20
24
Annual
Report
Company reg. (CVR) no. 311598 57
Annual Report for 1 January - 31 December 2024.
The Annual Report was presented and adopted at the
Annual General Meeting of the company on 22 April 2025.
Published in April 2025 by Kirk Kapital
Photos: Büro Jantzen, PressConnect, Anders Sune Berg, 2018
Concept and Design: Sunrise A/S
The walls of Fjordenhus are inspired by the water
and the sky, the region and its traditions, Kirk Kapital
and the family. The result is a special composition
of stones – an interaction between green, grey and
reddish-brown nuances. Between small shifts and
unevenness. Between texture and depth. Between
the glow and the joints. We have used a small part
of the wall as the graphic focal point for our Annual
Report.
Every stone is shaped to fit the slope
of the walls, which are constructed
according to careful sketches.
Fjordenhus,
where art and
architecture
blend into one
4
You could say that we have “translated” the physical
wall into graphics with great respect for the original.
The composition has been preserved in its exact form,
including the colours and joints. We have chosen a
paper quality that emphasises the tactile element,
and we have punched out the front to create depth.
But of course, we have also taken some liberties.
Among other things, the wall’s elements have been
made flexible, and we have worked to integrate images
among the building blocks.
By using the wall as our starting point, we have
created a very special Annual Report that has roots
in our everyday surroundings and reflects who we are
and what we stand for. From here, we will not use any
more words. But just allow the result to speak for itself
– just as we allow the great numbers found in this
Annual Report to do the talking. The brickwork consists of unglazed bricks in 13 colours, and specially
glazed bricks in three colours. There are more blue bricks at the top of the
arches and more green bricks at the bottom, helping to emphasise the
movement from top to bottom – from sky to sea.
5
Annual Report 2024
01
Welcome to
Kirk Kapital
11 Our Heritage
12 What We Do
16 2024 at a Glance
18 Financial Highlights
03
Board & Management
Composition
36 Board of Directors &
Executive Management
04
Financial
Statements
40 Comprehensive Income Statement
41 Balance Sheet Statement
42 Changes in Equity Statement
43 Cash Flow Statement
44 Notes
71 Management’s Statement
72 Independent Auditor’s Report
02
Our Business
Activities
22 Activities Overview
24 Strategic Investments
28 Financial Investments
30 Vejle Investments
33 Business & Financial Risks
6
ESG Report 2024
05
ESG
79 Letter from the CEO
82 Kirk Kapital’s ESG Framework
83 ESG within Investment Activities
85 Strategic Investments
86 Financial Investments
88 Inside Kirk Kapital
7
Welcome to
Kirk Kapital
01
10
Annual Report Welcome to Kirk Kapital
Continuing the legacy of Lego
1932 was the year that Ole Kirk Christiansen began
crafting wooden toys in his modest workshop in
Billund. By 1934, he had begun selling toys under the
now world-famous LEGO name. Persevering through
many setbacks, the business eventually blossomed
into what it is today – the world’s most successful toy
company. This is the heritage of Kirk Kapital. Today,
90 years later, the same perseverance, imagination
and ingenuity form the foundation of Kirk Kapital’s
business activities.
Rooted in Vejle
In 2007, the Kirk Johansen family parted from Kirkbi
A/S, and consequently LEGO, in order to establish their
own investment activities and organisation through
Kirk Kapital. Our shareholders, and Kirk Kapital, are
deeply connected to the area in and around the city of
Vejle. Fjordenhus is a manifestation of our veneration
of and commitment to the city of Vejle. Fjordenhus
serves as the headquarters of Kirk Kapital, but, more
importantly, greets all visitors to Vejle as a towering
work of art created by the world-famous artist Olafur
Eliasson.
Partnering with families and companies
In connection with the launch of a new investment
strategy, Kirk Kapital established a second office in
Copenhagen in 2017 and expanded the organisation.
In 2020, a fully owned Kirk Kapital subsidiary
obtained a licence from the Danish FSA, legally
enabling us to also manage other families’ wealth.
Today, Kirk Kapital specialises in making strategic
minority investments in tomorrow’s best companies,
as well as managing multiple financially invested
portfolios, uniquely tailored to the families we serve.
Descendants of a visionary pioneer
Our shareholders are the Kirk Johansen families,
who are Ole Kirk Christiansen’s descendants.
Our Heritage
11
Annual Report Welcome to Kirk Kapital
Strong family values
At Kirk Kapital, our purpose is to create long-term
prosperity for the families of our shareholders,
partners, and employees. We manage and grow
family-owned capital, based on strong family values.
These values inspire a strong sense of belonging –
not only internally, but also among the companies
and families with whom we partner. Each of our
partnerships is built on trust, responsibility, and
a long-term commitment. We are proud of these
tight bonds and collaborations.
Focused on success
Grounded in our family DNA, our key values are
Competence, Dedication and Integrity. At Kirk Kapital,
we serve our purpose by having a relentless focus on
being among the best at what we set out to do, while
operating with the highest standards of professional
behaviour and ethics. The latter is also evidenced by
our Environmental, Social, and Governance (ESG)
ambitions, which form an integral part of our overall
long-term ambitions. All our investment activities
are centred around our motto: “Invest, Collaborate
and Create”. Our main investment activity is centred
around our two divisions: Strategic Investments and
Financial Investments.
Our scope: Scandinavian medium
and larger-sized companies
Within Strategic Investments, Kirk Kapital invests in
larger minority shareholdings (25-50%) in companies
while applying an active ownership agenda through
board representation. Our strategic investment
scope is Scandinavian medium- and larger-sized
What we do
12
Annual Report Welcome to Kirk Kapital
What we do
companies that have market-leading positions in
long-term growth industries. Currently, our minority
shareholding portfolio includes investments in 17
companies, representing a total market value in excess
of DKK 8.4 billion.
The highest-quality wealth management
Through Kirk Kapital Fondsmæglerselskab A/S,
which is regulated by the Danish FSA, Kirk
Kapital manages multiple individual portfolios,
where each portfolio is tailored to our partners’
precise requirements and wishes. The portfolios
consist of a wide range of investments, including
fixed income, listed equities and alternatives.
Our independence, and the size of our combined
assetsunder-management, provide our families with
the highest-quality wealth management services,
while maintaining cost efficiency. Currently, we
manage seven larger portfolios and a number of
smaller portfolios, including Kirk Kapital’s own
Financial Investments portfolio. Kirk Kapital’s own
portfolio has a value of around DKK 2.8 billion,
while total assets-under-management in Kirk Kapital
Fondsmæglerselskab A/S total DKK 17.5 billion.
Committed to Vejle
As a supplement to our main investment activities,
Vejle Investments holds our investment activities
centred around the city of Vejle. These are mainly
real estate investments in Fjordenhus, Utoft Plantage
and Havneøen. Our strategic scope is to provide
continued support to Fjordenhus and Utoft Plantage,
thereby maintaining our roots in Vejle and our
commitment to forestry and wildlife.
13
Annual Report Welcome to Kirk Kapital
14
Kim Gulstad, CEO
“ Grounded in our
family DNA, our
key values are
Competence,
Dedication
and Integrity ”
15
Significant milestone reached
Our guiding light continues to be our purpose of
creating long-term prosperity for the families of
our shareholders, partners and employees.
2024 marks a significant milestone in delivering on
that purpose. At the end of 2024, Kirk Kapital’s equity
surpassed DKK 10 billion. Simultaneously, our total
assets-under-management surpassed DKK 26 billion.
Reaching this milestone had not been possible
without the consistent and relentless effort of our
employees and partners to execute on our strategy
in accordance with our key values of competence,
dedication and integrity.
A good investment year
As with 2023, 2024 was yet another year characterised
by strong development in the financial markets.
Global publicly listed equities (MSCI World) rose 26%
in 2024, and the total return in the last two years has
been an astonishing 51%. Once again, the US stock
markets dominated with a solid 33% gain, though the
superior performance to a large extent was driven by
an 78% increase for the “magnificent seven” stocks.
Danish government bonds (5-7 years) gained 2.5%
in 2024.
The year was also characterised by continued global
company earnings growth and the beginning of
interest rate reductions by central banks. However,
the reduction in interest rates during 2024 were
lower than initially expected, putting pressure on
effective bond yields. Further, the geopolitical risk
heightened meaningfully during 2024, with several
armed conflicts around the world, but with limited
negative impact on the financial markets for now.
Our investment result in 2024 was DKK 1.333 million,
an increase of DKK 108 million against 2023, and
the fourth consecutive year with an investment
result above DKK 1 billion. In the past five years,
Kirk Kapital has generated an aggregated investment
result (2020-2024) of DKK 6.2 billion, an average of
14.4% p.a. equity return, while paying out aggregated
dividends in excess of DKK 400 million. Ending 2024
with an equity value in excess of 10 billion and total
assets-under-management in excess of 26 billion, puts
Kirk Kapital in a sound position for the coming years.
