tax positions, and Haarslev considers the
provisions made to be adequate. However, the actual obligation may deviate and depends on the result of
litigation and settlements with the relevant tax authorities.
10. Intangible assets
2025
Figures in DKK ´000
Acquired
rights
Completed
development
projects
Development
projects in
progress Knowhow Total 2025
Cost as of 01.01. 15.830 8.527 6.299 97.430 128.086
Cost, additions 0 2.400 0 2.400
Cost, disposal 0 -4.540 0 0 -4.540
Transferred 0 5.244 -5.244 0 0
Cost as of 31.12. 15.830 11.631 1.055 97.430 125.946
Amortisation and impairment losses as of 01.01. -15.104 -1.724 0 -74.899 -91.727
Amortisation and impairment losses, additions -379 -3.464 0 -5.826 -9.670
Amortisation and impairment losses, disposals 0 15 0 0 15
Amortisation and impairment losses as of 31.12. -15.483 -5.174 0 -80.725 -101.382
Carrying amount as of 31.12. 347 6.457 1.055 16.706 24.565
Depreciation is allocatated as below:
Administration -379 -3.464 0 0 -3.844
Production 0 0 0 -5.826 -5.826
Total amortisation -379 -3.464 -5.826 -9.670
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2024
Accounting policies
Acquired rights are carried at historical cost less accumulated amortisation and any impairment loss.
Amortisation is based on the straight-line method over the estimated useful life. This means the legal duration
or the economic useful life depending on which is shorter, and not exceeding 15 years.
Knowhow is recognised as intangible assets if the recognition criteria are met, for example a significant
business knowhow where the expenditure leads to the creation of a durable asset. Amortisation is based on
the straight-line method over the estimated useful life of 20 years. The amortisation begins when the asset is
in the location and condition necessary for it to be capable of operating in the manner intended by
Management. The knowhow mainly consist of the merger with the company Core in 2022 with the value of
DKK 16.448k as of 31 December 2025 (2024: DKK 19.190k).
Development projects Internal research costs are charged in full to the consolidated income statement in the
period in which they are incurred.
Assets that are subject to amortisation are reviewed for impairment on a yearly basis or whenever events or
changes in circumstances indicate that the carrying amount may not be recoverable.
If the carrying amount of intangible assets exceeds the recoverable amount any impairment is measured
based on discounted projected cash flows. There is in 2025 not any indications for impairment losses.
Figures in DKK ´000
Acquired
rights
Completed
developmen
t projects
Develop-
ment
projects in
progress Knowhow Total 2024
Cost as of 01.01.
24.396
0
0
91.604
116.000
Cost, additions -736 5.436 4.646 5.826 15.172
Cost, disposal -8.566 -819 0 0 -9.385
Reclasified from material assets 0 0 6.299 0 6.299
Transferred
736
3.910
-4.646
0
0
Cost as of 31.12. 15.830 8.527 6.299 97.430 128.086
Amortisation and impairment losses as of 01.01.
-20.915
0
0
-69.072
-89.988
Amortisation and impairment losses, additions
-1.124
-1.309
0
-5.826
-8.259
Amortisation and impairment losses, disposals
6.520
0
0
0
6.520
Amortisation and impairment losses as of 31.12. -15.104 -1.724 0 -74.899 -91.727
Carrying amount as of 31.12. 726 6.803 6.299 22.532 36.359
Depreciation is allocatated as below:
Administration -1.124 -1.309 0 0 -2.433
Production 0 0 0 -5.826 -5.826
Total amortisation -1.124 -1.309 -5.826 -8.259
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11. Property, plant and equipment
2025
Figures in DKK '000
Land and
buildings
Plant and
machinery
Other fixtures
and fittings,
tools and
equipment
Property,
plant and
equipment
under
construction Total 2025
Cost as of 01.01. 106.509 65.738 21.512 11.216 204.975
Additions during the year 75 282 663 5.223 6.243
Transferred -6.450 -6.450
Cost as of 31.12. 106.584 66.020 22.174 9.989 204.768
Depreciation and impairment losses as
of 01.01. -70.952 -56.862 -8.554 0 -136.367
Depreciations during the year -189 -1.594 -959 0 -2.742
Depreciation and impairment losses as
of 31.12. -71.140 -58.456 -9.513 0 -139.109
Carrying amount as of 31.12. 35.444 7.564 12.661 9.989 65.659
Carrying amount of assets held under
finance leases as at 31.12. 0 535 0 0 535
Depreciations are allocatated as below:
Administration 0 -959 0 -959
Production -189 -1.594 0 0 -1.783
Total amortisation -189 -1.594 -959 0 -2.742
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2024
Depreciation of property, plant and equipment as above are included in the Statement of Income.
For further information for land and buildings and securities, refer to note 24.
