Engineering consultancy Afry reported first-quarter revenue broadly in line with expectations, while operating profit saw a decline.
Net sales fell 6.3 percent to SEK 6,325 million (6,749), compared with the Bloomberg analyst consensus of SEK 6,443 million. Organic sales growth stood at -4.3 percent (-0.9).
'Our ongoing efficiency measures resulted in a continued improvement in the utilization rate and the EBITA margin. Net sales decreased during the quarter, impacted by negative currency effects and strategic capacity adjustments. Our order book strengthened further, providing us with a solid foundation to drive profitable growth in line with our strategy', says CEO Linda Pålsson.
The order book amounted to SEK 21.5 billion (20.2) at the end of the quarter.
EBITA amounted to SEK 426 million (459), yielding an EBITA margin of 6.7 percent (6.8).
Adjusted EBITA came in at SEK 473 million (490), below the expected 504 million, with an adjusted EBITA margin of 7.5 percent (7.3).
Operating profit (EBIT) was SEK 391 million (416), resulting in an operating margin of 6.2 percent (6.2).
Net income for the period totaled SEK 240 million (251).
AFRY AB, formerly AF Poyry AB, is a Sweden-based consulting, engineering and design company active mainly in the fields of energy, industry and infrastructure. The Company’s activities are structured into five divisions: Infrastructure, Industrial and Digital Solutions, Process Industries, Energy, and Management Consulting. The Company's Industrial and Digital offering includes product development, production automation and information technology solutions within the automotive, telecommunications, defense and security, food processing, pharmaceutical, forestry, mining, and oil and gas sectors. In the field of Energy, the Company provides engineering and consulting services in the areas transmission and distribution, as well as power plants for all kinds of energy sources. The Company also provides management and design for infrastructure projects covering roads, railways and buildings. The Company operates worldwide.
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