Lindab's report for the Third Quarter 2011

  
Third Quarter 2011

• Sales revenue increased by 1 percent to SEK 1,891 m (1,881), an increase of 4 percent when adjusted for currency and structure
• Operating profit (EBIT) amounted to SEK 172 m (212), excluding one-off items of SEK 0 m (-7).
• The operating margin (EBIT), excluding one-off items, amounted to 9.1 percent (11.3).
• The after-tax result amounted to SEK 88 m (114).
• Earnings per share amounted to SEK 1.17 (1.51).
• Cash flow from operating activities amounted to SEK 115 m (172).

January - September 2011

• Sales revenue increased by 4 percent to SEK 5,023 m (4,830), an increase of 9 percent when adjusted for currency and structure.
• Operating profit (EBIT) amounted to SEK 300 m (272), excluding one-off items of SEK -17 m (47).
• The operating margin (EBIT), excluding one-off items, amounted to 6.0 percent (5.6).
• The after-tax result amounted to SEK 96 m (113).
• Earnings per share amounted to SEK 1.28 (1.50).
• Cash flow from operating activities amounted to SEK 93 m (67).

Lindab's President and CEO, David Brodetsky comments:

Sales


The sales growth in the quarter was 4 percent, adjusted for currency, compared to a strong Q3 last year. For the period January to September, sales grew by 9 percent, adjusted for currency. The lower growth figure for the quarter is mainly due to a reduced growth rate in the Nordic re-gion. Growth was the highest in CEE/CIS where Building Systems performed well, while growth in Western Europe was flat.

Profitability

The EBIT-margin in the quarter was 9.1 percent (11.3), also compared to a good Q3 last year which had strong positive impact from steel price effects. In the third quarter this year, we had the opposite effect to some extent. At the same time, we have experienced continuing pricing pressure, particularly in Building Components markets in CEE.

Outlook

Due to the late cyclicality of our business, demand in the coming months is likely to be more affected by the timing of the winter weather than by the current market uncertainty. However, longer term, the Euro crisis in particular and the uncertainty it creates, will lead to a downgrading of construction growth forecasts which will have an impact on demand for our products. We are closely monitoring the demand evolution and will take action if required.

Strategy

Initiatives to support our market positioning are ongoing in line with our stated strategy, particularly with regard to strengthening distribution and to reinforce our exposure towards future growth markets.

End

The information here is that which Lindab International AB has willingly chosen to make public or that which it is obliged to make public according to the Swedish Securities Market Act and/or the Financial Instruments Trading Act.

Contacts:

LINDAB

David Brodetsky, CEO

Email: david.brodetsky@lindab.com

Mobile: +46 (0)73 274 5418

Lindab - A Ventilation and Building Products company:

Lindab develops, manufactures, markets and distributes products and system solutions primarily in steel for simplified construction and improved indoor climate.

The business is carried out within three business areas, Ventilation, Building Components and Building Systems. The products are characterised by their high quality, ease of assembly, energy efficiency, consideration towards the environment, and are delivered with high levels of service. Altogether, this increases customer value.

The Group had net sales of SEK 6,527 m in 2010, was established in 31 countries and had approximately 4,400 employees. The main market is non-residential construction, which accounts for 80 percent of sales, while residential accounts for 20 percent of sales. During 2010, the Nordic market accounted for 45 percent, CEE/CIS (Central and Eastern Europe as well as other former Soviet states) for 22 percent, Western Europe for 29 percent and other markets for 4 percent of total sales.

The share is listed on the Nasdaq OMX Nordic Exchange, Stockholm, Mid Cap. For more information visit www.lindabgroup.com