 | |
| Company type | Allmennaksjeselskap |
|---|---|
| Oslo Stock Exchange: KOG | |
| ISIN | NO0003043309 |
| Industry | Shipbuilding,defense,aerospace,offshoreoil and gas industries. |
| Founded | March 20, 1814; 211 years ago (1814-03-20) |
| Headquarters | Kongsberg,Norway |
Area served | Global |
Key people |
|
| Products | Ships, missiles, remote controlled weapon stations |
| Revenue |  27.4 billion kr (2021) |
| 2.86 billion kr (2021) | |
 2.16 billion kr (2021) | |
| Total assets | 39.3 billion kr (2021) |
| Total equity | 13.6 billion kr (2021) |
Number of employees | 11,122 (2021) |
| Subsidiaries |
|
| Website | www |
| Footnotes / references [1][2] | |
Kongsberg Gruppen ASA is aNorwegian multinational company, that supplieshigh-technology systems to customers in themerchant marine,defence,aerospace,offshoreoil and gas industries, andrenewable andutilities industries.[3]
In 2018, Kongsberg had revenues of NOK 14.381 billion, and 6,842 employees in more than 25 countries.[4] The company is headquartered inKongsberg.
It comprises four business areas:
Kongsberg is a continuation of Kongsberg Weapons Factory (Kongsberg Våpenfabrikk - KV) (1814–1987). After KV's restructuring in 1987 following theToshiba–Kongsberg scandal, defence activities continued as the companyNorsk Forsvarsteknologi (NFT). In 1995 the company changed its name to Kongsberg Gruppen.
Kongsberg was listed on theOslo Stock Exchange in 1993 and is apublic company. TheNorwegian Ministry of Trade, Industry and Fisheries is the largest shareholder with a 50.001 percent interest.[5]
Markets outside of Norway pose a growing and increasingly important part of business and represented approximately 80% of revenue in 2015.
The company's origin and background dates back to the early 1600s.
The discovery of silver in the mountains around Kongsberg in 1624 meant that the city became an important mineral resource for the Danish Norwegian kingdom. When theDanish-Norwegian union was dissolved about 200 years later there was a need to build up a strong defence that would contribute to independence and security forNorway.
There was a need for a domestic defence industry, andKongsberg already had expertise after centuries of mining. On 20 March 1814[6]Poul Steenstrup founded Kongsberg Våpenfabrikk.
1813 was an important year for Norway. The nation wrote itsconstitution and the weapons factory was one of the nation's first industrial factories.
Kongsberg Silver Mines experienced arecession and as a consequence Kongsberg suffered distress and poverty. There was a need to create new jobs. In addition Norway was marked by the desire for national independence, and the Weapons factory would make the newly established state self-supplied with weapons.
Kongsberg's mining traditions - established over several centuries - provided a good basis for building a knowledge-based business. Skilled mining engineers were now assigned to develop the new company.
The Weapons Factory quickly began producing rifles for theNorwegian Armed Forces. A number of models were developed and delivered throughout the 19th century. The major international breakthrough came in 1888 when directorOle Herman Johannes Krag and corps gunsmithErik Jørgensen showcased a new type of rifle.
_-_2.jpg)
_-_4.jpg)
International breakthrough came with theKrag–Jørgensen rifle in 1892.
The officer Ole Herman Johannes Krag and gunsmith Erik Jørgensen wanted to produce a new type of precision rifle, which was both easy to use, inexpensive to manufacture and which had revolutionary functionality. The rifle's mechanism proved to be something quite revolutionary in the arms industry.
The Krag–Jørgensen rifle was first adopted as a service rifle by theDanish Army in 1889. Three years later the rifle became a world-known concept when theUnited States decided to equip their soldiers with the rifle. "The Krag" turned out to be one of the first major export contracts for the Norwegian industry. During a six-year period the U.S. alone produced well over half a million rifles on licence.
In 1894 the weapon was adopted as army rifle for theNorwegian Army. The weapon was in service untilWorld War II.
"The Krag" became Norway's first large-scale industrial export and helped to establish an important relationship with the U.S. military.
The Krag–Jørgensen rifle dominated production at Kongsberg until the end ofWorld War I. When the war was over there was a significant decline in military orders. The company therefore used its position and expertise from the defence industry to enter new markets and seek new business opportunities.
Production of civilian products such as civil weapons, tools, and parts for theshipping industry andwhaling fleet began 1918. Other departments madebicycle components, while the cannon department made shafts, connecting rods, forgings andwhale guns.
Kongsberg launched its first civil products in 1921. The products won gold medal at theWorld Exposition in Barcelona in 1929.
DuringWorld War II Kongsberg was under German control. Production, however, never came up to such numbers as the occupation forces wanted. This was partly due to access to raw materials, but also resistance among factory workers has also been suspected.
