Interim report Q3 January – September 2014

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 Tuesday 28 October 2014, at 07:30.

Healthy growth and profitability 

July-September 2014

• Net sales rose to SEK 1,287 million (1,109), which represents an increase of 8% for comparable units, adjusted for currency effects
• Order bookings were up by 7% for comparable units
• EBITA increased to SEK 150 million (133), after items affecting comparability related to the listing process of a negative SEK 21 million (3), and the EBITA margin amounted to 11.6% (12.0)
• Operating EBITA increased to SEK 171 million (136) and the operating EBITA margin rose to 13.3% (12.3)
• Earnings per share, before and after dilution, increased to SEK 1.87 (1.44)
• The Inwido share (ticker symbol “INWI”) was listed on the NASDAQ Stockholm exchange on 26 September

January-September 2014

• Net sales rose to SEK 3,495 million (3,107), which represents an increase of 6% for comparable units, adjusted for currency effects
• Order bookings were up by 12% for comparable units
• EBITA amounted to SEK 201 million (219), after items affecting comparability of a negative SEK 125 million (5), and the EBITA margin amounted to 5.7% (7.0)
• Operating EBITA increased to SEK 325 million (224) and the operating EBITA margin rose to 9.3% (7.2)
• Earnings per share, before and after dilution, amounted to SEK 1.23 (1.94)
• Acquisitions of JNA and SPAR in Denmark

The CEO comments:

Inwido has performed well this year in terms of both growth and profitability. Sales saw organic growth of 8 percent and order bookings for comparable units rose by 7 percent in the third quarter. The order backlog for comparable units is now 16 percent higher than at the same point in 2013. Meanwhile, the initiatives we have been pursuing in recent years have significantly enhanced efficiency in our operations, which means that, since achieving volume growth we have seen a rapid improvement in earnings. Our operating profit (EBITA) rose to SEK 171 million for the quarter, resulting in an encouraging operating margin of 13.3 percent.

Our performance in the third quarter has varied across markets and distribution channels. Denmark is currently our strongest market. Alongside the fact that we have won market share, the acquisitions of JNA and SPAR have also made a positive contribution to both growth and earnings. In Sweden, it is primarily the industry market that is experiencing strong growth, while the Finnish market is characterised by persistently weak development, offset by the disappearance of a significant competitor and our subsequent increase in market share. The Norwegian market is performing slightly under par. The radical internal measures we implemented in Norway have in this respect produced the anticipated positive impact. The focus is now on increasing income. Developments on markets outside the Nordic region have been varied, with Ireland being a market that is performing extremely well for us. Generally speaking, competition remains fierce.

As regards our operating environment and the indicators that we monitor, we noted a somewhat increased uncertainty after the summer. We are seeing this in areas such as consumer confidence. Development in the Nordic region is divided, with Sweden and Denmark progressing in the right direction, albeit slowly, while the Finnish economy is being impacted by the crisis in Russia.

For our part, with winter, our quietest season, now approaching, we are, as usual, adjusting our production capacity and consequently also our costs. In addition, we are persisting with our continual work on long-term improvements in efficiency, new and smarter product solutions and our focus on the consumer, with the aim of bringing about profitable growth. 

MALMÖ, 28 OCTOBER 2014

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 innovative, environmentally adapted, wood-based window and door solutions. The company has operations in Sweden, Denmark, Finland, Norway, Poland, the UK, Austria and Ireland, 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 3,100 employees and generated sales of slightly more than SEK 4.3 billion in 2013. The Group's headquarters are located in Malmö, Sweden. For further information, please visit www.inwido.com

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