Electrolux 2013 Annual Report Download - page 86

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Net sales and income
Net sales
Net sales for the Electrolux Group in 2013 amounted to
SEK109,151m, as against SEK109,994m in the previous year.
The organic sales growth was 4.5%, while currencies had an
impact of –5.3%.
Strong sales growth was seen in Asia/Pacific, North America
and Latin America. 2013 was a year with extensive launches of
new products across most markets.
Net sales and operating margin
SEKm %
Net sales
Operating margin1)
0
25,000
50,000
75,000
100,000
125,000
1312111009
0.0
1.5
3.0
4.5
6.0
7.5
1) Excluding items affecting
comparability.
Operating income
Operating income for 2013 decreased to SEK1,580m (4,000),
corresponding to a margin of 1.4% (3.6).
In 2013, measures were initiated to improve manufacturing
footprint and reduce costs, particularly in Europe. A total of
SEK–2,475m was charged to operating income within items
affecting comparability, see page 96.
Operating income for 2013, excluding items affecting com-
parability, decreased to SEK4,055m (5,032), corresponding to
a margin of 3.7% (4.6).
Major Appliances North America showed a positive earnings
trend during the year, while price pressure and weak volumes
in Europe had a negative impact on operating income for Major
Appliances Europe, Middle East and Africa. Unfavorable
currency movements had a negative impact on operating
income for the operations in emerging markets, in Europe and
in Australia.
Increased investments and marketing spend related to new
product launches particularly in Asia/Pacific also impacted
operating income for 2013.
Cost savings and the ongoing global initiatives to reduce
complexity and improve competitiveness within manufacturing
made a contribution to operating income as well as an improved
product mix.
Effects of changes in exchange rates
Changes in exchange rates had a negative impact year-over-
year on operating income of SEK –1,460m. The impact of trans-
action effects was SEK –1,548m, results from hedging opera-
tions SEK383m and translation effects SEK –295m. Operations
in Latin America, Asia/Pacific, Europe, Middle East and Africa
were impacted by a stronger US dollar and euro against local
currencies.
The weakening of several currencies in emerging markets
had an adverse impact on operating income.
Financial net
Net financial items decreased to SEK –676m (–846).
Income after financial items
Income after financial items decreased to SEK904m (3,154),
corresponding to 0.8% (2.9) of net sales.
Taxes
Total taxes in 2013 amounted to SEK –232m (–789), corre-
sponding to a tax rate of 25.7% (25.0)
Income for the period and earnings per share
Income for the period amounted to SEK672m (2,365),
corresponding to SEK2.35 (8.26) in earnings per share before
dilution and SEK9.81 (11.36), excluding items affecting
comparability.
Earnings per share
SEK
Excluding items affecting
comparability
Including items affecting
comparability
0
4
8
12
16
20
1312111009
• Organic sales growth was 4.5%, while currencies had a negative impact of –5.3%.
• Operating income amounted to SEK4,055m (5,032), corresponding to a margin of 3.7% (4.6),
excluding items affecting comparability.
• Measures to reduce costs were initiated, and SEK2,475m was charged to operating income
within items affecting comparability.
• Negative impact from currencies by SEK –1,460m.
• Income for the period was SEK672m (2,365) and earnings per share amounted to SEK2.35 (8.26).
board of directors’ report
84 ANNUAL REPORT 2013