- Net sales declined to
SEK 3,101m (3,480). - On an organic basis, sales declined by -18% (4).
- Operating profit amounted to
SEK 132m (78). - Operating profit excl. items affecting comparability (IAC) was
SEK 51m (78). - IAC amounted to
SEK 81m and mainly refer to a capital gain from sale of the
Dewsbury factory (SEK 112m ) and factory transition cost in the Nordic region (SEK -27m ). - The decline in operating profit, excl. IAC, was largely due to the sales volume decline,
which is estimated to be in line with market development. - The operating margin amounted to 4.3% (2.2). Excl. items affecting comparability,
the operating margin amounted to 1.6% (2.2). - Profit after tax amounted to
SEK 40m (19) corresponding to earnings per share
after dilution ofSEK 0.24 (0.11). - Operating cash flow amounted to
SEK -305m (-530).
CEO comment
Nobia delivers a profitable third quarter despite a weak market, meeting the macro headwind with cost reductions and taking steps to strengthen the financial position. In this environment it is important to remember that the kitchen market has had and will return to good growth long term, and that Nobia has a very strong position in this market.
Group net sales decreased 18 percent on an organic basis, compared to the same quarter last year. The decline, however, reflects the market development and can thus be attributed to the macroeconomic situation. Both the consumer and project segments have been impacted, with a more pronounced effect for consumer sales. Despite the significant decline, our operating profit was similar to last year's.
Operationally, there are several positive developments to note. Firstly, we have decreased selling and administrative expenses in comparable currencies by
Group operating profit for the quarter was
The Nordic region's operating profit was on par with the previous year and the margins were higher, despite the sales decline and unfavourable currency impact. The higher margins were partly due to the supply chain inefficiencies from last year having been addressed, as well as cost savings.
The
We pursue with a sale and leaseback of the Jönköping factory as a prioritized activity. The main manufacturing building will be granted a formal approval of completion in November. We are in parallel reviewing other strategic options for strengthening our balance sheet including, but not limited to, sale and leaseback transactions.
In summary, we recognize the challenges posed by the current market uncertainties affecting the demand for kitchens. Nonetheless, we know that, over time, the kitchen market is categorized by solid long-term growth. Nobia will be ready to capitalize on the delayed and new demand when it rebounds.
I cannot overstate the immense value of the hard work and dedication exhibited by all our employees.
Jon Sintorn
President and CEO
This disclosure contains information that
For further information
Henrik Skogsfors, CFO
+46 8 440 16 00
henrik.skogsfors@nobia.com
+46 8 440 16 07
tobias.norrby@nobia.com
Nobia develops, manufactures and sells kitchen solutions through a number of strong brands in
https://news.cision.com/nobia-ab/r/interim-report-third-quarter-2023,c3867314
https://mb.cision.com/Main/5927/3867314/2402967.pdf
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