The family-owned investment company Kirk Kapital has once again outperformed itself with a substantial return on investment of DKK 1.6 billion in 2022.
Kirk Kapital saw a record result for 2022 with a return on investment of DKK 1.6 billion. The strategic investments in particular have moved in a positive direction with a return of DKK 1,746 million. The financial investments delivered a small negative return in 2022. This is shown in the company’s recently published annual report.
In addition, Kirk Kapital has also increased its traditional asset management and today manages approximately DKK 14.4 billion, of which DKK 5.5 billion is external asset management on behalf of the company’s clients.
“We are both very pleased and proud of our investment performance for 2022. Last year we were able to present the best results ever, and this year we have even managed to improve on that. The result has far exceeded our expectations, especially considering the war in Ukraine and the general unease in the financial markets,” says Kim Gulstad, CEO of Kirk Kapital.
He explains that the return derives from Kirk Kapital’s Strategic Investments, which amount to DKK 6.2 billion and at the end of 2022 covered a total of 16 companies. In 2022, Kirk Kapital was able to add a further three new companies to its portfolio: Cookie Information and Mobilhouse in Denmark and Norwegian firm Promon.
“In 2022, we saw a broad positive development in our portfolio, invested in new companies, and expanded our activities within traditional asset management. In addition, we adjusted some of our ownership interests and entered into new partnerships with, among others, ATP and the Lundbeck Foundation,” says Kim Gulstad.
In 2022, Kirk Kapital’s Financial Investments amounted to approximately DKK 2.3 billion, while the company invested DKK 5.5 billion as an external asset manager for its clients.
“We signed the UN Global Compact Principles in 2021 as part of our increased efforts in the area of ESG. We have now embraced this work in earnest, focusing on four sustainable development goals in particular. So far, we have, for example, improved maternity leave conditions for our employees, and we have started mapping our carbon footprint and developing concrete initiatives to reduce it,” says Kim Gulstad.
In 2023, Kirk Kapital will remain focused on long-term growth in its partnerships and continue its integration of sustainability initiatives. So far this year, the company has expanded its portfolio with the acquisition of Danish technology company PR electronics in partnership with private equity firm AGIC Capital.
Kim Gulstad also emphasises that Kirk Kapital expects more modest development in 2023 than in the two previous record years.
“We also expect a result for 2023 that will be somewhat lower than we have seen in 2022 and 2021,” says Kim Gulstad.
About Kirk Kapital
Kirk Kapital is a family-owned investment company owned by the Kirk Johansen family, descendants of LEGO founder Ole Kirk Christiansen. At the end of 2022, Kirk Kapital managed approximately DKK 14.4 billion, of which DKK 5.5 billion is managed on behalf of its clients, with Kirk Kapital as outsourced CIO. Kirk Kapital holds both Strategic Investments and Financial Investments. Within the Strategic Investments, Kirk Kapital is an active long-term owner with larger minority stakes. The portfolio consisted of 16 companies at the end of 2022: Beck Pack Systems, Cookie Information, Danske Stenhuggerier, Dansk Træemballage, Ellepot, Ferrosan Medical Devices, Globeteam, KOMPAN, Mobilhouse, Promon, Scanmetals, Tacton, TITAN Containers, TP Aerospace, TPS Rental Systems, and VivoMega.
For more information, visit www.kirkkapital.dk
Read the annual & ESG report here