H+H International A/S Business Model Canvas
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Explore H+H International A/S’s Business Model Canvas: a concise, strategic map of its value propositions, key partners, cost structure and revenue streams. Gain actionable insights into how the company scales and captures market share. Ideal for investors and strategists. Purchase the full, editable canvas to benchmark and plan with confidence.
Partnerships
Secure sourcing of lime, cement, sand and aluminum ensures consistent AAC quality and production volumes for H+H; cement accounts for about 7% of global CO2 emissions (2024) so feedstock stability also underpins sustainability reporting. Multi-sourcing and long-term contracts reduce price volatility and supply risk, while collaboration on specs and joint innovation—including clinker substitution—can cut embodied carbon by up to 40%.
OEM partners supply autoclaves, cutting lines, molds and plant automation; co-development with OEMs has driven yield and precision gains and 10–20% energy savings in similar composites plants (Industry 4.0 case studies, 2024). Service agreements and predictive maintenance can cut unplanned downtime by up to 50% and extend asset life, while upgrades enable new product formats and throughput increases of up to 30%.
Logistics and freight carriers handle AAC’s fragile, high-volume loads requiring careful handling and just-in-time delivery to sites and merchants. Strategic 3PL partnerships optimize routing, pallet utilization and backhauls, lowering breakage and reducing freight cost per cubic metre. Cross-border capabilities support pan-European coverage, aligning with 2024 EU transport rules and expanding regional hub efficiency.
Builders, developers, and contractors
Strategic relationships with builders, developers and contractors drive product specification and repeat orders, securing project pipelines and predictable volumes. Joint planning aligns H+H product availability with site schedules, reducing delays and inventory costs. Field feedback from sites informs product improvements and accessories, shortening iteration cycles. Pilot projects routinely validate speed and cost benefits; off-site solutions can cut delivery time 20–50% and costs ~10–20% (McKinsey 2019).
- Specification-led demand
- Schedule-aligned supply
- Field-driven R&D
- Pilot-proven 20–50% faster, ~10–20% cost savings
Merchants and distribution networks
Merchant partnerships extend H+H International’s reach into regional markets and small contractors, with 2024 coverage across 11 countries via merchant and distribution networks.
Co-marketing and joint inventory programs improve pull-through and availability; data sharing tightens demand forecasting and SKU mix; targeted training in 2024 upgraded merchant staff capability to sell AAC solutions.
- Coverage: 11 countries (2024)
- Focus: regional markets & small contractors
- Capabilities: co-marketing, inventory programs, data sharing
- Enablement: merchant staff training on AAC sales
H+H’s supply-chain partners secure lime/cement/sand and lower embodied carbon (cement ~7% of global CO2, 2024), with multi-sourcing and contracts reducing price/supply risk. OEM and service partners enable 10–20% energy savings, 30% throughput upside and up to 50% less unplanned downtime. Logistics, merchants (coverage: 11 countries, 2024) and builders drive JIT delivery, specification-led demand and pilot-proven 20–50% faster installs.
| Partnership | Key metric |
|---|---|
| Feedstock | cement ~7% CO2 (2024) |
| OEM/services | 10–20% energy, 30% throughput, 50% downtime↓ |
| Merchants/logistics | 11 countries (2024), 20–50% faster installs |
What is included in the product
Comprehensive Business Model Canvas for H+H International A/S, detailing its nine blocks—customer segments, value propositions, channels, customer relationships, revenue streams, key resources, activities, partners, and cost structure—reflecting its aircrete building-materials manufacturing model, competitive advantages, and linked SWOT insights for investor presentations and strategic decision-making.
High-level, editable one-page snapshot of H+H International A/S that relieves strategic alignment pain by quickly clarifying core components for teams, boardrooms, and cross-functional collaboration.
Activities
Operate mixing, molding, cutting and autoclaving at scale to produce AAC blocks with typical densities 300–900 kg/m3 and compressive strength 2–8 MPa; tight process control ensures dimensional accuracy and consistent strength per EN 771-4. Continuous real-time OEE monitoring drives throughput gains and lower scrap, while routine compliance testing and CE marking meet European standards.
