Trelleborg Wheel Systems Sales Down for 2009
Trelleborg AB reports that its Trelleborg Wheel Systems division achieved net sales of SEK 2,991 million (₤263.6 million) during the previous financial year, a decrease of 19.3 per cent on its 2008 result. In releasing its figures for January to December, the Swedish manufacturer notes “organic sales declined 26 per cent, exchange-rate effects were 7 per cent and structural changes 0 per cent. Net sales are lower as a result of a significant decrease in demand for industrial tyres and lower agricultural-tyre sales. Demand for agricultural tyres showed some variation in the various sub-segments, where the trend for large dimensions was better in relative terms, but demand for this product group also fell toward year-end.”
These lower sales figures had an impact on operating profit, which weakened 22 per cent to SEK 283 million (₤24.9 million). Trelleborg comments that “operating profit in 2009 was lower than in 2008, primarily as a result of lower sales. Despite the lower volume the business area has kept the operating margin on the same level (9.5%) as 2008 (9.8%).”
Overall, the Trelleborg Group attained annual profits of SEK 27,059 million (₤2.4 billion), down 14.4 per cent, while 2009 profit stood at SEK 419 million (₤36.9 million), as opposed to a loss of SEK 258 million in 2008.