SOUTHEAST ASIA BUILDING24 Aug 2023
Danfoss Delivers Robust 13 Percent Growth In Line With Expectations
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Nordborg, Denmark – With the half-year results, Danfoss continues to transform, and to deliver on its green growth strategy, Core & Clear 2025.

Danfoss continued to make significant investments in M&A, digital transformation, innovation and expanding capacity and regional footprint to offer customers and partners best-in-class solutions. The aim is to be the preferred technology partner and drive decarbonisation globally together with customers through energy efficiency, machine productivity, lower emissions, and electrification.

Sales grew 13 percent compared to the first half last year, and organic growth was 8 percent, with EBITA margin reaching 12.4 percent. After continued high levels of strategic investments in innovation and new technology, EBITA increased 20 percent to EUR 686 million. Earnings were driven by the higher topline, M&A synergies, and unwinding of the disruptions in global supply chains.

“I would like to thank the entire Danfoss team for delivering robust half-year results. In particular, I would like to highlight our continued strong growth momentum in the Americas and India as well as in our Power Electronics and Drives segment,” said Kim Fausing, President & CEO of Danfoss.

On March 1, Danfoss closed the acquisition of the German compressor manufacturer BOCK GmbH, which is a global technology leader in semi-hermetic compressors for natural refrigerants. With the rising demand for climate-friendly technologies in commercial refrigeration systems, Danfoss has invested in this area to broaden its portfolio of compressors. Integration of Eaton’s hydraulics business and Semikron Danfoss are also progressing well.

Danfoss also made another step towards the target of carbon neutrality in its own global operations (scope 1 & 2) by 2030 by signing a power purchase agreement for solar power in the US, starting in 2025. Electricity will be sourced from a new six square-mile farm in Texas, USA. Groundbreaking is scheduled for November, with the farm becoming fully operational by the spring of 2025. 

“We are determined to put sustainability at the heart of our business and committed to achieving carbon neutrality across our global operations by 2030. We are seeing strong progress in decarbonising scope 1 and 2, and scope 3 initiatives are ongoing. A good example is the new power purchase agreement that fully replaces our annual electricity usage in North America with green energy. It will cut our carbon footprint in North America by 75 percent and globally by 21 percent,” said Kim Fausing.