Accounting policy
Buildings, plant and machinery as well as other fixtures and fittings, tools and equipment are measured at cost
less accumulated depreciation and impairment losses. Cost comprises the acquisition price, costs directly
attributable to the acquisition and preparation costs of the asset until the time when it is ready to be put into
operation. For self-manufactured assets, cost comprises direct costs of materials, components, sub-suppliers
and labor costs attributable to the construction of the assets. The basis of depreciation is cost less estimated
residual value after the end of useful life and the scrap value. Straight-line depreciation is made on the basis
of the following estimated useful lives of the assets:
Buildings 25 years
Plant and machinery 3-10 years
Other fixtures and fittings, tools and equipment 3-10 years
Figures in DKK '000
Land and
buildings
Plant and
machinery
Other fixtures
and fittings,
tools and
equipment
Property,
plant and
equipment
under
construction Total 2024
Cost as of 01.01. 105.524 70.347 22.403 13.422 211.696
Additions during the year 0 0 0 8.224 8.225
Disposals during the year 0 -7.033 -1.613 -8.646
Reclasified to intangible assets -6.299 -6.299
Transferred 985 2.424 722 -4.131 0
Cost as of 31.12. 106.509 65.738 21.512 11.216 204.975
Depreciation and impairment losses as
of 01.01. -70.725 -62.048 -9.339 0 -142.112
Depreciations during the year -226 -1.642 -828 0 -2.697
Reversal of depreciation and
impairment losses on disposed assets 0 6.829 1.613 0 8.442
Depreciation and impairment losses as
of 31.12. -70.952 -56.862 -8.554 0 -136.367
Carrying amount as of 31.12. 35.558 8.877 12.958 11.216 68.608
Depreciations are allocatated as below:
Administration 0 -828 0 -828
Production -226 -1.642 0 0 -1.869
Total amortisation -226 -1.642 -828 0 -2.697
Haarslev Industries A/S
34 | P a g e
Estimated useful lives and residual values are reassessed annually. Haarslev Industries A/S Buildings, plant and
machinery, other fixtures and equipment are written down to the lower of recoverable amount and carrying
amount. Depreciation period for plant and machinery and other fixtures and fitting, tools and equipment
depend on technical content of the asset.
Tangible assets not yet available for use are not subject to depreciation.
12. Leases
Leases illustrated above include equipment and building.
Lease liability and interests is illustrated in separate note long term liability note 21.
Depreciation of right of use assets analysis in the Financial Statement of Income is illustrated above.
Accounting policy
Haarslev mainly leases trucks and vehicles. The right of use asset is presented in equipment and the lease
liability in borrowings. For contracts which are, or contain, a lease, the Company recognises a right of use
asset and lease liability. The right of use asset is initially measured at cost, which being the initial amount of
the lease liability, added related re-establish cost when the lease period is ended. The right of use asset is
subsequently depreciated using straight line method over the lease term (period). If there is no end of the
lease term defined in the contract it has been estimated.
The right of use asset is periodically adjusted for certain remeasurement of the lease liability and reduced by
impairment losses.
Figures in DKK '000 Buildings Equipment Total 2025 Buildings Equipment Total 2024
Cost as of 01.01. 1.467 10.245 11.713 141 11.790 11.931
Additions during the year 0 331 331 1.467 4.699 6.166
Disposals during the year 0 -2.907 -2.907 -141 -6.243 -6.385
Cost as of 31.12. 1.467 7.669 9.136 1.467 10.245 11.713
Depreciation and impairment
losses as of 01.01. -61 -4.090 -4.151 -141 -8.322 -8.463
Depreciations during the year -367 -2.619 -2.986 -61 -2.012 -2.073
Reversal of depreciation and
impairment losses on disposed
assets 0 2.907 2.907 141 6.243 6.385
Depreciation and impairment
losses as of 31.12. -428 -3.802 -4.230 -61 -4.090 -4.151
Carrying amount as of 31.12. 1.039 3.867 4.906 1.406 6.155 7.561
Depreciation are allocatated as below:
Administration -367 -367 -61 -61
Distribution
Production -2.619 -2.619 -2.012 -2.012
Total amortisation -367 -2.619 -2.986 -61 -2.012 -2.073
Haarslev Industries A/S
35 | P a g e
New lease contracts with a lease term of 12 months or less and leases of low value assets are not recognised
on the balance sheet. These are expensed on a straight-line basis over the lease term. Lease of low value asset
and other short term leases include mobile phones and other small items of office equipment. The value of
these assets are DKK 165k (2024: DKK 152k).
The lease liability is initially measured at the present value of the lease payments outstanding at the
commencement date, discounted using the incremental borrowing rate. The lease liability is measured using
effective interest method.
The lease liability is remeasured when there is a change in future lease payments, typically due to a change in
index or rate on property leases, or if there is a reassessment of whether an extension or termination option
will be exercised. A corresponding adjustment is made to the right of use asset, or the income statement
when the right of use asset has been fully depreciated.
13. Equity investments in Group enterprises
In the result of equity investments is recognised a change in accounting estimate for inventory write down
resulting DKK 17,642k. refer to note of special items note 7 and change of accounting estimate in note 1.
Figures in DK '000 2025 2024
Cost as of 01.01. 537.759 533.781
Additions during the year 1 3.978
Cost as of 31.12. 537.760 537.759
Adjustment to cost 01.01. -96.806 -149.184
Foreign currency translation adjustment of foreign
enterprises -14.044 5.002
Net profit/loss from equity investments 89.467 54.256
Dividend relating to equity investments -33.212 -4.043
Investment with negative equity value offset in
receivables -1.113 -2.837
Adjustment to cost, ultimo -55.707 -96.806
Carrying amount as of 31.12. 482.053 440.953
Hereof non amortized goodwill as of 31.12 112.338 112.338
Haarslev Industries A/S
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*The entity is obligor in the Group for the financing established with the credit institutions and shares in the
subsidiary is placed as security in the financing setup with credit institutions.
