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25th October 2007 - Haldex Reports Financial Results

Haldex has reported their financial results for the first nine months of 2007

 ▪ Sales amounted to SEK 5,985 m (5,993). Adjusted for currency exchange rates, sales rose 4%.  Order intake totaled SEK 6,077 m (6,022). The increase was 5% after adjustments for currency exchange rates.
 ▪ Earnings after tax totaled SEK 134 m (179). Earnings per share amounted to SEK 5.97 (8.08).
 ▪ Operating income totaled SEK 252 m (300). The operating margin was 4.2% (5.0). The decline in earnings was mainly attributable to the CVS Division, where operating income declined by SEK 41 m. The Friction Products business unit accounted for most of this deviation.
 ▪ A review of the production structure within Friction Products is currently under way. The structural changes are expected to result in future costs of SEK 40–50 m, with a repayment period of one year.
 ▪ The sales decline in North America was largely offset by strong demand in Europe and deliveries of new products. In North America, the number of trucks produced declined by 41% and the number of trailers by 20%.
 ▪ In the third quarter production approval was obtained from Scania for the new Haldex disc brakes for heavy trucks.
 ▪ The return on capital employed (rolling 12 months) was 9.6% (11.3).

Third Quarter 2007

 ▪ Sales totaled SEK 1,895 m (1,870).
 ▪ In the North American market, the decline for trucks continued in the third quarter and resulted in a weaker-than-expected trend for trailers and the aftermarket.
 ▪ Earnings before tax amounted to SEK 42 m (62).
 ▪ Operating income totaled SEK 65 m (79). Earnings for the preceding year were charged with SEK 15 m in restructuring costs.

Source: Haldex Press Release

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