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HEDSON TECHNOLOGIES
Aiming for sales in excess
of SEK 300 million
Hedson has seen strong recovery in 2021. Sales increased by six per cent to
around SEK 256 million, and in 2022 the company is aiming to achieve sales in
excess of SEK 300 million for the first time.
Just as in 2020, 2021 was a unique year. Sales picked up
significantly in the second half of 2021, increasing by 14 per
cent compared with the second half of 2020. Overall recovery
was strong during the year, with sales of around SEK 256 million,
representing an increase of six per cent compared with 2020.
But it’s too early to talk about general growth. Hedson failed to reach
2019 levels overall this year, although some product segments grew
beyond 2019 levels and showed strong growth. The company is aiming
to achieve sales in excess of SEK 300 million by 2022 through various
growth initiatives, primarily a comprehensive launch of new products.
WORKING TOWARDS THREE CUSTOMER SEGMENTS
Hedson operates in three end-customer segments; tyre centres, sheet
metal and paint shops and industry, where the company works directly
with industries as an end-customer.
“We’re seeing strong recovery in tyre centres, which is already on
par with 2019. Smaller equipment, which is less capital-intensive and
driven by investment decisions, is also looking strong in sheet metal
and paint shops. Major installations, often based on new construction
or refurbishment, have been postponed to an extent, but – it’s
important to note this – they haven’t been cancelled. In turn, this
has meant we saw very high levels of activity in respect of quotations
towards the end of the year.
“In the industrial part, our curing business, we work with OEM cus-
tomers in the automotive industry or directly with the process industry,
and that segment saw a record year in 2021, with an increase of five per
cent in sales compared with 2020, which in itself was a record year.”
There are also a number of transformations in progress in the market
in general that will benefit Hedson in the long term, including major
consolidation of the market in tyre centres and paint shops.
“This means there’ll be fewer workshops to work with, but they’ll be
bigger. This is being driven by what are known as MSOs, multi-store
owners, who are buying up the smaller, independent workshops.”
RAPID PACE FOR NEW PRODUCT LAUNCHES
Hedson worked hard in 2020 to transform the business into a product
company, and it continued to build on this in 2021. One important
element of this is to go on regularly launching new products. This
creates organic growth and provides opportunities for better
underlying profitability.
“2022 will certainly be a year of product launches in more or less
all our product groups, and we’re currently seeing our fastest rate of
product launches to date. We’ll also be making strategic investments
in digitalisation in order to market and sell our products even more
efficiently. One initiative will involve launching a new website focusing
on online sales.”
“We’ll also be making strategic investments in line with the trends
we’re seeing in the market. We’re establishing a new office in North
America so that we can maintain a presence close to the paint
companies as they’re driving the ongoing technology shift in the curing
industry, i.e. the conversion of UV materials.”
One important element in 2021 has been to ensure the company’s
potential for profitability, which has resulted in higher profitability in
2021 compared with 2020.
SUSTAINABILITY A COMMON THEME
Sustainability is a common theme throughout Hedson’s operations. Total
greenhouse gas emissions are very low as today’s production primarily
involves assembling products rather than producing them. The products
are of high quality, with a long shelf life; they last significantly longer than
competing products in the segment.
“Our products are renowned for their outstanding environmental
performance, and many customers cite this as an important reason
for deciding to buy from us. Moreover, our products are good for our
customers on an ergonomic level. For us, sustainability also involves
demonstrating persistent profitability so that we can reinvest in the
business and develop new products even more effectively.”
BEING PART OF MELLBY GÅRD OFFERS MANY
ADVANTAGES
Lennart Eriksson believes there are many advantages to being part of
Mellby Gård.
“Mellby Gård is a professional owner with enormous expertise
and experience, as well as financial clout. This has been particularly
evident during the pandemic, when we’ve been able to draw on much
of the Group’s expertise, not least from our board. We have access to
expertise that we wouldn’t have been able to achieve ourselves, both
within Mellby Gård and in the network around legal, financial and
commercial issues. Although there’s no close communication between
the companies on a day-to-day basis, the fact that this is possible
gives us a sense of strength and reassurance – belonging to a large
group is a positive thing.”
CEO Lennart Eriksson
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