Through 2024 the Group has closed sales entities in Peru; Malaysia Labuan; Norway and Russia; which is
further described in the managements review.
I the end of 2024; an entity in Mexico has been established to strength the South America market.
There has not been any changes through 2025.
For further information regarding Group enterprises and obligor placed as security, refer to note 24.
Accounting policy
Investments in Group enterprises are recognized and measured according to the equity method. This means
that investments are measured at the pro rata share of the enterprises’ equity value plus unamortized
goodwill and plus or minus unrealized intra-group profits or losses.
Net revaluation of investments in subsidiaries is transferred to “Reserve for net revaluation according to the
equity method” under equity.
Upon distribution of profit or loss, net revaluation of investments in Group enterprises is transferred from
Reserve for net revaluation according to the equity method under equity to Retained earnings.
If Group enterprises has indications for low value, an impairment test will be prepared on the Group
enterprise.
Subsidiaries Registered in
Equity interest
in percentage
* Haarslev Group Holding A/S Søndersø, Denmark
* Haarslev Group A/S Søndersø, Denmark 100
* Haarslev industries A/S Søndersø, Denmark 100
* Haarslev Inc. Kansas City, USA 100
Haarslev GmbH Krefeld, Germany 100
Haarslev Industries LTDA Curitiba, Brazil 100
* Haarslev Industries S.A.U. Barcelona, Spain 100
Haarslev Industries SDN BHD Selangor Darul Eshan, Malaysia 100
* Haarslev Xuzhou Machinery Co. Ltd. Xuzhou City, Jiangsu Province, China 100
* Haarslev Industries Ltd. Rosedale Auckland, New Zealand 100
Haarslev Industries (India) Pvt Ltd Mumbai, Maharashtra, India 100
Haarslev PT (India) Pvt Ltd Mombai, Maharashtra, India 100
Haarslev Industries Poland Sp. z.o.o. Kielce, Poland 100
Haarslev Industries S.A.S Caudan, France 100
Haarslev Industries Press Technology GmbH & Co. GmbH Remscheid, Germany 100
* KMG UK Limited Skelmersdale, UK 100
Haarslev UK Limited Skelmersdale, UK 100
Food Processing Equipment UK Limited Skelmersdale, UK 100
Haarslev Incdustries Mexico Toluca; Mexico 100
Haarslev Industries PTY Ltd. Melbourne, Australia 100
Haarslev Industries A/S
37 | P a g e
14. Inventories
In 2025 the write-down of inventories to net-realizable value amounted to DKK 71,900k (2024: DKK 30,787k).
The write-downs recognized following a recoverability analysis are included in cost of sales. In 2025 there has
been additional write down for old inventory items in the inventory, and an update of calculation for this.
Refer to note 1 changes in accounting estimates, and further the note regarding special items where the write
down on inventory has been specified.
The write-downs recognized following a recoverability analysis are included in cost of sales. In 2025 there has
been additional write down for inventory items above 2 years in the inventory, and an update of calculation
for this. The Group has changed accounting policy for estimate of write down on inventory. The policy has
been updated, and items above 2 years has been written down 100%. Previous the write down was 3 years
100%. This has impacted the year negative with 46,5 mio DKK.
Cost of change of inventory which are included in the income statement as production costs are DKK 315.846k
(2024: DKK 392.797).
Accounting policy
Inventories are measured at the lower cost using the FIFO method or net realizable value if this is lower. Cost
consists of purchase price plus delivery costs. Cost of manufactured goods and work in progress consists of
costs of raw materials, consumables, direct labor costs and indirect production costs.
Indirect production costs comprise indirect materials and labor costs, costs of maintenance of, depreciation of
and impairment losses relating to machinery, factory buildings and equipment used in the manufacturing
process as well as costs of factory administration and management. Financing costs are not included in cost.
The net realizable value of inventories is calculated as the estimated selling price less completion costs and
costs incurred to execute sale.
If the expected sales price less completion costs to execute sales (net realizable value) is lower than the
carrying amount, a write-down is recognized for the amount by which the carrying amount exceeds its net
realizable value.
Accounting estimates
Indirect production costs are measured using a standard cost method. This is reviewed regularly to ensure
relevant measures of capacity utilisation, production lead time, cost base and other relevant factors, hence
inventory is valued at actual cost. When calculating total inventory, Management must make judgements
about cost of production, standard cost variances and idle capacity in estimating indirect production costs for
Figures in DKK '000 2025 2024
Raw materials and consumables
37.283 58.341
Product in progress
4.958 6.668
Manufactured goods and goods for resale
11.390
32.417
Total inventories 53.631 97.426
Write down beginning of the year
-30.787 -12.233
Write down/reversal during the year, net
-41.113 -18.554
Write down at the end of the year -71.900 -30.787
Haarslev Industries A/S
38 | P a g e
capitalisation. Changes in the parameters for calculation of indirect production costs could have an impact on
the gross margin and the overall valuation of inventories.
15. Work in progress for third parties
Work in progress for third parties (contract liabilities) consist of projects where on account invoicing/payment
from customer exceeds the work in progress (contracts assets). Through 2024 a few large projects has been
closed; which have a high impact on the work in progress for third parties gross value and on account
invoicing.
