Published on January 28th, 2016 | by The GC Team0
Electrolux reports Q4 loss after GE deal falls through
Electrolux today reported a fourth-quarter loss of SEK 393 million (c.£32.2 million) against a profit of SEK 970 million in Q4 2014 after its proposed acquisition of GE’s appliance business fell through.
Sales increased 1.3% to SEK 31,794 million.
The company said demand for appliances continued to grow in all markets in Western Europe and was particularly strong in the Nordics, Spain and the UK.
Electrolux expects the Western European market to grow by 2-3% in 2016.
Major Appliances EMEA showed good organic growth and managed to profitably grow its market share. Segments within built-in kitchen and laundry contributed positively and the operating margin was 7.4% for the quarter – the highest level since 2010.
The results were presented by outgoing President and CEO Keith McLoughlin (pictured), who announced his retirement shortly after the GE deal collapsed. Today he said: “It is now time for me to pass the baton to my successor as President and CEO Jonas Samuelson and return to my family in the US. Jonas knows the company very well and has a proven track record in several key positions within the company.”