Samsung Electronics has made public its forecasts for the second quarter of 2023. The resilience of large household appliances can do nothing compared to the weakness in demand for smartphones and above all for chips.
Compared to the previous quarter, the decline is only 6% in sales and 6.4% in profits
In the April-June period, the Korean giant estimates that it had a turnover of 60 thousand billion won (42 billion euros) with a very small profit (1%) of 600 billion won. In the corresponding period of 2022, Samsung Electronics had a turnover of 77,200 billion won (54 billion euros) with a profit of 14 trillion won (almost 10 billion euros). As a result, sales fell 22% year over year and profits fell 95
Tag Archives: Financial
Glen Dimplex profit increase
The main business of Glen Dimplex, the Irish-headquartered heating, cooling and appliance giant, nearly quadrupled its profits last year as the company substantially concluded a period of restructuring.
Newly filed accounts for Glen Dimplex European Holdings, which makes up about 60pc of group operations, showed the business made a profit of €42.8m in the year to September 30, 2022, up from just €11m in the previous year.
Glen Dimplex increased turnover by just 4pc in the period to €944m, with growth coming mainly from the group’s energy efficient heating and ventilation products, which are in high demand in the EU because of public policy initiatives.
“Encouragingly, the strong profit growth experienced in the 2021/22 financial year has continued into the early part of the 2022/23 financial year and the outlook remains positive driven by strong underlying demand trends, a supportive policy environment and fiscal supports for end users,” the accounts stated.The company, which is owned by the Louth-based Naughton family, has been undergoing a transformation in recent years to focus more on sustainability and the electrification of energy, increasingly via smart tech.The firm sold the well-known consumer appliance business Morphy Richards to long-term Chinese manufacturing partner Xinbao for €185m. Glen Dimplex retained the rights to distribute the brand in Ireland, New Zealand and Australia for 10 years as part of the deal.The shift has seen Glen Dimplex become very busy in terms of mergers, acquisitions and disposals, with the company an active buyer of heating and ventilation businesses
Currys results
This morning Currys PLC have announced Full Year results for FY22/23, with group adjusted profit at the top end of guidance. Alex Baldock, Group CEO: “We’ve had a very mixed year. Our strengthening UK&I performance shows our long-term strategy is working well. But our long track record of success in the Nordics was brought to an abrupt halt. I’m proud of how our colleagues rose to this challenge, continuing to bring the benefits of technology within easy reach of millions of customers. Our long-term confidence is undimmed, with a business well set to benefit from an eventual macro recovery.”
Electrolux Posts Q1 Loss, Sales Rise, Backs View; Stock Up
Swedish home appliance major Electrolux AB reported Friday a loss in its first quarter with weak volumes hurt by lower demand. Net sales, however, was higher than last year, and the company maintained its fiscal 2023 forecast. In Stockholm, Electrolux shares were gaining around 9 percent.
President and CEO Jonas Samuelson said, “Our number one priority for 2023 is a successful implementation of the Group-wide cost reduction and North America turnaround program…. The actions and performance in the first quarter are fully aligned with our 2023 full-year cost reduction plan. …Sustainability is at the core of our strategy and I am proud that we reached both of our 2025 science-based targets three years ahead of plan. The business and market outlooks for 2023 full year provided in the fourth quarter 2022 earnings report remain unchanged The company previously said the consumer sentiment in the new year is anticipated to continue to be negatively impacted by a high inflation and interest rate environment, although with regional differences.
Demand for core appliances in 2023 full-year is still expected to be negative for all regions except for the Asia-Pacific, Middle East and Africa region, which is assessed to be flat compared to 2022.
Based on this, volumes in 2023 are expected to decline year-over-year.
Over the mid-term, the company still projects to reach Group operating margin of at least 6 percent, both for the Group and for business area North America.
According to the firm, a key component is the estimated earnings contribution of above 7 billion kronor in 2024 compared to 2022 from the cost reduction program, whereof 4 billion kronor to 5 billion kronor is expected in 2023. The company also recorded commercial growth in all four business areasElectrolux further said it aims to increase aftermarket sales to approximately 10 percent of Group sales by 2025, from around 7 percent in 2022.
For the first quarter, loss was 588 million Swedish kronor, compared to last year’s profit of 950 million kronor. Loss per share were 2.18 kronor, compared to profit of 3.40 kronor a year ago.
Operating loss amounted to 256 million kronor, compared to profit of 1.58 billion kronor last year.
Adjusted operating income was 305 million kronor, compared to prior year’s 919 million kronor. Adjusted operating margin was 0.9 percent, compared to 3.1 percent a year ago.
