Beijer Ref reports 32% sales increase
SWEDEN: Refrigeration and air conditioning wholesaler reports a net sales increase of 32% to SEK3,434m (€328m) in the first quarter, compared to the same period last year.
The operating profit for the quarter amounted to SEK244m (€23.3m), an increase of 42% compared with 2017.
Although there were no new acquisitions in the first quarter, previous acquisitions accounted for 20% of the sales increase, with an 8% organic increase in sales.
“It is particularly positive to see that the major acquisitions in the southern hemisphere that were conducted in 2018, TecsaReco in South Africa and Heatcraft in Australia, both contribute to our profits and also equalise seasonal variations,” commented Beijer Ref CEO Per Bertland.
All market segments are said to have experienced growth with commercial refrigeration representing 54% of the business and air conditioning, HVAC, accounting for about 36%.
Prices of refrigerants are reported to be continuing to decline but still remain at high levels. “One effect of this is that the refrigerants’ share of our total sales is more and more returning to normal. The general market assessment is that prices may become stabilised during Q2 and then possibly rise slightly in the autumn,” Bertland reported.