Results

Q1 Report 2020

Published on 21 April, 2020 at 8:00 AM CET.

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Focus on employees, long-term financial stability and customers in turbulent times

January-March 2020 

  • Order intake amounted to MSEK 1,490 (1,432), an increase of 4% 
  • Order book amounted to MSEK 1,506 (1,391), an increase of 8% 
  • Net sales amounted to MSEK 1,224 (1,206), an increase of 2% 
  • EBITA amounted to MSEK 25 (47) and the EBITA margin was 2.1% (3.9)
  • Adjusted EBIT amounted to MSEK 22 (46) and the adjusted EBIT margin was 1.8% (3.8)
  • Operating profit (EBIT) amounted to MSEK 13 (40) 
  • Net profit for the period amounted to MSEK –5 (7)
  • Earnings per share amounted to SEK –0.05 (0.09)
  • Free cash flow amounted to MSEK –54 (1), and free cash flow per share amounted to 
    SEK –0.57 (0.01) 
  • For the first quarter Gunnebo estimates that Covid-19 impacted net sales with 
    approx. MSEK 75 and EBITA with approx. MSEK 25 

Despite the downturn at the end of the quarter, the Group’s order intake and net sales were somewhat higher than in the corresponding quarter of the previous year, and Gunnebo’s order book increased by 8%, which is a sign of strength. The strong development in Entrance Control and Safe Storage could not fully offset reduced volumes and decreased margins in other business units and the negative effects of Covid-19, which affected profitability and EBITA. Proactive measures have been accelerated, as the impact of Covid-19 is expected to be significant in the second quarter due to the global market downturn and reduced demand. 

At the time of writing, we are still facing great uncertainty. Covid-19 and its long-term effects on Gunnebo are still difficult to assess. Our direction remains unchanged and the planned change processes for a stronger Gunnebo are ongoing. At the same time, we see business opportunities in changing behavioural patterns in society, which may increase the demand for products and services in people flow management and safe storage.