Swedish household appliance manufacturer Electrolux announced on Friday that it expects a loss for the fourth quarter, mainly due to difficulties in North America.

The group anticipates an operating loss, excluding non-recurring items, of around SEK 700 million in the last three months of 2023, compared with a loss of SEK 600 million a year earlier.

The operating loss from the North American branch alone is expected to increase to SEK 1.4 billion, compared with SEK -1.2 billion in the fourth quarter of 2022.

In its press release, Electrolux explains that it has been penalized by increased pressure on sales prices and high costs, but also by lower business volumes following a disappointing Black Friday season.

Fourth-quarter net sales are thus expected to come in at around 35.6 billion crowns, representing organic year-on-year growth of around 1%.

Taking into account exceptional charges, notably related to restructuring in North America, the fourth-quarter loss is expected to come in at 2.5 billion, compared with -1.4 billion a year earlier.

On the stock market, the Electrolux share suffered from this warning, falling by more than 5% in late trading on Friday in Stockholm.

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