The year-over-year decline in underlying operating income was mainly a result of lower volumesNet sales increased 9 percent to 32.73 billion kronor from 30.12 billion kronor last year. Organic sales growth was 2.2 percent. Price remained solid, while weaker market demand resulted in lower volumes for the Group as a whole.Stockholm, Electrolux shares were trading at 146 kronor, up 9.12 percent.
Haier SmartHome resuy
Haier SmartHome released its annual report for 2022 fiscal year, reporting growth of 7.2% year-on-year, with sales revenue of 32.6 billion €.
Despite challenging market environment, Haier Smart Home’s overseas business continue to grow, recording a 10.3% increase in turnover compared to last year.
In the European market, we continued to be the fastest growing Company, recording a double-digit revenue growth of approximately 20% year-over-year, achieving sales of 3.2 billion €.
These strong performance results are even more relevant because they have been achieved in a more complex market than expected caused by high inflation and slowing consumer demand.
Elica Results
Elica BoD approves the Q1 2023 results. “Despite a significant market decline, we are pleased to report results in line with expectations. Our approach has been focused on the long-term value, allowing us to defend margins in a market with low volumes and significant inflation. Additionally, we have continued our transformation and expanded our offerings to become more Cooking. In this environment, the “Own Brand” business is performing better than the market and our “Motors Division” continued to grow. Although the year ahead may be challenging, we are confident that we will come out even stronger and well prepared for the future.” commented – Giulio Cocci Elica CEO.
Marks electrical
Online electrical retailer Marks Electrical Group reported record full year revenue of £97.8m, according to a trading update for the year to 31 March 2023.
The results represent a growth rate of 21.5%, up from £80.5m in 2022.
The firm is now expecting to achieve a full year Adjusted EBITDA exceeding £7.5m.
“We are delighted to finish the year with revenue growth of 21.5% to a record £97.8m, especially against the prevailing economic back-drop. This further demonstrates the strength of our business model and the attractiveness and advantage of our market-leading customer offering, as more people continue to discover our brand up and down the country,” Mark Smithson, chief executive officer, commented.
Marks Electrical Group recorded a strong trading period in its fourth quarter, with 20.0% revenue growth to £24.8m – up from £20.7m during the same period in 2022.
LG Electronics estimates to log second-highest Q1 profit of W1.5tr
LG Electronics said Friday it predicted its first-quarter operating earnings at 1.5 trillion won ($1.14 billion), which will likely be the company’s second-highest profit for the January-March period, outpacing Samsung Electronics’ financial result for the first time in more than a decade.Details on each business sector’s estimated figures were not available in Friday’s earnings guidance, but market watchers expect that LG’s key business divisions for home appliances, TVs and vehicle components put up solid results in the January-March period.
De’Longhi results
“I am very satisfied with how the Group was able to react in the face of the extraordinarily challenging and complex scenario that arose in 2022 and that affected our entire industrial sector.
The Group has maintained a turnover well in excess of 3 billion Euros, also thanks to the strategic decision to give continuity to investments in communication, in particular with regards to the global campaign on coffee featuring Brad Pitt as De’ Longhi’s brand ambassador for coffee.
Year 2023 begins in a context not very dissimilar from the last part of 2022, which allows us to forecast a progressive improvement in the economic and consumptions’ climate in the second half of the year.” commented CEO Fabio de’ Longhi.
In the 12 months:
• revenues of € 3,158.4 million, slightly down by -2% (-5.9% at constant exchange rates);
• adjusted
Ebitda at € 362 million, equal to 11.5% of revenues (compared to 16% in 2021);
• net profit3 of € 177.4 million, equal to 5.6% of revenues (compared to 9.7% in 2021);
• positive net financial position of € 298.8 million, down by € 126 million compared to the end of 2021,
but strongly recovering in the fourth quarter with a positive cash flow of €270 million.
In the fourth quarter:
• revenues down by 3.9% to € 1,029.8 million (-7% at constant exchange rates);
• adjusted Ebitda at € 150 million and equal to 14.6% of revenues (compared to 14.7% in 2021);
• net profit of € 78 million, equal to 7.6% of revenues (compared to 7.3% in 2021).
The Board of Directors has proposed the distribution of a dividend of € 0.48 per share, equal to a pay out ratio of 41% in line with the Group’s dividend policy.
Elica record sale’s
Elica BoD approves the preliminary FY 2022 results.
Second Record Year in a row in terms of sales, EBIT margin, and net profit, despite the most adverse inflationary, demand, and geopolitical scenario of the last decades.
The company was able to improve margins versus last year, despite ~60 million of cost inflation, thanks to the business model flexibility and the agile execution of our turnaround projects.
Looking forward to 2023, it will be an even more challenging year, but we have a clear strategy for both the Cooking and Motor Divisions in terms of products, customers, and regional distribution.
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