Bergman & Beving AB: Interim Report 1 April–30 June 2020
Interim Report 1 April–30 June 2020
First quarter (1 April–30 June 2020)
- Revenue increased by 7 percent to MSEK 1,097 (1,024).
- EBITA increased by 5 percent to MSEK 64 (61).
- Net profit amounted to MSEK 40 (38).
- Earnings per share amounted to SEK 1.50 (1.40).
- Cash flow from operating activities amounted to MSEK 133 (81).
- The Board proposes a dividend of SEK 1.50 per share (3.00).
- The COVID-19 pandemic had a variety of effects on operations during the first quarter. Sales of personal protective equipment increased. Construction-related sales improved while industry-related sales were affected negatively, though with some recovery toward the end of the quarter. It is still difficult to determine how significant the impact will be and how long the effects will linger.
Bergman & Beving began the year with an overall positive trend. Revenue increased by 7 percent, or 3 percent after adjustments for acquisitions and currency effects. Operating profit (EBITA) increased by 5 percent to MSEK 64 and the business delivered a strong cash flow. The increased sales volumes in combination with implemented efficiency measures in the operations contributed to the positive outcome. I am very pleased that earnings increased in the Building Materials and Workplace Safety divisions, and that they improved their margins significantly.
Demand from industrial customers was negatively affected by the lockdowns and capacity reductions related to the pandemic, while demand from construction customers was healthy during the period. Demand for personal protective equipment remained at a high level.
Restructuring measures completed in the operations had a positive effect and we have been implementing adaptive measures on a continuous basis in the companies to address the uncertainty in the market and the fluctuating demand as a result of the pandemic. We continued to work purposefully to improve profitability and efficiency in a more decentralised structure. Our long-term focus on investments in sales and marketing of our strong products and brands continued and our ambition is to advance our positions, even in the current business climate.
Acquisitions remain an important part of our strategy for growth and the newly acquired companies contributed to the positive growth during the quarter. We intend to complete more value-generating acquisitions going forward.
Stockholm, July 2020
President & CEO
For further information, please contact:
Pontus Boman, President & CEO, phone no.: +46 10 454 77 00
Peter Schön, CFO, phone no.: +46 70 339 89 99
This information is information that Bergman & Beving 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 above, at 7:45 a.m. CET on 15 July 2020.
Bergman & Beving owns and refines companies that develop and market strong brands for professional users in industry and construction, mainly in the Nordic region, the Baltic States and Poland. Bergman & Beving aims to enable successful product companies to take the next step and become leading brands in their categories. The Group currently has some 20 brands, about 1,000 employees and revenue of approximately SEK 4 billion. Bergman & Beving is listed on Nasdaq Stockholm. Read more on the company’s website: www.bergmanbeving.com.