Prepayments received from customers; is prepayment received from customers for projects not yet started;
which include projects with Work in progress of 0%.
Prepayment received from customers of DKK 18.957k (2024: DKK 31.163k), relate to payments made by
customers prior to transfer of control of the related goods or services to the customer and recognition of
Figures in DKK '000 2025 2024
Work in progress for third parties
571.445
693.365
On-account invoicing -590.362 -679.104
Work in progress for third parties -18.918 14.261
Work in progress for third parties (contract assets) 27.908 72.854
Work in progress for third parties (contract liabilities) -46.826 -58.592
Total -18.918 14.262
Work in progress for third parties
Figures in DKK '000 2025 2024
Beginning of the year 693.365 1.329.679
Work in progress for third parties in the year, net -121.920 -636.314
End of the year 571.445 693.365
On-account invoicing
Figures in DKK '000 2025 2024
Beginning of the year -679.104 -1.259.781
On-account invoicing in the year, net 88.742 580.677
End of the year -590.362 -679.104
Figures in DKK '000 2025 2024
Sales value of contracts 853.110 958.883
Value of performance obligation allready recognised 571.445 693.365
Value of performance obligations will be recognised within 12 months 217.141 214.873
Value of performance obligations will be recognised after 12 months 64.524 50.645
Prepayments received from customers
Figures in DKK '000 2025 2024
Beginning of the year 31.163 64.640
Prepayments received from customer in the year, net -12.206 -33.477
End of the year 18.957 31.163
Haarslev Industries A/S
39 | P a g e
revenue. Typically, this comprises deposits placed on order of equipment and other milestone payments paid
during the period of construction.
The changes in prepayments relate to many orders has been closed in 2025 compared to 2024.
Prepayment received beginning of the year 2025 DKK 31.163k (2024: DKK 64.640k) was recognized in the
current reporting period.
There was no adjustment in the current reporting period to revenue that relates to performance obligations
that were not satisfied in a prior period.
The Order Intake (OI) in 2024 and 2025, in the Company was lower than expected, partly driven by slowdown
in global industrial CAPEX spend, several capital sales projects originally set for 2025 are now being planned
for 2026, and deselection of certain lower-margin projects, given a heightened price discipline.
Accounting policies
The Company becomes entitled to invoice customers for sale of specialised manufactured machines based on
achieving a series of performance-related milestones, among others the time of delivery and the time of
finalising installation. The Company will previously have recognised a contract asset for any work performed
“Work In Progress” (WIP) recognised at sales price. Any amount previously recognised as a contract asset is
reclassified to trade receivables at the point at which it is invoiced to the customer. If the milestone payment
exceeds the revenue recognised to date under the cost-to-cost method then the Company recognises a
contract liability for the difference “Prepayment from customers”.
Accounting estimates
“Work In Progress” (WIP) recognised at sales price The Company uses the percentage-of-completion method
in accounting for its revenues for complete solutions or systems. The percentage-of-completion method
places considerable importance on accurate estimates of the extent of progress towards completion and may
involve estimates on the scope of deliveries and services required for fulfilling the contractually defined
obligations. These estimates include total estimated costs, total estimated revenues, contract risks, including
technical, political and regulatory risks, and other judgments. Under the percentage-of-completion method,
changes in estimates may lead to an increase or decrease of revenue. In addition, Haarslev needs to assess
whether the contract is expected to continue or to be terminated. In determining whether the continuation or
termination of a contract is expected to be the most likely scenario, all relevant facts and circumstances
relating to the contract are considered on an individual basis.
Write down of work in progress includes provisions from large projects started in 2022; in 2023 Russian
customer/projects had a high impact on the numbers. The company provides contingency provision for each
project. During the progress of the project for contingencies for each project is provided as a percentage of
Contingency provision
Figures in DKK '000 2025 2024
Beginning of the year 24.949 49.044
Addition 2.531 5.964
Spend -16.972 -30.059
End of the year 10.507 24.949
Haarslev Industries A/S
40 | P a g e
the progressed value. The high spend amount in 2024, consist of Russian projects were closed final and
therefor the provision utilised.
16. Trade receivables
Trade receivables movement
Accounting policy
Receivables are measured at amortized cost, usually equalling transaction price less write downs (allowance)
for doubtful receivables.
General invoices are due for payment after 30 days from shipment of goods, down payments for projects
after 7 days. Loss allowance is based on expected credit losses. Loss for disputes is recognized against
revenue, loss for doubtful receivables is recognized in distribution cost in Statement of comprehensive
income.
Accounting estimates
Management makes allowance for doubtful trade receivables based on the simplified approach, which means
that lifetime expected losses are provided for. The allowance is an estimate based on shared credit risk
characteristics and the days past due.
For trade receivables with objective evidence of impairment, expected credit losses are based on individual
assessment and amounts to DKK 505k at 31 December 2025 (2024: DKK 1.642k). Objective evidence is mainly
related to disputes.
Figures in DKK '000 2025 2024
Not Due 37.278 34.797
OverDue days <30
2.634
9.698
OverDue days (>30 & <60)
1.687
337
OverDue days (>60 & <90) 12 0
OverDue days (>90 & <180) 60 91
OverDue days >180
1.361
1.101
Provisioned for loss
-721
-1.913
Trade receivable as of 31.12.
