Electrolux Announces Improved Operating Results Despite Sluggish Sales in Q1

Electrolux has announced that its operating income results for North America continued to develop favorably in the first quarter of this year and the operating margin for the first quarter increased to 6.1 percent from 5.0 percent last year. Active product portfolio management and price pressure led to a decline in net sales in the quarter. However, actions to improve the cost structure and efficiency within operations significantly contributed to earnings. Market demand for core appliances in the first quarter of 2017 remained solid and grew by slightly less than 3 percent. The company expects market demand for appliances in North America to grow by 2-3 percent in 2017.

Electrolux’s efforts to restore profitability in Home Care & Small Domestic Appliances is making good progress with continued focus on mix improvements and exiting non-profitable categories and markets. In April, the company completed the acquisition of Anova, the U.S. based provider of the Anova Precision Cooker, an innovative connected device for sous vide cooking that enables restaurant-quality results in the home. The company expects the acquisition to provide a significant opportunity for profitable growth in this emerging product category.