Solid performance and strong operating cash flow
STOCKHOLM, Oct. 29, 2024 /PRNewswire/ — Loomis delivered solid financial results for the third quarter. Revenue exceeded SEK 7.6 billion with growth across all business lines when adjusting for changes in exchange rates, except for the International business line where we are still experiencing cyclical headwinds. We continue to see double-digit organic growth for Automated Solutions in both regions, where the performance of CIMA also has a positive contribution on the results.
The operating income (EBITA) of SEK 981 million is our highest ever and we increased our operating margin to 12.9 percent (10.4). The cash flow from operating activities surpassed SEK 1.3 billion for the quarter, representing a strong 134 percent cash conversion rate relative to operating income (EBITA).
We had a solid third quarter overall, nevertheless, it will be challenging to reach the operating margin (EBITA %) target of 12-14 percent for the year.
Comments on Quarter 3
Revenue for the third quarter was SEK 7,624 million (7,408). Revenue grew by 2.9 percent (9.9) of which organic growth was 5.5 percent (6.3). Acquisitions contributed with 2.3 percent (0.5) and the exchange rate effect on revenue was –4.9 percent (3.1). Operating income (EBITA) 1) for the quarter was SEK 981 million (814). The operating margin (EBITA) was 12.9 percent (11.0). Items affecting comparability in the quarter amounted to SEK –59 million (–2) and relates to costs for the ongoing restructuring within Segment Europe and Latin America. Operating income (EBIT) before items affecting comparability for the quarter was SEK 936 million (774) and operating margin (EBIT) before items affecting comparability was 12.3 percent (10.4). Net financial expenses for the quarter were SEK –218 million (–175). Income before taxes for the quarter was SEK 659 million (596) and net income was SEK 481 million (421). Earnings per share before dilution for the quarter were SEK 6.92 (5.92) and after dilution were 6.91 (5.90). Cash flow from operating activities 2) amounted to SEK 1,314 million (736) in the quarter, equivalent to 134 percent (90) of operating income (EBITA). Loomis AB has repurchased 593,100 shares during the third quarter for a value of SEK 200 million. The Board of Directors has resolved to continue to repurchase own shares during the fourth quarter 2024. Changes to the Group Management team were communicated on September 30, 2024.
1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and items affecting comparability.
2) Cash flow from operating activities is exclusive of impact from IFRS 16.
This press release is also available on the company’s website, www.loomis.com.
For more information, please contact:
Jenny Boström
Head of Sustainability and IR
jenny.bostrom@loomis.com
+46 79 006 45 92
This information was brought to you by Cision http://news.cision.com.
https://news.cision.com/loomis-ab/r/loomis-interim-report-january—september-2024,c4057781
The following files are available for download:
View original content:https://www.prnewswire.com/news-releases/loomis-interim-report-january–september-2024-302289705.html
SOURCE Loomis AB
