Interim report July - September 2015

"Earnings growth despite tougher markets"
“The third quarter was distinguished by weak organic sales growth, with the
market situation in general industry in the majority of geographic markets
losing further momentum compared with the first six months of the year. For
agriculture and oil/gas, the challenging market conditions persisted, which was
partially offset by effective cost control.

Operating profit reached its highest level for a third quarter, which is a sign
of strength in light of the prevailing weaker economic trend. The operating
margin also improved year-on-year, as a result of stringent cost control and
strong market positions, and achieved its highest level for a third quarter.

The TrelleborgVibracoustic joint venture performed well, with healthy organic
sales that outperformed the underlying market growth. The company achieved its
highest operating margin to date for a single quarter. Activities aimed at
preparing TrelleborgVibracoustic for a potential initial public offering are
progressing according to plan.

We are continuing our efforts to create growth through organic initiatives and
bolt-on acquisitions.
We are also intently focused on making it easy for customers to do business with
us. To achieve this, we need to be innovative and at the leading edge in the
application of new technology in our cooperation with customers. This, combined
with a focus on multi-dimensional innovation, forms the basis for increased
value generation and our position as a premium partner to our customers.

In Europe, the markets continued to show relatively large disparities between
the various regions and market segments. Overall, our organic sales trend in
Europe was lower compared with the year-earlier period in 2014. The trend was
also more subdued in other markets compared with the year-earlier period.

The low oil price and the weak performance of agricultural machinery has impeded
parts of the Group. In this area, we do not foresee any improvement in the next
few quarters. Other market segments, such as aerospace and the automotive
industries, are continuing to perform at a satisfactory level. It is assessed
that several customers have adapted their inventory levels as a result of the
higher degree of uncertainty and this is expected to continue in the fourth
quarter.

Our overall assessment is that demand will be on a par with, or slightly weaker,
than the third quarter. We are continuously monitoring developments and are
maintaining preparedness to adjust our various businesses to match fluctuating
demand”, says Peter Nilsson, President and CEO.

Third quarter
Net sales for the third quarter of 2015 increased by 6 percent (6) to SEK 5,975
M (5,618). Sales were the Group’s highest to date for a third quarter. Organic
sales declined by 3 percent (decline: 2). Effects of structural changes made a
positive contribution of 1 percent (pos: 2), while the effects of exchange rate
movements were a positive 8 percent (pos: 6).

Operating profit, excluding the participation in TrelleborgVibracoustic and
items affecting comparability, rose 9 percent to SEK 798 M (730), equivalent to
an operating margin of 13.4 percent (13.0). Both the operating profit and margin
were the Group’s highest to date for a third quarter.

Items affecting comparability for the quarter amounted to an expense of SEK 109
M (expense: 41), and is in line with communicated full-year levels.

Operating profit in the quarter for TrelleborgVibracoustic, excluding items
affecting comparability, increased 20 percent and amounted to EUR 45.9 M (38.4).
This corresponded to an operating margin of 9.8 percent (8.8). The operating
margin was the highest to date for the company for a single quarter.
Trelleborg’s participation in TrelleborgVibracoustic’s profit amounted to SEK
131 M after tax (110). Items affecting comparability amounted to an expense of
SEK 15 M (expense: 20), and is in line with communicated full-year levels.

Earnings per share rose 6 percent to SEK 2.28 (2.15).

The operating cash flow was SEK 766 M (899). During the third quarter of 2014, a
dividend of SEK 131 M was included from TrelleborgVibracoustic.


Market outlook for the fourth quarter of 2015
Demand is expected to be on a par with, or slightly weaker, than the third
quarter of 2015, adjusted for seasonal variations.

Market outlook from the interim report published on July 21, 2015, relating to
the third quarter of 2015
Demand is expected to be on a par with the second quarter of 2015, adjusted for
seasonal variations.

For further information, please contact:
Media: Vice President Media Relations Karin Larsson, +46 (0)410 67015, +46
(0)733 747015, karin.larsson@trelleborg.com
Investors/analysts: Vice President IR Christofer Sjögren, +46 (0)410 67068, +46
(0)708 665140, christofer.sjogren@trelleborg.com

This is information of the type that Trelleborg AB (publ) is obligated to
disclose in accordance with the Swedish Securities Exchange and Clearing
Operations Act and/or the Financial Instruments Trading Act. The information was
issued for publication on Thursday, October 22, 2015, at 07:45 CET.
Trelleborg is a world leader in engineered polymer solutions that seal, damp and
protect critical applications in demanding environments. Its innovative
engineered solutions accelerate performance for customers in a sustainable way.
The Trelleborg Group has annual sales of about SEK 22 billion in over 40
countries. The Group comprises five business areas: Trelleborg Coated Systems,
Trelleborg Industrial Solutions, Trelleborg Offshore & Construction, Trelleborg
Sealing Solutions and Trelleborg Wheel Systems. In addition, Trelleborg owns 50
percent of TrelleborgVibracoustic, a global leader within antivibration
solutions for light and heavy vehicles, with annual sales of approximately SEK
16 billion in about 20 countries. The Trelleborg share has been listed on the
Stock Exchange since 1964 and is listed on Nasdaq Stockholm, Large Cap.
www.trelleborg.com