COMMENT COMMENT Ahlstrom Corp recorded net sales for the fourth quarter of fiscal 2016 of E266.1 million, a 4.4% increase on the year earlier. The company posted an operating profit of E8.0 million, reversing a year earlier loss of E16.4 million. Similarly, a net profit of E1.4 million followed a loss of E20.2 million in the comparator quarter that was marked by significant impairment losses and restructuring costs. Sales in the Filtration & Performance segment were up 6.7% on the year earlier at E170.5 million led by higher sales of wallcover, filtration and glass fibre materials. The segment’s adjusted operating
profit rose to E9.5 million from E3.0 million driven by higher sales volumes and better operational efficiency through reduced production waste, as well as lower variable costs. For the full year, Ahlstrom’s net sales were up 1.0% to E1.1 billion while net profit reached E34.9 million from E8.6 million in the previous period. “During the latter part of the year we demonstrated our ability to grow, something we have lacked in the past few years, and achieved remarkable growth in net sales of close to 5% at constant currency rates in the last quarter of the year,” Sakari Ahdekivi, Ahlstrom’s interim president & CEO, said. n www.ahlstrom.com
Alfa Laval AB has posted fourth quarter net sales for fiscal 2016 of SEK9.9 billion, down 8.3% on the prior year. Order intake and profitability also fell significantly, with the former down 7.6% to SEK8.7 billion, operating income 44.7% lower at SEK820 million and net income 34.1% easier at SEK616 million. Results for the quarter included SEK400 million in restructuring costs bringing the total for the year to SEK1.5 billion. Alfa Laval’s president and CEO, Tom Erixon, said the quarter had seen the completion of its recent restructuring endeavours with its new organisational structure launched at the beginning of January.
“This initiative is estimated, in combination with already announced changes, to give annual savings of SEK500 million in total,” he said. For the corresponding full year, net sales were down 10.3% on the year earlier at SEK35.6 billion, while orders slipped 13.6% to SEK32.1 billion. Profitability followed a similar trend with operating income slumping 47.7% to SEK3.0 billion and net earnings decreasing 40.1% to SEK2.3 billion. Order backlog at year end was SEK16.9 billion compared to SEK20.6 billion twelve months earlier. Alfa Laval is expecting demand to ease in the first quarter of fiscal 2017 compared with the final period of 2016. n www.alfalaval.com