Electrolux Professional Ab Class B · OMXSTO:EPRO_B

Electrolux Professional Ab Class B — Electrolux — Q2 2010 Earnings Presentation

15 slides from Electrolux Professional Ab Class B's earnings presentation, Jul 19, 2010

  1. Slide 1: Q2 Results, July 19, 2010

    Q2 Results, July 19, 2010 Hans Stråberg, President and CEO Jonas Samuelson, CFO Peter Nyquist, IR

  2. Slide 2: Q2 Highlights

    Q2 Highlights EBIT (SEKm) Margin (%) 2500 10 ƒ Net sales increased by 3% in comparable currencies 8 2000 ¾ Solid recovery in the US on 5,4 6 the back of the rebate 1500 3,7 4 program 2 ¾ Southern Europe volatile 1000 0 ƒ EBIT SEK 1,477m, excluding 500 items affecting comparability -2 ¾ Volume growth

  3. Slide 3: Operating cash flow Q2, 2010

    Operating cash flow Q2, 2010 ƒ Solid cash flow 4000 3500 ƒ Positive earnings 3000 contribution 2500 ƒ Seasonal build-up of 2000 inventories 1500 ƒ Higher level of investments 1000 500 compared to last year 0 -500 -1000 -1500 Operations (excl. Change in assets Investments Operating cash assets and li

  4. Slide 4: Raw-material costs 2010

    Raw-material costs 2010 Other 18% Aluminum 4% Copper 7% 2010 ~ SEK 1 Billion in increase Plastics 23% ƒ Negative impact of 2009 SEK SEK 300m y-o-y in Q2 19 billion ƒ Raw-material y-o-y headwind expected to increase to SEK 500m in Q3 Steel 48% 4

  5. Slide 5: Consumer Durables Europe

    Consumer Durables Europe EBIT (SEKm) Margin (%) 1200 10 ƒ Lower sales ¾ Decline in private label sales 8 ¾ Price pressure 800 5,4 6 ƒ Strong EBIT improvement ¾ Strong mix – increased sales 4 400 2,9 within built-in segment 2 ¾ Cost savings – Previous cost measures 0 0 2009 2010 ƒ Increased marketing

  6. Slide 6: The European market continued to be unchanged in Q2

    The European market continued to be unchanged in Q2 Quarterly comparison, year over year 10% 5% 0% -5% -10% -15% 2006 2007 2008 2009 2010 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 West. Europe 4% 1% 1% 5% 1% 1% -1% -5% -4% -4% -5% -8% -9% -9% -4% -2% 1% 0% East. Europe 1% 9% 6% 7% 14% 5%

  7. Slide 7: Consumer Durables North America

    Consumer Durables North America EBIT (SEKm) Margin (%) ƒ Solid market growth led to higher 800 8 volumes 600 6 ¾ Exited unprofitable volumes 5,1 4,6 ¾ Increased sales under own brands 400 4 ƒ Improved earnings in comparable currencies 200 2 ¾ Improved mix ¾ Increased sales of air-conditioners 0 0 ¾

  8. Slide 8: Strong growth in US in the second quarter

    Strong growth in US in the second quarter Quarterly comparison, year-over-year 15% 10% 5% 0% -5% -10% -15% -20% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2006 2007 2008 2009 2010 8

  9. Slide 9: Consumer Durables Latin America

    Consumer Durables Latin America EBIT (mSEK) Margin (%) 400 10,0 ƒ Slowdown of market growth in Brazil 300 7,5 ¾ Expired tax incentives 6,1 ¾ Rest of Latin America 200 4,3 5,0 showed strong growth ƒ Improved operating 100 2,5 income 0 0,0 ¾ Higher volumes 2009 2010 ¾ Improved effiency (SEKm) Q2 2010

  10. Slide 10: Consumer Durables Asia/Pacific

    Consumer Durables Asia/Pacific EBIT (SEKm) Margin (%) 250 10,1 12,0 ƒ Australia: Improved EBIT despite market decline 10,0 200 ¾ Improved product mix 8,0 150 ¾ Positive currency impact 6,0 ¾ Improved efficiency 100 3,0 4,0 ƒ Southeast Asia and China 50 ¾ Market-share gain 2,0 ¾ Positive impact of co

  11. Slide 11: Professional Products

    Professional Products EBIT (SEKm) Margin (%) 300 15,0 ƒ Stabilization of market 12,0 demand 250 12,0 ƒ Improved operating income 200 ƒ Food service 8,9 9,0 150 ¾ Improved product mix 6,0 100 ¾ Higher production efficiency 50 3,0 ¾ Lower costs for raw materials 0 0,0 2009 2010 ƒ Laundry products ¾ Im

  12. Slide 12: Third quarter

    Third quarter Top line development ƒ Product mix; continues to have a positive impact ƒ Market volumes; flat year-over-year ƒ Price development; defend current levels Cost development ƒ Cost savings; positive impact from restructuring program ƒ Raw material prices; peak in Q3, y-o-y negative effect

  13. Slide 13: Full year 2010

    Full year 2010 “…….. I still think 2010 could be the year we approach our goal of an operating margin of 6% with continued improved capital efficiency.” 13

  14. Slide 14: Thank you

    Thanking oF You AH) Electrolux

  15. Slide 15: Factors affecting forward-looking statements

    Factors affecting forward- looking statements Factors affecting forward-looking statements This presentation contains “forward-looking” statements within the meaning of the US Private Securities Litigation Reform Act of 1995. Such statements include, among others, the financial goals and targets of

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