Third quarter, July-September 2024
- Net sales amounted to SEK 2,931m (2,752), an increase of 6.5%. Organically, sales increased by 1.5%. Acquisitions contributed by 7.3%. Currency translation had a negative effect of 2.3%.
- EBITA amounted to SEK 325m (290), corresponding to a margin of 11.1% (10.5).
- Operating income amounted to SEK 268m (247), corresponding to a margin of 9.1% (9.0).
- Income for the period amounted to SEK 187m (159), and earnings per share was SEK 0.65 (0.55).
- Operating cash flow after investments amounted to SEK 441m (333).
Alberto Zanata, President and CEO:
"Improved profitability, back to organic growth
During the third quarter we grew organically with improved margin and strong cash flow.
Despite challenges in the Middle East and parts of Asia, the Group continued the positive overall development in the quarter. Sales grew 1.5% organically and by 6.5% in total. EBITA improved to SEK 325m (290), despite a negative impact from currency of approximately SEK 35m. EBITA margin improved in both segments to 11.1% (10.5) in total. Order intake was higher than a year ago.
Sales of Food & Beverage declined organically by 0.7% compared to last year. EBITA improved somewhat, resulting in an EBITA margin of 9.6% (9.3). Sales in our largest market, Europe, grew organically by 3%, while the US declined by 3%. Middle East burdened the APMEA region (Asia-Pacific, Middle East and Africa) where sales declined by 12%. In the US, we have now had a sequential sales recovery three quarters in a row. Order intake continued to be higher than a year ago, both in the US and in Europe, but lower in APMEA.
Sales of Laundry grew by 17.9%, including the acquired TOSEI, and organically, sales increased by 5.4%. The sales increase was predominantly driven by the Americas. The EBITA margin was 16.4% (16.1). Currency and the inclusion of TOSEI had a negative impact on the Laundry margin. The TOSEI integration continues on a positive track and according to plan. Overall, order intake for the Laundry business was significantly higher than a year ago.
Operating cash flow after investments continues to be strong and amounted to SEK 441m (333).
The CO2 emissions from our operations (excluding 2024 acquisitions) have since 2019 decreased by 62% compared to the target to decrease 70% by 2030. The decrease is due to increased use of renewable energy, reduced gas consumption, and efficiency improvements.
During the quarter, we launched our new undercounter dishwasher, NeoBlue Touch, which is a commitment to efficiency, sustainability and performance. It is expected to drive volume growth and sales of consumables. The enhanced performance is expected to support our efforts to meet our Scope 3 emissions target.
Based on the positive development I stay cautiously optimistic for the near term."
This information is information that Electrolux Professional AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person detailed below, at 07:30 a.m. CET on October 25, 2024.
For more information, please contact Jacob Broberg, Chief Communication & Investor Relations Officer +46 70 190 00 33
The Electrolux Professional Group is one of the leading global providers of food service, beverage, and laundry for professional users. Our innovative products and worldwide service network make our customers' work-life easier, more profitable - and truly sustainable every day. Our solutions and products are manufactured in 14 plants in eight countries and sold in over 110 countries. In 2023, the Electrolux Professional Group had global sales of SEK 12bn and approximately 4,300 employees. Electrolux Professional's B-shares are listed at Nasdaq Stockholm. For more information, visit https://www.electroluxprofessionalgroup.com
