Electrolux Professional Ab Class B · OMXSTO:EPRO_B
Electrolux Professional Ab Class B — Electrolux — Q1 2008 Earnings Presentation
21 slides from Electrolux Professional Ab Class B's earnings presentation, Apr 28, 2008
Slide 1: Q1 Results 2008
Q1 Results 2008 April 28, 2008 Hans Stråberg President and CEO Fredrik Rystedt CFO
Slide 2: Q1 Highlights
Q1 Highlights EBIT (SEKb) EBIT margin (%) 2500 10% Sharp decline in US market 2000 8% Weak markets in Western Europe and increased product 1500 6% costs 1000 4% Net sales decreased by 1% in 500 2% comparable currencies 0 0% Net negative non-recurring -500 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 -2% items
Slide 3: Income development
Income development Operating income Q1/Q1 1000 Europe 757 800 – Non-recurring items 600 – Product costs 400 North America 200 -662 21 – Weak market 0 80 103 -39 – US launch -200 74 -400 -412 Strong market in Latin America China and Southeast Asia Profes- Group 2008 Q1 2007 Europe Pacific Ame
Slide 4: Extra costs during the first Quarter
Extra costs during the first Quarter SEKm Q1 08 Restructuring: Europe Cost Cutting Program -360 Component issue -120 Capital Gain +130 North America Litigation -80 Restructuring total -430 Other costs Launch North America -120 Total -550 4
Slide 5: Cash flow seasonality
Cash flow seasonality 2007 & 2008 versus Normal – percentage of cash flow made per quarter 100% 80% AC 2008 AC 2007 Normal 60% • 2007 Cash Flow 40% development quite in line with normal 20% Electrolux seasonal pattern 0% Q1 Q2 Q3 Q4 • Q1 2008 quite in line -20% with normal pattern as well 5
Slide 6: Consumer Durables Europe
Consumer Durables Europe EBIT (SEKm) EBIT margin (%) Demand 1400 14% – Weakening in Western Europe 1200 12% – Increasing in Eastern Europe 1000 10% Sales in line with previous year 800 8% Negative operating income 600 6% – Non-recurring items 400 4% – Weak markets in Western Europe 200 2% – Ex
Slide 7: Market development in Europe
Market development in Europe Quarterly comparison, year-on-year 6% 4% 2% 0% -2% 2006 2007 2008 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 West. Europe 4% 1% 1% 4% 1% 1% -1% -4% -4% East. Europe 1% 9% 6% 7% 14% 5% 5% 10% 5% 7
Slide 8: We were thinking:
We were thinking: In the ideal kitchen, there's one essential ingredient. i Th hinking oF Yr_ © Electrolux ‘Share more of our thinking at www.electroluxcom
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Slide 10: Consumer Durables North America
Consumer Durables North America EBIT (SEKm) EBIT margin (%) Strong decline in market 700 14% demand 600 12% – Impacted sales and operating 500 10% income 400 8% 300 6% Selective price increases 200 4% Extra costs 100 2% – SEK 80m for cost of litigation 0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 – SEK 120
Slide 11: Market development in North America
Market development in North America Quarterly comparison, year-on-year 10% 5% 0% -5% -10% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2006 2007 2008 11
Slide 12: www.electroluxappliances.com
www.electroluxappliances.com 12
Slide 13: www.electroluxappliances.com
www.electroluxappliances.com 13
Slide 14: www.electroluxappliances.com
www.electroluxappliances.com 14
Slide 15: www.electroluxappliances.com
www.electroluxappliances.com 15
Slide 16: Consumer Durables Latin America
Consumer Durables Latin America EBIT (SEKm) EBIT margin (%) Market volume up 11% in Q1 250 8% Electrolux volumes up 20% 200 6% Improved operating income 150 4% – Positive product mix trend 100 – Improved productivity 2% 50 0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2006 2007 2008 (SEKm) Q1 2007 Q1 2008 S
Slide 17: Consumer Durables Asia/Pacific & Rest of world
Consumer Durables Asia/Pacific & Rest of world EBIT (SEKm) EBIT margin (%) Sales up 8% in comparable 200 8% currencies 150 6% Australia/New Zealand 100 4% improved operating income 50 2% China still loss making but 0 0% positive trend -50 -2% Strong growth in Southeast -100 -4% Q1 Q2 Q3 Q4 Q
Slide 18: Professional Products
Professional Products EBIT (SEKm) EBIT margin (%) Improved sales due to 250 12% strong performance in food- 200 10% service 8% 150 Operating income improved 6% 100 in both food-service and 4% 50 laundry equipment 2% 0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2006 2007 2008 (SEKm) Q1 2007 Q1 2008 Sales 1,68
Slide 19: Outlook for 2008; Operating income expected in-line with 2007
Outlook for 2008; Operating income 2008 expected to be in-line with 2007 – Europe + Savings • Costs of reducing complexity • Restructuring and product launches • Purchasing • Cost related to new products • Reduction of personnel in Europe – North America • More activities are initiated • Costs for l
Slide 20: Thanking of You
Thanking oF You AH) Electrolux
Slide 21: Factors affecting forward-looking statements
Factors affecting forward- looking statements Factors affecting forward-looking statements This presentation contains “forward-looking” statements within the meaning of the US Private Securities Litigation Reform Act of 1995. Such statements include, among others, the financial goals and targets of