42.311
44.112
Changes in trade receivable provision
Figures in DKK '000 2025 2024
Carrying amount beginning of the year -1.913 -1.913
Reversal of allowance on realised losses
1.192
0
Total provision for loss end of the year -721 -1.913
Figures in DKK '000 2025 2024
Trade receivable beginning of the year 44.112 44.112
Addition through the year 346.167 478.031
Received through the year -347.967 -478.031
Total receivable end of the year 42.311 44.112
Haarslev Industries A/S
41 | P a g e
For trade receivables with no objective evidence of impairment, Haarslev provides 0,5% of the total trade
receivable amount overdue. The 0,5% is based on historical evidence from the past 4 years with very limited
losses related to credit risk. Provision for doubtful receivables with no objective evidence of impairment at 31
December 2025 is DKK 215k (2024: DKK 230k).
17. Receivable from Group enterprises and other receivable
Other receivables are deposit paid for leased buildings with no expiry date.
Receivable from Group enterprises are deducted with the negative equity value of an investment in Group
enterprises with total to DKK 1.1 mln. (2024: 2.8 mln.).
Accounting policy
Trade and short term Receivables are measured at amortized cost, usually equalling nominal value less write
downs for bad and doubtful debts.
Other Receivables are measured at amortized cost, usually equalling nominal value less write downs for bad
and doubtful debts.
Figures in DKK '000
Receivables
from Group
enterprises
Other
receivables Total 2025
Receivables
from Group
enterprises
Other
receivables Total 2024
Cost as of 01.01. 494.909 387 495.296 442.608 1.174 443.782
Additions during the year 5 5 55.138 200 55.338
Disposals during the year -6.889 -12 -6.901 -987 -987
Transfers during the year to/from other items -1.113 0 -1.113 -2.837 0 -2.837
Cost as of 31.12. 486.907 380 487.287 494.909 387 495.296
Carrying amount as of 31.12. 486.907 380 487.287 494.909 387 495.296
Haarslev Industries A/S
42 | P a g e
18. Deferred tax
Deferred income taxes are calculated in full on temporary differences under the liability method.
The gross movements on the deferred income tax account are as follows:
Deferred income tax assets and liabilities are offset when there is a legally enforceable right to set off current
tax assets against current tax liabilities and when the deferred income taxes relate to the same fiscal
authority.
Deferred income taxes recognized in the Statement of Financial Position are as above.
Tax losses with no expiry date not recognised in balance sheet as deferred tax assets with a taxable value are
DKK 20.881k (2024: DKK 20.881k).
Accounting policy
Deferred tax is recognised on all temporary differences between the carrying amount and tax-based value of
assets and liabilities, for which the tax-based value of assets is calculated based on the planned use of each
asset. Deferred tax assets, including tax base of tax loss carry forwards, are recognised in the balance sheet at
their estimated realizable value, either as a set-off against deferred tax liabilities or as a tax asset.
Recognition of tax asset related to loss carried forward is based on expectation for use within 3-5 years.
Figures in DKK '000 2025 2024
Deferred tax liability -9.274 -21.771
Total -9.274 -21.771
Deferred tax comprises
Figures in DKK '000 2025 2024
Intangible assets
-5.096
-4.466
Property, plant, and equipment 3.177 3.148
Receivables -13.521 -28.481
Liabilities 5.722 8.029
Tax losses
444
0
Total -9.274 -21.771
Changes during the year 2025 2024
Beginning of the year -21.771 -3.254
Recognised in the income statement 12.497 -18.516
End of year -9.274 -21.771
Haarslev Industries A/S
43 | P a g e
19. Equity
Share
Capital
There has been no changes in share capital over the last 5 years.
Dividend
In 2024 a dividend of DKK 100 mln. was proposed, which was paid in 2025. Dividend proposed in 2025 is DKK
35 mln.
Accounting policy
Group contribution of assets is recognized in equity in the section transactions with shareholders at fair
market value of the contributed asset.
20. Other provisions
All provisions are classified as short term provisions and are expected to be utilized or released with a period
of 12 months.
Accounting policy
The Group currently makes provisions for warranty commitments relating to both projects in progress and
completed projects. The provisions for warranty commitments are calculated as an estimated percentage of
revenue on a project-by-project basis.
Other provisions comprise anticipated costs of non-recourses guarantee commitments, loss on contract work
in progress, etc.
Once it is possible that the total costs will exceed total from a contract in progress, provisions are made for
the total loss estimated to result from the relevant contract.
Figures in DKK '000 2024 2023
The share capital consists of:
Contributed capital consist of 500 shares of a value of DKK 1.000. The
shares have not have been divided into categories and no shares carry any
special rights.
500 500
Figures in DKK '000 2025 2024
Provision as of 01.01 -26.995 -45.945
Provision changes through the year 5.546 21.624
Provision release in the year 6.013 -2.674
Provision as of 31.12 -15.436 -26.995
Haarslev Industries A/S
44 | P a g e
21. Borrowings and lease liabilities long term
Loan in balance sheet fall due as illustrated below:
2025
2024
According to the bank agreement, interest to payable for other credit institutions is variable depending on the
leverage. The interest is EURIBOR + margin from 3.25% to 5,5%. As of 31. December 2025 the interest was
EURIBOR +5%.
Payable for other credit institutions will fall due 30. June 2027. Management will in 2026 renegotiate financial
debt to financial institutions and shareholder.