Robust results from both investment divisions
The 2024 result was derived from a robust result within
both our investment divisions.
The Strategic Investments result was mainly driven
by earnings growth in the portfolio and a smaller
one-off gain from a divestiture during the year.
Within Strategic Investments, two new platform
investments were completed, Norstat AS and DOT
A/S, while TPS Ltd was divested.
Financial Investments delivered a strong result, fuelled
by the general positive market developments. Further,
the financial portfolios which Kirk Kapital manages on
behalf of external families, depicted a similar positive
picture as Kirk Kapital’s own portfolio. We continue
to enhance the quality and cost effectiveness of our
service. During the year, we have also welcomed several
new portfolios. At the end of the period, the external
assets-under-management totalled DKK 14.7 billion.
2024 at a Glance
16
Annual Report Welcome to Kirk Kapital
An updated strategy
During 2024, Kirk Kapital updated its strategy, now
labelled “Prosperity 2028”. We remain committed to
our purpose, values and activities. Hence, the strategy
for the coming three years is a continuation of the
key pillars of the existing strategy, with a few selected
refinements. Going forward, we will focus on fewer, but
larger, new strategic investments in the Nordic region.
We will continue to invite fewer, but larger, high-net-
worth families to join our asset management club of
families.
Continued focus on ESG
Our support to ESG remains unchanged. I am proud
that Kirk Kapital is a UN Global Compact signatory.
As in previous years, together with the 2024 Annual
Report, we are also publishing our 2024 ESG Report.
ESG continues for be an integral element of our
strategy and is embedded throughout our internal
operations and investment activities. Internally, we
focus on SDG 5 (Gender Equality), SDG 8 (Decent
Work and Economic Growth), SDG 13 (Climate
Action) and SDG 16 (Peace, Justice and Strong
Institutions). Kirk Kapital continues to monitor and
measure the activities to ensure a continued focus
and implementation of ongoing improvements.
On a sad note
Our CFO, Martin Deppe Mørup, unexpectedly and
suddenly passed away at the age of 44. Martin had
been with Kirk Kapital for 14 years, and was a com-
petent and well-liked colleague, as well as a beloved
husband and father of two. Our thoughts are with the
family.
Looking forward to 2025
In summary, 2024 was a sound year in terms of our
financial performance and our strategic progress in
achieving our long-term purpose.
For 2025, we expect a profit after tax of around DKK
600 million. This is assuming financial returns in line
with our long-term market forecasts. The assumptions
are associated with significant risks. In the past years,
we have seen considerable deviation from the expect-
ed investment result.
No events have occurred after the balance sheet date
which are considered to have a material impact on the
assessment of the Annual Report.
Kim Gulstad, CEO.
26.3DKKb
Total Assets Under Management
14%
5-Year Annual Equity Return
23
Wealth Management Portfolios
10.01DKKb
Book Equity Value
17
Portfolio Companies
28
Number of Employees
17
Annual Report Welcome to Kirk Kapital
Key Ratios
Return on Equity
Solvency Ratio
Return on Invested Capital
Return on Invested Capital
per Investment Category:
Strategic Investments
Financial Investments ()
Vejle Investments () () () ()
Financial
Highlights
18
Annual Report Welcome to Kirk Kapital
Income Statement
DKK (millions)
Strategic Investments , , ,
Financial Investments ()
Vejle Investments () () () ()
Net Investment Result , , , ,
Comprehensive Income , , , ,
Balance Sheet
DKK (millions)
Strategic Investments , , , , ,
Financial Investments , , , , ,
Vejle Investments
Total Investment Assets , , , , ,
Total Assets , , , , ,
Total Equity , , , , ,
19
Annual Report Welcome to Kirk Kapital
WE INVEST in minority ownership of
tomorrow’s best companies and manage
multi-asset portfolios
Our Business
Activities
02
Key Activities
Activities Overview
Investment Activities
Strategic Investments
• Larger minority positions
(25-50%) in Scandinavian
medium- and large-sized
companies having market-
leading positions in long-term
growth industries
• Active long-term
minority owner
Financial Investments
• Discretionary Portfolio
Management across
asset classes
Vejle Investments
• Predominantly holds our
investment activities centered
around the city of Vejle
• Mainly real estate investments
in Fjordenhus, Utoft Plantage
and Havneøen
Family Office
• General assistance and
advice in relation to
finances, tax, bookkeeping,
administration, etc.
• Property administration
and maintenance
22
Annual Report Our Business Activities
Kirk Kapital’s
Investments
% (excl. clients managed funds)
72%
Strategic
Investments
4%
Vejle
Investments
24%
Financial
Investments
Cash
Fixed Income
Equities
Alternatives
23
Annual Report Our Business Activities
23
Investing in market leaders
Kirk Kapital acquires larger minority shareholdings
(25-50%) in companies, while applying an active
ownership agenda through board representation.
Our strategic investment scope is Scandinavian
medium- and large-sized companies that have
unique and market-leading positions in long-term
growth industries. Furthermore, our focus is on
business-to-business companies that offer either a
service or a product. In other words, Kirk Kapital
invests in high quality-companies.
A tailored approach
Kirk Kapital’s unique model for active minority
investments ensures the independence of our partners
while supplying the best possible conditions for their
lasting success. We achieve this by providing active
board representation, the benefits of our toolbox, and
shared best practice across our portfolio. Common to
all cases is a tailored approach, finely calibrated to our
partners’ requirements and precise needs. Altogether
this creates the best conditions for each company’s
successful long-term development.
Taking a sustainable perspective
Rooted in our family values, we have a structured
approach to work with ESG. We use our internally
developed ESG compass throughout our investment
process. Sustainability is an integral part of the due
diligence process when acquiring new companies,
and a sustainability board engagement policy has
been implemented which all Kirk Kapital represent-
atives are obliged to follow. Further we monitor ESG
performance across our portfolio companies to assess
progress and development.
Additions to the portfolio
Currently, the portfolio of minority investments
includes 17 companies. In 2024, we added Norstat
and DOT to our portfolio. Simultaneously, we
divested TPS. All in all, 2024 has been a good year
with a normal level of transaction activity.
Robust result
Our investment result in 2024 is DKK 955 million,
or 13% return, and the asset value by year-end is
DKK 8,377 million. The aggregated investment result
over the past five years is DKK 5,436 million, or 24%
p.a. return. The result in 2024 is mainly driven by
an aggregated earnings increase in the combined
portfolio. The earnings increase is at a lower level
than the past two years, but still above our long-term
expectations. Further, the sale of TPS provided us
with a smaller positive one-off gain. The result over
the past five years is also well above our long-term
return expectations.
