KUNGÄLV, Sweden, Aug. 20, 2020 /PRNewswire/ -- NEW WAVE GROUP
AB
PERIOD 1 APRIL - 30 JUNE
2020
- Net sales amounted to SEK 1,314.5
million, which was 22 % (22 % in local currencies) lower
than last year (SEK 1,689.0
million).
- Operating result amounted to SEK
110.1 (119.6) million.
- Result for the period amounted to SEK
72.9 (83.7) million.
- Earnings per share amounted to SEK
1.11 (1.28).
- Cash flow from operating activities amounted to SEK 251.4 (9.0) million.
PERIOD 1 JANUARY - 30 JUNE
2020
- Net sales amounted to SEK 2,755.4
million, which was 14 % (15 % in local currencies) lower
than last year (SEK 3,193.9
million).
- Operating result amounted to SEK
86.0 (165.6) million.
- Result for the period amounted to SEK
35.9 (109.7) million.
- Earnings per share amounted to SEK
0.57 (1.68).
- Cash flow from operating activities amounted to SEK 366.0 (-56.1) million.
- Equity ratio amounted to 47.9 (44.7) %.
- Net debt to equity ratio amounted to 69.9 (79.2) %.
CEO COMMENTS
APRIL-JUNE
The second quarter turned out considerably better than I feared.
Some countries recovered faster than we expected, the trading
business reported a very good result and showed good growth.
Sales during the quarter decreased by 22% in local currencies.
The outcome differed quite a lot between countries and companies,
and worst affected were our US companies with a decrease of 62% and
with several of our companies shut down well into May. Sales in
Sweden, other Nordic countries and
Central Europe also dropped
between 29-43%. Southern Europe
and Other countries experienced growth of 77% and 19% respectively,
mainly due to trading orders.
Operating result amounted to SEK 110.1
million compared to SEK 119.6
million for the previous year - a result which I am
satisfied with and proud of given the current circumstances. During
the period, the Group received SEK 44.1
million in government support in several countries related
to COVID-19. We managed to strongly cut back on costs, with a
SEK 142.5 million decrease in
external costs and a SEK 81.4 million
decrease in personnel costs. These actions, together with a
lower-than-expected drop in sales, actually resulted in an improved
operating margin.
JANUARY-JUNE
Net sales for the first six months of the year decreased by 14%
to SEK 2,755.4 million. The
development in the regions was about the same as for the second
quarter. The largest drop was in the US with 36%, where it is worth
noting that several of our warehouses were shut down for a
relatively long period of time.
Under the circumstances I am satisfied with an operating result
of SEK 86.0 million. For quite some
time I was worried that the result would end up considerably
worse.
CASH FLOW AND BALANCE SHEET
In addition to lowering costs, I am very satisfied with the work
being done to improve cash flow. The first six months improved by
SEK 422.1 million compared to the
same period last year and amounted to SEK
366.0 million. Total credit limit amounts to SEK 3,165 million and the net debt to credit
institutes amounts to SEK 1,898.8
(2,168.6) million, which gives an available credit of SEK 1,266 million. During the period, we have
continued to strengthen the balance sheet and increased the equity
ratio with 3.2 percentage points to 47.9%.
THE FUTURE
It is very hard to assess the coming quarters, but I am entirely
convinced that we will come out of the crisis stronger than ever
within all our areas. In the short term, however, it can certainly
continue to go up and down depending on how COVID-19 develops.
Torsten Jansson, CEO
FOR MORE INFORMATION, PLEASE CONTACT:
CEO and Group CEO
Torsten
Jansson
Phone: +46 31-712 89 01
E-mail: torsten.jansson@nwg.se
CFO
Lars Jönsson
Phone: +46 31-712 89 12
E-mail: lars.jonsson@nwg.se
This information is information that New Wave Group AB is
obliged to make public pursuant to the EU Market Abuse Regulation
and the Securities Market Act. The information was submitted for
publication, through the agency of the contact persons detailed
above, at 7.00 a.m. CET on
August 20, 2020.
If you want to sign up for, or unregister from, future messages
from New Wave Group, please send an email to info@nwg.se.
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Interim report for
New Wave Group AB January - June 2020 (PDF)
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SOURCE New Wave Group