Lindab reports that net sales for the first quarter 2006 reached SEK 1,494 million, achieving an operating profit (EBITA) of SEK 85 million. This constitutes a considerable increase compared to the same period in 2005 when the operating profit amounted to SEK 20 million.

 

The improved profit is explained by an ongoing cost-effeciency programme within the Ventilation business area, additional profit from the recently acquired company, Astron, as well as strong underlying demand.

 

Lindab operates within two business areas, Ventilation and Profile. The Ventilation business area focuses on the ventilation industry, offering both components and system solutions, whereas the Profile business area focuses on the construction industry, offering an extensive range of building components and complete building systems. The largest profit increase for the first quarter comes from Ventilation, although Profile is growing both sales and profit too.

 

"We have implemented a cost-efficiency programme within the Ventilation business area, which is now showing a positive effect on profits, " says CEO, Kjell Åkesson.

 

"Last year's acquisition of Astron Buildings S.A., has given us the leading edge within pre-engineered steel construction throughout Europe and the developments are very positive," says Kjell.

 

"Since our business depends on the construction, renovation and maintenance business, the prolonged winter in Scandinavia and Eastern Europe has hit us hard during the first quarter. Despite this, figures are good. The underlying demand is strong in Eastern Europe and we have decided to expand even further eastwards " concludes Kjell Åkesson.