The past financial year and outlook for 2021

The financial period November 1, 2019–October 31, 2020 was in many ways extraordinary due to the uncertainty caused by the coronavirus outbreak. Despite this, Panostaja furthered its development projects and strengthened its role as an active owner.

Niko Skyttä was appointed as Panostaja Oy’s CIO and member of the Senior Management Team in March 2020. Skyttä has been working for Panostaja since 2011.

In April 2020, Panostaja sold the majority of Tilatukku Group Oy’s share capital to the acting management. Through this transaction Panostaja divested its entire shareholding in Tilatukku Group Oy.

Outlook for 2021

As regards the demand of Panostaja’s segments, there are many uncertainties relating to the possible escalation of the COVID-19 pandemic. The worsening effects of the outbreak may particularly affect the business operations of Grano, Carrot and Hygga.

The demand for CoreHW and Oscar Software is good. Both companies operate in a market that is expected to see positive development.

The demand for Grano, Hygga, Helakeskus and Heatmasters is satisfactory. For Grano and Hygga the operating environments are challenging, as both companies are in the process of operational reform to make it easier for them to respond to changes in the operating environment. The main challenge for Helakeskus is the possible shrinking of the overall construction market in 2021. Heatmasters has an opportunity in focusing on internationalization even more than before.

The demand for Carrot is poor. The field of staffing services is very sensitive to fluctuations in economic trends and their impacts.

The demand for Gugguu has remained good. Gugguu will seek growth through the internationalization of online business.

As regards the corporate acquisition market, plenty of opportunities are available and the market is active. The need to leverage ownership arrangements and growth opportunities will persist for SMEs, but the high market liquidity and increased price expectations of sellers are making the operating environment more challenging for corporate acquisitions. Panostaja will continue exploring new possible investment targets in accordance with its strategy and assess the preconditions for divestment as part of its segments’ ownership strategies during the financial period November 1, 2020–October 31, 2021.