“While still slightly down year-on-year, Q3 sales bounced back well, up 17 percent from Q2. Our ability to quickly adapt to dynamic market conditions and keep costs under control continues to be key in maintaining robust profitability, as Q3 EBIT margin improved almost one percentage point compared to last year."
- CEO Jens Birgersson
Highlights
- Sales in the year’s first nine months reached EUR 1,902 million, a decrease of 5.6 percent in local currencies including a 0.6 percent positive impact from the acquisitions of Parafon in Sweden and Bestofire in Singapore.
- In Q3 2020, sales reached EUR 670 million, a decrease of 2.3 percent in local currencies including a 0.6 percent positive impact from acquisitions. The decrease in reported figures was 5.1 percent.
- EBITDA margin for Q3 2020 at 21.7 percent, up 1.6 percentage points from last year due to positive pricing, lower raw material costs and cost reductions.
- EBIT in the first nine months was EUR 238 million, a decrease of 14.5 percent. At 12.5 percent, EBIT margin was down 1.1 percentage points from last year.
- EBIT in Q3 2020 was EUR 100 million, same level as last year, equal to 14.9 percent EBIT margin, up 0.8 percentage points compared to same period last year.
- Investments in the first nine months of 2020 excluding acquisitions reached EUR 243 million, down EUR 49 million compared to last year, primarily due to COVID-19 related delays in investment activities.
- Annualised return on invested capital ended at 17.7 percent compared to 21.8 percent last year, a decrease of 4.1 percentage points due to lower earnings and higher invested capital.
Outlook 2020
- Mid-single digit sales decline in local currencies.
- EBIT margin is now expected to be between 12 and 13 percent.
- Investment level is now expected to be below EUR 400 million excluding acquisitions.