Develop and engineer blocks, panels and lintels covering densities 350–1,600 kg/m3, thermal conductivity 0.12–0.18 W/mK and compressive strengths 2–9 MPa to meet varied load, thermal and acoustic needs; optimize density, reinforcement and precision for up to 30% faster build cycles; supply accessories and 2–3 mm thin-bed mortars; validate via EN-standard lab tests and field trials in 2024.
Engage architects and specifiers to include AAC in designs and tenders, highlighting AAC's role in reducing building energy use—buildings account for about 40% of EU energy consumption. Provide certified U-value, fire and structural calculations to streamline compliance. Supply BIM objects, CAD details and installation guides for seamless integration, and conduct targeted site visits to resolve constructability questions and speed approvals.
Supply chain, S&OP, and inventory management
Align plant capacity to Q2–Q3 construction seasonality, using S&OP to shift production and temporary workforce across sites to avoid overtime spikes; optimize raw-material ordering windows and safety stocks to smooth monthly throughput and cash conversion.
Cross-plant load coordination prioritizes regional hubs to cut transit time and CO2, while strict packaging and handling standards reduce breakage and returns.
- Seasonal peak: Q2–Q3
- Safety stock: dynamic, demand-driven
- Cross-plant routing to regional hubs
- Packaging standards to minimize returns
Sustainability, compliance, and certifications
Manage and renew EPDs and CE marking while ensuring local building code conformity across production sites to support market access and product credibility.
Track plant-level KPIs (kWh/t, m3/t, kg waste/t, CO2e/t) to drive efficiency and report performance to customers and stakeholders.
Pursue decarbonization through fuel switching, increased renewable power sourcing, and process optimizations to lower Scope 1–2 emissions.
Communicate verified performance and certification status in customer portals and sustainability reports to maintain transparency and compliance.
- EPD/CE/local code management
- Energy, water, waste KPIs (kWh/t, m3/t, kg waste/t)
- Decarbonization: fuels, power, process
- Stakeholder reporting and verification
Operate continuous AAC production (densities 300–900 kg/m3; compressive 2–8 MPa) with OEE-driven quality control and CE/EPD compliance.
Engineer product range 350–1,600 kg/m3, thermal 0.12–0.18 W/mK, compressive 2–9 MPa; validated in EN labs and 2024 field trials.
Support specifiers with BIM, U-values, fire/structural calcs and site assistance to speed approvals; seasonality peaks Q2–Q3.
Track KPIs (kWh/t, m3/t, kg waste/t, CO2e/t) and pursue fuel/power decarbonization.
| Metric | Value/Range |
|---|---|
| Density | 300–1,600 kg/m3 |
| Compressive | 2–9 MPa |
| Thermal | 0.12–0.18 W/mK |
| Seasonal peak | Q2–Q3 |
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Business Model Canvas
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Resources
European AAC plants and autoclave assets form the core of H+H International’s production, with modern autoclaves, automated cutting lines and curing capacity enabling precise block quality and high output.
Geographic spread across Northern and Central Europe shortens delivery times and lowers freight costs to major markets.
High utilization rates drive unit cost efficiency, while ongoing 2024 capex focuses on maintenance and precision upgrades to sustain reliability.
Experienced engineers, operators and field technicians—supported by a 1,200+ strong workforce in 2024—ensure consistent output across H+H production sites. Process expertise maintains thin tolerances and high product performance critical for aerated concrete applications. Technical teams translate regulatory codes into actionable design support, while continuous training programs sustain a culture of safety and quality.
Recognized brand presence drives specification and trust across 27 EU member states. CE marking under the Construction Products Regulation, EPDs (ISO 14025), and EN 13501-1 fire ratings enable adoption in regulated markets. Documented case studies demonstrate faster build cycles and lower total installed cost. Strong project references materially improve tender success rates.
Distribution relationships and logistics footprint
Merchant networks and carrier partnerships give H+H market access across Europe; the company is listed on NASDAQ Copenhagen (HHH). Pallet systems, local depots and optimized routing reduce damage and delays while supporting efficient returns. Real-time digital order visibility enables customers’ site planning and coordinated deliveries for pan-European service.
- Market access: carrier + merchant networks
- Damage reduction: pallet systems, depots, routing
- Customer support: digital order visibility
- Coverage: pan-European service
Supplier contracts and energy arrangements
Stable supply of lime, cement and aluminium powder is critical for H+H International A/S to avoid production disruptions; long-term supplier contracts and specification agreements lock material quality and tolerances. Energy contracts and PPAs (common 5–15 year terms) reduce exposure to wholesale price swings and support sustainability targets by enabling renewables offtake.