Loan from shareholder is a subordinated loan and rank after the Company's other financial liabilities.
Repayment shall be made on the lenders first written demand with respect for credit institutions approval.
Interest will first be paid after credit institutions approval.
Figures in DKK '000
Short term
payables
Fall due
between 1 and
5 years
Fall due more
than 5 years
Total long term
payables at
31.12.2025
Interest
Payables to other credit
institutions
286.928 0 0
EURIBOR +3,25%-5,5%
Other payables
91
2.211
19.117
21.328
2,1%-3,5%
Subordinated loan from Group
enterprises
144.411 144.411
EURIBOR +2%
Leases
2.308
2.840
2.840
3%-8%
Total 289.327 149.462 19.117 168.579
Figures in DKK '000
Short term
payables
Fall due
between 1 and
5 years
Fall due more
than 5 years
Total long term
payables at
31.12.2024
Interest
Payables to other credit
institutions
273.039 0 0
EURIBOR +3,25%-5,5%
Other payables
11.207
21.472
32.680
2,1%-3,5%
Subordinated loan from Group
enterprises
136.654 136.654
EURIBOR +2%
Leases
3.021
4.764
4.764
3%-8%
Total 276.060 152.625 21.472 174.097
Haarslev Industries A/S
45 | P a g e
Changes in interest bearing debt are illustrated below:
Haarslev has four main funding facilities:
- Credit facility with banks.
- Other payable, frozen holiday for employees.
- Leases
- Subordinated loan from Group companies (Loan from shareholder Altor)
Loan from shareholder
Haarslev Group Holding has a loan of 144 million DKK (denominated in euro) from Shareholder Altor. This loan
is granted from Shareholder Altor to Haarslev Group Holding A/S, and through Haarslev Group A/S to Haarslev
Industries A/S. Loan from shareholder is a subordinated loan and rank after the Company's other financial
liabilities. Repayment shall be made on the lenders first written demand with respect for credit institutions
approval. Interest will first be paid after credit institutions approval. Payable for credit institutions will
hereafter fall due 30 June 2027.
Accounting policy
Long term debt comprises debt in bank or credit institutions, which have a maturity date more than 12
months from year end 2025.
Loans from credit institutions and subordinated loan are recognized initially at fair values less transaction
costs. Subsequently, the financial obligations are measured at amortized cost equal to the capitalized value
2025
Figures in DKK '000
Payables to
other credit
institutions
Other
payable
Subordinated
loan from
Group
enterprises
Leases
Total
Beginning of the year 273.040 32.680 136.654 4.764 447.137
Addition 2.967 0 1.045 4.012
Paid 0 -13.245 -3.405 -16.650
Non cash transactions 10.922 1.893 7.757 437 21.009
End of the year 286.928 21.328 144.411 2.840 455.507
2024
Figures in DKK '000
Payables to
other credit
institutions
Other
payable
Subordinated
loan from
Group
enterprises
Leases
Total
Beginning of the year 282.549 32.413 121.447 2.549 449.363
Addition 708 1.820 6.581 9.108
Paid -21.418 -2.120 -4.798 -28.336
Non cash transactions 11.201 568 15.207 432 27.407
End of the year 273.040 32.680 136.654 4.764 457.542
Haarslev Industries A/S
46 | P a g e
using the effective interest method; the difference between the proceeds and the nominal value is recognized
in financial income and expenses in the income statement over the loan period. Other debts, comprising trade
payable, payables to subsidiaries and associates, VAT, excise duties, etc. as well as other payable, are
measured at amortized cost, substantially corresponding to the nominal debt.
22. Financial instruments and risk
Financial risk factors
This note presents information about the Company’s exposure to each of the below mentioned risks, the
Company’s objectives, policies and processes for measuring and managing the risk. Further quantitative
disclosures are included throughout the Financial Statements.
Fair value measurement
None of the financial instruments are measured at the fair value as all financial instruments are measured at
amortized costs. There are no material differences between the carrying amount of financial instruments
measured at amortized cost and the fair value of these financial instruments.
Financial covernants
Haarslev Group’s mortgage debt and debt to financial institutions are subject to the two financial covernant
“Leverage” (NIBD/EBITDA) and (net debt/EBITDA). The covernants is monitored on a quarterly basis,
calculated on basis of budget and updated financial forecasts. Furthermore, the covernants undergo
sensitivity testing to ensure that management, if needed, can initiate mitigating actions to ensure compliance.
The Groups financial policy leaves significant headroom to the financial covernants.
In 2024 and 2025 Haarslev has been compliant with all covernants from financial institutions.
Liquidity risk
Refer to note long term debt for specification for long term Debt fall due longer than 1 year. All short term
liabilities must be repaid within 1 year.
The total net financial liability is expected to be financed by the positive cashflow from operating activities as
well as unused lines of credit. Further part of the short term of the financial liabilities, is not expected to fall
due for payment.
Haarslev Industries A/S
47 | P a g e
2025
*The payment of Work in progress for third parties (contract liability) and Prepayments received from
customers will occur via the work on projects coming year. Payments from customers on new Order Intake
will as well contribute to the cash flow. Combined with the other capital resources the liquidity situation in the
coming year is sufficient. Combined with the other capital resources the liquidity situation in the coming year
is sufficient. Management will in 2026 renegotiate financial debt to financial institutions and shareholder.