Strategic
Investments
24
Annual Report Our Business Activities
17
72%
Portfolio Companies
Share of Assets
Dec. 2024
Development in
Assets and Return
,
DKK (millions)
Assets
ROA
,
,
,
,
~13.0DKKb
+5,900
Aggregated Revenue
Aggregated Number of Employees
25
Annual Report Our Business Activities
Portfolio
World-leading manufacturer of quality
playground equipment, outdoor fitness,
and outdoor furniture designed to promote
development through play and movement
World leader in packaging for processing of
frozen fish blocks, frozen fillets, and breaded
products within the white-fish industry
Developer and manufacturer of innovative
hemostatic products used by health care
professionals in the fields of surgery and
diagnostics globally
Year of investment Stake Partner Revenue, ‘23
2014 27% Family DKKm 3,378
Year of investment Stake Partner Revenue, ‘23
2016 & 2022 39% Pension Fund & Foundation DKKm 893
Scandinavian manufacturer of sustainable
wood packaging solutions from standard
pallets and takeaway boxes to packaging
for wind turbine blades
Year of investment Stake Partner Gross Profit, ‘23
2018 40% Family Foundation DKKm 95
Year of investment Stake Partner Revenue, ‘23
2020 40% Management DKKm 1,260
IT consultancy service company focusing on en-
gaging top IT talent and offering services within
Consulting, Infrastructure, Security,
and Development
Year of investment Stake Partner Revenue, ‘23
2018 & 2021 11% Private Equity DKKm 392
Leading int. rental company within cold storage
solutions. Rental divisions incl. cold storage
(Arctic Store®), ISO containers and self-storage
sites across Europe and Australia
Year of investment Stake Partner Revenue, ‘23
2019 30% Family DKKm 859
Aftermarket provider of used serviceable
wheels and brakes for airlines worldwide
offering a simple alternative to traditional
component management
Year of investment Stake Partner Revenue, ‘23
2019 26% Private Equity DKKm 1,240
Leading European metal recycling company
operating with innovative technology for
optimal recovery and refinement of metallic waste
Year of investment Stake Partner Revenue, ‘23
2019 33% Management DKKm 1,094
26
Annual Report Our Business Activities
Globally leading Norwegian manufacturer
of high-quality omega-3 concentrates utilising
state-of-the-art production equipment
Manufacturer of propagation systems, known
as the Ellepot system, consisting of machines,
specially developed and patented paper, and
trays for growers
Danish Consent Management Platform
providing cookie consent solutions for websites
and mobile apps that ensure GDPR compliance
for +3,000 customers
Leading independent European data collector
for market research with access to over 2 million
consumers and decision makers
Danish manufacturer of high-quality Signal
Conditioning Devices for process industries
targeting the Maintenance, Repair and
Operations segment
Danish full-service provider of metal surface
treatments, incl. hot-dip galvanizing, powder
coating, painting and metallization, for a wide
range of industries
Danish temporary modular buildings
provider offering sustainable modular
solutions for rent for a variety of purposes,
incl. office facilities and daycare
Software company providing next-gen
application shielding software safeguarding
applications, used on +300m devices globally,
from malware attacks
Largest Danish full-service monument company
providing customer support from selecting the
stone, designing and engraving, to installation
Year of investment Stake Partner Revenue, ‘23
2024 28% Private Equity DKKm 636
Year of investment Stake Partner Revenue, ‘23
2023 27% Private Equity DKKm 497
Year of investment Stake Partner Revenue, ‘23
2024 43% Family DKKm 739
Year of investment Stake Partner Gross Profit, ‘23
2020 45% Family & Owners DKKm 143
Year of investment Stake Partner Revenue, ‘23
2021 32% Family DKKm 536
Year of investment Stake Partner Gross Profit, ‘23
2021 48% Family & Owners DKKm 84
Year of investment Stake Partner Revenue, ‘23
2022 34% Private Equity DKKm 99
Year of investment Stake Partner Revenue, ‘23
2022 43% Management DKKm 141
Year of investment Stake Partner Gross Profit, ‘23
2022 50% Management DKKm 142
27
Annual Report Our Business Activities
Management of multiple portfolios
Kirk Kapital (through Kirk Kapital Fondsmæglerselskab
A/S) manages multiple individual portfolios tailored
to our partners’ precise needs. All portfolios consist of
a wide range of investments, including listed equities,
fixed income and alternatives. Kirk Kapital’s own
Financial Investments portfolio has a value of DKK
2,783 million. The external assets-under-management
total DKK 14.7 billion, up from DKK 9.6 billion at
the end of 2023. Currently, we manage seven larger
portfolios and a number of smaller portfolios.
A sustainable core
Based on our family values, we take a structured
approach to work with ESG. To do this we use our
internally developed ESG Compass throughout our
investment process and we have adopted the UN’s
Principles for Responsible Investment.
Worldwide impact
2024 was yet another extraordinary year in the
financial markets. MSCI World rose by close to
26%. Simultaneously, Danish government bonds
(5-7 years) gained 2.5%. The year was marked by
sustained corporate earnings growth and the initial
phase of interest rate reductions by central banks.
However, the rate cuts in 2024 were lower than
initially anticipated, exerting pressure on effective
bond yields. Additionally, geopolitical risks escalated
significantly during the year, with multiple armed
conflicts worldwide. Despite this, the financial
markets only experienced a limited negative impact.
The positive development was reflected in Kirk
Kapital’s own Financial Investments portfolio, as
well as in the external portfolios.
Strong results and positive markets
Kirk Kapital’s Financial Investments portfolio
generated an investment result of DKK 400 million,
equivalent to a 17% return on assets. The asset base at
year-end was DKK 2,783 million. The solid outcome
benefited from overall positive market trends.
Additionally, the externally managed portfolios
under Kirk Kapital performed in line with the
company’s own financial investments, reflecting
similar positive outcomes. All in all, the 2024 result
is very satisfactory, and above our long- term return
expectations.
The aggregated investment result over the past five
years is DKK 951 million, or a return of 8% p.a.
Financial
Investments
28
Annual Report Our Business Activities
Development in
Assets and Return
,
DKK (millions)
Assets
ROA
,
()
,
,
,
35
Total Number of
External Managers
92%
External Managers who
are UN PRI Signatories
941
Total Number of Trades in 2024
Excl. FX
23
Wealth Management Portfolios
24%
Share of Assets Dec. 2024
29
Annual Report Our Business Activities
Vejle in focus
Vejle Investments predominantly holds our
investment activities centred around the city of
Vejle. These are mainly real estate investments in
Fjordenhus, Utoft Plantage and Havneøen. Our
strategic scope is to maintain and develop Fjordenhus
and Utoft Plantage, further strengthening our roots
in Vejle and our commitment to forestry and wildlife.
Results below expectations
Our investment result in 2024 is DKK -22 million,
and our net asset base by year-end is DKK 446
million. The result is negatively impacted by high
interest rates, and therefore the result is below our
expectations.
Vejle
Investments
4%
Share of Assets
Dec. 2024
30
Annual Report Our Business Activities
Development in
Assets and Return
DKK (millions)
Assets
ROA
() () () ()
31
Annual Report Our Business Activities
32
Annual Report Our Business Activities
Managing risk
As a family-owned business and investment
company we are widely exposed to financial risks,
especially those relating to market risks, with an
exposure to publicly traded securities. Our three
investment divisions manage financial risks with
the objective to create long-term prosperity for the
families of our shareholders and business partners.
In this light, we do not take any significant risks
that could be referred to as out of the ordinary, in
view of the extent of our activities as a business and
investment company. For further information about
financial risk management, see note 5, Financial Risk
Management.
Other statutory statements
In accordance with Danish legislation, Kirk Kapital
has prepared statutory statements in relation to
gender under-representation in management, data
ethics and Corporate Social Responsibility, forming
part of Kirk Kapital’s ESG Report. The report can be
found in chapter 5 of this document.
Business &
Financial Risks
33
Annual Report Our Business Activities
WE COLLABORATE through active partnerships and tailored solutions
Board &
Management
Composition
03
Board of Directors
Executive Management
Casper Kirk
Johansen
Chairman of the Board
Anders Kirk
Johansen
Board Member
Birgitte
Nielsen
Board Member
Jens Winther
Moberg
Board Member
Peter Beske
Nielsen
Board Member
Kim
Gulstad
CEO
36
Annual Report Board & Management Composition
“
Reaching the DKK 10 billion
milestone would not have been
possible without the
consistent and relentless
efforts of our employees and
partners to execute on our
strategy in accordance with
our key values of competence,
dedication and integrity.
Kim Gulstad, CEO
”
37
Annual Report Board & Management Composition
WE CREATE the best conditions for
our stakeholders’ long-term growth
Financial
Statements
04
DKK (millions) Note
Strategic Investments 955 1,025
Financial Investments 400 230
Vejle Investments (22 ) (30 )
Net Investment Result
Other Operating Income 9 9
Expenses (144 ) (155 )
Other Financial Income (40 ) (22 )
Comprehensive Income before Tax
Tax (63 ) (24 )
Total Comprehensive Income for the Year
Comprehensive
Income Statement
40
Annual Report Financial Statements
Balance Sheet
Statement
Assets
DKK (millions) Note
Strategic Investments 8,377 7,025
Financial Investments 2,783 2,484
Vejle Investments 446 457
Lease Assets - Right-of-use Assets 58 62
Total Non-Current Assets
Other Receivables 46 22
Cash & Cash Equivalents 0 1
Total Current Assets 46 23
Total Assets
Equity & Liabilities
DKK (millions) Note
Share Capital 99 100
Retained Earnings 9,814 8,899
Proposed Dividend for the Year 100 92
Total Equity
Other Payables 278 305
Lease Liabilities 57 60
Deferred Tax Liabilities 11 9
Total Non-Current Liabilities 346 374
Credit Institutions 1,146 502
Lease Liabilities 3 3
Trade Payables 2 0
Tax Payables 59 0
Other Payables 141 81
Total Current Liabilities
Total Liabilities
Total Equity & Liabilities
41
Annual Report Financial Statements
Annual
Report
Financial
Statements
Changes in
Equity Statement
42
Change
in
Equity
Statement
2023
DKK
(millions)
Share
Capital
Retained
Earnings
Proposed
Dividend
Total
Equity
at
01.01.2023
Profit for the Period
Other
Comprehensive
Income
(6 )
(6 )
Total Comprehensive
Income
for
the
Period
Transactions with Owners in their
Capacity
as
Owners:
Ordinary
Dividend
Paid
(82 )
(82 )
Dividend
(92 )
Total
Dividend
for
the
Period
(92 )
(82 )
Equity
at
31.12.2023
Change
in
Equity
Statement
2024
DKK
(millions)
Share
Capital
Retained
Earnings
Proposed
Dividend
Total
Equity
at
01.01.2024
Profit for the Period
Other
Comprehensive
Income
Total Comprehensive
Income
for
the
Period
Transactions with Owners in their
Capacity
as
Owners:
Capital
reduction
(1 )
Ordinary
Dividend
Paid
(92 )
(92 )
Extraordinary
Dividend
Paid
(81 )
(81 )
Dividend
(100 )
Total
Dividend
for
the
Period
(1 )
(180 )
(173 )
Equity
at
31.12.2024
Cash Flow Statement
Accounting policy
The cash flow statement shows the cash flows for the
year broken down by other investing and financing
activities, changes for the year in cash and cash
equivalents, as well as the company’s cash and cash
equivalents at the beginning and end of the year.
