A major furniture producer has reversed years of financial losses, reporting an operating profit of DKK 64 million for 2024. This marks a sharp turnaround from previous deficits of DKK 90.5 million in 2022 and DKK 46 million in 2023, improving its results by DKK 100 million in just one year.
Tvilum, which operates factories in Denmark and Poland, sells its products to over 50 countries, primarily large retail stores in Europe, North and South America, Asia, and the Middle East. The company's profit before tax for 2024 reached DKK 40 million, surpassing its forecast of DKK 10-20 million.
Board chairman Peter Bager credited the turnaround to streamlining operations and focusing on core competencies. 'We are good at making furniture in larger series,' he stated, emphasising that the company has prioritised high-volume production to enhance profitability.
Despite the improved earnings, revenue declined from DKK 1.3 billion in 2023 to DKK 1.1 billion in 2024. Cost reductions, including lower personnel expenses and decreased energy costs, contributed to the improved financial performance. The number of employees fell from 628 in 2023 to 589 in 2024.
A new CEO, Malene Nielsen, was appointed in February 2025, replacing Birger Østergaard Christensen. Bager highlighted her focus on cost efficiency as a key reason for her selection, stating, 'If we are going to make our furniture in Denmark, we have to be a cost leader and cost-effective.'
The company remains optimistic about 2025, forecasting a profit before tax of DKK 40-50 million.
Source: www.wood-supply.dk