Algol Group’s result for 2020: Significant increase in operating profit
The Algol Group significantly increased its operating profit in 2020. However, net sales were approximately 8 percent lower than in the previous year. Some cost savings were generated due to the corona pandemic, but above all the cost structure was also reduced more permanently. Cash flow was good, net debt decreased clearly and the Group’s solidity improved.
Despite the uncertain and partly challenging market situation, Algol Chemicals’ net sales remained almost at the previous year’s level. Profitability, on the other hand, strengthened significantly. The effects of the corona situation on operations remained relatively small.
Algol Technics continued to develop steadily, although the growth and profit targets for the project business have not yet been achieved. Some project orders were postponed due to general uncertainty caused by the corona pandemic. In addition, in the maintenance business, customers in some cases restricted access to their facilities. Overall, however, the result was significantly better than a year earlier.
For the Group’s healthcare subsidiaries Histolab Products and Algol Trehab, the effects of the corona pandemic on sales and earnings were significant. Above all, equipment sales and sales of fitted assistive devices were significantly hampered due to restricted customer meetings. In contrast, Algol Diagnostics’ sales were as expected and the result good.
The goal for the current year is clear growth and continuous improvement in earnings. The trend in the first quarter of the year has largely been in line with expectations. Although the outlook remains uncertain due to the unpredictability of the corona pandemic, the Group’s multi-branch nature and the adjustment measures implemented last year create a stronger foundation for Algol to face future challenges and opportunities.
|Net sales M€||151||165|
|Net debt M€||7.8||13.8|
|Number of personnel on average||477||454|
Alexander Bargum, CEO, Algol Oy, tel. +358 40 732 3232.
THis is us
Algol is a Finnish family-owned business and a multi-branch company, which has been active in international trade since 1894. The Group comprises Algol Chemicals, Algol Diagnostics, Algol Technics, Algol Trehab, Histolab Products and Suomen Unipol.Read more
The basis of our operations
Trading involves responsibility for customers, suppliers, employees and society as a whole. We believe that international trade promotes global understanding, peaceful coexistence and stability.Read more
The Group comprises six business units: Algol Chemicals, Algol Diagnostics, Algol Technics, Algol Trehab, Histolab Products and Suomen Unipol.Read more
The Algol Group significantly increased its operating profit in 2020. However, net sales were approximately 8 percent lower than in the previous year. Cash flow was good, net debt decreased clearly and the Group’s solidity improved.Read more