August 14, 2022


World for Home.

UPDATE 3-Electrolux sees enhance from continue to be-at-dwelling trend through first fifty percent of 2021

* Q4 functioning profit 2.5 bln SEK vs consensus 2.3 bln

* Sees greater demand yr/yr across marketplaces in H1 2021

* Expects to go on greater uncooked content expenditures to consumers

* Sees increased whole costs in 2021

* Sees greater income in 2021 vs 2020 (Adds facts, qualifications, CEO comment, shares)

STOCKHOLM, Feb 2 (Reuters) – Europe’s greatest residence appliances maker Electrolux expects unusually solid demand from customers to proceed in the coming months just after the continue to be-at-house craze all through the pandemic boosted sales in the second 50 % of 2020.

The Swedish group reported on Tuesday a greater than anticipated rise in fourth-quarter financial gain and proposed lifting its dividend.

“Sales continued to gain from consumers allocating far more of their family budgets to dwelling improvement and we also executed properly on price and mix,” Main Executive Jonas Samuelson reported in a statement.

Running financial gain landed at 2.50 billion crowns ($297 million) versus a calendar year-before 960 million and a forecast 2.34 billion in Refinitiv poll of analysts.

“For the very first half of 2021 we foresee that the potent buyer desire from improved residence-enhancement paying out skilled throughout the next half of 2020 will keep on being to some extent,” the firm explained.

That, mixed with reduced inventories at retailers, meant demand from customers would be greater than in the very first half of 2020, Electrolux reported, adding having said that that potential and ingredient availability would probably stay constraining variables.

Samuelson mentioned that despite the fact that demand might normalise in the next half of the 12 months, team income had been most likely to rise from 2020. “We hope progress in the full calendar year 2021 in terms of quantity, value and merchandise blend,” he explained to Reuters.

U.S. rival Whirlpool last 7 days also forecast higher sales this yr.

Electrolux reported it expected to go on climbing metal selling prices to consumers in 2021 – but greater prices for logistics, ongoing plant performance enhancements and marketing and advertising would most likely mean greater net fees in the 12 months.

The group’s shares, which have risen 10% in the earlier 12 months, were minor improved on the working day by 1130 GMT.

The group, which in March spun off its unit Electrolux Expert, proposed a dividend of 8 crowns for each share for 2020, up from 7 crowns for 2019 and in line with anticipations.

$1 = 8.4174 Swedish crowns Reporting by Anna Ringstrom modifying by Johannes Hellstrom, Simon Johnson and Susan Fenton