Good results for Electrolux in Q3 2014

Keith McLoughlin, president and Ceo of Electrolux
Keith McLoughlin, president and Ceo of Electrolux

After the announcement of the planned acquisition of GE Appliances, the largest one ever in the 95-year history of the company, Electrolux celebrates another happy news: the good performance in the third quarter 2014. In these three months, the Group’s operating income increased by almost 30% to SEK 1.4 billion compared with the same period in 2013, and cash flow after investments improved by SEK 600 million to SEK 1.6 billion. The main factor behind this result is a strong operational recovery in Europe. The Latin American and Asia/Pacific operations performed well in challenging macro-economic conditions. Sales and earnings in North America remain at a good level and continue to strongly contribute to the Group’s overall result.
“Our operations in Europe – Keith McLoughlin, president and Ceo of Electrolux commented – continue to recover as a result of strong focus on cost savings, production efficiency and product portfolio management. Despite continued difficult market conditions, with a recent weakening of leading indicators and consumer confidence in a number of countries across both Western and Eastern Europe, we have managed to significantly improve results. During the third quarter we achieved an operating income of SEK 484 million, with an operating margin of 5.5%, compared with SEK 111 million in the same period of 2013”.
The closing of the acquisition of GE Appliances is expected during 2015. The operation will give Electrolux a significant presence in one of the largest appliances market.GE’s premium, high-quality appliances complement Electrolux own brands and enhance its competitiveness as a global appliance maker.