Interim report January–March 2013

Net sales for the first quarter amounted to SEK 2,804 million (2,934). Organic
growth was a negative 2 per cent (neg: 10). No restructuring costs (12) impacted
operating profit for the quarter. Operating profit excluding restructuring costs
amounted to SEK 62 million (22), corresponding to an operating margin of 2.2 per
cent (0.7). Profit after tax including restructuring costs was SEK 25 million
(loss: 12), corresponding to earnings per share of SEK 0.15 (loss: 0.07).
Operating cash flow was negative SEK 53 million (neg: 217).
Nobia’s first-quarter sales were adversely affected by the low market activity
in all regions. The markets in the Nordic and Continental Europe regions
weakened, while the UK market grew, albeit from a low level.
Sales fell 2 per cent organically. Currency effects had a negative impact of SEK
121 million (35).
The gross margin rose to 39.9 per cent (39.0), positively affected by price
increases, an improved sales mix and productivity improvements.
Operating profit excluding restructuring costs improved on the basis of the
strengthened gross margin and as a result of cost savings.
Currency effects had an impact of approximately SEK 0 million (0) on operating
profit excluding restructuring costs, of which 0 million (0) in translation
effects and SEK 0 million (0) in transaction effects.
The return on capital employed including restructuring costs was negative 4.3
per cent over the past twelve-month period (Jan-Dec 2012: neg: 5.3).
Operating cash flow improved, primarily as a result of a positive change in
working capital, lower restructuring payments and higher earnings generation.
Comments from the CEO
“The first quarter, which is a seasonally comparatively weak quarter, was
impacted by low demand and fewer delivery days than in the preceding year. A
negative organic sales trend in the Nordic region could be partly offset by the
positive performance in the UK and Continental Europe. The number of employees
was reduced and we are continuing to be proactive in adapting our staffing
levels. The gross margin improved and work on enhancing the efficiency of the
production is making progress. The relocation of Hygena’s production to the UK
is proceeding according to plan and the continuing operations in Stemwede were
divested today, 30 April. These measures are expected to increase the Group’s
earnings by about SEK 25 million and reduce sales by approximately SEK 380
million per year,” says Morten Falkenberg, President and CEO.
For further information
Please contact any of the following on: +46 (0)8 440 16 00 or +46 (0)705 95 51
00:
Morten Falkenberg, President and CEO
Mikael Norman, CFO
Lena Schattauer, Head of Investor Relations