VEJLE, DENMARK – GPV's first quarter sales of DKK2.3 billion ($330.5 million) marked a 13% decrease from the same quarter in 2023.

The company said the sales decline was expected due to customers destocking after the supply chain challenges in recent years, a large past due order situation in 2023 and higher one-off material costs than what it is seeing now.

“The activity level was lower in Q1 of this year than in the same quarter last year, but in line with our expectations," said CEO Bo Lybæk. "We are currently experiencing a good balance between supply and demand, leading to improved service excellence and we continue to follow our strategy and plan for the full year.

"We have seen a rebalancing of the global electronics market as a result of multiple, opposing trends. We continue to see the positive effects of our region-by-region approach, in which our customers and their customers give priority to products produced within a region. Also, we see an imbalance on the cost side, because large parts of the world are facing inflation and rising prices, while China and Southeast Asia have not experienced similar increases. Furthermore, some customers – especially from the US continue to move their production out of China. With our strategically located global footprint, we are well-positioned to adapt our production capacity across the various regions in which we operate," he said.

GPV maintained its forecast of full-year sales in the DKK9.1 billion to DKK9.7 billion ($1.3 billion to 1.39 billion) range.

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