FinnvedenBulten Interim Report for the period January – September, 2012
PRESS RELEASE |GOTHENBURG, 24 OCTOBER 2012
Weaker margins due to lower volumes, negative currency effects and changes in product mix
- Net sales reached SEK 649 million (704), down 7.8% on the same period last year.
- Earnings (EBIT) were SEK 11 million (43), which gave an operating margin of 1.8% (6.1).
- The profit after tax was SEK 3 million (22).
- Order bookings amounted to SEK 610 million (736), down 17.2% on the same period last year.
- Cash flow from current activities was SEK –84 million (–43).
- Earnings per share were SEK 0.15 (1.06).
- Restructuring of the currently unprofitable foundry business in Sweden has started and the annual cost saving is expected to be SEK 15-20 million.
- Net sales reached SEK 2,287 million (2,282), up 0.2% on the same period last year.
- Earnings (EBIT) were SEK 92 million (158), which gave an operating margin of 4.0% (6.9).
- The profit after tax was SEK 58 million (85).
- Order bookings amounted to SEK 2,255 million (2,429), down 7.2% on the same period last year.
- Cash flow from current activities was SEK 29 million (46).
- Earnings per share were SEK 2.77 (5.24).
“FinnvedenBulten’s sales turnover fell during Q3 by 7.8% (down 2.5% when adjusted for currency effects) in a weakened automotive market. The Bulten division’s sales excluding currency effects is unchanged and the division has had continued success with the FSP concept and has further strengthened its position. Indications during Q2 of lower deliveries became more concrete in Q3 and further cutbacks have been announced by customers towards the end of the year. The lower sales that lead to under-utilisation at several factories during the quarter, added to an unfavourable product mix, resulted in a significantly negative effect on earnings. The Group’s joint currency effects also had a negative impact.
The Group has a continued good financial position which enables the focus to be maintained on long-term strategic initiatives. Within the divisions, Bulten and Finnveden Metal Structures, several measures have been initiated within both divisions to boost productivity and further reduce costs. The restructuring of the foundry business in the Finnveden Metal Structures division is under way and will provide an improved cost structure and enable continued growth. Measures are also being implemented across the Group as a whole to adapt the business to the current market situation.”
Johan Westman, President and CEO
The report will be presented by FinnvedenBulten’s President and CEO Johan Westman at a teleconference on Wednesday, October 24 at 15:30 CET.
The full report is attached to this press release. Copies of the presentation will be available on www.finnvedenbulten.com approximately 30 minutes before the conference starts.
To participate in the telephone conference, please call 5 minutes before the opening of the conference to Sweden +46 (0)8 506 269 00, UK +44 (0)207 750 9905, US +1 631 886 5378. Code: 893637#.
A replay of the telephone conference is available until November 7, 2012 on the phone numbers:
Sweden +46 (0)8-506 269 49, UK +44(0) 207 750 99 28, USA +1 866 305 62 92. Code 276803#.
For further information, please contact:
Johan Westman, President and CEO
Tel: + 46 (0)31-734 59 00
Kamilla Oresvärd, Vice President Corporate Communications
Tel: +46 (0)70-520 59 17, e-mail: email@example.com
The information in this announcement is required to be disclosed by FinnvedenBulten AB (publ) under the Swedish Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 13:30 CET on October 24, 2012.
FinnvedenBulten develops and manages industrial businesses, offering products, technical solutions and systems in metallic materials. The Group operates as a business partner to international customers in the engineering industry, primarily the automotive industry. FinnvedenBulten is structured into two divisions – Bulten and Finnveden Metal Structures – both with strong positions in their respective customer segments. FinnvedenBulten is listed on NASDAQ OMX Stockholm. Further information at www.finnvedenbulten.com.