DEVELOPMENT IN THE BUSINESS AREAS
AUTOMATION
Net sales in Automation increased in the third quarter by 19 percent to SEK 691 million (582) and EBITA increased by 40 percent to SEK 76 million (54). Net sales during the period increased by 18 percent to SEK 1,888 million (1,604) and EBITA increased by 46 percent to SEK 205 million (140).
Market
In the third quarter, the market situation was favourable for the business area as a whole. The business situation was positive for the companies operating in the mechanical industry and medical technology. In other segments of significance for the business area, such as the defence and process industries, demand was good and sales were stable. The market situation was positive in all geographies, with the units outside the Nordic region experiencing the strongest trend.
ELECTRIFICATION
Net sales in Electrification increased in the third quarter by 26 percent to SEK 677 million (539) and EBITA increased by 42 percent to SEK 73 million (51). Net sales during the period increased by 17 percent to SEK 1,897 million (1,622) and EBITA increased by 33 percent to SEK 229 million (173).
Market
During the quarter, the business situation was favourable in the key market segments, including electronics, energy and special vehicles. Demand for customised battery solutions remained strong and the trend in telecom was positive, while it was stable in wind power and medical technology. Volumes increased despite challenges in the supply chain, while the operating margin was impacted somewhat negatively in the quarter by restructuring and acquisition costs of approximately SEK 3 million.
ENERGY
Net sales in Energy increased in the third quarter by 11 percent to SEK 918 million (824) and EBITA increased by 16 percent to SEK 114 million (98). Net sales during the period increased by 9 percent to SEK 2,750 million (2,515) and EBITA increased by 15 percent to SEK 342 million (298).
Market
The market situation remained strong among infrastructure products for national and regional power grids. Demand increased during the quarter, while sales were stable at high levels. The business situation remained favourable among niche products for electricity distribution, the manufacturing industry and the expansion of fibre-optic networks, as well as among building and installation products, while it was stable in wind power.
INDUSTRIAL SOLUTIONS
Net sales in Industrial Solutions increased in the third quarter by 57 percent to SEK 722 million (460) and EBITA increased by 84 percent to SEK 133 million (72). Net sales during the period increased by 53 percent to SEK 1,949 million (1,270) and EBITA increased by 77 percent to SEK 327 million (185).
Market
The outcome for the third quarter was pervaded by a very strong market situation for those of our companies that have sales to the forest and sawmill industry, with incremental margins remaining favourable. The business situation for control and ergonomics products developed in-house, as well as for hydraulics solutions for special vehicles, continued to develop positively, as was also the case for the companies operating in the mechanical industry and in waste & recycling. The revaluation of contingent purchase consideration impacted the business area's profit positively by about SEK 8 million in the quarter.
PROCESS TECHNOLOGY
Net sales in Process Technology increased in the third quarter by 22 percent to SEK 585 million (481) and EBITA increased by 73 percent to SEK 74 million (43). Net sales during the period increased by 17 percent to SEK 1,657 million (1,413) and EBITA increased by 56 percent to SEK 215 million (138).
Market
The business situation in the third quarter was in general very positive for the business area, with high demand in the key market segments forest and process, energy and mechanical industry, while it was stable for the companies exposed to the marine segment. The completion of several project towards the end of the calendar year entailed a very good outcome in project-related sales, which also provided some leverage on the margin.