Third quarter in brief
(July – September 2021)
• Order intake amounted to SEK 157.0 (133.4) million, an increase of 17.7 percent. For comparable units, this was a decrease of 6.1 percent.
• Net revenue for the third quarter amounted to SEK 204.7 (160.8) million, an increase of 27.3 percent. For comparable units, this was a increase of 5.5 percent.
• EBITA was SEK 19.6 (14.1) million. The EBITA margin was 9.6 (8.8) percent.
• Earnings per share, before and after dilution, amounted to SEK 0.94 (0.65).
• Cash flow from operating activities was SEK 11.5 (-0.1) million. Total cash flow for the period was SEK 1.7 (-7.6) million.

First nine months in brief
(January – September 2021)
• Order intake amounted to SEK 538.0 (461.6) million, an increase of 16.6 percent. For comparable units, this was a decrease of 3.1 percent.
• Net revenue for the first nine months of the year amounted to SEK 550.6 (500.0) million. The total increase compared to first nine months of 2020 was 10.1 percent. For comparable units, this was a decrease of 6.2 percent.
• EBITA was SEK 35.3 (32.7) million and the EBITA margin was 6.4 (6.5) percent.
• Earnings per share, before and after dilution, amounted to SEK 1.48 (1.29).
• Cash flow from operating activities was SEK 26.0 (49.8) million. Total cash flow for the period was SEK 22.8 (62.8) million.

Important events during the third quarter
• Marcus Wigren will take over as Managing director of subsidiary company Zander & Ingeström AB on January 10, 2022. Marcus previously held the position of CEO at Nilar International AB, which is listed on Nasdaq First North.
• CFO, Torbjörn Gustafsson, has decided to leave the company. He will continue in employment until the end of the year. Recruitment of a replacement has begun.

Important events after the third quarter
• On December 1, 2021, Lars Westlund will take up the position as interim CFO of Christian Berner Tech Trade.
• The Board announces that Bo Söderqvist will leave his position as CEO of Christian Berner Tech Trade. Bo Söderqvist will remain in his position until a successor is in place.

MESSAGE FROM THE CEO
A strong result in this quarter with continued good order intake.
We experienced strong sales and profits in this quarter, due to good order intake in the second quarter. As communicated in the last quarterly report, we saw good results in the second half of the year. Therefore, it’s pleasing to report that the third quarter ended with an EBITA margin of 9.6 (8.8) percent and order intake remained good at SEK 157.0 (133.4) million.

Revenue increased by 27.3 percent in the third quarter. This was achieved despite continued shortages of raw materials and components, which are causing longer delivery times, particularly for major projects. During the third quarter, order intake remained strong, which means that we can probably also expect a good fourth quarter.

Market developments
In Sweden, the EBITA margin was 12.4 (9.2) percent. Order intake for this quarter was good and we are seeing stable demand in the market. During this accounting period, we undertook several interesting projects, including heating assignments at Zander & Ingeström for our partners in China, as well as projects in the Netherlands. Process equipment are performing well, supplying packaging machines and packaging for E-commerce. It’s pleasing that G.F Swedenborg, which was acquired during the second quarter, continues to deliver good results.

Denmark reached an EBITA margin of 5.3 (10.6) percent. Order intake was weaker over the course of the quarter, however we received a couple of orders from the processing and food industry for packaging machines and packaging. In the Materials Technology business area , we received orders for vibration-damping material for use in the construction industry.
 
In Norway, we achieved an EBITA margin of 8.6 (8.2) percent. Order intake for the quarter was weaker, although we are continuing to receive new orders for vibration-damping materials for the construction industry.

Finland experienced a weak quarter with an EBITA margin of 1.5 (13.0) percent. Sales of vibration-damping material for construction, in the Helsinki area, remained good, although we lack major machine investments in the processing industry.

In our view, underlying demand will remain stable and we expect continued improvement during the fourth quarter. The order intake we experienced during the third quarter should support this. There are, however, reservations to be made concerning longer lead and delivery times which, especially in Process equipment, Technical plastic and Vibration technology, that may mean some orders are moved into the first quarter of 2022.

Bo Söderqvist
CEO, Christian Berner Tech Trade AB

For the full details, please see attached pdf-file.