Small appliance maker Group SEB released final results for the year just ended, confirming that revenue rose 7.7 percent in 2006, led by a sharp return to strong organic growth of 5.4 percent, as well as from the positive contribution of companies acquired in 2005 and 2006. The currency effect was slightly negative for the year.
Groupe SEB said the favorable results came despite general downwardly drifting prices throughout most of 2006, higher raw materials costs and fluctuating currencies. Operating margin remained stable in value, but increased excluding acquisitions. As expected, profit attributable to equity holders of the parent declined, to 88 million euros (approx. U.S. $115 million), due to the higher restructuring costs than in 2005.
“2006 was a positive year for Groupe SEB. First, we met our objectives of sustained organic growth in revenue and improvement in operating margin excluding acquisitions," said Chairman and CEO Thierry de La Tour d’Artaise. "At the same time, we pursued our acquisitions strategy with one operation completed in the United States and the signature of a major project in China, which is still subject to regulatory approval. Lastly, we were able to quickly identify solutions for most of the co-workers hit by our French restructuring plan, which is critical to our competitiveness.”
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