After the war, Kongsberg was designated as one of the major industrial builders in Norway. The company produced everyday necessities such as pots and pans, and contributed to the development of thedefence andmaritime industry.
The weapons factory was no longer under military command, and in 1953, theNorwegian Parliament, adopted a large-scale modernization and expansion of the company. The aim was to build a national high-tech defence industry that met the needs of theNorwegian Armed Forces as well as those ofNATO.
The creation of theForsvarets Forskningsinstitutt ("Defence Research Establishment") (FFI) atKjeller in 1947 was part of the same strategy.
This cooperation was from the 1950s and up till present given rise to a number of defence systems such as thePenguin missile,NASAMS 2 air defence system, HUGIN AUV andNaval Strike Missile.
After an agreement withVolvo in 1957, the production ofautomobile parts also became a considerable business for KONGSBERG. At first the company produceddrive shafts, and then other components for heavy trucks,buses,tractors andagricultural machinery. The division was later reorganized into the companyKongsberg Automotive.
Having had a national focus in thepost-war period, KONGSBERG again directed its attention and expertise towards the international market. The years from 1960 to the end of the 80s were a time of innovation, development and rapid growth for Kongsberg.
KONGSBERG's focus on themaritime industry began in the early 1970s and coincided with the discovery of oil in theNorth Sea. Companies that would later become part of Kongsberg Gruppen, such asSimrad andNorcontrol, however, had already provided sonar systems and equipment for fishing and merchant marine for decades.
The 1970s also became the decade when KONGSBERG positioned itself towards the petroleum sector.Dynamic positioning (DP) and subsea installations were revolutionary technology, which gave KONGSBERG a technological edge. KONGSBERG was about to get a position as a global technology leader.
The rapid international growth resulted in both new opportunities and challenges. The new focus on establishing a civilian product portfolio changed the shape of the company. In 1981 civil divisions accounted for 70% of business.[7]
Companies were acquired and the number of employees increased sharply. An international network of offices and factories began to take shape. But the business advancement and progress coincided with national and international unrest, which had a serious impact on the company, as an outcome of so-calledToshiba-Kongsberg scandal, after illegal export to the Soviet Union machine tools banned byCocom. The outcome was a need to restructure the entire company.
In 1987, the company was part of theToshiba–Kongsberg scandal, which involved a subsidiary ofToshiba and the Kongsberg Vaapenfabrikk. The two provided theSoviet Union with technology (Toshiba milling machines and Kongsberg computer numerical controls) that could be used to produce quietsubmarinepropellers, in violation of theCoCom agreement. The US always relied on the fact that the Soviets had noisy boats. Providing the Soviet Union with technology that could make their subs harder to find and track was perceived as a significant threat to the security of the United States.
1987 was a turning point in the history of Kongsberg. The company was divided into divisions that manufacturedautomobile parts,aircraft parts,gas turbines, oil installations, and marine equipment and defence equipment. Innovation was high, but not the profitability. The company had taken on too large and complex development tasks.
The state, which owned all the shares, would not inject big money to keep the whole business, so the company was split up. The civil division was sold out, while the defence division continued under the name Norwegian Defence Technology (NFT) from 19 June 1987 to 1995.
The newly formed company had for a short period of time a renewed focus on its core defence business. This helped the company regain financial stability. Then Kongsberg again turned its focus towards civil and maritime sectors.
Kongsberg also entered new markets. In 1990 the company launched its ownaerospace division.
The restructuring process that began in 1987 culminated in 1993 when it was decided that Kongsberg should be partially privatized and listed on theOslo Stock Exchange. This gave Kongsberg greater independence and the opportunity to cooperate with private business investors. It helped facilitate many positive changes, such as the establishment ofKongsberg Maritime as a separate business unit. The decision proved to be a crucial building block in the creation of Kongsberg as a modern company.
In 1993, the company Norwegian Defence Technology (NFT) became publicly listed and partially privatized. Two years later, in 1995, the company took the name Kongsberg Gruppen and the current logo was established.
Then followed a long series of acquisitions. This included buying back the maritime division.
The development of the prototype of HUGIN which was demonstrated for Statoil in 1996, later further developed to MUNIN.[8] REMUS is anotherAutonomous Underwater Vehicle,[9] produced at Hydroid, a fully owned subsidiary of Kongsberg.
In 1997, Kongsberg gathered its operations in the subsidiariesKongsberg Maritime andKongsberg Defence & Aerospace.
The development of the weapons stationProtector RWS from 1997.
1998: the Air Defence SystemNorwegian Advanced Surface-to-Air Missile System (NASAMS) was pronounced operational.
