Third quarter 2018
· Net sales increased by 15% to MSEK 7,458 (6,492).
Organic growth was 7%
· Operating profit (EBIT) was MSEK 524 (510).
Profit (EBITA) amounted to MSEK 620 (597), with an EBITA margin of 8.3%
EBITA includes items affecting comparability of MSEK -30. Adjusted
increased by 9% to MSEK 650 (597), with an adjusted EBITA margin of 8.7%
· Profit after tax increased by 14% to MSEK 367 (323).
earnings per share amounted to SEK 0.86 (0.74).
· Cost-saving measures have
been intensified during the quarter. These
measures are, in total, expected to
give MSEK 160 in savings in 2019.
· Two acquisitions were completed during
the quarter, with combined annual
sales of MSEK 80, distributed as follows:
Norway MSEK 45 and Finland MSEK 35. An
agreement was also signed for a further
acquisition in Norway, with estimated
annual sales of MSEK 45.
January – September 2018
· Net sales increased by 14% to MSEK 22,675
(19,879). Organic growth was 7%
· Operating profit (EBIT) was MSEK 1,566
· Profit (EBITA) amounted to MSEK 1,852 (1,685), with an EBITA
margin of 8.2%
(8.5). Adjusted EBITA increased by 11% to MSEK 1,882 (1,697),
with an adjusted
EBITA margin of 8.3% (8.5).
· Profit after tax increased by
24% to MSEK 1,198 (966).
· Diluted earnings per share amounted to SEK 2.79
· Seven acquisitions, with combined annual sales of MSEK 841, were
during the interim period. An agreement was also signed for a
acquisition with estimated annual sales of MSEK 45.
Statement from the
CEO: The Ahlsell model delivers and brings record sales
Creating value for our
customers is by far the most important consideration for
us here at Ahlsell and
the strong sales growth we achieved during the quarter is
further evidence that
the Ahlsell model is successful. Once again, we have
market-leading position in technical installation in the Nordic
increased by almost SEK 1 billion compared with the third quarter previous
and amounted to MSEK 7,458. This is an increase of 15%, of which 7% is
For the first time, on a rolling twelve months basis, our sales have
SEK 30 billion mark. The strong organic growth was driven by a
construction investment level, increased infrastructure
investments and good
development within industry.
For years, we have focused on e-commerce and the
response from our customers has
always been very positive. Our successful
e-commerce channel is showing growth
of about 20%, which strengthens our belief
that increased effort in
digitalization is the right one.
amounted to MSEK 650, corresponding to a margin of 8.7% (9.2).
The margin has
been adversely affected by both acquisitions and targeted sales
aimed at strengthening our position, mainly in Norway and Finland.
September, we organised our first capital markets day as a listed company.
event was well-attended and the message from our side was clear: we have
stable and resilient business model and we strive for profitable growth. We
good opportunities to improve our profitability and have a high focus
implementing several cost-saving and efficiency-improving measures in all
main markets. These measures are, in total, expected to give MSEK 160 in
The good sales trend continues in Sweden, where we achieved
organic growth of
6%. In a strong market, with high demand from all market
segments, we were
successful in further strengthening our positions. We are
also gaining ground
with our service offering and are involved in several
exciting projects, such as
Karlatornet in Gothenburg. From the projects we have
already won, it is clear
that our broad offering enables not only a more
efficient process for the
customer, but also lower costs. For Ahlsell, this
means deeper customer
relationships and increased up-selling.
We also achieved
a strong sales growth in Norway, with organic and acquired
7% and 9% respectively. The high growth is pleasing, while
in combination with
negative mix effects adversely affects profitability and
gives us challenges to
handle. We have grown strongly and needed to increase our
within logistics and transportation, in order to maintain a
high service level
to our customers. Onwards, we must therefore work on adapting
optimizing flows to ensure profitable growth. As a consequence,
enhancing and cost-cutting measures are now intensified and
restructuring costs of MSEK 35 will be charged to fourth quarter
Finland, where market activity was high, we achieved organic growth of
indicates that we have strengthened our market position also in this
As in previous quarters, the southern and western parts of Finland are
fastest, and our initiatives to strengthen our presence have
Sustainability in everything we do - Already today,
sustainability is a strong
comparative advantage for us, and it helps us to
repeatedly win large contracts.
For example, our broad offering means that we
can co-package our products, which
reduces the level of fossil emissions. In
some projects, we also offer
completely fossil-free deliveries.
outlook - In industry, infrastructure and renovation, which together
for some 70% of our market exposure, everything points to continuing
demand in the near future. The reduced number of residential building
has not yet had a noticeable impact on our sales, although it is to some
expected to in the next few quarters. The demand within
construction is ex-pected to remain at a high level. As I look
forward, I am
convinced that Ahlsell stands strong with our attractive customer
committed employees and broad market exposure.
President and CEO
Webcast & conference call
At 10.00 on the report issue
date, the Company will host a webcast, with
President and CEO Johan Nilsson and
CFO Kennet Göransson presenting the report.
The presentation will be conducted
in English and can be followed via webcast
and conference call.
Link to the
Telephone number for the
conference call: SE: +468 5664 2664, UK: +44 203 008
9810, US: +1 855 753
Financial calendar 2019
· 25 January: Q4 2018 Report
· 26 April: Q1
· 9 May: Annual General Meeting in Stockholm
· 17 July: Q2 2019
· 23 October: Q3 2019 Report
For further information, please
Karin Larsson, Head of IR and external communications
+ 46 8 685 59
Johan Nilsson, President and CEO Ahlsell AB
705 532 829, Johan.Nilsson@ahlsell.se
Kennet Göransson, CFO
+46 706 211 294,
This information is information that Ahlsell
AB (publ) is required
to make public pursuant to the EU Market Abuse
Regulation. The information
was submitted through the agency of Johan Nilsson
for publication on 26
October 2018 at 7.30 a.m. CEST.
Ahlsell is the Nordic
region’s leading distributor of installation products,
tools and supplies for
installers, construction companies, facility managers,
industrial and power
companies and the public sector. The unique customer offer
covers more than one
million individual products and solutions. The Group has a
turnover of just
over BSEK 30 and is listed on Nasdaq Stockholm. About 97% of
generated in the three main markets of Sweden, Norway and Finland.
5,800 employees, more than 230 branches and three central warehouses,
constantly fulfil our customer promise: Ahlsell makes it easier to
Press release, October 26, 2018