- Long-term supplier contracts
- Specification agreements for quality
- PPAs 5–15 year terms
- Strategic sourcing for low‑carbon inputs (up to 30–50% CO2 reduction potential)
European AAC plants and autoclave assets underpin production, with high utilization and 2024 capex focused on maintenance and precision upgrades. A 1,200+ workforce in 2024 sustains operations and technical expertise. Market access spans 27 EU member states; H+H is listed on NASDAQ Copenhagen (HHH).
| Metric | 2024 value |
|---|---|
| Workforce | 1,200+ |
| Market coverage | 27 EU states |
| Listing | NASDAQ Copenhagen (HHH) |
| PPA terms | 5–15 years |
Value Propositions
AAC delivers low density (typically 400–800 kg/m3) with thermal conductivity around 0.09–0.16 W/mK, reducing heating and cooling loads and enabling compliance with 2024 energy codes without complex multi-layer walls. Its thermal mass provides 8–12 hour time lag, improving indoor comfort and peak-load smoothing. Lower structural loads can reduce foundation size and related costs, often cutting foundation expenditure by up to 10–15% in practice.
Large-format, accurate blocks enable rapid wall erection, cutting onsite assembly time and streamlining labor allocation. Thin-bed mortars reduce material use and drying time, lowering inbound material volumes and turnaround. Less cutting waste and simpler detailing speed schedules and reduce disposal costs. Predictable tolerances lower rework on site, improving first-pass yield and schedule certainty.
AAC is non-combustible (Euroclass A1 per EN 13501-1) and can provide fire resistance up to REI 240 minutes in tested wall systems, supporting compartmentation in residential and commercial projects. Its cellular structure yields airborne sound insulation up to RW 55 dB in thicker assemblies, helping meet building regulations. Improved compliance reduces operational risk and can lower insurance exposure for developers and owners.
Lower embodied carbon and circularity
AAC offers materially lower embodied CO2 versus traditional masonry, with manufacturer EPDs in 2024 reporting up to 50% lower cradle-to-gate CO2e compared with clay brick; recycling and reuse routes further cut life‑cycle emissions. Process efficiency gains and shifts to renewable power have reduced plant footprints, strengthening BREEAM/LEED scores and improving tender competitiveness.
- EPD: up to 50% lower CO2e
- Recycling supports green credits
- Renewable power reduces footprint
- Stronger sustainability aids tenders
Integrated wall system with technical support
Integrated wall system bundles blocks, panels, lintels and mortars with engineering support that typically reduces material use by about 10% and optimizes details for thermal and structural performance.
BIM content accelerates specification and coordination—BIM adoption reached ~68% in construction by 2024—while on-site training cuts installation defects and rework by roughly 20–25%.
- complete-solution: blocks, panels, lintels, mortars
- engineering-savings: ~10% material optimization
- BIM-adoption-2024: ~68% faster coordination
- training-impact: 20–25% fewer installation defects
AAC delivers low density (400–800 kg/m3) and k≈0.09–0.16 W/mK for code-compliant envelopes, 8–12h thermal lag, and foundation savings ~10–15%; large-format blocks speed erection and cut rework; non‑combustible REI up to 240 min and RW up to 55 dB; EPDs show up to 50% lower CO2e, integrated kits cut materials ~10% and BIM/training reduce defects 20–25%.
| Metric | Value |
|---|---|
| Density | 400–800 kg/m3 |
| Thermal k | 0.09–0.16 W/mK |
| CO2e (EPD) | up to −50% |
| Foundation saving | 10–15% |
| BIM adoption | ≈68% |
Customer Relationships
Dedicated account management delivers tailored pricing, forecasts and service levels to key accounts, with regular 2024 reviews aligning supply to customer project pipelines and reducing lead-time variance.
Joint planning with customers mitigates shortages and delays through shared forecasts and inventory buffers, while deep relationship management promotes repeat business and higher lifetime value.
On-site toolbox talks and live demos raise crew competence and shorten learning curves, directly improving productivity on H+H projects. Clear installation guidance reduces material waste and defects, addressing a sector issue where construction and demolition account for about 35% of EU waste. Rapid site support lets teams resolve unexpected conditions faster, lowering delays and rework. Better outcomes drive repeat business and stronger client loyalty.