Cash flows from other activities are calculated as the net
comprehensive income for the year adjusted for changes
in working capital and non-cash operating items such
as depreciation, amortisation and impairment losses,
and provisions. Working capital comprises current
assets less short-term debt, excluding items included
in cash, investment activities, financing activities
and cash equivalents.
Cash flows from investing activities comprise net cash
flows to and from the three investment portfolios.
Cash flows from financing activities comprise cash flows
from proceeds and repayments of credit institutions,
as well as payments to and from shareholders.
DKK (millions)
Comprehensive Income for the Year 1,095 1,033
Adjustments - Net Investment Result (1,333 ) (1,225 )
Changes in Net Working Capital 73 137
Net Cash Flow from Other Activities
Cash Flow from Strategic Investments* (397 ) 201
Cash Flow from Financial Investments 101 40
Cash Flow from Vejle Investments (11 ) (58 )
Cash Flow from Investment Activities
Proceeds from Credit Institutions 644 0
Repayment of Credit Institutions 0 (45 )
Dividend Paid (173 ) (82 )
Cash Flow from Financing Activities
Net Cash Flow for the Year (1 ) 1
Cash & Cash Equivalents, Beginning of the Year 1 0
Cash & Cash Equivalents, End of the Year
*Gross cash flows from Strategic Investments were DKK 674 million in cash inflow
and DKK 1,071 million in cash outflow.
1 January - 31 December
43
Annual Report Financial Statements
(127 )
(165 )
(55 )
(307 )
02
Strategic
Investments
05
Financial Risk
Management
03
Financial
Investments
06
Critical Accounting
Estimates & Judgements
01
Accounting
Policies
04
Vejle
Investments
Notes
44
Annual Report Financial Statements
44
03
Financial
Investments
06
Critical Accounting
Estimates & Judgements
08
Expenses
11
Related
Parties
14
Fees to Auditors
Appointed at the
General Meeting
09
Staff
Expenses
12
Share
Capital
15
Events after the
Balance Sheet Date
07
Commitments &
Contingent Liabilities
10
Tax
13
Investments
in Subsidiaries
& Associates
45
Annual Report Financial Statements
45
Accounting
Policies
01
Accounting policies
The financial statements are presented in Danish
Kroner (DKK), as this is the company’s functional
currency. The financial statements have been rounded
to the nearest million.
The financial statements for Kirk Kapital have
been prepared in accordance with International
Financial Reporting Standards (IFRS) as issued by
the International Accounting Standards Board (IASB)
and as adopted by the European Union as well as
additional Danish disclosure requirements applying
to entities of reporting class C for large enterprises.
The accounting policies applied are unchanged from
last year.
New IFRS standards
All new and changed IFRS standards which are relevant
to Kirk Kapital for the financial year are adopted without
any material impact on the financial statements.
In relation to new standards, not yet effective, but
early application is permitted; Kirk Kapital has not
early adopted any new or amended standards when
preparing these financial statements.
Investment entity
Kirk Kapital applies the investment entity rules
under IFRS due to Kirk Kapital having the
following characteristics under IFRS 10.27:
• Hold funds from multiple investors.
• Business objective is to invest funds for the
purposes of capital appreciation, profit on
divestments and/or dividends.
• Investments are measured and evaluated
at fair value.
In accordance with IFRS 10 Kirk Kapital does not
consolidate its subsidiaries and does not apply IFRS 3
when obtaining control over new investments.
Foreign currency translation
Transactions and balances
Transactions in currencies other than the company’s
functional currency are translated into the functional
currency using the exchange rates as at the dates of
the transactions. Foreign exchange gains and losses
resulting from the settlement of such transactions and
from the translation of monetary assets and liabilities
denominated in foreign currencies at year-end exchange
rates, are generally recognised in profit or loss.
Comprehensive income statement
Other operating income and expenses
Other operating income and other expenses comprise
items of a secondary nature to the main activities of
the company.
Financial income and expenses
Financial income and expenses include interest, realised
and unrealised exchange adjustments, price adjustment
of securities and amortisation of mortgage loans.
46
Annual Report Financial Statements
01
Annual Report Financial Statements
Leases
The right-of-use asset and corresponding lease
liability is recognised as at the commencement date,
and thus on the date when the underlying asset is
ready for use. The lease terms may include options to
extend or terminate the lease when it is reasonably
certain that Kirk Kapital will exercise that option.
Depreciation is made following the straight-line
method over the lease term or the useful life of
the assets.
Kirk Kapital applies the short-term lease recognition
exemption for lease contracts that, as at the
commencement date, have a lease term of 12 months
or less for all classes of underlying assets, and the
exception for lease contracts for which the underlying
asset is of low value.
Right-of-use assets normally have the
following lease terms:
Rental of Premises 1-30 years
Other Assets 1-5 years
Financial highlights
Explanation of financial ratios:
Solvency Ratio =
Return on Equity =
The financial ratios have been computed in
accordance with the latest guidelines issued by
CFA Society Denmark.
Equity at year-end x 100
Total Assets at year-end
Net Profit for the year x 100
Average Equity
47
Strategic
Investments
Accounting policy
Strategic Investments are defined as larger illiquid
minority investments with an active ownership
agenda. The portfolio is shown on pages 26 and 27.
The investments are owned through the subsidiary
Kirk Kapital Strategic Investments A/S.
Realised and unrealised gains and losses on fair value
adjustments are recognised in the comprehensive
income statement in the financial year in which they
arise. Realised gains and losses on sale of financial
assets are calculated on the basis of the valuation
beginning of the financial year. Purchase and sale
of investments are recognised on the trade date.
Dividends from portfolio companies are assumed
to be realised at fair value and thus without compre-
hensive income impact. Realised direct transaction
costs and earnings are included under realised gains
and losses. Indirect costs in Kirk Kapital Strategic
Investments A/S are included under expenses, net
of any intercompany earnings and costs.
The minority investments are recognised in
accordance with IFRS 9 at fair value through the
comprehensive income statement. The minority
investments are initially recognised at fair value
corresponding to cost and subsequently adjusted to
fair value. Dividends received from Strategic Invest-
ments are recognised as unrealised gains and losses.
Investment properties are recognised at cost
comprising the acquisition price and costs of
acquisition and subsequently measured at fair value.
Other investment assets are mainly run-off invest-
ments which are recognised and measured under
the equity method less any assets attributable to
other investment categories. The underlying assets
are measured at fair value.
02
Significant accounting
estimates and judgements
Valuation of investments in Strategic Investments at
fair value is based on estimates and assumptions as
regards the fair value of each individual company in
the Strategic Investments portfolio, using valuation
hierarchy 3. These investments amount to DKK
8,377 million in 2024 (DKK 7,025 million in 2023).
For the majority of the investments (DKK 7,630
million in 2024 and DKK 6,558 million in 2023),
the fair value is primarily estimated using last-
twelve-month valuation metrics (LTM Metric)
and a valuation multiple. The value derived is
adjusted for net interest-bearing debt (NIBD).
The LTM Metric and NIBD are based on normal-
ised reported figures by the portfolio companies.
The LTM Metrics applied are EBITDA, earnings
48
Annual Report Financial Statements
02
DKK (millions)
Investment Result
Realised Gains & Losses for the Year, Net
Unrealised Value Adjustments, Net
Total Strategic Investments ,
Invested Capital
Investment in Portfolio Companies at Fair Value , ,
Investment Properties
Other Investments
Total Strategic Investments , ,
and revenue, depending on the type of company. An
increase in the portfolio’s share of NIBD of DKK
100 million will affect the profit and loss account
negatively by DKK 100 million, while a change in
the LTM Metrics of 10% will affect the profit and
loss account by around DKK 880 million.
The most subjective parameter in the valuation model
is multiples estimated to be a reasonable proxy of
market multiples of comparable companies. The
valuation multiples are set with reference to relevant
market multiples and transaction multiples. If the
valuation multiples used are changed by 1x, this
would have an impact on the comprehensive income
statement of around DKK 985 million.
It is management’s assessment that the assumptions
and estimates used are reasonable.
49
Annual Report Financial Statements
Financial
Investments
03
Accounting policy
Financial Investments is a portfolio of financial assets
managed by Kirk Kapital Fondsmæglerselskab A/S,
which invests the portfolio to maximise the risk-
adjusted return.
Financial assets categorised as Financial Investments
are recognised in accordance with IFRS 9 at fair value
through the statement of comprehensive income.
