Year-End Report 1 January-31 December 2011


  • Net sales for the year rose 19% to SEK 7,994 million (6,745). The increase for comparable units was 10%.
  • Operating profit before amortisation of intangible non-current assets (EBITA) attributable to acquisitions rose 30% to SEK 917 million (703), and the EBITA margin was 11.5% (10.4%).
  • Profit after tax rose 33% to SEK 540 million (405).
  • Earnings per share were SEK 13.50 (10.18).
  • Cash flow from operating activities was SEK 709 (656) million, per share SEK 17.73 (16.40).
  • The Board of Directors proposes a dividend of SEK 6.75 per share (5.10). 


  • Net sales rose 22% during the fourth quarter to SEK 2,158 million (1,764). The increase for comparable units was 12%.
  • Operating profit before amortisation of intangible non-current assets (EBITA) attributable to acquisitions rose 54% to SEK 251 million (163), and the EBITA margin was 11.6% (9.2%).
  • Profit after tax rose 78% to SEK 155 million (87).
  • Earnings per share for the quarter were SEK 3.88 (2.20).


In my comments on the preceding quarterly report I wrote that thus far we had not felt any impact from the general turbulence in the financial markets. In essence I can offer the same comment after the last quarter of 2011 as well. A few of our companies have noted lower order intake from a few customers, but at the same time we are seeing higher demand from other customers. However, the delivery delays from our customers are fewer now than earlier in the year, which indicates a better balance between demand and capacity.

Fourth quarter
During the fourth quarter, the Group's invoicing exceeded SEK 2 billion for the third quarter in a row. Order intake for the quarter also exceeded SEK 2 billion. This means that we had order intake in excess of SEK 2 billion during all four quarters of 2011. 

The trend from the preceding quarters is holding, with weaker development for heavy vehicles, but otherwise with organic growth of order intake measuring 12% for the quarter and total growth o 22%. 

The energy segment continues to grow, and during the quarter one of the Group's companies won an order worth EUR 18 million for a project in the Middle East. This is the largest order ever awarded to an individual Indutrade company. 

The prospect list of new energy projects remains abundant, and there are no signs of financing problems for new power plants. One explanation for this is perhaps that the customers are mainly outside Europe. 

Indutrade's gross margin has been stable through the quarters and years. The minor differences that exist from quarter to quarter are mainly attributable to changes in the product mix in companies and various companies' shares of consolidated sales. Due to the proximity to the business that each of the company presidents has in our decentralised group, we can swiftly parry changes in currency movements and material prices, and thereby safeguard the gross margin. In the increasingly turbulent world that we now work in, this is a valuable capability for maintaining favourable earnings over time. 

The EBITA margin increased to 11.6% (9.2%) and is the highest EBITA margin ever recorded for the fourth quarter, which can be credited to a favourable market and strong invoicing. All of our business areas posted strong EBITA margins compared with a year ago. In absolute numbers, this also translated to strong growth in earnings. 

2011 was a record-breaking year for the Group in many respects. We reached our highest-ever level of sales, order intake, EBITA and earnings per share. All of the Group's long-term targets were achieved by a wide margin in 2011. 

Indutrade carried out two acquisitions during the quarter, one in medical technology and one in flow technology. For the year in total, we acquired companies with combined annual sales of just under SEK 700 million. Acquired growth was 12%. Acquisition activities are continuing, and thus far into 2012, two acquisitions have already been carried out. 

As always, the future is uncertain. Many market watchers are expressing concerns about the future, as they did during most of 2011. Still, these fears did not materialise in reality. As the start of 2012 is continuing along the same track as the last quarter of 2011, I am hopeful for favourable performance in 2012. In the meantime, like our customers, we are monitoring developments closely and are prepared to take action if necessary. 

Johnny Alvarsson, President and CEO

The report will be commented upon as follows:

  • via a conference call/webcast today at 3 p.m. at the following link:
    Participants are requested to call +46 8 566 363 52, +44 0 207 750 9950 or +1 866 676 5870
  • via a videotaped version at the following links:

         For further information, please contact:
         Johnny Alvarsson, President and CEO, Tel: +46 70 589 17 95.