Interim report 1 January-30 September 2017

Third quarter

• Order intake rose 15% to SEK 3,532 million (3,082). For comparable units  the increase was 7%.
• Net sales rose 14% to SEK 3,633 million (3,176). For comparable units  the increase was 7%.
• Operating profit before amortisation of intangible non-current assets attributable to acquisitions (EBITA) rose 19% to SEK 450 million (377), corresponding to an EBITA margin of 12.4% (11.9%).
• Profit for the quarter rose 23% to SEK 293 million (239), corresponding to earnings per share of SEK 2.43 (1.99).

1 January – 30 September 2017

• Order intake rose 17% to SEK 11,156 million (9,570). For comparable units  the increase was 7%.
• Net sales rose 15% to SEK 10,915 million (9,456). For comparable units  the increase was 6%.
• Operating profit before amortisation of intangible non-current assets attributable to acquisitions (EBITA) rose 20% to SEK 1,314 million (1,093), corresponding to an EBITA margin of 12.0% (11.6%).
• Profit for the quarter rose 25% to SEK 857 million (687), corresponding to  earnings per share of SEK 7.12 (5.73).

CEO's comments

Strong organic growth and improved margins.

Third quarter

The market situation was stable during the quarter. Demand in Europe is developing well, particularly in all of the Nordic countries as well as in Benelux and Germany. However there is some uncertainty in the UK due to Brexit, but thus far this has not had any major impact on our companies’ business situation.

Demand in most sectors and market segments is favourable. The measurement technology area continues to develop favourably, but is facing a challenge in the form of high capacity utilisation among our own companies as well as among customers and suppliers.

Continued strong demand combined with our companies’ competitiveness and development work resulted in a 15% rise in order intake and a 14% increase in invoicing during the quarter. I am also happy that we had organic growth of 7% in both order intake and invoicing.

Our companies are working continuously to strengthen their profitability and we improved EBITA by 19%, of which 12% was organic, to SEK 450 million (377), corresponding to an EBITA margin of 12.4% (11.9%). 

All of our business areas performed well during the period, and our companies are doing a tremendous job. Flow Technology, which had a relatively low EBITA margin for a period, continues to be negatively affected by companies in the weak marine segment. Excluding these businesses the EBITA margin was close to the level that applies for the Group as a whole, however.

Indutrade has historically been very successful at acquiring well managed and profitable companies, and of the more than 200 companies in the Group, there are only a handful of businesses in which we have profitability problems. We are working actively to remedy these.


We carried out ten acquisitions during the first nine months of the year, and in November we intend to complete our second direct investment in Germany with the acquisition of Inovatools. The company develops and manufactures quality metalcutting tools and has annual sales of approximately SEK 320 million, with the potential for continued profitable growth internationally. In addition, Inovatools strengthens our base in Germany and creates conditions for further acquisitions there.   

Our acquisition ambitions remain high, and we have a strong platform to work from, based on a solid reputation as an owner. In addition we have a continued good inflow of acquisition candidates.

We will also be strengthening the team that works with acquisitions in order to proactively manage succession and our ability to handle more projects going forward.


Based on a stable business climate and good underlying demand, combined with focused development work out in the Group’s companies, we have good prospects for continued profitable growth.

Bo Annvik, President and CEO

This report will be commented upon as follows:

Through a conference call/webcast today at 3 p.m. (CET) under the following link:

To participate, call: SE: +46 8 566 426 65 UK: +44 203 008 98 10 US: +1 855 831 59 45

For further information, please contact:

Bo Annvik, President and CEO, tel. +46 8 703 03 00.

About Indutrade

Indutrade markets and sells components, systems and services with a high-tech content to industrial customers in selected niches. Indutrade’s business is distinguished by the following factors, among others:

- High-tech products for recurring needs

- Growth through a structured and tried-and-tested acquisition strategy

- A decentralised organisation characterised by an entrepreneurial spirit

The Group is structured into six business areas: Engineering & Equipment, Flow Technology, Fluids & Mechanical Solutions, Industrial Components, Measurement & Sensor Technology and Special Products.

The Group’s financial targets (per year across a business cycle) are to grow by a minimum of 10%, to attain a minimum EBITA margin of 10% and a minimum return on operating capital of 20%.

About Us

Indutrade markets and sells components, systems and services with a high-tech content in selected niches. The business has two main focuses - companies engaged in industrial technology sales and companies that manufacture their own products. The Group's fundamental governing principle is based on decentralisation of decision-making and responsibility. The organisation is distinguised by entrepreneurship and technical niche expertise combined with a well-balanced spread of risk with respect to customers, products, suppliers, industries and geographic markets. Indutrade is organised into eight business areas; – Benelux– DACH– Finland– Flow Technology– Fluids & Mechanical Solutions– Industrial Components– Measurement & Sensor Technology– UK Indutrade’s sales totalled SEK 16,848 million in 2018, generating operating income of SEK 2,087 million before depreciation of intangible assets. Indutrade is listed on Nasdaq Stockholm.


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