Alfa Laval AB (publ) Interim report April 1 - June 30, 2011

“The demand continued to develop positively during the second quarter of the year. All business segments and regions reported growth. The order intake increased 32 percent compared to the corresponding period last year to SEK 7.4 billion, where large orders constituted more than SEK 500 million. Recently acquired Aalborg Industries contributed with SEK 400 million. The fast growing regions Eastern Europe, Latin America and Asia accounted for 50 percent of the order intake for the Group.
High energy prices and investments in renewable energy resulted in a high activity level in Energy & Environment. At the same time strong growth was noted for Food Technology from breweries as well as vegetable oil plants in the fast growing regions of the world. In Process Industry the growth was strong, amongst others within refinery and petrochemicals.
Sales increased by 23 percent to SEK 7.0 billion at the same time as the operating result was SEK 1.3 billion, corresponding to an operating margin of 19.0 percent.”
Lars Renström, President and CEO

Summary: second quarter
Order intake increased by 32 percent* to SEK 7,424 (6,267) million.
Net sales increased by 23 percent* to SEK 7,033 (6,359) million.
Adjusted EBITA was SEK 1,335 (1,192) million.
Adjusted EBITA-margin was 19.0 (18.7) percent.
Result after financial items was SEK 1,175 (1,147) million.
Net income was SEK 811 (838) million.                                        
Earnings per share was SEK 1.92 (1.97).
Cash flow from operating activities was SEK 1,432 (892) million.
Impact on EBITA of foreign exchange effects was SEK -189 (105) million.
Impact on result after financial items of:
- Aalborg integration costs was SEK -80(-) million
- reversed restructuring provisions was SEK - (80) million

Summary: first six months
Order intake increased by 35 percent* to SEK 13,879 (11,356) million.
Net sales increased by 21 percent* to SEK 12,932 (11,740) million.
Adjusted EBITA was SEK 2,469 (2,204) million.
Adjusted EBITA-margin was 19.1 (18.8) percent.
Result after financial items was SEK 2,182 (2,047) million.
Net income was SEK 1,537 (1,453) million.                                        
Earnings per share was SEK 3.63 (3.42).
Cash flow from operating activities was SEK 1,870 (1,899) million.
Impact on EBITA of foreign exchange effects was SEK -274 (200) million.
Impact on result after financial items of:
- Aalborg integration costs was SEK -80(-) million
- reversed restructuring provisions was SEK - (80) million.

* excluding exchange rate variations

Outlook for the third quarter

“We expect demand during the third quarter 2011 to be higher than the third quarter of 2010.”

Earlier published outlook (April 27, 2011): “We expect demand during the second quarter 2011 to be somewhat higher than the second quarter of 2010.”


The interim report has not been subject to review by the company’s auditors.

For more information, please contact:

Peter Torstensson, Senior Vice President, Communications
Phone: +46 46 36 72 31
Mobile: +46 709 33 72 31
peter.torstensson@alfalaval.com

Gabriella Grotte, Investor Relations Manager
Phone: +46 46 36 74 82
Mobile: +46 709 78 74 82
gabriella.grotte@alfalaval.com

Alfa Laval AB (publ)
PO Box 73
SE-221 00 Lund
Sweden
Corporate registration number: 556587-8054

Alfa Laval AB (publ) discloses the information provided herein pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 08.30 CET on July 19, 2011.