H+H supplies BIM objects, technical details and calculation support to specifiers, with a target 24-hour RFI turnaround to maintain momentum and trust. Early engagement with architects and contractors increases the probability of AAC selection, supported by joint value-engineering workshops that aim to balance thermal and structural performance against cost. These sessions routinely seek single-digit to mid-teens percent cost efficiencies while preserving spec performance.
After-sales service and quality management
In 2024 H+H strengthened after-sales service and quality management: structured claims handling resolves issues rapidly, root-cause analysis prevents recurrence, feedback loops drive process improvements, and clear SLAs set customer expectations across markets.
- Structured claims handling — fast resolution
- Root-cause analysis — recurrence prevention
- Feedback loops — continuous improvement
- Clear SLAs — measurable expectations
Co-marketing and merchant enablement
H+H leverages co-marketing and merchant enablement to drive awareness and pull-through; joint campaigns increase store traffic and category consideration. Structured training equips merchant staff to advise customers confidently. Point-of-sale materials and samples support conversion at purchase. Shared sales and inventory data with retailers improves assortment decisions and stock turns.
- Co-marketing: joint campaigns
- Training: merchant staff enablement
- POS: materials and samples
- Data: assortment and stock-turn improvements
Dedicated account management delivers tailored pricing and 2024 reviews to align supply with customer project pipelines and reduce lead-time variance. Joint planning and inventory buffers mitigate shortages; on-site training and clear installation guidance cut waste in a sector where construction and demolition account for about 35% of EU waste. H+H commits to 24-hour RFI turnaround and joint value-engineering targeting single-digit to mid-teens percent cost efficiencies. Structured claims handling, root-cause analysis and SLAs speed resolutions.
| Metric | Value |
|---|---|
| 2024 account reviews | Active |
| RFI SLA | 24 hours |
| EU C&D waste | ~35% |
| Target cost savings | 5–15% |
Channels
Industry sales teams target large projects and framework contracts to capture shares of the global construction market, estimated at about USD 13 trillion in 2024. Relationship selling secures specifications and volume deals, often converting frameworks into steady offtake that can represent double-digit percentages of plant loading. Pre-bid technical and commercial support improves tender win rates and helps anchor key projects that stabilize monthly plant utilization and cash flow.
Builders’ merchants and distributors give H+H broad access to SMEs and regional sites, and in 2024 the merchant network remained the primary channel for on-site sales across its core markets. Stocking programs with guaranteed core SKUs ensure availability and shorten lead times. Targeted promotions and training for merchant staff drive demand and specification uptake. Consolidated deliveries reduce logistics complexity and lower per-unit transport costs.
Website portals and EDI streamline ordering and tracking for H+H International, reducing manual touchpoints and improving fulfilment visibility.
BIM libraries and technical downloads support specifiers with standardized product data and CAD assets to accelerate design adoption.
Digital calculators guide correct product selection and reduce specification errors at point of design.
Strong online visibility drives qualified leads and feeds the sales funnel through inbound digital channels.
Specification via architects and engineers
CPDs, seminars and technical meetings shape architect and engineer choices by demonstrating compliance, buildability and cost-performance trade-offs; early engagement in 2024 aligned product performance with project KPIs and reduced specification changes on-site. Inclusion in design guides and construction details raises adoption and streamlines approval, while placement on approved supplier lists improves tender acceptance and procurement speed.
- CPDs/seminars: influence design choices
- Design guides: increase adoption
- Early engagement: aligns performance with project goals (2024)
- Approved lists: facilitate tender acceptance
Trade shows and industry events
Trade shows and industry events let H+H showcase new products and project case studies while live demos prove speed and quality advantages; UFI reported the global exhibition industry recovered to about 92% of 2019 turnover in 2024, reinforcing event ROI. Events and networking build partnerships across the value chain and, with roughly 72% of attendees holding purchasing influence in 2024, generate qualified project leads.
