BUSINESS AREA
FINLAND & BALTICS

The business area includes the Group’s operations in Finland and the three Baltic countries.

Second quarter

Net sales decreased by 28 percent compared to the second quarter last year amounting to SEK 727 M (1,015). The decline is explained by price and mix effects of -27 percent and organic tonnage growth of -12 percent partly compensated by positive currency effects of 9 percent. The operating result amounted to SEK 16 M (187). Adjusted for inventory gains and losses of SEK 2 M (5), the underlying operating result amounted to SEK 12 M (181).

The Finnish operations generated a weak underlying operating result compared to last year as a consequence of significantly lower steel prices and a gross margin under continued pressure which is explained by high priced inventory being sold. Slightly higher steel prices compared to the last quarter contributed to a strenghtened gross margin.

The Baltic operations provided a continued negative result, which is a explained by low demand in combination with lower steel prices which put pressure on gross margin.

First six months

Net sales for the first six months decreased by 26 percent compared to last year, amounting to SEK 1,509 M (2,028). The decline is explained by price and mix effects of -20 percent and organic tonnage growth of -15 percent partly compensated by positive currency effects of 8 percent. The operating result amounted to SEK 19 M (299) and adjusted for inventory gains and losses of SEK 11 M (2), the underlying operating result amounted to SEK 6 M (297).