Lindab's report for the the Fourth Quarter and Full Year 2011

 October - December 2011

• Sales revenue increased by 9 percent to SEK 1,855 m (1,697), an increase of 10 percent when adjusted for currency and structure.
• Operating profit (EBIT) amounted to SEK 107 m (75), excluding one-off items of SEK -42 m (-110).
• The operating margin (EBIT), excluding one-off items, amounted to 5.8 percent (4.4).
• The after-tax result amounted to SEK -5 m (-86).
• Earnings per share amounted to SEK -0.07 (-1.14).
• Cash flow from operating activities amounted to SEK 252 m (324).

January - December 2011

• Sales revenue increased by 5 percent to SEK 6,878 m (6,527), an increase of 9 percent when adjusted for currency and structure.
• Operating profit (EBIT) amounted to SEK 407 m (347), excluding one-off items of SEK -59 m (-63).
• The operating margin (EBIT), excluding one-off items, amounted to 5.9 percent (5.3).
• The after-tax result amounted to SEK 91 m (27).
• Earnings per share amounted to SEK 1.21 (0.36).
• Cash flow from operating activities amounted to SEK 345 m (391).
• Proposed dividend of SEK 1.00 (1.00).

Lindab's President and CEO, David Brodetsky commented: 

"Overall it was a good quarter. The organic sales growth in the quarter was high (10 percent) and EBIT grew 43 percent from SEK 75 million to SEK 107 million, excluding one-off costs.

The volume increase, which is the main reason for the growth in EBIT, was supported by continued good momentum in several markets as well as the mild winter weather. The Nordic region had high growth with Sweden, Denmark and Norway all performing strongly.  In Western Europe, Lindab's major markets the UK and Germany contributed well whilst in CEE/CIS, Russia and Belarus were particularly strong. For the year as a whole, thanks to selective sales initiatives and in spite of challenging economic conditions, we increased market shares in many countries. This contributed to the full year organic sales growth of 9 percent in spite of an almost flat underlying market.

Our business is late cyclical and no signs of changing demand due to the Euro crisis have been experienced so far. Demand in Q1 2012 will be more affected by the winter weather than by the current market uncertainty.

Spot prices for steel started to rise in December and are likely to continue upwards in the coming months. We will now start to adjust our sales prices accordingly to compensate.

In early January we announced a new near term EBIT target of 10 percent with the goal of achieving this run rate before the end of 2013 and for the full year 2014. At the same time, we also announced a SEK 150 m cost reduction programme, particularly targeting lower performance markets, which will support the near term target."

End

Contacts:

LINDAB

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

Per Nilsson, CFO
Email: per.nilsson@lindab.com
Mobile: +46 (0)70 33 85069

An audiocast telephone conference will be held at 10:00 (CET). The report will be presented by David Brodetsky, President and CEO, and Per Nilsson, CFO.

To access the telephone conference, please call UK +44 (0) 2071 086 303 a few minutes before the scheduled start. Alternatively, call the Swedish number + 46 (0) 850 562 932.

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 sales revenue of SEK 6,878 m in 2011, was established in 31 countries and had approximately 4,300 employees. The main market is non-residential construction, which accounts for 80 percent of sales, while residential accounts for 20 percent of sales. During 2011, the Nordic market accounted for 46 percent, CEE/CIS (Central and Eastern Europe as well as other former Soviet states) for 23 percent, Western Europe for 28 percent and other markets for 3 percent of total sales.

The share is listed on the Nasdaq OMX Nordic Exchange, Stockholm, Mid Cap. For more information visit www.lindabgroup.com