Investments are initially recognised at fair value
and subsequently adjusted to fair value. Dividends
received from investments are included in value
adjustments. Costs directly attributable to Financial
Investments are allocated to the comprehensive
income as realised gains and losses.
Financial investments consist of both current and non-
current assets, but are classified as non-current assets as
they are considered a long-term investment portfolio
where portfolio construction is outsourced to Kirk
Kapital Fondsmæglerselskab A/S. DKK 1,771 million
is estimated to be realisable within three months.
Significant accounting
estimates and judgements
Financial Investments are measured at fair value using
either level one or level three in the fair value hierarchy.
Fixed income and equities are based on observable
market data, and are thus level one. Alternatives are
based on valuations of net asset value provided by
external portfolio managers, and are thus level three.
Management and Kirk Kapital Fondsmæglerselskab
A/S continually monitors the external portfolio
managers and evaluating valuations.
Please refer to note 5 for further information on
market risks.
50
Annual Report Financial Statements
03
DKK (millions)
Investment Result
Realised Gains & Losses for the Year, Net
Unrealised Value Adjustments, Net
Total Financial Investments
Invested Capital
Cash & Cash Equivalents
Fixed Income
Equities , ,
Alternatives ,
Total Financial Investments , ,
51
Annual Report Financial Statements
Vejle
Investments
Accounting policy
Vejle Investments are defined as illiquid majority
investments within the Vejle area.
The subsidiary Kirk Property A/S contains two
investments: Fjordenhus, which is Kirk Kapital’s
domicile, and investment properties through Kirk
Property A/S’s subsidiary Havneøen 1 P/S.
Kirk Property A/S (excluding Havneøen 1 P/S) is
recognised and measured under the equity method
– the proportionate share of the net asset values.
Fjordenhus is measured at cost less accumulated
depreciation and impairment losses.
Investment properties (either owned directly or
through subsidiaries) are measured at cost comprising
the acquisition price and costs of acquisition. The cost
of self-constructed investment properties comprises
the acquisition price and expenses directly related
to the acquisition, including costs of acquisition and
indirect expenses for labour, materials, components,
and sub suppliers up until the time when the asset is
ready for use. Investment properties constructed for
sale are held at cost less impairments if the market
value is lower than the costs. Investment properties
constructed for lease are, after initial recognition,
measured at fair value.
Non-current receivables are measured at amortised
cost. Other equity investments are recognised and
measured under the equity method, which is at the
proportionate share of the net asset values.
Significant accounting
estimates and judgements
Investment properties at fair value are net of any
asset-backed finance. The gross value of Investment
Properties at fair value is DKK 295 million.
Investment properties at fair value consist of rental
properties together with forest and agricultural land.
Geographically the properties are located either in
Vejle or in the vicinity of Vejle.
Investment properties are measured at fair value using
level three in the fair value hierarchy, by either obtaining
an external valuation report or using capitalisation
models. Such models are based on assumptions on
future rent levels, vacancy levels, operating and
maintenance costs, and yield requirements, and thus
contain a number of accounting estimates.
04
52
Annual Report Financial Statements
04
Buildings valued using a capitalisation model are
measured at an average rate of return of 5.0% to 7.0%.
The average rate of return used is based on an assess-
ment of location, usage and condition. An increase
in the rate of return of 0.5% will impact the value of
rental property negatively by approximately DKK
15 million before tax.
Fair value of the forest and agriculture land is
estimated at DKK 115,000 per hectare (2023: 115,000
per hectare). A change in the price per hectare of 1%
will impact the value of the forest and agricultural
land by approximately DKK 0.6 million before tax.
It is management’s assessment that the assumptions
and estimates used are reasonable.
DKK (millions)
Investment Result
Realised Gains & Losses for the Year, Net ()
Unrealised Value Adjustments, Net () ()
Total Vejle Investments ( ) ()
Invested Capital
Fjordenhus
Investment Properties, Fair Value
Investment Properties, Cost
Non-current Receivables
Other Equity Investments
Total Vejle Investments
53
Annual Report Financial Statements
Financial Risk
Management
05
Financial risk factors
The company’s financial risk exposure is mainly
centred around its Strategic Investments and
Financial Investments. Financial risk management is
managed individually for each investment category
by the Strategic Investments team and Kirk Kapital
Fondsmæglerselskab A/S. An overall risk analysis is
performed in connection with setting the company’s
investment strategy and capital allocation, which is
discussed with and approved by the board.
The company’s financial risk profile is mainly
dominated by market risks, where the company
has high exposure to security prices and long-
term equity market movements. The company has
moderate exposure to interest rates and currency
rates. To a lesser extent, the company is also exposed
to credit risks and liquidity risks.
Derivatives financial instruments are mainly used
to reduce financial risk exposure. Where all relevant
criteria are met, hedge accounting is applied to remove
the accounting mismatch between the hedging
instrument and the hedged item. This will effectively
result in recognising interest expense at a fixed interest
rate for the hedged floating rate loans or contracts and
investment in foreign currency at the fixed foreign
currency rate for the hedged investments.
For hedges of net investments in foreign currencies
and financial assets denominated in foreign currencies,
the company enters into hedge relationships where the
critical terms of the hedging instrument match exactly
the terms of the hedged item. The company therefore
performs a qualitative assessment of effectiveness.
According to the company’s policy, the critical terms of
the forwards must align with the hedged items.
Market risk
Share price risk
A portion of the company’s Financial Investments
assets is directly exposed to short-term movements
in security prices as DKK 1,106 million is listed
equities and valued using observable prices on stock
exchanges. 10% in short-term negative movement
in stock prices would affect the portfolio negatively
by 10.3% in the short term corresponding to DKK
114 million.
Strategic Investments at fair value DKK 8,357 million
and alternatives under Financial Investments of DKK
1,112 million are measured at fair value using non-
observable data, but data which to some extent is
related to long-term market conditions. While these
investments are thus not directly exposed to short-
term stock price movements, risks related to long-
term market movements remain.
Foreign exchange risk
The company’s currency exposure can be divided into
two categories of exposure and risks.
54
Annual Report Financial Statements
05
One category is investments denominated in
currencies other that DKK/EUR. As at 31 December
2024, investments denominated in a currency other
than DKK/EUR amounted to DKK 2,125 million, and
the exposure was mainly related to USD and NOK.
Derivatives are used to hedge some of the currency
risk in USD, but the hedging rate for USD is 0% as
of 31 December 2024. The average hedging rate in
USD for the year was 2%.
A change of 10% in exchange rates other than
DKK/ EUR would have a short-term effect on the
total comprehensive income of DKK 213 million.
The second category is the underlying currency
risk in any investment, regardless of currency
denomination, where the investments are operating in
a global market. Some of the investments are subject
to currency exposure due to imbalances in revenue
and expenses generated in foreign currencies, mostly
related to USD. The risk is managed by the portfolio
companies and fund managers and evaluated by
the Strategic Investments team and Kirk Kapital
Fondsmæglerselskab A/S.
Interest rate risk
The company’s interest rate exposure can be divided
into three categories of exposure and risks.
The first category is interest rate risk related to the
company’s debt instruments of DKK 1,146 million.
An increase in the interest rate of 1% would negatively
affect other financials by 1%, corresponding to DKK 11
million.
The second category is interest rate risk related to
the company’s fixed income investments of DKK
500 million. An increase in the interest rate of 1%
would negatively affect the fixed income investments
by 4.2%, corresponding to DKK 21 million.
The third category is the underlying interest rate risk
of debt instruments in the underlying investments
in each investment category. The risk is managed by
the portfolio companies and fund managers, which
are evaluated by the Strategic Investments team and
Kirk Kapital Fondsmæglerselskab A/S. In terms of
Vejle Investments, the interest rate risk is handled
by management. Debt instruments amount to DKK
365 million. An increase in the interest rate of 1%
would negatively affect Vejle Investments by 1%,
corresponding to DKK 4 million.
Credit risks
The company’s primary credit exposure is related
to fixed income investments, financial instruments
and cash positions. Major single exposures are either
exposures to counterparties with good credit ratings
and/or other supporting security measures in place.
The overall credit risk is considered low.
55
Annual Report Financial Statements
Maturity Analysis - Liabilities
DKK (millions)
Less than
Year
Between
and Years
More than
Years Tot al
2024 Non-Derivatives:
Credit Institutions , ,
Trade Payables
Lease Liabilities
Other Payables
Total Liabilities as at 31.12.2024 , ,
2023 Non-Derivatives:
Credit Institutions
Trade Payables
Lease Liabilities
Other Payables
Total Liabilities as at 31.12.2023
05
Liquidity risk
The company manages its liquidity risk by continu-
ously monitoring and assessing the liquidity positions.
Based on the relatively liquid Financial Investments
and relatively low level of borrowings and liabilities,
the liquidity risk is considered low.
