Electrolux Ab Stock Earnings Reports

Electrolux reported Q3 organic net sales growth of 4.6%, driven mainly by double-digit growth in North America and modest growth in other regions. The company continued to gain market share across its main brands (Electrolux, AEG, Frigidaire) and added SEK 0.8 billion in cost reductions in Q3, bringing year-to-date cost efficiency to SEK 2.8 billion with a full-year target of SEK 3.5–4.0 billion. EBIT margin improved to 2.8%, supported by volume and mix; these positives were partly offset by negative price development and significantly negative external factors (tariffs and currencies). North America saw strong shop-floor gains and channel expansion (including contracts), but the expected price increases on imports following new U.S. tariffs did not materialize in Q3; management still expects North American producers to benefit midterm from the tariff structure. Europe remains weak (10-year low) with price pressure and subdued kitchen/built-in demand, though management noted some positive signs in September. CapEx guidance was lowered to SEK 3.5–4.0 billion for 2025 as the company prioritizes efficiency while maintaining planned product launches. Cash flow was weaker year-to-date due to larger working capital tied to a strong September and elevated inventories in parts of Latin America; liquidity remains strong (SEK 29.4 billion) and the company aims to maintain an investment-grade rating. Organizational changes were announced to increase consumer centricity and regional agility (splitting EMEA and APAC commercial regions and several leadership moves).