Continued strong execution
Third quarter
Net sales increased by 16% to
SEK 36,881 M (31,820), with organic growth of 1% (14) and acquired net growth of 11% (3). Exchange-rates affected sales by 4% (16).Good organic sales growth in Global Technologies and
Americas , stable organic sales in Entrance Systems, while organic sales declined inAsia Pacific and EMEIA.Ten acquisitions with combined annual sales of about
SEK 2,000 M were signed in the quarter.The operating margin (EBITA) was 16.7% (16.2).
Operating income1 (EBIT) increased by 16% and amounted to
SEK 5,777 M (4,973), with an operating margin of 15.7% (15.6).The operating margin1 (EBIT) excluding the acquisition of HHI and divestment of the
Emtek /U.S. Smart Residential business was record
high at 17.4%.Net income1 amounted to
SEK 3,656 M (3,552).Earnings per share1 amounted to
SEK 3.31 (3.20).Operating cash flow amounted to record high
SEK 7,177 M (4,520).
Sales and income
Third quarter | January-September | |||||||
2022 | 2023 | Δ | 2022 | 2023 | Δ | |||
Sales, SEK M | 31,820 | 36,881 | 16% | 87,878 | 103,746 | 18% | ||
Of which: | ||||||||
Organic growth | 3,741 | 144 | 1% | 10,351 | 3,259 | 4% | ||
Acquisitions and divestments | 857 | 3,733 | 11% | 790 | 7,079 | 8% | ||
Exchange-rate effects | 3,292 | 1,184 | 4% | 7,353 | 5,530 | 6% | ||
Operating income (EBIT)1, SEK M | 4,973 | 5,777 | 16% | 13,380 | 16,462 | 23% | ||
Operating margin (EBITA)1, % | 16.2% | 16.7% | 15.8% | 16.6% | ||||
Operating margin (EBIT)1, % | 15.6% | 15.7% | 15.2% | 15.9% | ||||
Income before tax1, SEK M | 4,736 | 4,876 | 3% | 12,756 | 14,774 | 16% | ||
Net income1, SEK M | 3,552 | 3,656 | 3% | 9,567 | 11,079 | 16% | ||
Operating cash flow, SEK M | 4,520 | 7,177 | 59% | 9,219 | 17,918 | 94% | ||
Earnings per share1, SEK | 3.20 | 3.31 | 3% | 8.61 | 9.99 | 16% |
1 Adjusted for items affecting comparability. Please see the section "Items affecting comparability" in the report for further details about the financial effects.
Comments by the President and CEO
Continued strong execution
I am happy to report continued strong execution despite weak residential construction markets. Our operating margin over the last twelve months, excluding the HHI-transaction, was 16.6% and for the quarter stood at a record 17.4%. During the third quarter, sales increased 16% with slower organic growth of 1% against high comparable, which was compensated by net acquired growth of 11% and currency effects of 4%. Global Technologies and
The operating profit excluding items affecting comparability increased strongly by 16% to
Strong long-term growth trends support sustainable profitable growth
We are part of a good industry with strong long-term growth drivers. Two interlinked long-term growth trends are sustainability and digitalization. There is an ever-increasing demand for more sustainable buildings. This drives increased demand for electromechanical products and solutions as they support the improved efficiency and sustainability of buildings. Our investments in more efficient access solutions supported by Environmental Product Declarations enable us to benefit from this trend. It is clear our investments pay off, organic sales growth for our electromechanical products and solutions in the current year-to-date was around 10%.
A number of important and strategic acquisitions
We have signed ten acquisitions in the third quarter, which means that as of
Even though residential construction is experiencing a difficult period, particularly in
Thank you for your continued trust in
President and CEO
Further information can be obtained from:
President and CEO, tel. no: +46 8 506 485 82
Erik Pieder,
Executive Vice President and CFO, tel.no: +46 8 506 485 72
Björn Tibell,
Head of Investor Relations, tel. no: +46 70 275 67 68,
e-mail: bjorn.tibell@assaabloy.com
It is possible to submit questions by telephone on: 08-505 100 31, +44 207 107 0613 or +1 631 570 5613
This information is information that
https://news.cision.com/assa-abloy/r/quarterly-report-q3-2023,c3860855
https://mb.cision.com/Main/7333/3860855/2383318.pdf
https://news.cision.com/assa-abloy/i/assa-abloy-,c3230062
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