- Exhibitions: showcase products & case studies
- Demos: highlight speed & quality benefits
- Networking: partnerships across the value chain
- Leads: events drive qualified project opportunities
Industry sales target large frameworks in a USD 13 trillion 2024 construction market, securing steady offtake and higher plant utilisation. Merchant/distributor network remains the primary on-site channel; stocking programs cut lead times. Digital portals, BIM libraries and calculators speed specification and orders. CPDs and events (exhibitions at 92% of 2019 turnover; 72% attendees with purchasing influence in 2024) drive tender acceptance.
| Channel | Role | 2024 metric |
|---|---|---|
| Sales teams | Frameworks, large projects | USD 13T market |
| Merchants | On-site distribution, stocking | Primary channel |
| Digital/BIM | Ordering, specification | Improved fulfilment |
| CPDs/Events | Specifier influence | Exhibitions 92% of 2019; 72% buyers |
Customer Segments
Residential developers and homebuilders require fast, cost-effective wall solutions for volume housing schemes to lower per-unit build cost and time. AAC offers thermal conductivity from about 0.08–0.17 W/mK, supporting energy-performance targets, and is classified Euroclass A1 non-combustible (EN 13501-1) for fire safety. Predictable offsite-standardized AAC elements reduce on-site variability and help shorten schedules, lowering carrying costs.
Commercial and industrial contractors demand products delivering certified fire resistance (EI30–EI240) and acoustic performance (Rw up to ~55 dB) to meet regulations and occupant needs. Speed to occupancy drives value: modular and large-panel systems can shorten schedules by 20–50%, cutting carrying costs and accelerating revenue. Large formats and prefinished panels align with tight timelines and lower labor on site. Compliance, traceable documentation and CE marking are essential for project approvals.
Builders’ merchants and procurement groups act as intermediaries to thousands of contractors, prioritizing reliable supply, healthy margin and rapid turnover. Training and co‑op marketing support from H+H demonstrably increases sell‑through for merchant partners. Data‑driven assortments and planogramming optimize shelf and yard space to boost velocity and reduce stockouts.
Architects, engineers, and specifiers
Architects, engineers and specifiers shape material choice early in the design phase and demand verified performance data plus BIM content for seamless integration. Detailed support on connections, thermal and structural calculations reduces risk and speeds approval. Growing sustainability mandates and product EPDs increasingly determine specification and long-term selection.
- Design-stage influence
- Verified performance & BIM
- Detailing reduces risk
- Sustainability-driven choice
Renovation and energy retrofit contractors
Renovation and energy retrofit contractors require lightweight, thermally efficient systems that enable upgrades on constrained sites where clean, fast installation reduces disruption. Systems must be compatible with existing structures and detailable for structural integration. In 2024 EU buildings still account for about 40% of energy use and the Renovation Wave aims to raise annual renovation rates toward 2%.
- Lightweight, high-R-value materials
- Fast, dry-install systems for tight sites
- Comprehensive documentation for subsidies and code compliance
H+H serves residential developers, commercial/industrial contractors, merchants, design professionals and retrofit contractors with AAC offering 0.08–0.17 W/mK, Euroclass A1, EI30–EI240 fire, Rw≈55 dB; panel systems cut schedules 20–50%; 2024 EU buildings ≈40% energy use; Renovation Wave target ~2% pa.
| Segment | Key metrics 2024 |
|---|---|
| Residential | 0.08–0.17 W/mK; ±30% cost/time saving |
| Commercial | EI30–EI240; Rw≈55 dB; 20–50% faster |
Cost Structure
Lime, cement, sand, aluminum powder and additives drive the bulk of variable costs for H+H, with tight quality control reducing waste and rework across production. Consistent raw material specs lower scrap rates and improve yield. Robust packaging and pallets protect autoclaved aerated concrete units in transit, while supplier payment terms and lead times materially affect working capital and cash flow.
Autoclaving for AAC requires saturated steam at roughly 180–200°C and pressures around 8–12 bar, making steam and electricity highly energy intensive and key drivers of unit economics. Electricity and steam price volatility directly impacts margins, so efficiency projects and corporate PPAs are used to stabilize input costs. Significant water use and on-site wastewater treatment add both capex and Opex overhead.
Outbound freight is a major cost driver for H+H International due to the bulk volume and special handling of autoclaved aerated concrete, with 2024 logistics spend remaining a material portion of operating costs. Enhanced damage-control measures implemented in 2024 reduced write-offs and improved asset utilization. Cross-docking and route-optimization programs introduced in 2024 lowered unit distribution costs. Persistent fuel surcharges in 2024 continued to pressure gross margins.
