Electrolux benefits from exchange rates

Electrolux benefits from exchange rates

Advantageous exchange rates have helped Electrolux to an excellent fourth quarter in 2014. It managed an 8.7 % turnover increase for the previous quarter, while it expects a 3 - 5 % market growth in America and a 1 - 2 % growth in Europe for the full year.

Exchange rate boosts turnover

Swedish household appliance manufacturer Electrolux, which commercializes the Electrolux, AEG and Frigidaire brands, managed a 31.4 billion krona (3.4 billion euro) turnover in its fourth quarter, up 8.7 % compared to the same quarter last year.

 

It achieved 2 % autonomous growth, while 0.2 % came through acquisitions, but the bulk of the increase was because of advantageous exchange rates.

 

The full year turnover, thanks to its strong fourth quarter, reached 112.143 billion krona (12.1 billion euro), up 2.7 % compared to 2013.

 

Cheap production leads to growing profit

Higher sales and the fact that 70 % of its production was moved into countries with cheap labour, have also helped the company quite a bit. This combination actually means the company has taken advantage of the situation twice.

 

Fourth quarter operational profit reached 1.472 billion krona (158 million euro), 20 % above 2013's levels. For the full year, it is 4.78 billion krona (514 million euro), 18 % better than in 2013. Operational margins grew from 3.7 % in 2013 to 4.3 % in 2014, even reaching 4.7 % in its most recent quarter.

Questions or comments? Please feel free to contact the editors


Carrefour and Fnac Darty consider purchase alliance

01/12/2017

Supermarket firm Carrefour and electronics seller Fnac Darty are considering an alliance for their electronics acquisitions. The combination could lower purchase prices.

Media Saturn launches a first, fully virtual shopping world

21/11/2017

Saturn customers can use their own VR goggles to see products in two virtual environments. It is not yet possible to actually buy something in VR however.

Pieter Haas, CEO Ceconomy: "We sell the consumer a digital life"

03/11/2017

MediaMarkt’s parent company, Ceconomy, has the key to consolidate the European electronics industry even more. The retailer will sell services and solutions: “We help people make the right decisions.”

Ceconomy continues growth in transitional year

26/10/2017

Ceconomy, a former part of German Metro Group, achieved a 4.6 % fourth quarter turnover increase to 5.264 billion euro. Media Market’s parent company mainly made strides online.

Fnac Darty grew 6 % in third quarter

20/10/2017

Fnac Darty has raised its third quarter turnover by 6 % to 1.792 billion euro, with growth in the Benelux as well. The company also revealed the integration of both companies is ahead of schedule.

Samsung CEO resigns despite record profit

13/10/2017

South Korean Samsung has managed a record profit in its past quarter thanks to strong chip sales. However, one of its three CEO’s still decided to resign.

Back to top