Figures in DKK '000
Repayment first
year
Fall due
between 1 and
5 years
Fall due more
than 5 years
Total long term
payables at
31.12.2025
Payables to other credit institutions
0
0
Other interest bearing payable 91 2.211 19.117 21.328
Subordinated loan from Group
enterprises
152.168 152.168
Leases
2.398
2.983
2.983
Trade payable 55.030
Payable from Group enterprises 566.573
Other payable
16.298
Work in progress for third parties
(contract liability)* 46.826
Prepayment received from
customers *
18.957
Payable to associates
0
Income taxes
3.853
Total payable 710.026 157.362 19.117 176.479
Trade receivables
-42.311
Other receivables
-2.792
Receivable from Group enterprises -612.442
Prepayments -770
Work in progress for third parties
(contract assets)
-27.908
Total receivable -686.223
Total 23.802 157.362 19.117 176.479
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2024
*The payment of Work in progress for third parties (contract liability) and Prepayments received from
customers will occur as a part of the work on projects coming year. Payments from customers on new Order
Intake will as well contribute to the cash flow. Combined with the other capital resources the liquidity
situation in the coming year is sufficient. Management will in 2026 renegotiate financial debt to financial
institutions and shareholder.
Risk management framework
The main financial risks faced by Haarslev relate to market risk and liquidity risk. Risk management is carried
out by Group finance under policies and with instruments approved by the Board of Directors. Group Finance
identifies, evaluates financial risks in close cooperation with the Company’s operating units. The Group’s
overall risk management program focuses on the unpredictability of financial markets and seeks to minimize
potential adverse effects on the Group's financial performance. Refer to (1) foreign exchange risk below.
Figures in DKK '000
Repayment
first year
Fall due
between 1 and
5 years
Fall due more
than 5 years
Total long term
payables at
31.12.2024
Payables to other credit
institutions
0 0
Other interest bearing payable
0
11.207
21.472
32.680
Subordinated loan from Group
enterprises
151.861 151.861
Leases
3.111
4.907
4.907
Trade payable
44.591
Payable from Group enterprises
508.176
Other payable
18.501
Work in progress for third parties
(contract liability)*
58.592
Prepayment received from
customers *
31.163
Payable to associates
0
Income taxes
14.775
Total payable 678.909 167.975 21.472 189.447
Trade receivables
-44.112
Other receivables
-932
Receivable from Group
enterprises
-641.208
Prepayments
-5.838
Work in progress for third parties
(contract assets)
-72.854
Total receivable -764.944
Total -86.035 167.975 21.472 189.447
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Financial Risk
Financial risk is the risk that changes in market prices will affect the Company’s income or the value of its
holdings of financial instruments. Financial risk comprises (1) foreign exchange risk, (2) interest rate risk. The
objective of Financial risk management is to manage and control Financial risk exposures within acceptable
parameters, while optimizing the return. When contracts are won, components as steel with high risk are
bought to minimize the total risk. Sales contracts are made in EUR when possible.
(1) Foreign exchange risk
The Company operates internationally and is exposed to currency risk arising from mainly the USD, EUR, DKK
and BRL, primarily with respect to the DKK, as the DKK is the Company’s reporting currency. The ´Company
monitors foreign exchange risk arising from commercial transactions, recognized assets and liabilities
(transaction risk) that are determined in a currency other than the entity’s functional currency.
Exposure on exchange rate is not managed through any hedging instruments, however, controlled by keeping
contracts mainly in currency EUR and DKK with related project cost in same currency.
Company Loans are also done in EUR. The EUR/DKK exchange rate is not considered a currency exposure due
to the Danish fixed rate policy.
The Company owns several subsidiaries that are exposed to their local currency fluctuations towards DKK.
These are however adjusted as part of comprehensive income and not considered here. (Impact on subsidiary
currency exposure booked as comprehensive income was DKK -14 mln in 2025 compared to DKK 5 mln in
2024).
The main currency exposure is driven by the US Dollar. Exposure in 2025 was related to a balance of DKK 46
mln. Assuming a currency increase of 10% exposure can be calculated as DKK 4.6 mln. Through the year the
exposure have a positive impact. Compared to 2024 where the balance was DKK 60 mln with an exposure of
DKK 3,5 mln.
(2) Interest rate risk
The Company is exposed mainly to floating interest rate risk on borrowings. Borrowings issued at variable
rates expose the Company to cash flow interest rate risk. For every 1% change in floating interest rate the
impact in the Equity and result with the amount of DKK 2.8 mln as of 31 December 2025 (2024: DKK 2.7 mln).
The interest rate risk is monitored on a regular basis, including considerations whether financial instruments
should be implemented as risk mitigation.
Credit risk
Credit risk is the risk of financial loss to the Group if a customer or counterparty fails to meet its contractual
obligations. Credit risk arises from cash and cash equivalents, and deposits with banks and financial
institutions, as well as credit exposures to customers and other group entities, including outstanding
receivables and committed transactions. The credit quality of the customer is assessed, considering its
financial position, past experience and other factors. Each customer has a set credit limit and the utilization of
the credit limit is regularly monitored.
The Company has no significant concentrations of credit risk. The Company has policies in place to ensure that
sales of products and services are made to customers with an appropriate credit history. The Company
establishes an allowance for impairment that represents its estimate of incurred losses in respect of trade and
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other receivables. No significant credit limits were exceeded during the reporting period, and management
does not expect any losses from non-performance by its customers.