Maturity analysis
The table collates the company’s financial liabilities in
relevant maturity groupings based on the remaining
period as at the balance sheet date and contractual
maturity date. Fair value of debt correspond
approximately to amortised cost of debt. The
amounts disclosed in the table are the contractual
undiscounted cash flows.
56
Annual Report Financial Statements
Financial Assets by Measurement Category
DKK (millions)
Financial Assets at Fair Value:
Strategic Investments , ,
Financial Investments , ,
Vejle Investments
Financial Assets at Amortised Cost:
Non-current Receivables
Other Loans & Receivables
Cash & Cash Equivalents
Financial Liabilities by Measurement Category
DKK (millions)
Financial Liabilities at Amortised Cost:
Lease Liabilities
Credit Institutions ,
Other Payables
Measurement and fair value hierarchy
Measurement and fair value hierarchy is specified under each investment:
See note 2 (‘Strategic Investments’), note 3 (‘Financial Investments’)
and note 4 (‘Vejle Investments’).
05
57
Annual Report Financial Statements
06
In the preparation of the financial statements
according to IFRS, management is required to make
certain estimates: those financial statement items
that cannot be reliably measured must be estimated,
as the value of assets and liabilities often depends on
future events that are somewhat uncertain.
The judgements, estimates and assumptions made
are based on historical experience and other factors
that management considers to be reliable, but which
by their very nature are associated with uncertainty
and unpredictability. These assumptions may prove
incomplete or incorrect, and unexpected events or
circumstances may arise.
Critical accounting estimates
Financial assets are either measured at amortised
cost or fair value through profit and loss. Assets and
liabilities at fair value have been measured using one
of the three levels of fair value hierarchy:
Level 1:
Quoted prices in active markets for identical markets.
Level 2:
Inputs other than quoted prices included within
level 1 that are observable for the assets either
directly or indirectly.
Level 3:
Input for the liabilities and assets that are not
based on observable market data. These fair value
measurements are either from external portfolio
managers or management estimates using multiples
from similar investments, or using fair value
calculations, models such as DCF models.
For each investment category it is described which
level of fair value hierarchy is used.
Critical Accounting
Estimates & Judgements
58
Annual Report Financial Statements
Commitments
& Contingent
Liabilities
07
Contingent liabilities
Remaining commitments regarding participation
in investment projects amount to a maximum of
DKK 782 million.
Security has been provided in investment properties
at a net carrying amount of DKK 61 million for the
mortgage loans.
Kirk Kapital has provided a guarantee of a maximum
of DKK 328 million to financial institutions in which
the company’s subsidiaries and associates have loans
and other commitments.
Kirk Kapital has entered into a cash pool agreement.
As at 31 December 2024 the net withdrawal on the
cashpool agreement was DKK 206 million.
Joint taxation scheme
Kirk Kapital and its Danish group companies are
jointly and severally liable for tax on the jointly
taxed income, etc. Kirk Kapital is the administrative
company for the joint taxation. Kirk Kapital and its
Danish group companies are jointly and severally
liable for the joint taxation liability. The joint taxation
liability covers income taxes and withholding taxes on
dividends, royalties and interest.
59
Annual Report Financial Statements
Expenses
08
DKK (millions) Note
Expenses Profit & Loss
Expenses Related to Subsidiaries ()
Expenses Kirk Kapital
Staff Expenses
Other External Expenses & Other
Operating Expenses
Expenses Kirk Kapital
60
Annual Report Financial Statements
Accounting policy
Staff expenses comprise wages, salaries, social security
contributions, leave and sick leave, bonuses and non-
monetary employee benefits, and are recognised in
the year in which the services are rendered. Whenever
Kirk Kapital provides long-term employee benefits,
the costs are aggregated to match the rendering of
the services by the employees.
Key management compensation
The Executive Management consists of only one
member, while the remuneration of the Executive
Management and the Board of Directors is disclosed
collectively with reference to section 98b(3) of the
Danish Financial Statements Act.
Incentive plans comprise a short-term incentive plan
based on yearly performance and a long-term incentive
plan related to long-term goals regarding value creation.
Remuneration of key management amounts to DKK
58 million in 2024 and DKK 68 million in 2023.
Staff
Expenses
09
DKK (millions)
Wages & Salaries
Pensions & Other Staff Expenses
Total Staff Expenses
Average Number of Employees 24 23
61
Annual Report Financial Statements
Accounting policy
The company is jointly taxed with Danish group
companies and acts as the administrative company.
The Danish income tax payable is allocated between
the jointly taxed Danish companies based on their
proportion of taxable income (full absorption including
reimbursement of tax deficits). The jointly taxed
companies are taxed under the Danish Tax Payment
Scheme. Additions, deductions and allowances are
recognised under financial income or financial costs.
The income tax expense or credit for the period is the
tax payable on the current period’s taxable income
based on the applicable income tax rate for each
jurisdiction adjusted by changes in deferred tax assets
and liabilities attributable to temporary differences
and to unused tax losses.
Deferred income tax assets are recognised only to the
extent that it is probable that future taxable profit will
be available, against which the temporary differences
can be utilised.
Tax
10
62
Annual Report Financial Statements
Income Tax Expense
DKK (millions)
Tax Comprehensive Income
Tax Related Subsidiaries & Associates
Total Tax Kirk Kapital
Breakdown of Total Tax:
Current Tax on Comprehensive Income
for the Year
Current Tax on Comprehensive Income
for Previous Years
()
Deferred Tax for the Year & Previous Years
Total Tax Kirk Kapital
Income Tax is Specified as Follows
DKK (millions)
Calculated 22.0% Tax on Comprehensive Income
for the Year Before Tax
Tax Effects of:
Income from Strategic Investments &
Vejle Investments (Subsidaries & Associates)
() ()
Adjustment from Previous Years ()
Other
Total Tax Kirk Kapital
Effective Tax Rate
10
63
Annual Report Financial Statements
Kirk Kapital’s related parties include Casper Kirk
Johansen, Marianne Fyhring Johansen, Anders Kirk
Johansen and close family members together with the
Board of Directors and the Executive Management
of Kirk Kapital. Related parties also comprise
subsidiaries. Related parties further comprise
companies where the shareholders mentioned have
significant influence: Selmont A/S, M.Kirk A/S,
A.Kirk A/S, Pil & Birk Holding A/S, C2 A/S, CKKJ
Cosmo ApS, JKJ Cosmo ApS, Edith & Godtfred Kirk
Christiansens Fond and subsidiaries.
As major shareholders, Casper Kirk Johansen and
Anders Kirk Johansen have a significant influence
in Kirk Kapital.
In the financial year, a limited number of transactions
related to services took place between Kirk Kapital
and its owners and between Kirk Kapital and its
subsidiaries. These services were paid on normal
market terms.
There were no transactions with the Board of
Directors or the Executive Management other than
transactions related to employment.
For information about remuneration to the Board
of Directors and the Executive Management,
please see note 9.
Related Parties
11
64
Annual Report Financial Statements
No other year-end balances or transactions have taken place during the year
with the Board of Directors, the Executive Management, shareholders or other
related parties.
DKK (millions)
Transactions with Related Parties:
Subsidiaries
Administration & Management Fee Income
Administration & Management Fee Expenses
Rental Expenses
Intercompany Interest Income
Intercompany Interest Expenses
Other Related Parties
Administration & Management Fee Income
Salaries
Intercompany Interest Expenses
DKK (millions)
Year-End Balances Arising from Transactions
with Related Parties:
Subsidiaries
Receivables included in the Balance Sheet under:
Strategic Investments
Vejle Investments
Receivables
Payables included in the Balance Sheet under:
Strategic Investments
Payables
Other Related Parties
Receivables
Payables
11
65
Annual Report Financial Statements
Accounting policy
Ordinary shares are classified as equity. Incremental
costs directly attributable to the issue of new shares
are shown in equity as a deduction, net of tax, from
the proceeds.
Proposed dividends are disclosed as a separate
item under equity and recognised as a liability
when declared. All shares have nominal value of DKK 1.
Each A share carries ten votes at the Annual General Meeting.
Each B share carries one vote at the Annual General Meeting.
On an extraordinary general meeting held 1 November 2024 the shareholders
decided to cancel 577.090 A-shares and 422.910 B-shares which were acquired
by Kirk Kapital A/S. No other changes have been made to the share capital in
the past 5 years.
Share
Capital
12
The Share Capital Comprises
Number of Shares Nominal Value
(DKK millions)
A Shares ,,
B Shares ,,
Share Capital ,,
66
Annual Report Financial Statements
Name
Place of
Registered Office
Share Capital
DKK (millions) Votes Ownership
Subsidiaries
Kirk Kapital Strategic Investments A/S Vejle, Denmark .
Kirk Kapital Fondsmæglerselskab A/S Vejle, Denmark .
KIRK Farm A/S Vejle, Denmark .
KIRK Shipping A/S* Vejle, Denmark .
