12 Feb 2010

Besam’s parent company shows continued high profit in a slightly improved market

ASSA ABLOY’s 2009 financial report yielded the Group's highest sales yet, with continued strong earnings and cash flow.

President and CEO Johan Molin expressed pride in the fact that the achievements came during 2009, which in market terms was the most challenging year in the Group’s history.

"It was especially pleasing that investments in product development continued at a high level, which has strengthened the Group's market leadership and laid the ground for good organic growth as the economic situation progressively improves,” he said.

The 4th financial quarter saw European markets stabilize and Asian markets grow, while North American markets remained negative.

The Entrance Systems division, of which Besam is a part, reported sales of SEK 1,152 M (952) for the quarter, representing organic growth of -4%. Continued good sales on the service side compensated for much of the reduction in new-product sales.

Acquired growth amounted to 29%. Operating income totaled SEK 196 M (150), giving an operating margin (EBIT) of 17.0% (15.8). Acquisitions, principally Ditec, affected the operating margin negatively by 2.8%. Return on capital employed amounted to 19.1% (18.1). Operating cash flow before interest paid totaled SEK 189 M (104).

ASSA ABLOY’s complete 4th Quarter and year-end financial reports are available at www.assaabloy.com.