Interim report January - September 2016 Kai Wrn, President

New Post Public Reply Private Reply Replies (0) Message Board

News Desk 2018

Oct 20, 2016 at 2:15 AM

Interim report January - September 2016

Kai Wärn, President and CEO: “The development for the seasonally slower third quarter was generally in line with expectations, with continued improvements in operating income and margin. Successful execution of efficiency measures continued to support earnings growth, offsetting unfavorable currency impact and at the same time creating headroom for investments in profitable growth initiatives in areas that will be key in the years to come. Operating income for the Group increased to SEK 431m (405) and the operating margin rose to 5.9% (5.5). Sales in the Husqvarna Division increased 5% adjusted for currency, with the European market maintaining its solid growth trend. Operating income for the Division increased to SEK 368m (321) and the margin rose to 9.8% (9.1), mainly driven by the volume increase and operational improvements, however partly offset by adverse currency impact and costs for growth initiatives. The downturn in sales for the Gardena Division in the quarter was expected given the favorable weather conditions last year in Central Europe, but was limited to -6% following a successful launch of a new range of hand tools. Operating income decreased to SEK 50m (113) mainly as a consequence of the volume decline and a higher cost level due to the growth initiatives. On a year-to-date basis Gardena has increased sales by 9% adjusted for currency, reflecting the success in terms of expanded distribution and several new product introductions. Cost reductions and efficiency enhancements in the Consumer Brands Division are progressing according to plan, however somewhat overshadowed by negative currency effects and the impact from lower sales which decreased by 10% adjusted for currency. The seasonal driven operating loss was reduced to SEK -80m (-119) and the margin improved to -5.2% (-7.0). The Construction Division continued to deliver higher operating income and margin, despite a lower growth rate than in the previous quarters. Sales were 1% higher adjusted for changes in exchange rates, operating income increased to SEK 155m (144) and the corresponding margin rose to SEK 14.9% (14.1). The Group’s financial targets for the coming years were communicated at the capital market day in September. Following recent years’ focus and successful execution of the margin improvement, stronger emphasis will be placed on profitable growth. The growth ambition is to exceed the average industry by around 1-2 percentage points annually. Our targets are to grow net sales by between 3-5% per year, to have an average operating margin of at least 10% and to achieve an operating working capital in relation to sales of below 25%. However, the Consumer Brands Division will continue to have the operating margin improvement as first priority.” Third quarter 2016 · Net sales amounted to SEK 7,349m (7,307). Adjusted for changes in exchange rates, net sales decreased by 1%. · Operating income increased to SEK 431m (405), despite unfavorable currency impact of around SEK -60m, and the corresponding margin increased to 5.9% (5.5). · Net debt* decreased to SEK 6,454m (6,666) and the net debt/equity ratio improved to 0.45 (0.50). · Earnings per share after dilution increased to SEK 0.36 (0.34). Telephone conference A combined press and telephone conference, hosted by Kai Wärn, President and CEO, and Jan Ytterberg, CFO, will be held at Husqvarna Group’s office, Regeringsgatan 28, Stockholm at 10:00 CET on October 20, 2016. To participate, please dial +46 (0) 8 5033 6434 (Sweden) or +44 (0) 8444933800 (UK) ten minutes prior to the start of the conference. The conference call will also be audio cast live on www.husqvarnagroup.com/ir (http://www.husqvarna.com/ir). A replay will be available later the same day. Contacts Jan Ytterberg, CFO, +46 8 738 90 77 Tobias Norrby, Investor Relations Manager, +46 8 738 93 35 This press release contains insider information that Husqvarna AB is required to disclose under the EU Market Abuse Regulation. The information was submitted for publication, through the contact person set out above, at 08.00 CET on October 20, 2016. Husqvarna Group Husqvarna Group is a world leading producer of outdoor power products for garden, park and forest care. Products include chainsaws, trimmers, robotic lawn mowers and ride-on lawn mowers. The Group is also the European leader in garden watering products and a world leader in cutting equipment and diamond tools for the construction and stone industries. The Group’s products and solutions are sold under brands including Husqvarna, Gardena, McCulloch, Poulan Pro, Weed Eater, Flymo, Zenoah and Diamant Boart via dealers and retailers to consumers and professionals in more than 100 countries. Net sales in 2015 amounted to SEK 36 billion and the Group has more than 13,000 employees in 40 countries.