Gunhild Kirk A/S* Vejle, Denmark .
Edith Kirk A/S* Vejle, Denmark .
Marie Kirk A/S* Vejle, Denmark .
Marianne Kirk A/S* Vejle, Denmark .
Anja Kirk A/S* Vejle, Denmark .
Edith Kirk A/S Vejle, Denmark .
KIRK Aviation A/S* Vejle, Denmark .
KKAG Komplementarselskab ApS* Vejle, Denmark .
KA1 P/S* Vejle, Denmark .
KN Operating Ltd.* Dublin, Ireland .
KIRK Property A/S Vejle, Denmark .
Havneøen 1 P/S Vejle, Denmark .
Komplementarselskabet Havneøen 1 ApS Vejle, Denmark .
KIRK Suites ApS Vejle, Denmark .
Associates:
K/S Høje-Taast r up Bredsten, Denmark .
Høje-Taastr up ApS Bredsten, Denmark .
Virumgårdsvej 17 ApS Virum, Denmark .
*Financial Statements are presented in USD, which is the functional currency of the company.
Annual Report Financial Statements
Investments in
Subsidiaries & Associates
13
67
Fees to Auditors
Appointed at the
General Meeting
14
DKK (millions)
Audit Fee
Tax Advisory Services
Non-Audit Services
Total Auditors Fee
68
Annual Report Financial Statements
No events materially affecting the assessment of the
Annual Report have occurred after the balance sheet date.
Events after
the Balance
Sheet Date
15
69
Annual Report Financial Statements
70
Annual Report Financial Statements
70
Management’s
Statement
Executive Management
Board of Directors
71
Annual Report Financial Statements
Independent Auditor’s Report
72
Annual Report Financial Statements
CVR no. 3 3963 55 6
Identification No (MNE) m ne31 48 2
73
Annual Report Financial Statements
20
24
ESG
Report
05
ESG
79 Letter from the CEO
82 Kirk Kapital’s ESG Framework
83 ESG within Investment Activities
85 Strategic Investments
86 Financial Investments
88 Inside Kirk Kapital
ESG Report 2024
76
ESG
05
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ESG Report ESG
Kirk Kapital’s purpose is to create long-term prosperity
for our shareholders, partners and employees.
Prosperity, in our view, is about much more than
wealth creation. It is also about ensuring well-being
in a broader context. Our ambition is therefore also
to do our part in helping to build a better world.
Our heritage and legacy from LEGO, and a solid set
of family-based values, have ensured that Kirk Kapital
has always acted with a high degree of integrity,
responsibility and honour. Today, these values can
be categorised as ESG.
In 2021, Kirk Kapital issued its first ESG Report,
which was an important first step towards our more
formalised approach to ESG. I am happy to issue
our fourth report in 2024, and comment on the
important progress we have made.
We want to inspire
Kirk Kapital intends to showcase responsible behaviour
in everything we do, both when it comes to investing
our capital and within our own organisation.
With our capital, we want to exhibit responsible
ESG behaviour with the objective of increasing
risk-adjusted investment returns. Due to our defined
investment strategy, and limited size in a global
context, Kirk Kapital cannot dictate a specific ESG
agenda within our investments. However, we can
positively select investments, and we can encourage
and inspire others to act responsibly. Furthermore,
our ESG voice is more convincing if we also apply
our ESG principles internally, which is what we have
set out to do.
This is why Kirk Kapital wants to lead by example,
and proactively inspire external stakeholders to
make sustainable ESG changes.
Our sustainability commitment
Kirk Kapital joined the UN Global Compact in 2021,
since when we have been committed to doing business
responsibly and according to the ten principles
of human rights, labour rights, environment, and
anti-corruption. We have submitted our 2024
Communication on Progress via the UN Global
Compact official online portal and we thereby express
our continued support for the UN Global Compact
and renew our ongoing commitment to the initiative.
In 2021, Kirk Kapital also selected four UN Sustainable
Development Goals (SDGs), on which we focus
internally. These are: 5. Gender Equality; 8. Decent
Work and Economic Growth; 13. Climate Action;
and finally, 16: Peace, Justice and Strong Institutions.
The structured focus on these areas has yielded early
positive results, as described in this ESG Report.
Preparing for CSRD
In 2024 we started preparing for the Corporate
Sustainability Reporting Directive (CSRD)
requirements, with reporting set to begin in 2025.
Our focus is on ensuring compliance, enhancing
transparency, and integrating sustainability into
our business.
Letter from the CEO
Kim Gulstad
CEO
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ESG Report ESG
“
Our purpose is to
create prosperity,
not only for our
shareholders and
partners, but also
for our employees
Kim Gulstad, CEO
”
ESG Report ESG
80
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ESG Report ESG
The UN Global Compact and the four SDGs highlight
the themes we focus on. Since 2021 we have used
a tool that we call the Kirk Kapital ESG Compass,
which helps determine how we will work with
sustainability.
Our ESG Compass consists of four pillars: Screening
& Alignment; ESG Integration; Active Ownership &
Engagement; and Sustainable Development & Impact.
Through our ESG Compass and our commitment
to both the UN Global Compact and the four
chosen SDGs, we want to inspire companies to take
responsibility. Not only because it is a part of our
legacy and heritage, but also because it is the core
of Kirk Kapital’s values and purpose.
ESG
Framework
Kirk Kapital’s
Kirk Kapital ESG Compass
Consisting of four pillars:
Screening & Alignment
ESG Integration
Active Ownership & Engagement
Sustainable Development & Impact
UN Sustainable Development Goals
17 goals – with our main focus on:
Gender equality
Decent work and economic growth
Climate action
Peace, justice, and strong institutions
UN Global Compact
10 principles within four themes:
Human rights
Labour
Environment
Anti-corruption
ESG
Compass
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ESG Report ESG
Kirk Kapital’s main investment activities consist
of our Strategic Investments and our Financial
Investments (see chapters 1 and 2 of this report for
further information about our business model).
Within Strategic Investments, we acquire large
minority shareholdings (25-50%) in companies
while applying an active ownership agenda through
board representation. Within Financial Investments,
Kirk Kapital manages multiple individual port folios,
where each portfolio is tailored to our partners’
precise requirements and wishes. The portfolios
consist of a wide range of investments, including
fixed income, listed equities and alternatives.
While our two main investment activities are dif-
ferent in nature, we have devised a common ESG
Compass strategy, which is the main framework for
our ESG approach. Hence, this serves as the main
framework for our ESG approach with regard to our
main investment activities.
ESG within
Investment
Activities
ESG
Compass
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84
ESG Report ESG
84
As the investment strategy is to own larger minority
shareholdings, Kirk Kapital cannot dictate a specific
ESG agenda within our investments. However, we can
positively select investments, and we can encourage
and inspire others to act responsibly. This is our ESG
strategy, and our activities are aligned to fulfil this
strategy.
ESG is an integral part of the due
diligence process
As a standard requirement prior to all potential new
investments, specific ESG due diligence is conducted
in connection with the ordinary due diligence. We
adopt a dynamic sustainability materiality framework
in order to assess key ESG factors relevant to the
company and the industry in which it operates.
Our sustainability due diligence process consists
of four steps:
1. Identify material ESG topics
2. Request ESG information and
documentation from the target
3. Q&A session
4. ESG Due Diligence Report
Five sustainability criteria have been defined:
1. Well-defined ESG management and resources
2. Alignment with UN Global Compact principles
3. Implemented material sustainability
initiatives and KPIs
4. Contribution to UN SDGs
5. Limited ESG risk exposure
These are assessed, and a score is concluded, lead-
ing to an overall sustainability score. The overall
sustainability score is included in our overall invest-
ment recommendation.
In 2024, we carried out ESG due diligence processes
in connection with potential new investments.
All reviews were concluded satisfactorily, providing
us with a clear overview of each company’s total
sustainability score.
ESG Board Engagement Policy
The objective of the ESG Board Engagement Policy
is to govern how Kirk Kapital representatives take an
active role on the boards of our Strategic Investment
portfolio companies.
Knowledge of best practice ESG and a sound
understanding of ongoing ESG regulatory initiatives
are part of the expected skillset of our investment
professionals. As board members in our portfolio
companies, they can inspire from the top and
stress the importance of ambitious sustainability
management. We are committed to using our
influence to encourage companies to improve their
management of ESG topics.
We believe that such an approach can deliver
benefits in several ways, not least in obtaining
better information on ESG risks and opportunities.
In 2024, all board members serving on portfolio
company boards employed by Kirk Kapital signed the
ESG Board Engagement Policy, and everyone adheres
to our company guidelines.
Strategic Investments
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ESG Report ESG
13%
Lower Energy Usage
13%
Lower CO2 Emissions*
12%
Lower Water Usage
Our multiple individual portfolios consist of a wide
range of investments including fixed income, listed
equities and alternatives. In a global context, Kirk
Kapital’s individual investments are limited in size
and we cannot dictate a specific ESG agenda within
most of these investments. However, we can positively
select investments, and we can encourage and inspire
others to act responsibly. This is our ESG strategy,
and our activities are aligned to fulfil this strategy.
