Beijer Ref reports best ever quarter

SWEDEN: Refrigeration wholesaler Beijer Ref has reported its strongest quarter ever with an increase of 15.1% to SEK2,152.9m (€230m) in the second quarter.

Singled out are strong developments in the Nordic countries, a continued positive trend in Southern Europe and positive contributions from the acquisitions made during the first quarter in New Zealand, Australia, Thailand, India and Malaysia.

Southern Europe is Beijer Ref’s largest market, accounting for nearly 40% of the Group’s total sales. Further improvements in the region are as a result of increasing demand in a strengthening market.

“It seems as if the economic reform work, especially in Spain, but also in the other countries in the region, is beginning to impact, which gives a reason for cautious optimism about continued growth in Southern Europe,” said Beijer Ref CEO Per Bertland.

Continued strong growth in Sweden, the acquisitions made and continued good development in southern Africa, are also said to have contributed to the growth.

Beijer Ref’s investment in CO2 refrigeration systems are reported to be continuing to capture market share, especially in the Nordic countries. Compared with the second quarter in 2014, sales of so-called eco-friendly refrigeration systems have trebled in Sweden. In fact, the company’s own manufacturing of such systems are currently growing faster than any other activity.

In addition, the company reported its first order for a CO2 refrigeration systems from Poland at the beginning of July. Manufactured by Beijer Ref’s OEM division, they are installed in the logistics centre of a leading European food chain. Beijer Ref manufactured CO2 refrigeration systems have previously been delivered in the Estonian and Latvian markets.

Following the integration of Patton’s operations in New Zealand, Australia, Thailand and India, and of RNA Engineering & Trading in Malaysia, Beijer Ref is contemplating the introduction of European technology into its production operations in Thailand.