Newer

Older

Scroll down for more posts ▼

Top 10 Most Recent News Articles

Multi-Society Panel Boosts Vaccine Guidance Clarity

Vaccination Confusion: Could Clarity Finally Be Here? Here's the scoop, folks. In the swirling mess of immunization advice, a coalition of top medical societies has thrown a lifeline to clinicians. If you're drowning in conflicting vaccine guidance, this panel's unified stance might just be your life raft. The Coalition Forces of Immunization We have the Vaccine Guidance...

Admetec Shines Bright with New High-Magnification Headlights

Admetec's Leap into Advanced Optical Solutions In the world of optical magnification, getting the right balance of visibility and comfort hasn't always been a straightforward journey. Now, Admetec, coming out of Haifa, Israel, is throwing a game-changer into the mix with their announcement of the Butterfly EVO+ and Orchid+ series. These ain't just any old headlights;...

YESLY's Big Splash: Sparkling Protein Water Debuts

Bubbles Meet Protein: YESLY's Latest Venture YESLY, that rising star in the functional beverage space, is shaking things up by unveiling its Sparkling Protein Water. It's a new, fizzy twist on protein consumption that's set to hit the shelves exclusively at 500 Sprouts Farmers Market locations. We're talking about the kind of splash that makes you sit up and wonder if the...

Chris Auffenberg Delivers Ford Blue Advantage Gains

Can't Ignore Ford's New Strategy in Pre-Owned Cars The auto industry may feel like a runaway train sometimes, and keeping up with the latest turns can be a headache. But here's something catching my eye: Chris Auffenberg Ford's new move with the Ford Blue Advantage certified pre-owned vehicles. It's not just any run-of-the-mill used car deal—this one's got some beef...

Major Donations Boost Mesothelioma Research Funding

Significant Boosts in Mesothelioma Support November's chill didn't slow down major support for mesothelioma initiatives. On October 22, 2026, during the grand setting of the Foundation's 2026 International Symposium on Malignant Mesothelioma in The Woodlands, Texas, MesoCare.org and Danziger & De Llano, LLP stepped up big time. Their philanthropic moves weren't just about...

Willig, Williams & Davidson Snags 2027 Best Law Firm Ranks

A Legal Behemoth With A Winning Streak Stirring the pot in the legal world once again, Willig, Williams & Davidson stands tall, garnering praise in the 2027 'Best Law Firms'. This outfit isn't just another suit in the game. With roots deep in labor, employment, and family law, they went ahead and snagged prestigious national and metro-level rankings. Now, I've chewed...

Apex Clean Energy's Data Breach: Class Action Looms

Data Breach Shakes Apex Clean Energy Well, here's a twist that's gonna ruffle some feathers in the green energy sector. Apex Clean Energy, a heavy hitter in the renewable energy game, finds itself in hot water after a reported data breach that’s got personal info blowing in the wind. Edelson Lechtzin LLP, seasoned in class action suits, is sniffing around for potential...

Jungbunzlauer Introduces Johan Westman to Its Board

A Strategic Addition to Jungbunzlauer’s Board In what feels like a significant move, Jungbunzlauer has roped in Johan Westman to join its Board of Directors. The man’s got pedigree—a CEO at AAK AB, a Swedish powerhouse dealing in plant-based oils, he's taking a seat at Jungbunzlauer’s table. So, what does this mean for Jungbunzlauer? Well, the potential for...

Corra Group Expands Global Hiring with Int'l Screening

Global Workforce, Global Challenges Jumping into the international hiring scene can feel like trying to piece together a puzzle with missing parts. You've got candidates with histories in every corner of the globe, each place following its own playbook. It's not like you can just run your standard checks and call it a day. Corra Group, stepping up to the plate, has now...

Bella Philly Steaks: Authentic Philly Flavors Nationwide

Bella Philly Steaks Hit the Shelves You've probably heard folks harp on about authenticity, like they're on some epic quest for the real deal. Well, Quality Steak, Inc. is tossing their hat into the ring with Bella Philly Steaks™, promising to deliver the classic Philadelphia cheesesteak experience straight to your freezer. Nothing like chomping into that marinated beef...