Väderstad experiences new record year – ends the decade on a high

Swedish agricultural machinery manufacturer Väderstad finished the decade on a high, recording a turnover during the 2019 financial year of SEK 3.35 billion and an operating profit of SEK 172 million. That represents an increase in turnover of 11 percent and an increase in earnings of almost 24 percent on the previous year.

During the 2010s, Väderstad more than doubled its turnover and today is one of the world’s leading players in soil cultivation and seeding. The company’s machinery and methods have been ground-breaking for farmers for generations. Once the 2019 financial year concluded, Väderstad was able to put another successful year behind it.

- “2019 was a positive year in several respects. We managed to increase our market shares in both Europe and Canada, despite a general industry downturn. This is proof that customers appreciate premium products that last a little longer, are easy to use and provide better results,” says Mats Båverud, CEO of Väderstad Group.

As usual, Väderstad will reinvest between six and eight per cent of its turnover in development.

- “Product development is the heart of our business and an investment that has proven to be profitable in the long term, allowing us to maintain our leading position,” says Mats.

The 2010s – a decade of increased demands on agriculture
Increased efficiency has been, according to Väderstad, a key characteristic of the agricultural sector over the past decade. The number of employees in the industry has decreased, leading to increased demands on those who remain.

- “Increased efficiency means that fewer farmers have had to produce more food. This has made agricultural machinery more complex, which in turn has increased our interaction with customers. That has placed greater demands on our service and support functions,” explains Bo Stark, Sales Manager Nordic and co-owner of the company.

Väderstad managed to meet that demand in the 2010s, both through the development of existing machinery and methods and through the new precision seed drill Tempo, which was launched at the beginning of the decade.

- “Our close cooperation with farmers around the world is absolutely crucial for our product development. It’s a question of understanding their needs both today and tomorrow and then developing solutions that exceed their expectations,” says Bo.

The 2020s – the decade of sustainability and new crops
The global population is increasing and so is demand for food, while crop areas are shrinking and climate change is becoming increasingly tangible.

“Our ability, together with farmers, to help solve that equation with even more efficient machinery and cultivation methods is crucial to our continued success. In order to succeed, we need to keep pace with farmers and consumers in terms of sustainability issues. We need to understand what consumers want on their plate so that we can provide farmers with the right machinery and methods to deliver it,” Bo concludes.

 

For more information, please contact:

Susanne Dalskog

Susanne Dalskog

Vice President Communication

+46 727 18 00 14

+46 142 818 33