Interim report, January - September 2000

- Invoiced sales: SEK 6,851 million (6,748)

- Operating earnings: SEK 529 million (441)

- Earnings after financial items and minority share: SEK 438 million (367)

- Earnings per share after full tax: SEK 10.47 (8.72)


The Group’s inflow of orders amounted to SEK 7,312 million (7,213). This represents an increase of 2 percent for the current structure of the Group after adjustment for the effects of exchange rate movements.

Invoiced sales amounted to SEK 6,851 million (6,748), a rise of 4 percent after adjustment for the effects of exchange rate movements. Company acquisitions/disposals account for 3 percentage points of this figure.

Operating earnings amounted to SEK 529 million (441), providing an operating margin of 7.7 percent (6.5). Cardo Pump's earnings were lower than last year, while Cardo Door's and Cardo Rail's improved. Operating earnings have been boosted by SEK 69 million this year in respect of a pension refund and were boosted by SEK 38 million in 1999 in respect of a reversed warranty provision. Excluding these non-recurring items, operating earnings rose by 14 percent.

Earnings after financial items were SEK 443 million (372), providing a profit margin of 6.5 percent (5.5). Earnings after financial items and minority share rose to SEK 438 million (367). Earnings per share after full tax during the period amounted to SEK 10.47 (8.72).

Exchange rate movements are estimated to have had a marginally adverse impact on Group earnings.

Return on capital employed was 20.1 percent (20.4) for the twelve-month period ended September 30. Return on equity during the same period amounted to 21.9 percent (21.9).

Cash flow from operations amounted to SEK 13.27 (16.80) per share after tax. Adjusted for the effects of exchange rate movements on the change in working capital, cash flow after tax was SEK 14.60 (14.74) per share.