Mar 20, 2024

Proventia Group Oyj: Financial Statements Release Jan-Dec 2023

Growth continued, profitability improved significantly

January–December 2023 in brief

  • The Group’s net sales increased by 5.4% from the previous year to EUR 54.3 (51.5) million.
  • The operating profit was EUR 6.1 (1.9) million.
  • The operating profit rate was 11.3% (3.7%).
  • The result for the period was EUR 4.7 (1.4) million.
  • The Group had 198 (196) employees at the end of December. Of these, 136 (149) worked in Finland, 60 (44) in the Czech Republic and 2 (3) in the UK.

The figures in brackets refer to the same period in the previous year.

Key figures


President and CEO Jari Lotvonen:

2023 was a good year for Proventia. Our net sales increased in line with expectations and were EUR 54.3 (51.5) million. The growth was strongly supported by Off-road Machinery Systems and Components, our largest business area. During the year, net sales in this business area grew by as much as 19.5% to EUR 42.6 (35.6) million. The strong final stretch and successful cost control during the final quarter of the year were key factors in achieving the good results. Our operating profit rate was 11.3% (3.7%).

January 2024 marked 30 years since the establishment of Proventia (Finnkatalyt at the time). We have travelled a long and rich journey to reduce emissions. The development of cleaner power has been and remains at the core of our operations. I would like to thank our personnel for a job well done and your commitment to our common goals. I would also like to thank our customers, suppliers, shareholders and other partners for your excellent cooperation and trust.

Off-road Machinery Systems and Components

Emission control, OEM: A record number of new projects 

Demand for emission control systems was high in the original equipment manufacturer (OEM) customer segment. During the year, research and development projects entered serial production at our Czech plant, and delivery volumes increased as expected. We also landed new projects from our current customers which adds visibility to our R&D and production for years to come. 

The understanding that combustion engines will remain a significant power source in heavy machinery far into the future strengthened during the year. However, they will operate cleaner than before. Renewable carbon-neutral fuels are being developed continuously. In addition, local emissions, including particulate matter and nitrogen oxides, can continue to be reduced efficiently using emission control systems.

The OEM off-road machine market is preparing for the requirements of the future Tier 5 and Stage VI emission regulations, as a result of which we have a record number of negotiations underway for new customers and projects. Our R&D team is actively developing and testing next-generation products for several engine and off-road machine manufacturers. 

Emission control, retrofit: Shifting the focus from heavy transport to off-road machinery

For retrofit projects in urban transport, 2023 was a year of low activities. Significant variation in demand from one financial year to the next is typical in this business field. Even though no clean air projects are currently in progress in the world’s major cities, new project plans for heavy transport are in sight, especially outside Europe. If realized, these projects may also generate significant net sales for Proventia.

In contrast, demand for retrofit systems for off-road machines increased in 2023. Modern exhaust aftertreatment systems allow older off-road machines to meet the strict emission regulations of today. Updated emission systems, combined with other refurbishment, enable the resource-smart use of machines until the end of their lifecycle. We believe that, when sustainability thinking becomes the norm in the future, the use of retrofit systems will increase, especially in heavy high-value off-road machines.

Thermal components: We expanded the production of thermal components to the Czech Republic

Our net sales for thermal components increased, driven by the growing emission control business. Insulation for emission control systems and pipe and engine components accounted for a significant part of our net sales. We prepared for growing demand by expanding the production of thermal components to our Czech plant.

Battery packs: Batteries for hybrid and hydrogen fuel cell applications

We continued to develop our battery systems with our partners. We have developed a modular battery system which enables a flexible solution for various hybrid and fuel cell powered off-road machines. Our investments in battery system simulations help our customers in overall machine design. Our customers are already testing our battery systems in a fuel cell powered off-road machine.

Test Solutions

A successful change of strategy

In the Test Solutions business area, 2023 was a year of a strategic change.  We decided to focus on the EVA test solutions required in the R&D, testing and quality assurance of batteries.

Focus on the EVA product range has improved the profitability of operations. As an indication of a successful change of strategy, we landed orders of more than EUR 10 million for EVA test solutions during the latter half of the year.

We expect the profitability of the Test Solutions business area to improve further, even though its net sales will be lower in 2024. We are seeking profitable growth from 2025 onwards. In EVA products, we will continue our productive cooperation with Keysight Technologies, the world’s leading test equipment supplier. 

Investments in sustainability and growth

During 2023, we made significant investments in our Czech plant. We invested in a solar panel system which started to generate zero-emission electricity for our plant from the beginning of October. In addition, we invested in a new production line for thermal components which is responding to the growing demand for thermal components along with our production in Oulu.

We continued to develop our sustainability activities and added sustainability elements that are important to us to our strategy. Our customers have given us good feedback in sustainability assessments, and we believe that sustainable business will give us a competitive edge in the future.

We adopted IFRS reporting

We prepared our financial statements for 2023 for the first time in accordance with the International Financial Reporting Standards (IFRS). IFRS reporting supports our growth strategy and makes our financial figures more comparable both nationally and internationally. The transition to the IFRS did not have a significant impact on the profit for the period.


Proventia’s markets are expected to develop favourably in the Off-road Machinery Systems and Components business. Stricter emission regulations, electrification, hydrogen and renewable fuels support Proventia’s long-term strategy and growth. Proventia is actively involved in developing new technologies to reduce the local and carbon dioxide emissions of off-road machines, regardless of the technology used as a power source.

The off-road machinery market is growing, and emission control systems will be applied in an increasing number of engine categories. Fossil fuels will be replaced with renewable fuels and, together with exhaust aftertreatment systems, will enable the use of internal combustion engines even in the future. Proventia invests heavily in its customers and their product development and in increasing production capacity at the Czech plant. Several emission control systems designed for customers will proceed to serial production from 2024 onwards, which will be reflected in higher net sales in the coming years.

With the green transition, the increasing use of hybrid and hydrogen fuel cell applications will grow the need for battery technology in off-road machinery. Proventia will continue to invest in the development of its battery technology suitable for off-road machinery.

In the test solutions market, the need for battery testing and quality assurance continues to grow. Proventia expects the profitability of the Test Solutions business area to improve further, even though its net sales will be lower in 2024 because of the focus on battery products. Proventia is seeking profitable growth in the Test Solutions business from 2025 onwards.


Net sales are expected to increase slightly in 2024 from the 2023 level, while the operating profit is expected to remain at the 2023 level. In 2023, net sales were EUR 54.3 million, and the operating profit rate 11.3%.

Attachment: Financial statements release 2023 (PDF)

More information:

Jari Lotvonen
CEO, Proventia Group Oyj
puh. 0400 68 4072

Proventia Group is a technology company operating in global markets. Proventia develops and manufactures systems and components that reduce the emissions of off-road machines and improve their energy efficiency, and modular test centers for the development and testing of batteries and hydrogen fuel cells. Company's customers include the leading global names of the  off-road machinery and vehicle industry. Proventia takes people, the environment and future generations into account in all of its operations, with zero emissions being the company's vision.  

The company employs approximately 200 industry professionals in Finland, the Czech Republic, and the UK.