Assa Abloy reports strong performance and announces new divisional structure for Entrance Systems
Assa Abloy recenty released details about their financial performance in the third quarter of 2019:
- Net sales increased by 13% to SEK 24,034 M (21,191), with organic growth of 4% (5) and acquired net growth of 4% (2)
- Strong growth in Global Technologies and Americas and good growth in EMEA and Entrance Systems, while sales declined in Asia Pacific
- Five acquisitions signed with combined expected annual sales of about SEK 1,000 M
- Operating income (EBIT) increased by 14% and amounted to SEK 3,894 M (3,424), corresponding to an operating margin of 16.2% (16.2)
- Net income amounted to SEK 2,697 M (2,384)
- Earnings per share amounted to SEK 2.43 (2.15)
- Operating cash flow increased by 47% to SEK 4,401 M (3,004)
In addition an announcement was made regarding Entrance Systems division:
“Entrance Systems division has since its foundation in 2006 successfully grown from SEK 3 bn to above SEK 25 bn in annual revenue. To enable continued and accelerated growth of the division in the ASSA ABLOY Group, a new divisional structure will be formed around four business segments: Pedestrian, Industrial, Residential and Perimeter Security. Perimeter Security is currently part of the Opening Solutions Americas division and will be transferred to the Entrance Systems division to create new opportunities to scale up and potentially drive a global expansion.
The business segments will be the highest responsible operational entities reporting to the division. This will increase the focus on the operation and enable further synergies within respective business segments.
Recruitment of a new Head of Entrance Systems division has been initiated and the current Head of Entrance Systems division, Mogens Jensen, will remain in the organization as responsible for two of the business segments.
The changes are planned to take effect early 2020.”
Source: Assa Abloy