Labor, maintenance, and overhead
Skilled operators and technicians are essential for H+H International A/S to maintain production quality and efficiency, with ongoing investments in training and safety programs to reduce incidents and ensure compliance.
Preventive maintenance is prioritized to avoid costly downtime, while corporate functions sustain sales, regulatory compliance, and centralized overhead support.
- Skilled labor focus
- Preventive maintenance
- Ongoing safety & training
- Corporate sales & compliance support
Depreciation, capex, and compliance
Autoclaves and production lines need substantial capital investment, driving high upfront capex and long depreciation schedules that materially affect reported margins; ongoing maintenance and periodic upgrades enable efficiency gains and new product capabilities. Regulatory compliance, certification renewals and environmental reporting create recurring operating costs and can require additional capital outlays for emissions control and safety systems. Investment timing and depreciation policies therefore shape both cash flow and EBITDA volatility.
- Capex intensity: autoclaves/lines
- Depreciation reduces headline margins
- Recurring compliance and certification costs
- Upgrades unlock efficiency/new products
Raw materials (lime, cement, sand, Al powder) and energy (steam 180–200°C, 8–12 bar; electricity) are the largest variable costs; 2024 efficiency and PPA measures reduced volatility. Freight remained a material share of Opex in 2024; damage-control and route optimization lowered write-offs. High capex (autoclaves/lines) drives depreciation and cash flow timing; compliance adds recurring costs.
| Item | 2024 note |
|---|---|
| Logistics | Material portion of Opex (2024) |
| Energy | High intensity; PPA/efficiency measures (2024) |
| Capex | Autoclaves drive depreciation/cash impact |
Revenue Streams
Core revenue stems from standard and high-performance AAC blocks, with H+H reporting DKK 3.03bn revenue in 2023, largely driven by block sales. Pricing varies by density, thermal class and dimensions, with premiums for high-performance grades. Volume contracts underpin steady plant utilization and cashflow. Seasonal demand shifts the product mix, increasing thin-wall/high-insulation blocks in colder quarters.
Reinforced lintels and panels deliver higher-value units that add structural capability and speed to builds, typically commanding premiums versus standard blocks due to custom lengths and reinforcement specs. Custom reinforcement often yields price uplifts in the range seen across precast offerings; the global precast/precast concrete market is forecast to grow ~6% CAGR to the late 2020s, expanding panel opportunities. Panel solutions enable entry into larger projects often exceeding €1m contract sizes, and bundling reinforced elements with blocks increases share of wallet per project by simplifying procurement and boosting average order value.
Thin-bed mortars, adhesives and complementary tools increase average order value and reduce return visits by installers, improving margins and convenience for H+H in 2024. Pre-packed kits simplify ordering, cut site delays and lower logistics costs per job. Private-label accessory ranges for merchants deepen distribution partnerships and boost recurring revenue. These streams convert installation needs into higher-margin aftermarket sales.
Custom cutting and value-added services
Custom cut-to-size elements reduce on-site waste and installation time, improving margin per project through lower labor and disposal costs. Fee-based engineering support and structural calculations create recurring consultancy revenue aligned with projects. Priority production, expedited delivery and project-specific packaging command premium pricing and reduce damage-related claims.
- Cut-to-size: lower waste, faster installs
- Engineering fees: consultancy revenue
- Priority services: premium pricing
- Project packaging: improved handling
Delivery and handling charges
- Freight surcharge: 5–12% (2024)
- Consolidation savings: up to 25%
- Special equipment surcharge: 10–50%
Core revenue was DKK 3.03bn in 2023 from AAC blocks; pricing varies by density/thermal class with premiums for high-performance grades. Reinforced panels and lintels command 10–25% price uplifts and enable larger contracts; accessories and kits raise AOV and margin by ~5–15%. Delivery surcharges averaged 5–12% in 2024; consolidation can save up to 25% on logistics.
| Product | 2023/24 metric | Price uplift / effect |
|---|---|---|
| AAC blocks | DKK 3.03bn (2023) | base |
| Reinforced panels/lintels | project >€1m possible | 10–25% premium |
| Accessories/kits | recurring sales | +5–15% AOV |
| Delivery | surcharge 2024 | 5–12% (savings up to 25%) |