Beijer Ref reports 19.9% sales increase
SWEDEN: Refrigeration wholesaler Beijer Ref has reported increased sales of 19.9% in Q3 with increased sales of air conditioning in southern Europe a major contributor.
Sales amounted to SEK2,335.4m (€248m) in Q3, up from SEK1,947.4m (€207m) for the third quarter of 2015. Adjusted for exchange rate fluctuations and acquisitions, the organic change in sales was 9%. Group sales increased by 17.3% to SEK6,334m (€672m) for the year to date – an increase of 5%.
Operating profit also increased to SEK180.7m (€19.2m) – an increase of 15% on 2014 and a new record for Beijer Ref.
Beijer Ref’s collaboration with the Japanese company, Toshiba, combined with a hot summer, is said to have contributed to southern Europe’s strong sales performance.
“The hot summer in southern Europe, in combination with an improved economic cycle, confirms the upward trend with yet another strong quarter for Beijer Ref’s largest market region,” commented CEO Per Bertland. “This, in combination with a positive development in Eastern Europe, Thailand and Sweden, contributed to enabling Beijer Ref to increase its sales for the third quarter by 20%.”
Its activities in the Oceania region are also progressing well. The acquisition of Realcold was recently approved by the New Zealand competition authorities and Patton, acquired earlier this year, has sold its first chiller from Beijer Ref’s Italian manufacturing company, SCM Frigo.
The year’s acquisitions of Patton, Realcold and RNA in Oceania were also supplemented during the third quarter with the establishment of a new operation in Accra, Ghana.
“This is an exciting addition to our ongoing expansion in Africa for Beijer Ref as a modern and environment-conscious refrigeration group,” said Per Bertland.
Beijer Ref’s strategy of global expansion, establishing operations in both the northern and southern hemisphere, is partly aimed at levelling out seasonal variations in the long term.
“Our ambition is to continue this growth strategy and we look forward to being able to present additional acquisitions in the future,” Bertland said.