Electrolux 2005 Annual Report Download - page 28
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Please find page 28 of the 2005 Electrolux annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.24 Electrolux Annual Report 2005
Net sales
Net sales for the Electrolux Group in 2005 amounted to
SEK 129,469m, as against SEK 120,651m in the previous year.
Sales were positively impacted by volume/price/mix, as well as
changes in exchange rates.
Change in net sales
% 2005 2004
Changes in Group structure –0.2 –2.0
Changes in exchange rates 3.2 –4.0
Changes in volume/price/mix 4.3 3.2
Total 7.3 –2.8
For information regarding changes in Group structure, see page 26.
In terms of business areas, net sales for Indoor Products
increased by 7.8% to SEK 100,670m (93,389) and net sales for
Outdoor Products by 5.8% to SEK 28,768m (27,202). The
increase for Indoor Products was due primarily to strong sales
growth for appliances in North America and Latin America. The
sales increase for Outdoor Products referred mainly to Profes-
sional Products.
In comparable currencies, sales for Indoor Products increased
by 4.3% and sales for Outdoor Products by 3.4%. See page 40.
Net sales, by business area
Sales for Indoor Products increased by 4.3% and Outdoor Products by 3.4% in comparable
currencies.
Operating income
The Group’s operating income for 2005 declined by 18.0% to
SEK 3,942m (4,807), corresponding to 3.0% (4.0) of net sales.
The decline refers mainly to costs for restructuring in appliances
within Indoor Products. Total restructuring costs amounted to
SEK 3,020m (1,960) in 2005. See Items affecting comparability
on page 26.
Excluding items affecting comparability, operating income for
Indoor Products improved by 2,4% to SEK 4,645m (4,537). The
improvement is due mainly to a strong performance by appli-
ances in North America, higher operating income for floor-care
products, divestment of the Group’s Indian operation and previ-
ous restructuring. Operating income for Outdoor Products
declined by 0,5% to SEK 3,111m (3,128) due to weaker results
within consumer outdoor products in North America.
In comparable currencies, operating income for Indoor Prod-
ucts decreased by 1.3% and Outdoor Products by 2.2%. See
page 40.
Operating income, by business area 1)
Operating income for Indoor Products declined by 1.3% and Outdoor Products by 2.2% in
comparable currencies.
Depreciation and amortization
Depreciation and amortization in 2005 amounted to SEK 3,410m
(3,023).
Financial net
Net financial items increased to SEK –727m (–355). The increase
is due to higher interest rates on borrowings in US dollar, higher
costs for hedging the Group’s net investments in foreign sub-
sidaries and increased average net borrowings. Lower interest
income as a result of lower Swedish and Euro interest rates also
had a negative impact.
For more information regarding financial items, see Note 9 on page 60.
Income after financial items
Income after financial items declined by 27.8% to SEK 3,215m
(4,452) corresponding to 2.5% (3.7) of net sales.
Net sales and income
0504030201
Outdoor Products
Indoor Products
SEKm
150,000
120,000
90,000
60,000
30,000
0
0504030201
Outdoor Products
Indoor Products
SEKm
10,000
8,000
6,000
4,000
2,000
0
1) Excluding common Group
costs and items affecting
comparability.
• Net sales rose by 7.3%
• Operating income declined to SEK 3,942m (4,807), but increased by 2.9%
to SEK 6,962m (6,767) excluding items affecting comparability
• Operating income for Indoor Products improved by 2.4%, but decreased by 0.5% for Outdoor Products
• Income for the period declined to SEK 1,763m (3,259)
• Earnings per share declined to SEK 6.05 (10.92)