In 2008, parts of the defence business spun off as a separate business area as "Kongsberg Protech Systems". Other defence activities continued under the name Kongsberg Defence Systems.
The co-development of Well Advisor[10] together withBP
Also in 2008, parts of Kongsberg Maritime, which had worked with simulation technology in oil and gas, were reorganized under new management. The result wasKongsberg Oil & Gas Technologies that was established as a separate business area. However, due to challenging market conditions in the oil and gas industry this area was consolidated into Kongsberg Maritime and the newly established business area Kongsberg Digital in 2016.[11]
By the end of 2009 Kongsberg was divided into four separate divisions/business areas.
The development of theNaval Strike Missile and theJoint Strike Missile.
In 2014, Kongsberg celebrated its 200th anniversary.[12]
As of October 2017 the business area Kongsberg Protech Systems was merged into Kongsberg Defence & Aerospace.
The Kongsberg Group has three business areas: Kongsberg Maritime, Kongsberg Defence & Aerospace and Kongsberg Digital.
Kongsberg has a long history of collaborating with national and international defence industries.
The business areaKongsberg Defence & Aerospace is a provider of command and control systems, weapons control, communications, missiles, advanced composites and surveillance.
A major milestone for the Group's defence area came in 2007 when the Group won a contract worth eight billion kroner for the delivery ofCROWS II – a type ofProtector Remote Weapon Stations (RWS) - to theU.S. military.[4]
The RWS allows the operator to control the weapon inside the vehicle, providing increased protection and reduced risk of both military personnel and civilians. As of today[when?], the Protector RWS claims to be the world's leading provider of remote weapon stations.[13] Kongsberg has since delivered more than 17,000 weapons systems[14] to 16 countries worldwide.
Kongsberg's largest single contract ever was signed in January 2014 withOman on the air defence systemNASAMS.[14]
In September 2019, Kongsberg unveiled theVanguard-class multirole warship, designed in collaboration withSalt Ships.
Kongsberg has for several years increased its activities in space and surveillance. KONGSBERG's space activities are organized underKongsberg Defence Systems.
In 1990, Kongsberg launched its ownaerospace business unit. Through its subsidiariesKongsberg Satellite Services (KSAT) andKongsberg Spacetec inTromsø the company is now a leader in services related to ground stations and satellites. Kongsberg currently operates a worldwide network of ground stations including onSvalbard andAntarctica, used by e.g.NASA and theEuropean Space Agency (ESA). The acquisition of Horten-based Norspace AS 2011 consolidated space operations in Norway and contributed to KONGSBERG's commercial position within international aerospace and surveillance was strengthened.
Kongsberg's space division is Norway's largest supplier of equipment and services to theEuropean Space Agency (ESA).
Kongsberg's Space & Surveillance division delivers a broad spectrum of equipment; systems and services related to space and maritime surveillance customers in more than 40 countries. The portfolio includes equipment and components for the European heavy-lift launcherAriane 5, communication satellites, earth observation satellites and scientific space probes. The division is a supplier of satellite ground stations for downloading and processing satellite data, as well as a supplier ofsatellite services from ground stations atSvalbard in theArctic, theAntarctic and numerous other locations.
The division is also a provider of maritime domain awareness systems and control centers for maritime surveillance, where integration of terrestrial and satellite data constitutes an important component.
Kongsberg's Space & Surveillance division is located inKongsberg,Kjeller,Horten andTromsø.
Kongsberg's focus on maritime industries began in the early 1970s and coincided with the discovery of oil in theNorth Sea. This was also the decade in which Kongsberg positioned itself in the petroleum sector.Dynamic positioning (DP) and underwater installations were two areas that would prove to be crucial for the company.
On 17 May 1977 Kongsberg's first DP-system was put into operation on board the diving support vesselSeaway Eagle.[16] In 1983, KONGSBERG introduced the first diver-free underwater system for theGullfaks field.[17] It went on to operate for 20 years.
Kongsberg Maritime is Kongsberg's largest business area. It is divided in three main areas:
Kongsberg Maritime delivers products and systems for positioning, navigation and automation tomerchant vessels, Subsea and offshore installations, as well as products and systems for seabed surveying and monitoring. The company is a world leader indynamic positioning (DP), automation and monitoring systems, process automation,satellite navigation and hydro-acoustics
Kongsberg Maritime's activities have in recent years grown steadily. The company's supplies to thesubsea,offshore and merchant fleet amounted in 2013 to over half of the Kongsberg Group's total revenue.
In 2019, the company unveiled its proposedVanguard-class multirole warship, based loosely on commercial support ships.
The business area is headquartered in Kongsberg, has greater activity in the maritime cluster inHorten, in addition to offices worldwide.
