The VBG Group as an investment

There are many excellent reasons for investing in VBG Group. We have listed a few of them below.

Stable returns

In accordance with established dividend policy, VBG Group will in normal circumstances distribute 30 per cent of the Group’s net earnings. Over the last ten years, we have distributed on average 36.8 per cent of net earnings, and the return has amounted on average to 2.15 per cent per year. The total return for 2017 was 22.3 per cent, and the aggregate total return for the last ten years totalled 83.0 per cent.

Strong brands in several different niches

Over many years, VBG Group has built up and acquired many strong brands, which to a great degree enabled the divisions’ positions as world leaders in their respective industrial niches. Our operations aim to have a diversified customer base, which promotes better risk spread, a stronger negotiating position, and a healthy earnings capacity.

Secure and stable ownership structure

Together with several major institutional owners, the three foundations established by Group founder Herman Krefting that are now the principal owners of VBG Group create an excellent ownership structure for the Group. It provides longterm security and stability, and promotes long-term commitment and continuity in implementing strategies.

Long-term financial strength

The VBG Group’s ownership model has provided a high degree of financial stability over the years with a high equity/assets ratio and healthy finances. A balance between providing the owners with a stable yield and allowing the earnings to remain in the Group and work, in combination with strong operations, has created a stable financial foundation for continued development of operations as well as expansion through acquisitions.

Total returns

The VBG Group’s overall objective is sustainable and profitable growth, which should also lead to a good long-term financial return for the shareholders.