ScanCom International Retains Turnover and Maintains the Sustainable Development
Sustainability and innovation remains at the pinnacle of the agenda for the furniture group, ScanCom International A/S, in spite of the significant impact of Covid lock downs and severely affected supply chain in the last fiscal year.
In spite of the effect the Covid pandemic have had on the recently ended fiscal year, particularly due to factories locked down during the first two months of the year, alongside challenges with the ramp up of operations on a new aluminium factory in Vietnam, ScanCom International have succeeded in retaining a turnover of DKK 1,2 billion as well as improving the results before tax from DKK 2.000.000 to DKK 17.500.000. In comparison, the turnover last year was DKK 1,3 billion.
’The severe challenges have – from a result oriented perspective – been worsened by the increasing costs for raw materials and shipping during most of the year. The strenghts of the U.S. Dollar have helped our bottom line’, the Group CEO of ScanCom International, Stig Maasboel, explains and continues:
’On the whole, it has been a year where we have constantly been on the backfoot in terms of our commitments to our customers, as we have been challenged in our ability to live up to our delivery agreements when our production facilities in Vietnam, Brazil and Indonesia have been at a standstill during parts of our high season.’
The challenges caused by Covid and increased costs for raw materials and shipping have not caused ScanCom International to reduce its ambitions on sustainability, and in March 2022 the company was awarded the presigious design award – Red Dot Award – in the category ’Product Design’. The award was given for a special chair, created in sustainable materials.’During difficult times, it is important to celebrate the good stories and events in the organisation, and we are very proud of the Red Dot design award for “the Stream” chair. A chair that combines a beautiful and innovative design with sustainable and recycled plastic material’, Stig Maasboel shares.
The award is very much aligned with ScanCom Internationals lognterm business model and CSR strategy, under the headline ’Doing Business the Right Way’ – a headline which includes an ambitious focus on reuse of waste products and materials within plastic, wood and aluminium.
’The strategy, put very simply, revolves around a focus on sustainability and innovation, while the concepts and business model remains commercially viable and responsible,’ Stig Maasboel elaborates.
A view to new challenges
Looking ahead, Stig Maasboel has no doubts that ScanCom International – and the global market for outdoor furniture as a whole – are facing new, serious challenges. Where it previously was, and to some extend still remains, the supply chain which was on the backfoot, it is now also on the consumer end that a slow down is experienced. Even though ScanCom International during the Covid-crisis have invested in an expansion of both global production capacities and increased automatisation and production lines and thus is primed for growth, committed orders are needed to realise this growth. This does not result in a change of approach for the company, in terms of the longterm strategy.
‘Even though adjustments in production capacity and employee costs are necessary, we retain our strategy with responsible production, innovative product and material development, as well as sustainable solutions within the field of outdoor furniture,’ Stig Maasboel adds, before concluding:
‘It is also very important for me to send a big “thank you” to all our dedicated employees for being committed and ever-positive in face of the challenges and changes we are undergoing as a Group.’
For additional information, please contact:
Group CEO, Stig Maasbøl (+45 23234770)
ScanCom International A/S, which is 100% owned by Lars Larsen Group, has in recent years become one of the dominating actors in the global market for design, development and responsible production of outdoor furniture.
The company employs more than 3,750 people, primarily at the company’s own facilities in Brazil, Indonesia and Vietnam, respectively. Sales activities are conducted from own offices and departments in Europe, the U.S. and Asia, while there are global showrooms to be found in Ho Chi Minh, Vietnam, in Palma, Spain, and in Basildon, UK.