#Netherlands #Systemair #Waalwijk

Systemair to Discontinue Operations at Waalwijk Facility

In a significant development, Systemair, the prominent ventilation group listed on NASDAQ Stockholm (SYSR), has announced its decision to discontinue production at its facility located in Waalwijk, Netherlands. This closure is expected to take effect gradually with the process anticipated to complete by early 2027.

Impact on Employees and Transition Plans

The decision impacts around 70 employees currently working at the Waalwijk site. Systemair has committed to engaging in a comprehensive dialogue with affected staff and their representatives. Consultations have already begun with the employee representatives regarding the restructuring plans. The company is dedicated to ensuring that the transition is handled sensitively and with utmost respect for all employees involved.

As the company phases out production in Waalwijk, it will continue to serve the Dutch market by sourcing products from other manufacturing units across its European operations. Systemair plans to maintain its operational presence in the Netherlands, which includes sales, service, logistics, technical support, and product development activities, thereby ensuring continued customer service post-closure.

Rationale Behind the Closure

Robert Larsson, CEO of Systemair, stated, "The decision to initiate consultations regarding the proposed closure has not been an easy one. At the same time, it is an important step towards creating a more efficient production structure and strengthening our long-term competitiveness." This statement underscores the strategic approach Systemair is taking to enhance its operational efficiency and economic viability.

The company’s decision forms part of an ongoing review of its production footprint across Europe. With this restructuring, Systemair aims to improve its capacity utilization, increase profitability, and streamline operations. The expected restructuring phase will incur a one-time charge of approximately 115 million Swedish Krona (MSEK), which includes project costs, asset impairments, and severance payments to affected employees. Furthermore, Systemair anticipates that selling off the associated real estate will yield a capital gain of around 40 MSEK.

Once these changes are implemented fully, the company projects annual cost savings of approximately 35 MSEK, strengthening its competitive edge in the market effectively.

Systemair's Commitment to Efficiency

Since its establishment in 1974, Systemair has sustained consistent growth and profitability, reporting operating profits every year. In the financial year of 2025/26, the Group recorded sales of about 12.5 billion SEK and employed approximately 7,400 individuals. Systemair operates in over 51 countries globally, marketing products under notable brands including Systemair, Frico, Fantech, and Menerga.

The management’s continued focus on efficiency and profitability, reflected through these adjustments and restructuring, indicates Systemair's commitment to long-term sustainable growth. The company aims to make responsible decisions that not only support its business objectives but also respect and support its workforce in this transitional phase.

Looking Forward

As Systemair proceeds with its plans, stakeholders and the broader market will be keen to observe how the execution of this restructuring unfolds. The forthcoming steps will be pivotal in determining the company’s operational landscape and market positioning in the years to come. Systemair remains dedicated to keeping communication open as it navigates this complex transition, signaling a proactive approach to change management in the face of evolving business needs.