10.22.17
During the third quarter of 2017, ASSA ABLOY's net sales increased by 3% to SEK 18,499 million ($2.266 billion), with organic growth of 3% and acquired growth of 2%.
Strong growth was shown by Global Technologies and good growth by EMEA, Americas, Entrance Systems and Asia Pacific, despite weak results in China.
Contracts have been signed for the acquisition of five companies with expected combined annual sales of about SEK 1,200 million ($145 million). Global Technologies’ project business, AdvanIDe, has been sold. The business had annual sales of about SEK 1,250 million ($153 million).
Operating income (EBIT) increased by 2% to SEK 3,080 million ($377 million). The operating margin was 16.7%. Operating cash flow decreased by 6% to SEK 2,654 million ($325 million).
“ASSA ABLOY grew organically by 3% in the third quarter,” said Johan Molin, president and CEO. “This is good growth considering that we had one working day less in the quarter. Global Technologies had strong organic growth of 6%. EMEA grew by 4%, Americas by 3%, Entrance Systems by 2% and Asia Pacific by 2%. In general, demand continues to be good. In Europe, we saw a strong sales trend in areas including eastern Europe, southern Europe and France. In Asia Pacific, we achieved strong growth in Pacific, South Korea and southern Asia. However, China remains challenging and our sales continued to decline.
“I have informed the Board of Directors that I am considering passing on the baton as president and CEO of ASSA ABLOY to someone else during 2018,” Molin added. “It has been wonderfully stimulating to have been able to lead ASSA ABLOY for more than 12 years on the journey of acquisition and change that we have undertaken. Today ASSA ABLOY is the market leader in the whole field of door opening solutions as a result of our clear strategy, innovative products and competent employees.”
Strong growth was shown by Global Technologies and good growth by EMEA, Americas, Entrance Systems and Asia Pacific, despite weak results in China.
Contracts have been signed for the acquisition of five companies with expected combined annual sales of about SEK 1,200 million ($145 million). Global Technologies’ project business, AdvanIDe, has been sold. The business had annual sales of about SEK 1,250 million ($153 million).
Operating income (EBIT) increased by 2% to SEK 3,080 million ($377 million). The operating margin was 16.7%. Operating cash flow decreased by 6% to SEK 2,654 million ($325 million).
“ASSA ABLOY grew organically by 3% in the third quarter,” said Johan Molin, president and CEO. “This is good growth considering that we had one working day less in the quarter. Global Technologies had strong organic growth of 6%. EMEA grew by 4%, Americas by 3%, Entrance Systems by 2% and Asia Pacific by 2%. In general, demand continues to be good. In Europe, we saw a strong sales trend in areas including eastern Europe, southern Europe and France. In Asia Pacific, we achieved strong growth in Pacific, South Korea and southern Asia. However, China remains challenging and our sales continued to decline.
“I have informed the Board of Directors that I am considering passing on the baton as president and CEO of ASSA ABLOY to someone else during 2018,” Molin added. “It has been wonderfully stimulating to have been able to lead ASSA ABLOY for more than 12 years on the journey of acquisition and change that we have undertaken. Today ASSA ABLOY is the market leader in the whole field of door opening solutions as a result of our clear strategy, innovative products and competent employees.”