Lindab's report for the Third Quarter 2010

July - September 2010

• Sales revenue increased by 3 percent to SEK 1,881 m (1,825), an increase of 8 percent when adjusted for currency and structure.
• Operating profit (EBIT) increased by 46 percent to SEK 212 m (145), excluding one-off items of SEK -7 m (-35).
• The operating margin (EBIT), excluding one-off items, amounted to 11.3 percent (7.9).
• The after-tax result amounted to SEK 114 m (37).
• Earnings per share amounted to SEK 1.51 (0.49).
• Cash flow from operating activities amounted to SEK 172 m (329).

 

January - September 2010

• Sales revenue decreased by 11 percent to SEK 4,830 m (5,417), a decrease of 6 percent when adjusted for currency and structure.
• Operating profit (EBIT) amounted to SEK 272 m (267), excluding one-off items of SEK 47 m (-47).
• The operating margin (EBIT), excluding one-off items, amounted to 5.6 percent (4.9).
• The after-tax result amounted to SEK 113 m (29).
• Earnings per share amounted to SEK 1.50 (0.39).
• Cash flow from operating activities amounted to SEK 67 m (474).
• A contract concerning the sale and lease-back of property in January 2010 generated cash flow of SEK 285 m, with a capital gain of SEK 73 m.
• Acquisition of the Finnish ventilation company IVK-Tuote Oy.

Lindab's President and CEO, David Brodetsky commented:

"Our third quarter performance confirmed recent trends and expectations: we have seen positive signs in the Nordic residential markets; the non-residential markets have stabilised and we have been able to recover the increased cost of steel in our sales prices.

I'd particularly like to highlight the Building Components business area's excellent performance in the quarter. Sweden stands out especially as the top performing market with September being the best ever month on record for Building Components in this market. The Building Systems business area also did very well to turn around from a loss in Q3, 2009 to good profitability in Q3, 2010 in large part due to improved sales in Eastern Europe stemming from orders booked in Q2. The Ventilation business area's markets remain weak but stable.

In overall terms, the new strategy is directing focus, attention and resources to the business segments where Lindab has clear strengths and where we see the most attractive markets. Geographically, we have good positions throughout the Nordic region, Western Europe and CEE. Of course we'll work to strengthen these but we also see main growth regions in Russia and CIS. We are now in the implementation phase with many activities in each business area focusing on the areas that will drive stronger growth and profitability in the coming years.

The market outlook is unchanged. We expect the residential segment to continue to confirm its recovery, particularly in the Nordic region. The non-residential market, on the other hand, remains stable overall. External indicators continue to point to the start of a recovery in this segment in the 2nd half of 2011."

End

The information here is that which Lindab International AB has willingly chosen to make public or that which it is obliged to make public according to the Swedish Securities Market Act and/or the Financial Instruments Trading Act.

An audiocast telephone conference will be held at 09:30 (CET). The report will be presented by David Brodetsky, President and CEO, and Nils Johan Andersson, CFO.

To access the telephone conference, please call UK +44 (0)20 7806 1966 a few minutes before the scheduled start. Alternatively, call the Swedish number +46 (0)8 5051 3793.

The presentation slides will be published in the Investor Relations section of the website http://www.lindabgroup.com/English/ir/presentations/Pages/default.aspx

A recording of the conference will be published within the same section.

An interview with the CEO and CFO of Lindab will also be available as a flash presentation on the website.

Contacts:

LINDAB

David Brodetsky, CEO
Email: david.brodetsky@lindab.com
Mobile: +46 (0)73 274 5418

Nils-Johan Andersson, CFO
Email: nils-johan.andersson@lindab.com
Mobile:+46 (0)70 668 5075

Lindab - A Ventilation and Building Products company:

Lindab develops, manufactures, markets and distributes products and system solutions primarily in steel for simplified construction and improved indoor climate.

The business is carried out within three business areas, Ventilation, Building Components and Building Systems. The products are characterised by their high quality, ease of assembly, energy efficiency, consideration towards the environment, and are delivered with high levels of service. Altogether, this increases customer value.

The Group had net sales of SEK 7,019 m in 2009, was established in 31 countries and had approximately 4,500 employees. The main market is non-residential construction, which accounts for 80 percent of sales, while residential accounts for 20 percent of sales. During 2009, the Nordic market accounted for 42 percent, CEE/CIS (Central and Eastern Europe as well as other former Soviet states) for 21 percent, Western Europe for 32 percent and other markets for 5 percent of total sales.

The share is listed on the Nasdaq OMX Nordic Exchange, Stockholm, Large Cap, under the ticker symbol LIAB. The principal shareholders are Ratos, Sjätte AP-fonden and Skandia Liv. For more information visit www.lindabgroup.com