Kongsberg Digital was established in 2016 to increase to group's focus and efforts on industrial digitalization. It was fully operational from 1 July 2016. The business area consists of simulation from the previous business area of Kongsberg Oil & Gas Technologies and simulation fromKongsberg Maritime. In addition the business area has established positions within the renewable and utilities area. The business area is headquartered inAsker, with offices throughoutNorway and the world.
| 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenues[4] | 14,381 | 14,490 | 15,845 | 17,032 | 16,603 | 16,323 | 15,652 | 15,128 | 15,497 | 13,816 |
| Earnings before interest, taxes, depreciation and amortisation (EBITDA)[4] | 1,394 | 1,279 | 1,217 | 1,784 | 2,060 | 2,142 | 2,294 | 2,385 | 2,485 | 1,619 |
| Earnings before taxes (EBT)[4] | 844 | 654 | 729 | 944 | 1,285 | 1,644 | 1,809 | 1,991 | 2,097 | 1,169 |
Figures are in millions.Currency missing?
In 2014 the company andKongsberg Defence Systems[18] were charged by Norway, for corruption related to deliveries (worth around Norwegian kroner 1.5 billion[19]) of communication equipment to Romania during 1999–2008.[20][21] The alleged corruption supposedly occurred inKongsberg Defence & Aerospace, according toAftenposten.[22]
In spring 2012 "various signals" indicated corrupt practices, and within a short time, investigators from outside the company were put to task.[23] In autumn of 2013 the company discontinued a year-long investigation byPricewaterhouseCoopers—without giving the investigators' report to the police.[23][24][25] The investigation found that funds had been transferred totax havens.[23]
On 25 February 2014Økokrim searched company premises in Kongsberg andAsker.[19][20][24] On the same day one employee was arrested and charged[26] (and released two days later). The leaders of the company were summoned for a meeting withthen Minister of Trade and Industry.[27] On 26 February 2014 the meeting was held, attended bythen chairman andthen CEO.[28] Theboard meeting later that day, was joined by the minister via phone.[29]
On 27 February 2014 media said that then chairman had not read the report by PricewaterhouseCoopers about their investigation.[29]
A 28 February 2014NRK article said that the transaction with Romania was connected withexport guarantees worth Norwegian kroner 669 million—fromGuarantee Institute for Export Credits (GIEK).[30] Furthermore, "while we [NRK] were at theNational Archives to find the documents, representatives fromGIEK came to get the folders, supposedly because Økokrim has requested delivery of the documents—fromGIEK".[30] (The folders contained "three of the contracts" [with Romania].[30]) The contracts with GIEK stipulate that bribes and other corruption are in violation of the contracts.[30]
Reactions to the investigation include professorPeter Gottschalk saying that "It is obvious that the company should have contacted the police and not discontinued the case. When financial crime is suspected, the police should be notified. I think that the reason they did not do that, was that they did not want publicity".[31] A 28 February 2014Dagens Næringsliv article said that "The question for the company's largest owner thru minister of tradeMonica Mæland (H)—without regard to whatØkokrim uncovers in its investigation—ought to be whether the government's companies are best served by having committee members that are that irresolute".[32] A 5 March 2014Aftenposten editorial said that "The most important question is another one: Why do such cases appear again and again, despite tightened regulations and attitude campaigns? - Is it time to move focus to the manner in which co-workers are rewarded?"[33] An 18 MarchDagens Næringsliv editorial said that "The board of directors of Kongsberg Gruppen permitted the [corporation's] leadership to put out of sight—the fact finding report regarding possible corruption—without bothering the leadership with bothersome questions. -The minister of trade must evaluate if this is in line with the zero tolerance, that she is trying to 'make more clear'."[34]
In August 2016 the case against KONSGBERG was dropped by Økokrim, thus the company no longer being under suspicion or investigation for corruption. Økokrim decided to prosecute a former employee of the company with charges of fraud.[35]
The Kongsberg Group is a main sponsors of theKongsberg Jazz Festival.In 2018 Andreas Røysum started an online petition on iPetitions demanding the festival organizers to end their cooperation with the Kongsberg Group stating the sponsoring being incompatible with the spirit of the festival.
Kongsberg gruppen has been accused of complicity in allegedwar crimes committed Israel in the Gaza War by supplying parts for the F-35 used by Israel.[36]
Kongsberg gruppen is also accused of indirectly selling munitions to Israel through the Norwegian-Finnish companyNammo in which it holds shares.Nammo defends itself by saying it is not responsible for the onselling of its munitions once it has sold them.[37]
Tillitsvalgte for de ansatte iKongsberg Defence & Aerospace, som er selskapet hvor korrupsjonen skal ha funnet sted, har tillit til ledelsen og styrets håndtering av saken.
| International | |
|---|---|
| National | |
