Interim report January-October 2011

Demand remained favorable during the quarter. Invoicing in comparable units rose 15 percent. All three subsidiaries grew organically, with the highest growth reported by Habia. Order bookings in comparable units rose 9 percent.

The increase in volumes had a positive impact on profitability, while higher prices for input materials and price pressure in certain customer segments resulted in weaker margins. Profit after financial items amounted to MSEK 105.3 (100.2) for the quarter.

• Net revenues amounted to MSEK 697 (575) for the third quarter and MSEK 2,162 (1,671) for the January-September period
• Profit after financial items amounted to MSEK 105.3 (100.2) for the third quarter and MSEK 337.1 (303.8) for the January-September period
• The operating margin was 15.6 percent (17.8) for the third quarter and 16.0 percent (18.6) for the January-September period
• Earnings per share totaled SEK 2.47 (2.39) for the third quarter and SEK 8.05 (7.40) for the January-September period
• The balance sheet remained strong and the net debt/equity ratio was 1.2 percent (neg: 3.6)

Lesjöfors

During the January-September period, order bookings amounted to MSEK 1,100 (957), up 15 percent. Invoicing rose 16 percent to MSEK 1,087 (934). In comparable units, order bookings increased 5 percent and invoicing 7 percent. Adjusted for currency effects, order bookings in comparable units rose 9 percent and invoicing 10 percent. Operating profit amounted to MSEK 276.0 (274.0).

Habia Cable

During the January-September period, Habia’s order bookings amounted to MSEK 527 (414), up 27 percent. Invoicing rose 25 percent to MSEK 503 (404). Adjusted for currency effects, order bookings increased 36 percent and invoicing 33 percent. Operating profit totaled MSEK 43.2 (31.1).

Habia experienced favorable demand from the telecom sector and engineering industry. The year has been turbulent in terms of purchasing plastic used as an insulating material in the company’s products. High demand combined with a fall in production after the catastrophic earthquake in Japan resulted in a material shortage and major price increases. The situation has stabilized since the summer.

Beijer Tech

During the January-September period, order bookings and invoicing amounted to MSEK 571 (478), up 19 percent. The increase in comparable units was 13 percent. Operating profit totaled MSEK 45.8 (33.4).

Demand remained favorable for both business areas. The Industrial Products business area, which is in a somewhat later phase of the business cycle, has had the highest growth rate this year. The acquisition of Karlebo Gjuteriteknik AB was completed at the beginning of the fourth quarter. Karlebo, which has annual revenues of MSEK 50, will be consolidated as of October.