BE Group – positive margin trend in Q1
• Net sales fell by 5 percent in the first quarter compared with the year-earlier period, amounting to SEK 1,436 M (1,519). Shipped tonnage decreased by 1 percent.
• The operating result weakened to SEK 35 M (45), while underlying operating result amounted to SEK 43 M (47).
• Profit after tax was SEK 19 M (23).
• Earnings per share amounted to SEK 0.38 (0.46).
• During the quarter, BE Group secured its largest production service order to date. BE Group has been assigned by Volvo Construction Equipment as the principal partner for plate processing for Volvo’s Arvika facility.
The President of BE Group, Roger Johansson, made the following comments on the report for the first quarter of 2012:
“We did not manage to reach the same figures we achieved a year ago. But compared to the end of 2011, we see a positive development in the first quarter of 2012. The start of 2012 was still pervaded by caution, although demand gradually improved over the quarter.
In Sweden and Finland, margins have strengthened and the ongoing program of measures has had the desired effect, even though the Polish and Czech operations continue to burden the results.
Finally, we can affirm that our investments in advanced production services are now starting to generate positive effects. The order from Volvo Construction Equipment is a direct result of these efforts and is an important step on the path towards an increased proportion of service sales.
In general, the customer market continues to be pervaded by a short-term view. Based on dialogs with customers, we expect an improved demand in the second quarter. At the same time, we see sales prices rising during the start of the quarter.”
For further information, please contact:
Roger Johansson, President and CEO
tel.: +46 (0)733 188 758 e-mail: roger.johansson@begroup.com
Torbjörn Clementz, CFO and Executive Vice President
tel.: +46 (0)708 690 788 e-mail: torbjorn.clementz@begroup.com
Today, at 09:00 a.m. CET, Roger Johansson and Torbjörn Clementz will comment on development at a conference with market analysts and the press. The conference may be followed via webcast or by phone (see information below).
If you wish to participate via webcast and/or ask questions at the press conference, please copy and paste the following link into your web browser to register online. Make sure to include the full link.
http://storm.zoomvisionmamato.com/player/begroup/objects/na3cmt6h/
The following telephone numbers can be used to participate in the presentation:
Sweden: +46 (0)8 505 598 53
UK: +44 203 043 24 36
US: +1 866 458 40 87
The information disclosed here is such that BE Group AB (publ) is required to disclose pursuant to the Swedish Securities Exchange and Clearing Operations Act and/or the Swedish Financial Instruments Trading Act. This information was submitted for publication on April 25, 2012 at 07.45 a.m. CET.
BE Group, listed on the NASDAQ OMX Stockholm exchange, is a trading and service company in steel and other metals. BE Group provides various forms of service for steel, stainless steel and aluminium applications to customers primarily in the construction and engineering sectors. In 2011, the Group reported sales of SEK 5.9 Bn. BE Group has slightly more than 900 employees in ten countries, with Sweden and Finland as its largest markets. The head office is located in Malmö, Sweden. Read more about BE Group at www.begroup.com
Tags: