Alfa Laval AB (publ) Interim report July 1 - September 30, 2021

Rhea-AI Summary

Alfa Laval AB reported strong financial results for Q3 2021, with order intake rising 31% to SEK 11,680 million and net sales increasing 7% to SEK 10,275 million. The adjusted EBITA margin improved to 18.0%, with adjusted EBITA at SEK 1,854 million. For the first nine months, order intake was up 18%, net sales decreased 1%, and adjusted EBITA fell to SEK 5,122 million, reflecting a 17.5% margin. Despite these challenges, net income rose to SEK 3,323 million. The outlook for Q4 remains stable, predicting consistent demand.

Positive

• Record high order intake in the Energy Division.
• Adjusted EBITA margin improved to 18.0%.
• Net income for Q3 2021 was SEK 1,226 million, up from SEK 1,038 million.

Negative

• Net sales decreased by 1% for the first nine months.
• Adjusted EBITA for the first nine months fell to SEK 5,122 million from SEK 5,262 million.
• Cash flow from operating activities decreased to SEK 3,853 million from SEK 5,059 million.
• Return on capital employed dropped to 18.3% from 21.4%.

LUND, Sweden, Oct. 26, 2021 /PRNewswire/ --

• Strong order intake in all regions and end markets.           
• Record high order intake in the Energy Division.           
• Growth in all parts of the service business.           
• The adjusted EBITA margin improved to 18.0%.

Summary

Third quarter

Order intake increased by 31 percent* to SEK 11,680 (8,935) million.
Net sales increased by 7 percent* to SEK 10,275 (9,728) million. 
Adjusted EBITA**: SEK 1,854 (1,710) million.
Adjusted EBITA margin**: 18.0 (17.6) percent.
Result after financial items: SEK 1,567 (1,382) million.
Net income: SEK 1,226 (1,038) million.                                        
Earnings per share: SEK 2.91 (2.46).
Cash flow from operating activities: SEK 1,469 (1,256) million.
Impact on adjusted EBITA of foreign exchange effects: SEK 0 (10) million.
Impact on result after financial items of comparison distortion items: SEK - (-63) million.

First nine months

Order intake increased by 18 percent* to SEK 34,067 (30,561) million.
Net sales increased by 1 percent* to SEK 29,219 (30,773) million. 
Adjusted EBITA**: SEK 5,122 (5,262) million.
Adjusted EBITA margin**: 17.5 (17.1) percent.
Result after financial items: SEK 4,281 (4,053) million.
Net income: SEK 3,323 (3,016) million.                                        
Earnings per share: SEK 7.87 (7.14).
Cash flow from operating activities: SEK 3,853 (5,059) million.
Impact on adjusted EBITA of foreign exchange effects: SEK -100 (160) million.
Impact on result after financial items of comparison distortion items: SEK -192 (-63) million.
Return on capital employed (%) **: 18.3 (21.4).
Net debt to EBITDA, times **: 1.07 (0.49).

* Excluding currency effects. ** Alternative performance measures.

Outlook for the fourth quarter:
"We expect demand in the fourth quarter to be about the same as in the third quarter."

Earlier published outlook (July 20, 2021): "We expect demand in the third quarter to be somewhat lower than in the second quarter."  

The Q3 2021 report has been reviewed by the company's auditors, see page 25 for the review report.

This information, Alfa Laval 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 set out below, at CET 7.30 on October 26, 2021.

For more information, please contact:
Johan Lundin, Head of Investor Relations
Phone: +46 46 36 65 10,
Mobile: +46 730 46 30 90,
E-mail: johan.lundin@alfalaval.com

Alfa Laval AB (publ)
PO Box 73
SE-221 00 Lund
Sweden
Corporate registration number: 556587-8054
Visiting address:
Rudeboksvägen 1
Phone: + 46 46 36 65 00
Website: www.alfalaval.com

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/alfa-laval/r/alfa-laval-ab--publ--interim-report-july-1---september-30--2021,c3439680

The following files are available for download:

https://mb.cision.com/Main/905/3439680/1485852.pdf

Alfa Laval September 2021_eng_211026

View original content:https://www.prnewswire.com/news-releases/alfa-laval-ab-publ-interim-report-july-1--september-30-2021-301408298.html

SOURCE Alfa Laval

FAQ

What was Alfa Laval's order intake growth in Q3 2021?

Alfa Laval reported a 31% increase in order intake for Q3 2021, totaling SEK 11,680 million.

How did Alfa Laval's net sales perform in Q3 2021?

Net sales for Q3 2021 increased by 7% to SEK 10,275 million.

What are the adjusted EBITA figures for Alfa Laval for Q3 2021?

Alfa Laval's adjusted EBITA for Q3 2021 was SEK 1,854 million, with an adjusted EBITA margin of 18.0%.

How did cash flow from operating activities change for Alfa Laval?

Cash flow from operating activities decreased to SEK 3,853 million for the first nine months of 2021.

What does the outlook for demand in Q4 2021 indicate for Alfa Laval?

The outlook for Q4 2021 suggests demand will remain consistent with the third quarter.