The Leading Journal for the Tyre Recycling Sector

The Leading Journal for the Tyre Recycling Sector

Genan Hits Record Turnover

Genan Holdings A/S released its 2022 Annual Report in April. It showed a turnover in excess of EUR 62 Million.

This turnover represented a 4.6 per cent increase on the previous year, however, earnings dropped from almost EUR3.5 million in 2021 to EUR 1.5 million in 2022. According to Genan, this was largely due to high energy and freight prices.

Recovery from steel dropped in value as steel prices fell throughout 2022.

Genan’s CEO, Poul Steen Rasmussen said,” 2022 turned out to be a most challenging year, for us as well as many other companies; and it is a year that new will not soon forget. The price of electricity multiplied at a very short notice – especially during the third quarter of 2022, when our monthly electricity bill went from EUR7 – 800,000 to around Eur 2.2 million.

“At the same time, we faced a considerable increase in freight rates, which of course, made us less competitive in the many export markets to which we supply.”

After the mixed fortunes of 2022, Genan is looking at a more positive 2023. Genan expects growth to decline but the strategy for Genan is to improve both the top and bottom line in the long-term.

In saying that, Genan has made no announcement of the potential impact of any microplastics ban on the direction of the business. Though, Rasmussen, speaking at the EuRIC Recyclers’ Talk in April did suggest that any such ban would probably have an immediate impact upon the market as site developers would take into account the 8-year transition period and would be anticipated to stop installing crumb rubber infill pitches.