07.21.17
ASSA ABLOY reports its results from second quarter 2017. Net sales were SEK 19,387 million ($2.34 billion), an increase of 8%. Good growth was shown by EMEA, Americas, Global Technologies and Entrance Systems and negative growth by Asia Pacific.
Contracts have been signed for the acquisition of five companies with expected combined annual sales of about SEK 900 million ($108 million). Operating income (EBIT) increased by 7% to SEK 3,114 milion ($375 million). The operating margin was 16.1%. Operating cash flow increased by 2% to SEK 2,575 million ($310 million).
“The second quarter was another good quarter for ASSA ABLOY,” said Johan Molin, president and CEO. “Organic growth was 2% because of the fewer working days resulting from Easter during the quarter. This means that we have an organic growth of 4% for the first half-year. Sales in North America continued to develop well. In Europe the underlying demand is good but we have not seen any appreciable improvement. Sales in China fell once again, and disappointingly they also continued to decrease in Brazil and in the Middle East.
“It is pleasing to see that our investments in software solutions to support architects and others who specify door solutions are leading to more inquiries and increased sales,” Molin continued. “It is also very gratifying that we are launching so many new and exciting products, primarily electronic and digital solutions. One example is a new smart handle for inner doors which provides full RFID compatibility and can be installed and integrated cost-effectively with virtually all access control systems on the market, but can also be used as a free-standing unit.”
Contracts have been signed for the acquisition of five companies with expected combined annual sales of about SEK 900 million ($108 million). Operating income (EBIT) increased by 7% to SEK 3,114 milion ($375 million). The operating margin was 16.1%. Operating cash flow increased by 2% to SEK 2,575 million ($310 million).
“The second quarter was another good quarter for ASSA ABLOY,” said Johan Molin, president and CEO. “Organic growth was 2% because of the fewer working days resulting from Easter during the quarter. This means that we have an organic growth of 4% for the first half-year. Sales in North America continued to develop well. In Europe the underlying demand is good but we have not seen any appreciable improvement. Sales in China fell once again, and disappointingly they also continued to decrease in Brazil and in the Middle East.
“It is pleasing to see that our investments in software solutions to support architects and others who specify door solutions are leading to more inquiries and increased sales,” Molin continued. “It is also very gratifying that we are launching so many new and exciting products, primarily electronic and digital solutions. One example is a new smart handle for inner doors which provides full RFID compatibility and can be installed and integrated cost-effectively with virtually all access control systems on the market, but can also be used as a free-standing unit.”