As the second quarter showed a gradual recovery in demand, Swedish company Bufab has seen a further increase in sales at the beginning of the third quarter.
The company has begun to recover after the impact imposed by the coronavirus crisis as its August sales returned to the same level of 2019 for the first time since the pandemic.
Furthermore, organic sales growth for the period July-August was approximately -5%, which is significantly better than the growth in June which was down by 15%. Additionally, its growth in July-August increased by approximately 10%, compared to 0% in June.
With a global operation, Bufab had some early experience of working with the pandemic thanks to its facilities in Asia. Measures put in place by the company meant that the group has been able to meet a variety of market scenarios whilst still prioritising health and safety, quality and deliveries to customers, and financial stability.
The savings programme of SEK 100 million presented in July of this year is continuing to benefit the company and is expected to reach full effect by January 2021.
Although future demand remains uncertain, the measures put in place by the company since the emergence of the coronavirus pandemic has meant that the group is able to meet a variety of market scenarios.
Due to significant shutdowns and capacity reductions in the manufacturing industry worldwide, the company’s Q2 sales were considerably impacted as a result of the coronavirus crisis.
Bufab continues to monitor any developments and will adjust measures accordingly.