Interim report January–June 2016

Strong profitability during the quarter

Quarter 2

• Incoming orders amounted to SEK 726.5m (812.2), which organically is a decrease of 10.3% compared with the same period last year.
• Net sales amounted to SEK 770.5m (775.5), which organically is a decrease of 0.2% compared with the same period last year.
• Operating profit was SEK 65.4m (64.3). The operating margin was 8.5% (8.3).
• Net profit was SEK 43.1m (38.9).
• Earnings per share were SEK 3.69 (3.33).

January-June

• Incoming orders amounted to SEK 1,465.3m (1,592.9), which organically is a decrease of 7.6 % compared with the same period last year.
• Net sales amounted to SEK 1,495.2m (1,502.7), which organically is a decrease of 0.7 % compared with the same period last year.
• Operating profit was SEK 96.2m (102.4). The operating margin was 6.4% (6.8).
• Net profit was SEK 63.2m (62.8).
• Earnings per share were SEK 5.41 (5.37).

CEO’s comments
”The quarter has been challenging in terms of orders received which totalled SEK 727 million, corresponding to an organic growth of -10.3 %. The low orders received is primarily due to the time lag in major projects in North America, which resulted in no major orders booked in this market during the quarter. The number of projects tendered for in North America is still at a good level, but it is difficult to predict when these projects will be taken forward.

APAC has shown a continued positive trend in orders received during the quarter, above all in China. We are prepared to invest in Asia but recognise at the same time that profitability in the business segment is not satisfactory. As stated previously, we are therefore implementing measures to further review our operations in the region and to adapt our offering to a greater extent to the market conditions. These measures have already given rise to some improvement during the quarter.

Within the EMEA region, core business continued well. Adjusted for the order received for an aluminium smelter in the UK during Q2 2015, order value SEK 30 million, then the order book has grown organically by around 6%, which is pleasing. In addition, profitability continued to be boosted in the EMEA region, which makes this the most profitable quarter ever and this is largely related to the efficiency programmes that have been carried out.

Profitability in the group has continued to develop positively during the quarter driven by better volume and good development of gross margins. Cash flow from operations during the second quarter of the year has also been satisfactory.”

Sven Kristensson, CEO

 
Further information can be obtained from
Sven Kristensson, CEO
Telephone +46 (0)42-18 87 00
e-mail: sven.kristensson@nederman.com

Stefan Fristedt, CFO
Telephone +46 (0)42-18 87 00
e-mail: stefan.fristedt@nederman.com


For further information, see Nederman’s website www.nedermangroup.com

 
This information is information that Nederman is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Markets Act. The information was submitted for publication on 12 July 2016 at 8 am.


Facts about Nederman

Nederman is one of the world's leading companies supplying products and systems in the environmental technology sector focusing on industrial air filtration and recycling. The company's solutions are contributing to reducing the environmental effects from industrial production, to creating safe and clean working environments and to boosting production efficiency.

Nederman's offering encompasses everything from the design stage through to installation, commissioning and servicing. Sales is performed through subsidiaries in 25 countries and agents and distributors in over 30 countries. Nederman develops and produces in its own manufacturing and assembly units in Europe, North America and Asia.

The Group is listed on the Nasdaq OMX, Stockholm Mid Cap list; it has about 1,900 employees and a turnover of about SEK 3 Billion.

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