Alfa Laval reported an adjusted ebita result of 1.339 million for the third quarter of 2016, and the adjusted ebita margin was 15.6%.
Analysts had on average predicted an adjusted ebita result of 1.337 million and an ebita margin of 15.5 percent.
Sales amounted to 8.581 million for the period. This low SME Direkt konsensusprognos at 8.613 million.
Orders received amounted to 7.540 million. For orders low SME expectations of 7.834 million.
Track the same or higher demand
Alfa Laval expects the demand in the October to december 2016 will be at the same level or slightly higher compared with the third quarter.
It is clear from the report.
In the previous report predicted the Alfa Laval to the demand in the third quarter of 2016 would be at the same level as or slightly lower than in the other.
Alfa Laval announces a programme of action as a result of the strategic review.
It is clear from a press release.
The new organizational structure, in combination with the current market conditions, means that Alfa Laval is introducing a program that will include three initiatives: a more focused organization, which is also an adaptation to the weak demand in the oil and gas and marinsektorerna, lift-out of certain product groups from the new organizational structure and a restructuring of production.
“We need to adapt to the size of our organization to current market conditions,” says Alfa Laval’s ceo Tom Erixon.
Intiativen expected to give rise to costs of a non-recurring nature in the range of sek 1.5 billion, of which 1.1 billion was charged against the third quarter. Of the 1.1 billion, is expected to 600 million being non-cash.
the Savings, excluding the cost of goods sold, are estimated to amount to approximately sek 300 million.
“the Charge will also generate some savings in the costs of goods sold that will reduce the impact of the negative volume trend,” writes Alfa Laval further.
Speaking of the third option, the restructuring of production, type Alfa Laval that this initiative will be implemented gradually over several years. It will begin in 2017 and end in 2019.
“Further information about this initiative will be presented subsequently” called on the planned changes in the production process.