Fourth quarter, October – December 2020
- The COVID-19 pandemic continued to impact the hospitality business. Net sales amounted to SEK 1,935m (2,334). Sales decreased by 17.1%. Organically sales decreased by 13.2%.
- EBITA amounted to SEK 142m (181), corresponding to a margin of 7.3% (7.8).
- Operating income amounted to SEK 119m (165), corresponding to a margin of 6.1% (7.1).
- Operating cash flow after investments amounted to SEK 460m (355).
- Income for the period amounted to SEK 70m (168), and earnings per share was SEK 0.24 (0.59).
- Due to the ongoing pandemic, the Board proposes to pay no dividend for 2020.
Alberto Zanata, President and CEO:
“After the sales recovery in the third quarter, the second wave of the coronavirus pandemic has halted the recovery. However, the negative impact is more contained now compared to the first wave, as customers have learned to adapt to the new situation.
Sales in the quarter declined organically by 13.2%. Sales of Laundry was almost flat compared to the same quarter last year which shows both the resilience of the laundry market and our strong position. Sales of Food & Beverage declined compared to the same quarter last year, to a large extent driven by the weak development in Southern Europe.
Thanks to short-term savings, improvements from the structural cost saving programs and the stable development in Laundry, we have been able to deliver a margin in line with the same quarter last year. EBITA for the quarter was SEK 142m (181) with a corresponding margin of 7.3% (7.8). Operating cash flow after investments improved and amounted to SEK 460m (355) in the quarter.
Sales of Food & Beverage declined organically by 20.8% in the quarter, reporting an EBITA-margin of 1.0%. Laundry continued on a comparable sales level with an organic decline of 1.9%, but an improved EBITA-margin of 16.9%.
After 2019 with its intense preparations for the separation from AB Electrolux, 2020 was positioned for strengthening and growing the business after the listing efforts being completed in March. However, the coronavirus pandemic forced us to radically change our focus since the hospitality industry has been one of the most affected industries.
We are proud to have demonstrated resilience during the pandemic turbulence in 2020. Thanks to the flexibility of our employees and the cost saving measures adopted, we have laid the foundation for the future. Short term the pandemic creates challenges, but when larger parts of the population worldwide are vaccinated against the coronavirus, I am confident that the business in restaurants, hotels and bars will come back – and when this happens, we will have the products, the service and dedicated people in place to support our customers.“
This information is information that Electrolux Professional AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person detailed below, at 8:00 a.m. CET on February 3, 2021.
For further information, please contact Jacob Broberg, Senior Vice President Investor Relations and Communications +46 70 190 00 33Electrolux Professional AB year-end report Q4, 2020 2021-02-03T07:00:00+00:00