Interim report January-June 2015

This information is such that Inwido AB (publ) is obliged to publish in accordance with the Swedish Securities Market Act and/or Financial Instruments Trading Act. The information was submitted for publication on Friday 17 July 2015, at 07:45 CET.

Continued strong performance this year

Second quarter 2015

• Net sales rose to SEK 1,376 million (1,301), which represents an increase of 4 percent adjusted for currency effects
• Order bookings were in line with the year-earlier period 
• EBITA increased to SEK 180 million (121) after items affecting comparability of SEK 0 million (negative 29), and the EBITA margin grew to 13.1 percent (9.3)
• Operating EBITA increased to SEK 180 million (150) and the operating EBITA margin rose to 13.1 percent (11.6)
• Earnings per share, before and after dilution, increased to SEK 2.38 (0.38)
• In connection with the Annual General Meeting on 12 May, Sisse Fjelsted Rasmussen became a member of the Board of Directors of Inwido AB (publ)

January–June 2015

• Net sales rose to SEK 2,423 million (2,208), which represents an increase of 5 percent for comparable units, adjusted for currency effects
• Order bookings were up by 1 percent for com-parable units
• EBITA increased to SEK 209 million (51), after items affecting comparability of SEK 0 million (negative 104), and the EBITA margin grew to 8.6 percent (2.3)
• Operating EBITA increased to SEK 209 million (155) and the operating EBITA margin rose to 8.6 percent (7.0)
• Earnings per share, before and after dilution, increased to SEK 2.72 (negative 0.63)

The CEO comments;
"As we reached the halfway point of the year, this second quarter was one of Inwido’s strongest in terms of earnings and our best second quarter ever. Our operating profit of SEK 180 million equates to an increase of 20 percent on the same period in 2014. Sales increased by 4 percent, adjusted for currency, and the operating margin rose to more than 13 percent.

The quarter saw persistent significant variation in our different segments. Sweden and Denmark continued to be boosted by increased consumer market optimism and the strong trend at the beginning of the year persisted and gained momentum. We have also started to see clear results from our ongoing realignment work in Sweden which aims to increase exposure to the attractive consumer market. In Denmark, we are continuing to capture market share in a growing market. Underlying demand in Norway and Finland was weaker than expected, as were our sales in these markets. However, we are seeing positive effects from the efficiency improvements we have implemented in recent years, which helped raise margins and slightly improve the situation in Norway. In Finland, we have launched a cost saving programme, which will mainly impact earnings in 2016.

Overall, order booking development was in line with the corresponding quarter last year. Our strategic realignment towards the consumer market means that order growth is decreasing in less profitable segments, but is increasing in our priority customer segments. Sweden, Denmark and EBE experienced strong order bookings, while orders in Finland and Norway declined, reflecting the demand in these markets.

Mid-2015 marked the next step in our initiative to focus on online sales with the launch of our new e-Commerce business unit. Later this year, we will also be launching online sales in two new markets, Germany and Finland. The e-commerce initiative is part of a phase we are now entering that involves increased investments in a number of areas to create additional profitable growth. This will include a greater focus on product development and further strengthening of our position in smart solutions.

There is, of course, a possibility that we will be affected by increased fiscal uncertainty in Europe and stock market fluctuations in China, and we are therefore following these developments closely. But it has been a strong first six months for us compared with last year and we look ahead with a certain degree of confidence to the rest of 2015. 

MALMÖ, 17 JULY 2015

Håkan Jeppsson
 
President and CEO

Read the full report in the pdf attached

For more information, please contact:
Inwido AB
Håkan Jeppsson, President and CEO Phone: 46 (0)10-451 45 51 or 46 (0)70-550 15 17
Peter Welin, CFO Phone: 46(0)70-324 3190 or 46(0)10-451 45 52 E-mail: peter.welin@inwido.com

About Inwido
Inwido is Europe’s largest supplier of windows and doors. The company has operations in Denmark, Finland, Norway, Sweden, Austria, Estionia, Ireland, Lithuania, Poland and the UK, as well as exports to a large number of other countries. The Group markets some 20 strong local brands including Elitfönster, SnickarPer, Hajom, Hemmafönster, Outline, Tiivi, Pihla, Diplomat and Sokolka. Inwido has approximately 3,300 employees and generated sales of slightly more than SEK 4.9 billion in 2014. The Group's headquarters are located in Malmö, Sweden. For further information, please visit www.inwido.com

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