Strong growth and improved results
Fourth quarter of 2017
- Net sales increased 19% to MSEK 238.3 (200.9).
- EBIT rose 2% to MSEK 30.9 (30.3).
- EBIT margin amounted to 13.0% (15.1).
- Net income was MSEK 26.0 (21.7).
- Earnings per share amounted to SEK 2.60 (2.17).
- GARO acquired WEB-EL Försäljning AB in October 2017.
- GARO’s expanded factory in Poland was opened in November 2017.
- Net sales increased 21% to MSEK 796.0 (657.8).
- EBIT rose 14% to MSEK 98.1 (86.4*).
- EBIT margin amounted to 12.3% (13.1*).
- Net income was MSEK 85.6 (66.8*).
- Earnings per share amounted to SEK 8.56 (6.68*).
- The Board proposes a dividend for 2017 of SEK 4.00 per share (2.85).
- GARO acquired Emedius AB in February 2017.
Carl-Johan Dalin, President and CEO:
GARO continued its expansion and net sales increased 19% in the fourth quarter to MSEK 238.3, with a strong performance reported by the Sweden business area and the Other markets business area. EBIT in the fourth quarter was in line with the preceding year at MSEK 30.9, which was charged with investments in marketing and product development primarily in EV charging and costs for expanding production capacity in Sweden and Poland.
2017 was an eventful year for GARO featuring sustained strong growth and innovative product development. During the year, two strategic acquisitions were also made to increase capacity within the Project business and strengthen GARO's position as a leading player in connected charging solutions. Net sales increased 21% for the full-year to MSEK 796, with all product segments reporting a positive trend and EBIT rising 14% to MSEK 98.1. This healthy growth was the result of a strong construction market in Sweden and a general favorable trend in other markets, where we were successful in our product launches. In addition, we made key acquisitions in the form of Emedius AB at the start of the year and WEB-El Försäljning AB at the end of the year.
GARO has a positive outlook regarding market conditions for 2018. The construction market in Sweden remains favorable and overall we see continued high activity in our other markets. We see a continued strong performance in the EV charging product area and the expansion of charging infrastructure in all markets.
Gnosjö, 21 February, 2018
For more information, please contact:
Carl-Johan Dalin, President and CEO: +46 70 361 00 95
Lars Kvarnsund, CFO: +46 070 516 59 98
This information is such information that GARO aktiebolag is obligated to publish in accordance with the EU Market Abuse Regulation and the Swedish Securities Market Act. The information was published by the abovementioned contact persons on February 21, 2018, at 7:30 a.m.
GARO develops, manufactures and supplies innovative products and systems for the electrical installations industry under its own brand. The company has operations in Sweden, Norway, Finland, Ireland and Poland, and the Group is organized in two business areas: GARO Sweden and GARO Other markets. GARO has a broad product assortment and is a market leader within several product areas. The Group had sales of approximately MSEK 796 in 2017 and has around 376 employees. Its head office is located in Gnosjö.
The business concept is “with a focus on innovation, sustainability and design, GARO provides profitable complete solutions for the electrical industry.”