Second quarter
- Net sales decreased by 31% to
SEK 1,406 M (2,044) -
The underlying operating result amounted to
SEK 33 M (291) -
The operating result amounted to
SEK 26 M (313), including inventory gains and losses ofSEK -7 M (22) -
Result after tax amounted to
SEK 19 M (251) -
Cash flow from operating activities increased to
SEK 132 M (127) -
Earnings per share amounted to
SEK 1.47 (19.30) -
A new credit agreement has been signed with a credit facility of
SEK 775 M
Statement from the CEO
Reduced demand, mainly from the construction industry, led to a decrease in net sales of 31% during the second quarter to
The reason for the weak result is, as in the last quarter, a decline in tonnage of 18% and a price reduction of 17% compared to the second quarter last year which pushed down the gross margin.
The Group´s main operations in
Outlook
Spot prices for long products fell somewhat in the second quarter and are expected to remain relatively stable from the current level in the third quarter. Flat products rose in the first quarter, peaking in April and then falling again. The price level in the third quarter is expected to be in line with the current price level, which is confirmed by analyst firms.
Demand in the third quarter is expected to overall be in line with the second quarter, adjusted for the holiday period. Given the tight market conditions, the gross margin is expected to remain under pressure.
Investment in the future
Decided investments are running according to plan and the fully automated saw and machining line for long products at
In addition, decision has been made to invest in a transition to water-based paint at the Norrköping facility. The investment is of a minor nature but an important piece of the puzzle in our sustainability work. The investment leads to a significant increase in capacity, which strengthens the company's offering in the form of shorter lead times. The project will be completed by the end of the year.
In May, it was announced that we had signed a cooperation agreement with SSAB regarding fossil-free steel for the Finnish market and in June, a new long-term credit agreement of
For further information, please contact:
Tel: +46 706 53 76 55, email: peter.andersson@begroup.com
Christoffer Franzén, CFO
Tel: +46 705 46 90 05, email: christoffer.franzen@begroup.com
This information is information that
https://news.cision.com/be-group-ab/r/be-group-interim-report-january---june-2023,c3804460
https://mb.cision.com/Main/1831/3804460/2186426.pdf
https://mb.cision.com/Public/1831/3804460/936ee56ab8e8dc82.pdf
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