The Company does not expect any impairment on cash and cash equivalents as the Company considers that
its cash and cash equivalents have low credit risk based on the external credit ratings of the counterparties.
Capital management
The Board of Directors’ policy is to maintain a strong capital base in order to maintain investor, creditor and
market confidence and to sustain future development of the business.
The Board monitors the Group's leverage, defined as net debt divided by EBITDA. The Board also monitors the
level of dividends to ordinary shareholders.
The Board seeks to maintain a balance between the higher returns on equity that might be possible with
higher levels of borrowings and the advantages and security of a sound capital position. The Group uses the
leverage ratio in its approach to capital management.
23. Contingent liabilities
Haarslev is involved in disputes and claims with customers and employees in certain regions. The outcome of
ongoing disputes and claims is not expected to have significant impact on the financial position.
As part of the Company´s ordinary activities, the Groups bank and insurance Company have issued guarantees
for contracting projects totaling DKK 56,577k as of 31 December 2025 (2024: DKK 91,874k).
The Company is taxed jointly with Haarslev Group A/S and Haarslev Group Holding A/S and has joint, several
and unlimited liability for income taxes and any obligations to withhold tax at source on interest, royalties and
dividends for the jointly taxed companies. The total known tax liability for the jointly taxed entities total
known net liability under joint taxation arrangement is disclosed in the administration Company’s financial
statement.
24. Securities
Haarslev Industries’ shares in 5 material subsidiaries with a carrying amount of DKK 482.053k as of 31
December 2025 (2024: DKK 440.954k) have been provided as security to credit institutions, as of 31
December 2025, amount to net DKK 612.364k (2024: DKK 642.769k).
8 material Group enterprises have guaranteed for the engagement with credit institutions with a carrying
amount of DKK 612.364k as of 31 December 2025 (2024: DKK 642.769k); refer to note 13.
A mortgage deed to the mortgagor of DKK 30.500k as of 31 December 2025 (2024: DKK 30.500k ) and a letter
of indemnity of DKK 4.500k (2024: DKK 4.500k) secured on land and buildings with a carrying amount of DKK
35.444k (2024: DKK 35.558k) at 31 December 2025 have been provided as security for credit institutions in
the Group enterprises amounting net to DKK 540.039k (2024: DKK 642.769k) as of 31 December 2025.
The Company has found joint an unlimited surety for the Groups cash pool with credit institutions with a net
debt of DKK 175.820k (2024: DKK 169.860).
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25. Related parties
Transactions with subsidiaries are included in the Financial Statements in accordance with the accounting
policies applied. Related parties with significant influence comprise the executive board and board of
directors, refer to note 6 for remuneration of board of directors and executive board.
Related parties comprise Group enterprise regarding received dividend in 2025.
Below mentions shareholder exercise control.
The company is included in the consolidated financial statements of the parent Haarslev
Group Holding A/S, Bogensevej 85, Haarslev, 5471 Søndersø.
ShareholderHaarslev Holding S.A.R.L., 9A Rue Gabriel Lippmann,
L-5365 Munsbech, Luxembourg
Basis of influenceControlling influence:
Altor Fund III GP Limited, Seaton Place 11-15 Ultimative shareholder
JH4 OQH St Helier Jersey
Haarslev Group Holding A/S, Bogensevej 85,
Haarslev, 5471 Søndersø
Shareholder
Haarslev Group A/S, Bogensevej 85, Haarslev, 5471
Søndersø
Shareholder
Transactions with related paties
Figures in DKK '000 2025 2024
Total receivable from related parties 612.442 641.208
Total payable to related parties 710.984 644.829
Revenue 221.745 364.934
Financial income 21.880 25.845
Financial expenses -10.126 -18.950
Administrative cost 6.941 -2.427
Dividend proposed 35.000 100.000
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26. Cashflow statement
Adjustments for cashflow
The statement of cash flows shows the Company’s cash flows for the year distributed on operating, investing,
and financing activities, net changes for the year in cash and cash equivalents at the beginning and end of the
year. Positive amounts indicate inflows, whereas negative amounts indicate outflows.
Cash flows from operating activities
Cash flows from operating activities are stated as the profit/loss for the year adjusted for non-cash operating
items such as depreciation, profit/loss from the sale of vessels, etc., changes in working capital plus or minus
corporation tax paid or received. Working capital includes current assets less current liabilities, excluding the
items included in cash and cash equivalents.
Cash flows from investing activities
Cash flows from investing activities comprise cash flows from the acquisition and sale of non-current assets,
business combinations and cash flow from transactions with Group enterprises.
Cash flows from financing activities
Cash flows from financing activities comprise cash flows from the raising and repayment of loan, instalments
on lease liabilities as well as payments to and from shareholders.
Cash and cash equivalents
Cash and cash equivalents are measured in the balance sheet at nominal value and mainly consist of demand
deposits, cash balance and money market investments.
Figures in DKK '000 2025 2024
Depreciation, amortisation, impairment losses and write-downs 15.398 13.029
Result from equity investments in Group enterprises -89.467 -54.256
Non cash transactions 67.532 27.407
Financial income -28.663 -36.169
Financial expenses 37.560 50.585
Income tax for the year -8.631 13.684
Total -6.272 14.280
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