Responsible investment policy
In 2021, Kirk Kapital Fondsmæglerselskab A/S
adopted the Responsible Investment Policy (RI
Policy). The RI Policy serves as a framework to
guide our investment decisions – ultimately
influencing our investment strategy.
Kirk Kapital Fondsmæglerselskab A/S has also been
a signatory to the UN PRI since 2021. The UN
Principles for Responsible Investment is the world’s
leading proponent for responsible investment. It
is a network comprising investors (signatories),
who are committed to adopting six principles of
operation. The PRI works to achieve a sustainable
global financial system by encouraging the adoption
of its principles and collaboration on implementation;
by fostering good governance, integrity, and account-
ability; and by addressing obstacles to a sustainable
financial system that lie within market practices,
structures, and regulation.
Financial
Investments
We mapped our
environmental
footprint
ESG impact of listed equity portfolio
p.a. relative to MSCI World per
USD 1 million of revenue
* CO and other gases that are
recalculated into CO equivalent.
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ESG Report ESG
Managing the ESG evaluation framework
Kirk Kapital Fondsmæglerselskab A/S predominantly
invests through funds managed by external
managers. Hence, it is crucial that we evaluate
their ESG policies and actions continuously. Our
external managers are expected to be co-signatories
to the UN PRI and to have strong and/or improving
ESG practices in place. For us to monitor their work
systematically, we have developed a framework for
evaluating their ESG performance.
The evaluation framework mixes feedback, reviews
and classic assessment within five focus areas with an
annual questionnaire customised to fit listed equities,
credit, sovereign bonds, liquid alternatives and private
markets. The questionnaires have been designed
for each of these asset classes, to best reflect ESG
practices stated by leading sustainability bodies such
as the UN PRI. There are different options and levels
of transparency in our managers’ ESG performance
across asset classes. More and more ESG data is
becoming available for listed companies in very
different shapes and sizes, allowing us to complement
our own due diligence framework with quantitative
sustainability data from the market itself. However,
this requires that we can navigate the available data
and focus on solid data from standardised options.
For unlisted companies, this kind of insight is more
limited, emphasising the need for even more thorough
dialogue with the managers regarding decision-
making and tools.
For 2024, we are generally pleased with the ESG
sustainability progress.
We reviewed our
external managers’
sustainability
performance
92%
UN PRI Signatories
93%
have an ESG Policy
42%
SFDR Article 8 Managers
4%
SFDR Article 9 Managers
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ESG Report ESG
Inside
Kirk Kapital
At Kirk Kapital, we are well aware of the fact that our
biggest impact on society is the impact and influence
we can have externally with the “voice of our capital”.
Hence, this is mainly through our investment
activities. However, we would – also internally –
very much like to lead by example and serve as an
inspiration to our surroundings and stakeholders.
Our organisation comprises of 28 individuals
working in our offices located in the Danish cities
of Vejle and Hellerup.
Kirk Kapital is a signatory to the UN Global Compact,
the world’s largest voluntary initiative within
corporate responsibility. Through this commitment,
we pledge to align our business strategy and operations
with 10 universally accepted principles within human
rights, labour, environment, and anti-corruption and to
take action to advance broader societal goals.
Employees
Our purpose is to create prosperity, not only for
our shareholders and partners, but also for our
employees. At Kirk Kapital, prosperity also means
welfare. Since the establishment of Kirk Kapital in
2007, employee welfare has been at the core of our
business, evidenced by a family-like and trust-based
working environment.
Our employee handbook is the manifestation of our
policy and is available to all employees. It provides
practical guidance and rules on various relevant topics
such as workplace environment and professional
development. We have implemented a comprehensive
feedback system and we have keen focus on the
continued development of the individual employee.
Therefore access to further education for employees is
a high priority, and we actively encourage employees
to explore various development opportunities.
Our 2024 employee survey concluded that employees
were very satisfied overall. We scored 93.6 out of 100
on overall satisfaction, and we received an average
score of 91.3 across all questions. This is broadly in
line with last year’s result, and we will strive to main-
tain a high level going forward.
We are proud to have created a workplace where
employees are satisfied and can balance an ambitious
career with a life outside of work. Stress is an employee
risk, and we keep a close eye on signs of employees
being overworked. In a small company with a flat
organisational structure such as ours, management
is able to observe the risks on a continuous basis,
and we consider this among the most important of
management tasks. Since 2023 a yearly offer for the
employees, to get a health check combined with a
consultation about the results, has been implemented.
Furthermore, the employees have been granted access
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ESG Report ESG
to various online tools and guidance on areas such
as improving physical and mental health.
For that reason we do our utmost to treat employees
equally and always select candidates based solely on
qualifications and suitability. The distribution of
Gender distribution management levels
Level
No.
employees
Status
Female/Male
Target &
Timeline
Board of
Directors
by end 2025
Executive
Management
1
/
Management
Group
40 /
Environment
Kirk Kapital and its directly controlled subsidiaries
have little risk of abnormal, negative environmental
impact, since Kirk Kapital, and its directly controlled
subsidiaries, conduct their main activities in Denmark,
where legislation provides guidelines and restrictions
on good environmental practices. A review of our
activities in 2024 shows that no events have had an
abnormal, negative environmental impact.
In 2024, we mapped Kirk Kapital’s CO footprint
and communicated the results to our internal
stakeholders. In cases where data access was limited,
the mapping relied on high-level estimates and
judgements. As access to data and data quality
continue to improve, the reliance on high-level
estimates in future mappings will decrease.
Our established ESG policy places an emphasis
on the environment and we continued to work on
initiatives from previous years, such as:
• Access to charging stations for electric
vehicles at our car parks for our employees.
• CO compensation for our air travel and use of
electric taxis, to the extent possible. We encourage
our employees to opt for environmentally friendly
means of transport.
• Reduction of paper usage by 29% compared to 2023.
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ESG Report ESG
Human rights
We conduct our business under Danish law, which
is highly regulated in relation to human rights.
The risk of violating human rights is therefore
considered low. A review of our activities in 2024
shows that no events have violated any human rights.
Kirk Kapital remains very conscious of our human
rights responsibilitiesto employees, suppliers, and
stakeholders in general, in line with our commitments
under the UN Global Compact. In this regard, our
implemented ESG policy emphasises human rights
leading to heightened awareness among employees.
In 2025, we will continue to promote and monitor
compliance with human rights.
Anti-corruption
Kirk Kapital and its directly controlled subsidiaries,
have a limited number of business partners, and we
always comply with current legislation regarding
anti-corruption. The risk of breaching current anti-
corruption legislation is considered low. Anti-bribery
and corruption guidelines are incorporated in both
our ESG policy and the personnel handbook to ensure
that employees are aware of their responsibilities to
adhere to the highest standards.
A review of the activities in 2024 shows that no
events violated legislation and guidelines regarding
anti-corruption issues. In 2025, we will continue to
promote responsible behaviour by our employees
and in our interactions with others, to minimise the
risk of unethical and corrupt behaviour.
2025 and beyond
In 2025 and beyond, Kirk Kapital will continue
to focus on the development of our business and
organisation in alignment with the UN Global
Compact, with a particular focus on the four
prioritised SDGs. Furthermore 2025 will be the year
where CSRD reporting is required. The successful
implementation of our sustainability strategy is key
to our Kirk Kapital Prosperity 2028 plan.
We will increasingly make the “voice of our capital”
heard in our investment activities. As our sustain-
ability strategy and our formalised sustainability
processes are relatively new, we will continue to focus
on embedding the processes within our organisation.
The goal is to embed our sustainability processes as
an integral part of how we manage Kirk Kapital on
a daily basis. Within our Strategic Investments, we
will monitor ESG performance across our portfolio
companies to assess progress and development.
Within Financial Investments, we will seek to
expand on active ownership and engagement,
and focus on mitigating ESG risks, pursuing ESG
opportunities and focusing on measurable high-
impact solutions whenever possible and relevant.
Internally, we will also focus on our four prioritised
SDGs. Concerning gender equality we are committed
to sustaining a diverse employee base at all levels of
the organisation. In alignment with promoting decent
work and economic growth, we aim to maintain a
high level of employee satisfaction. Additionally,
in addressing climate action, we will increasingly
examine and implement ways of reducing our CO
emissions. Specifically, in the upcoming years, we
will enhance our CO emissions measurement using
the GHG protocol to ensure a structured reduction.
Finally, regarding peace, justice, and strong
institutions, we will formalise our policies, to
further mitigate the risk of compliance breaches.
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ESG Report ESG
We will increasingly
make the “voice of
our capital” heard
in our investment
activities
“
Kim Gulstad, CEO
”
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ESG Report ESG