Bufab continues healthy growth

Bufab has released its interim report for the period January to September 2022 with the company continuing to have strong results and healthy growth.

In the third quarter net sales increased by 49% to SEK 2,122 million (1,425), while organic growth was 9% and order intake was in line with net sales. In the overall January to September period net sales increased by 49% to SEK 6,358 million (4,279) and organic growth was 16%.

The operating profit (EBITA) increased to SEK 748 million (526) for January to September and the operating margin was 11.8 % (12.3)

In his overview, new President and CEO Erik Lundén said, “This was my first quarter as CEO of Bufab and I am pleased to report that the third quarter of 2022 was yet another strong quarter despite challenging market conditions. We reported a continued healthy growth, a stable gross margin and a strong result. However, given the geopolitical and macroeconomic situation, the uncertainty regarding the upcoming year has increased.

“We saw a strong growth of 49% during the quarter. The growth was largely driven by acquisitions completed in the past year, but we also noted a continued good organic growth of 9%. The underlying demand was relatively stable, and the organic growth was mainly a result of price increases and captured market shares.

“The work to integrate the recent acquisitions is fully under way and the effort to realise growth synergies is particularly high on the agenda going forward. We also continue to develop our business for the long-term by gradually broadening our customer offer and increasing our degree of digitalisation and productivity.

“I took over the role of CEO of Bufab in mid-August. During the past two months, I have had the privilege to meet a large number of our employees in the Group, visited our subsidiaries and participated in customer meetings, reviews and analyses of our operations. It is clear that Bufab is well-positioned for the future. With our strong customer offering, stable global platform and well-diversified customer base, as well as our strong team and exciting growth opportunities in new and existing markets, we have every opportunity to succeed in the short and long term.”