Husqvarna Reports 14-Percent Drop in 2Q08 Net Sales

Stockholm, Sweden-based Husqvarna last week reported that net sales for the first half of 2008 decreased by 4 percent to SEK 20.4 billion (about U.S. $3.4 billion) from SEK 21.3 billion (U.S. $3.6 billion) a year ago. Excluding acquisitions, net sales decreased by 12 percent and by 7 percent in comparable currencies.

July 18, 2008

Income for the period decreased to SEK 1.6 billion (U.S. $261.4 million) from SEK 1.7 billion (U.S. $281.5 million) in the year-ago period, corresponding to SEK 4.06 (U.S. $0.68) per share from SEK 4.36 (U.S. $0.73) a year ago.

Net sales for the second quarter decreased by 14 percent to SEK 10.3 billion (U.S. $1.7 billion) from SEK 12.0 billion (U.S. $2.0 billion) and operating income by 25 percent to SEK 1.3 billion (U.S. $220.9 million) from SEK 1.8 billion (U.S. $294.0 million).

The decline in net sales and operating income is due mainly to considerably lower shipments for consumer products in North America, which decreased in line with overall industry shipments.