First quarter of 2011

• Net sales amounted to SEK 1,000 million (1,098), which, adjusted for currency effects represents a decline of 4 percent
• Operating profit (EBITA) amounted to SEK 32 million (29). Operating profit (EBITA) for the year-earlier period included non-recurring items of SEK 21 million
• The operating margin (EBITA) amounted to 3.2 percent (2.7)
• Profit after tax was SEK 7.8 million (1.3)
• Cash flow from operating activities was negative in the amount of SEK 172 million (218)
• On 28 April 2011, Inwido Denmark A/S signed an agreement regarding the acquisition of the Danish company Pro Tec Vinduer A/S. The acquisition is expected to be completed in June 2011, pending the approval of the relevant authorities

CEO Håkan Jeppsson comments:
"As expected, this year began somewhat weaker than the last. This was partly the result of the early, cold and snowy winter with weak order bookings from early in the fourth quarter, although it was also a sign of a somewhat cautious market. In the first quarter of the year, sales fell by 4 percent in local currencies. It was mainly in the Nordic markets, with the exception of Finland, that the trend was weaker than in the corresponding period in 2010. In some of the markets outside the Nordic region, particularly the UK, we have turned the trend, despite tough market conditions, and are now reporting profits. Despite lower overall sales, we maintained the gross margin level of 2010, primarily as a consequence of a favourable price trend and improved efficiency. Towards the end of the quarter, we noted improved order bookings, primarily in the Nordic consumer market. In terms of seasonal trends, the spring, summer and autumn are our strongest period and we see no signs, to date, that 2011 will be any different. At the same time, certain external factors do exist that could affect us negatively in the future, such as rising costs for raw materials and energy. On the whole, there is nothing to suggest that the underlying market conditions have weakened and we therefore take a positive outlook on Inwido’s continued development over the year.”

Håkan Jeppsson
President and CEO

Read the entire Q1 report in the pdf attached