#financial results #Denmark #Copenhagen #H+H International #Jörg Brinkmann

H+H International A/S: Interim Financial Report for H1 2025

H+H International A/S disclosed its interim financial results for the first half of 2025, revealing a backdrop of significant challenges and a strategic shift in operations, particularly in Germany. CEO Jörg Brinkmann remarked on the company's performance, expressing cautious optimism about growth in the UK and Poland, although acknowledging the continuing struggles in Germany, which is impacting the overall results of the group.

Financial Performance Overview

In Q2 2025, the company reported that organic revenue growth stood at 0%, contrasting with the negative growth of 3% in Q2 2024. A decrease in sales volume by 2% was influenced primarily by the underperformance in Germany and the UK, though Poland provided some offset to these declines.

The gross profit before special items was DKK 155 million, up from DKK 132 million, which equates to a gross margin improvement from 18% to 22%. This increase largely resulted from normalized input costs. Furthermore, the company recorded an EBIT before special items of DKK 24 million, showing a notable recovery from Q2 2024 when it stood at a loss of DKK 5 million.

Challenges in Germany

Despite pockets of growth, the performance in Germany remains below historical benchmarks, prompting concerns about the short-term market outlook. CEO Brinkmann elaborated, stating that the German market has not met industry expectations and exhibits minimal signs of recovery for the foreseeable future. Due to these challenges, H+H has revised its full-year financial guidance.

Strategic Adjustments

In light of the ongoing difficulties in the German market, H+H International is transitioning its operations from a national to a regional business model. This shift is aimed at improving commercial execution while reducing operational costs. Alongside the restructuring, the company is also undertaking asset impairments to streamline its operations.

Moreover, the group is conducting a strategic review intended to enhance profitability across all markets. As a proactive measure, the company forecasts organic revenue growth of approximately 4% for 2025, with EBIT before special items projected to be between DKK 100 to 150 million.

Forward-Looking Statements

While H+H acknowledges the headwinds faced, there remains a strong belief in the underlying housing demand across all markets. The leadership has emphasized a commitment to navigating these turbulent waters while also positioning for long-term growth potential in the construction sector.

As part of this reporting, H+H plans to host a conference call for investors and analysts on August 13, 2025, at 10:00 AM CEST. This call will provide deeper insights into the financial outcomes and allow time for participant queries regarding the company's future strategies and projections.

For further updates and detailed reports, stakeholders and interested parties can access the company's resources through their investor relations channels.

In conclusion, while H+H International A/S faces notable challenges, particularly in one of its key markets, the strategic changes instated by management reflect a responsive approach aimed at fostering stability and growth in the long term.