Swedish-based appliance maker Electrolux said today that second quarter 2012 net sales were SEK 27,763 million (approx US$4.0 billion) up from SEK 24,143 million in 2Q 2011. Income was SEK 763 million (approx $110 million), up from SEK 561 million in 2Q 2011.
"Electrolux generated a record-high organic sales growth during the second quarter and improved its earnings significantly compared to the same period of last year," President and CEO Keith McLoughlin commented today at the release of the results. "Our operations in Latin America and Asia showed strong volume growth and earnings in North America were up significantly"
Net sales were up 15%, with 5.8% organic growth, 5.6 % growth from acquisitions, and 3.6% from changes in exchange rates.
Latin American and Asian showed strong organic growth in the quarter. Electrolux reported it gained European market share in all the core appliance product categories in the quarter.
The group's operating income improved to SEK 1,150 million in 2Q 2012, up from SEK 745 million in 2Q 2011, for a margin of 4.1%.
"An important factor for the positive development in North America was price increases," McLoughlin said.
Improvements in volume, price and mix contributed positively to results in Latin America.
"In Europe, Electrolux continued to gain market share, but results were negatively impacted by the weak market development," McLoughlin said.
Higher costs for raw materials were still a drag on earnings, but not as much as in previous quarters.
"In the second quarter, organic growth accounted for approximately 6%, which is a historic record for the Electrolux appliance business, with both volume and price contributing positively," McLoughlin commented.
to Daily News