Interim report January-September 2017
Quarter 3, 2017
- Incoming orders amounted to SEK 761.0m (696.6), which organically is an increase of 11.6 percent compared with the same period last year.
- Net sales amounted to SEK 768.7m (792.0), which organically is a decrease of 0.8 percent compared with the same period last year.
- Operating profit was SEK 69.3m (68.6), giving an operating margin of 9.0 percent (8.7).
- Net profit was SEK 42.9m (47.9).
- Earnings per share were SEK 3.67 (4.09).
January - September 2017
- Incoming orders amounted to SEK 2,341.5m (2,161.8), which organically is an increase of 6.8 percent compared with the same period last year.
- Net sales amounted to SEK 2,288.5m (2,287.2), which organically is a decrease of 1.6 percent compared with the same period last year.
- Operating profit was SEK 179.0m (164.8), giving an operating margin of 7.8 percent (7.2).
- Net profit was SEK 113.1m (111.0).
- Earnings per share were SEK 9.68 (9.49).
” The third quarter 2017 was another positive quarter for Nederman with a good order intake, improved profitability and a strong and stable cash flow. Order intake totaled SEK 761.0m (696.6), equivalent to an organic growth of 11.6 percent. Sales amounted to SEK 768.7m (792.0). Sales were somewhat lower than the comparative quarter in 2016, but the order backlog at the end of the quarter is higher than at the same point last year. Group operating profit for the quarter was SEK 69.3m (68.6), corresponding to an operating margin of 9.0 percent (8.7).
The positive development in order intake was achieved again through growth across all divisions with particularly good performance in APAC where order intake grew organically by 18 percent. It is also pleasing to note that the positive development in the Americas continued in the third quarter of the year with an increase in order intake of just over 14 percent.
In EMEA, the solid development continued with an organic growth in orders of just over 7 percent.
The European market is showing continued signs of recovery, evident in among other things good project sales in the quarter and continued stable development of core business with sales of products and smaller systems.
In the Americas, the market situation continues to be characterised by uncertainty with prolonged decision-making processes, although the positive undertones are strengthening in the USA with order intake from projects that are at a higher level than in 2016. Canada had a strong order intake in regards to both major projects and within the core business.
Mexico and Brazil posted a weaker third quarter although Brazil is beginning to show signs of a more stable performance for the last quarter of the year.
APAC had a good third quarter with good organic order growth and continued improvement of profitability. The Chinese market is beginning to show positive signs. During the quarter, Nederman won an order for an incineration plant for hazardous waste. This deal is the first of its kind for Nederman in China and the project has been a collaboration between Nederman EMEA, which has significant expertise within this field, and Nederman APAC.
In Australia, the positive vibe from the second quarter continued while the business situation in India has weakened as a result of the new indirect tax (GST) which has been introduced throughout the country.
Overall, the third quarter of the year was a good quarter for Nederman with good growth in order intake, profitability and cash flow. The order backlog is now at a higher level than at the corresponding time in 2016, which means that we continue to have a positive outlook for the full year 2017.
Nederman’s ambitious drive to adopt a leading position in digitalisation of our solutions continued during the third quarter of the year. For further information, see page 6.”
Sven Kristensson, CEO
For further information, please contact:
Sven Kristensson, CEO
Telephone: +46 42 18 87 00
Matthew Cusick, CFO
Telephone: +46 42 18 87 00
This information is information that Nederman Holding AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 a.m. CET on October 18, 2017.
Facts about Nederman
The Nederman Group is a world-leading supplier and developer of products and solutions within the environmental technology sector. We filter, clean and recycle in demanding industrial environments.
Clean air is a cornerstone for sustainable production and Nederman’s products and solutions improve production efficiency, reduce environmental impact and protect employees from harmful dust, smoke and fumes. The Nederman Group is listed on Nasdaq Stockholm. The Group has 1800 employees and is present in more than 50 countries. Learn more at nedermangroup.com
Nederman Holding AB (publ), P.O. Box 602, SE-251 06 Helsingborg, Sweden.
Corporate registration number: 556576-4205