Share price
461.4 SEK
Mips AB (Mips) 0.20 SEK (+0.04%)
Last updated 21 November 2024, 07:37 CET
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Net sales
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Operating profit
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Distribution of net earnings
*Proposed dividend for 2023
Mips’ strategy for 2027 consists of three focus areas: Grow the existing business, open up new channels and markets and, capture new opportunities within helmet safety. Mips’ financial targets for 2027 are:
Net sales
Operating margin
Distribution of net earnings
Message from the CEO
2023 was another challenging year for the bike sector and our customers. When I summarized 2022 in our last annual report, I talked about the external macro factors that made that year feel extraordinary. I can now conclude that the market factors continued to be a challenge this year too. Despite that, we started seeing a few positive trends, especially towards the end of the year. Awareness of Mips’ products and how they increase safety for helmet users kept rising, and the share of helmets equipped with Mips’ solutions that were purchased at the retail level continued to grow. During the year we also started more customer projects to integrate Mips’ safety system in new helmet models than in any other year in the history of the company.
It was also positive to note that the bike sector, which since mid-2022 has had to deal with excessive inventory at both the retailers and the helmet brands, started to see a normalization of inventory levels towards the end of 2023. Another promising area of progress was the successful market launches we did with several large helmet manufacturers in the Safety category, being an important category for the future. Not only will these lead to more sales for Mips, but it also means that users on construction sites and other industrial sites will have greater protection in the future.
Max Strandwitz
President and CEO
In order to be able to work efficiently with quality improvements, shorten development cycles, and produce prototypes locally, Mips invested in a textile lab during the year. This is where Mips manufactures prototypes through rational material handling, cutting, ultrasonic sealing, heat pressing and sewing. As an important part of Mips’ environmental efforts, and to use materials with a lower environmental impact, Mips has improved the ability to evaluate new textile types by testing and reviewing.
Mips’ ability to keeping growing while also delivering strong financial results is reinforced when the business is run in a sustainable manner. Mips works with suppliers and partners to:
Science based targets
Reduced emissions per solution sold by an average of around 21% vs. 2022
UN Global Compact
Carried out third-party audits of the three strategically most important suppliers in the supply chain
Circular product offering
Offered Mips’ suppliers 100% post industrial recycled plastic for Mips’ most sold solution
In 2021 Mips carried out the first analysis of its total climate impact according to the Greenhouse Gas (GHG) Protocol. In 2022 and 2023, Mips has had access to more granular data and has been able to refine the analysis of total emissions. This has enabled an update of the calculations used in 2021 with more exact data. Previous year Mips set a goal to reduce its total emissions by 42 percent by the end of 2030 based on SBTi’s calculations, not including growth. For 2023, the target was to reduce total emissions by 12 percent per unit sold, and the outcome was an average decrease per sold unit with 20.8 percent.
Total emissions 2023
| • | Production | |
|---|---|---|
| Raw material | 39.9% | |
| Electricity suppliers | 38.8% | |
| Transport | 4.7% | |
| Totalt | 83.4% |
| • | Other | |
|---|---|---|
| Other | 9.6% | |
| Travel | 4.3% | |
| Refrigerants | 1.9% | |
| Electricity China | 0.6% | |
| Water | 0.0% | |
| Electricity Sweden | 0.0% | |
| Totalt | 16.6% |
Mips constantly strives to limit its impact on the climate and the environment, which is continually assessed along with the sustainability of the supply chain and the products and their actual impact on the world. Mips continued the mapping of the total climate impact of its operations during the year.
Part of Mips’ vision is to use Mips’ technology so that helmets in all categories protect users better than current test standards promote.
Mips is a pioneer in this important field, so it is vital that the company can attract and retain employees with the right skills and passion to always make safer and better solutions. Even though Mips is the world leader in its field, Mips’ people are modest and curious, with a desire to learn more. Mips’ employees constantly challenges themselves and the company encourages all employees to bring the best of themselves to work every day.
Sustainable societal development is extremely important for us, we believe that our technology and products lead to a more sustainable society since they are designed to improve helmet protection for both recreational and professional use. Improved helmet protection leads to increased safety and security while reducing risk for both short-term and long-term sick leave, as well as permanent injury.
Mips does not conduct any of its own production, and instead uses external suppliers for product manufacturing. To ensure that the supply chain and the manufacturing of the solutions is sustainable, Mips needs to ensure that the supply chains of its suppliers are sustainable and comply with requirements stipulated by laws and conventions.
