Aquaporin's Strategic Leap: A Partnership with Brenntag and Record Growth

August 28, 2024, 7:29 pm
Aquaporin A/S
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Location: Singapore
Employees: 51-200
Founded date: 2005
Total raised: $1.5M
Aquaporin A/S, a Danish water technology innovator, is making waves in the water filtration industry. With a recent partnership with Brenntag, a global leader in chemical distribution, Aquaporin is poised for significant growth. This collaboration is not just a handshake; it’s a strategic alliance that could reshape the landscape of water treatment.

On August 23, 2024, Aquaporin announced a distributorship agreement with Brenntag, covering the Asia-Pacific region and Turkey. This partnership is a match made in innovation heaven. Aquaporin’s unique CLEAR product line, which utilizes their proprietary Aquaporin Inside® technology, is now part of Brenntag’s extensive portfolio. This technology is inspired by nature, aiming to solve global water challenges with efficiency and sustainability.

Brenntag operates in over 70 countries, making it a formidable ally. The company’s reach and expertise in water treatment will amplify Aquaporin’s capabilities. The first shipment of CLEAR membranes has already been dispatched to Turkey, signaling the swift execution of this partnership. This is just the beginning. Both companies are optimistic about the future, with expectations of double-digit growth in Aquaporin’s industrial segment by 2025.

Aquaporin’s CEO expressed pride in this partnership, highlighting a shared commitment to quality and innovation. This collaboration is more than a business deal; it’s a strategic move that aligns with Aquaporin’s vision of rethinking water filtration. The CLEAR membranes are designed for brackish water reverse osmosis systems, boasting high flow rates and low energy consumption. This technology is not just efficient; it’s essential in a world grappling with water scarcity.

The timing of this partnership is crucial. Just a day earlier, Aquaporin reported a staggering 44% increase in revenue for the first half of 2024. This growth reflects the company’s dedication to cutting-edge water technology. Revenue climbed to DKK 29.2 million, up from DKK 20.2 million in the same period last year. The financial health of Aquaporin is improving, with cash reserves doubling compared to the previous year.

Despite the positive revenue growth, the company still faces challenges. The EBIT loss before special items was DKK 42.2 million, slightly better than the previous year’s loss. However, the outlook remains bright. Aquaporin anticipates revenue between DKK 90-110 million by the end of 2024, with a gross profit margin target of 30-35%. The company is on a path to profitability, bolstered by strategic partnerships and innovative product launches.

Aquaporin’s CLEAR series is not just a product; it’s a game-changer. Launched in China, these brackish water reverse osmosis elements are designed for various applications, from municipalities to industries. The focus on energy savings is a critical selling point in today’s eco-conscious market. Additionally, Aquaporin has secured repeat orders from established partners, indicating strong market demand.

The company is also diversifying its portfolio. Recent collaborations with E. & J. Gallo Winery and the launch of a residential water purifier in Turkey demonstrate Aquaporin’s commitment to innovation. The new polymer lab at their headquarters will further enhance their research capabilities, paving the way for next-generation water filtration technologies.

Aquaporin’s journey is not without hurdles. The company operates in a competitive landscape, where technological advancements and market demands are constantly evolving. However, their commitment to sustainability and innovation sets them apart. The partnership with Brenntag is a strategic move that enhances their market position and expands their reach.

Looking ahead, Aquaporin is involved in EU-funded projects aimed at making dialysis more sustainable and exploring synergies between urban water treatment and industrial operations. These initiatives underscore the company’s dedication to addressing global water challenges through innovative solutions.

In conclusion, Aquaporin is at a pivotal moment. The partnership with Brenntag opens new doors, while impressive revenue growth signals a robust business model. As they continue to innovate and expand, Aquaporin is not just rethinking water filtration; they are redefining it. The future looks bright for this trailblazer in water technology, and the industry will be watching closely as they navigate the waters ahead.