| Imagery Source: Wikimedia Commons / P.poschadel |
| Information Source: Electrolux |
| Highlights of the third quarter of 2025 |
- Net sales amounted to SEK 32,318m (33,286) with an organic sales growth of 4.6% (6.2), mainly driven by strong growth in North America.
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- Operating income improved to SEK 890m (349), corresponding to an operating margin of 2.8% (1.0), mainly driven by an improved result in North America. In the third quarter of 2024, operating income included a negative non-recurring item of SEK -368m related to the divestment of the water heater business in South Africa.
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- Income for the period amounted to SEK 192m (-235) and earnings per share were SEK 0.71 (-0.87).
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- Operating cash flow after investments was SEK 624m (1,053), negatively impacted by a larger seasonal build-up of receivables compared to the previous year and a relatively high level of inventory.
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- Events after the close of the period: On October 30, Electrolux Group announced changes to the organisational structure and Group Management.
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| President and CEO of Electrolux, Yannick Fierling’s comment |
| Continued growth in a challenging market environment |
| Organic sales growth was positive in the quarter, driven mainly by North America. In Europe, Asia Pacific, the Middle East and Africa, organic sales increased slightly. In both business areas, our main brands gained market shares, supported by product launches during the year. In Latin America, our market position remained strong, with flat organic sales, on the back of strong growth in 2024. |
| Competitive pressure and promotional activity remained high in all regions. In Europe, market demand increased somewhat and in the Asia-Pacific, consumer demand is estimated to have decreased. In North America, demand remained resilient as industry market price adjustments did not reflect the implemented U.S.tariffs structure. In Latin America, consumer demand is estimated to have increased, with strong growth noted in Argentina. In Brazil, demand growth was hampered by inflationary pressure and increased interest rates. |
| Operating income improved, with good progress on cost savings. |
| Operating income improved, with a significant improvement from North America. Despite a pressured pricing environment, in the third quarter, we managed to compensate for the majority of U.S. tariff-related cost increases. The competitive situation is challenging adjustments of market prices to reflect the U.S. tariff structures and currency headwinds. In Europe, Asia-Pacific, the Middle East and Africa, the underlying operating income was slightly lower, mainly due to a negative price development. In Latin America, operating income declined primarily due to currency headwinds. |
| Cost efficiency contributed with SEK 0.8bn, and we continued to make good progress on delivering cost savings mainly from product engineering and procurement. Operating cash flow was positive, albeit at a lower level than last year due to a larger seasonal build-up of receivables compared to the previous year, as well as a relatively high level of inventory. |
| Business outlook for the full year is partly revised. |
| In the business outlook, we have reduced our outlook for capital expenditure to approximately SEK 3.5-4bn from previously SEK 4-5bn. |
| Getting closer to the consumer |
| The continued investments in marketing and innovation are imperative for us to be able to offer consumer-relevant products. This quarter, AEG provided a strong example by introducing a new range of dishwashers developed on an entirely redesigned platform. To place our customers even more firmly at the centre of everything we do, we are implementing changes within the Business Area Europe, Asia-Pacific, Middle East, and Africa. It will be divided into Region Europe, Middle East and Africa (EMEA) and Region Asia-Pacific (APAC). These changes are being made to strengthen customer focus in APAC. It will strengthen our regional capabilities and further advance our strategic priorities in an evolving global market. |
| For the full document, click the link below |
| Electrolux |
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