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Annual Report 2016 Electrolux offering Electrolux 2016 CEO Statement Vision Targets

Electrolux 2016 

In brief

  • Four of six business areas achieved an operating margin above 6%.
  • Continued good earnings development for Major Appliances EMEA.
  • Weak market demand in Latin America impacted earnings in the region.
  • Operating margin improved to 5.2% (2.2). 
  • Strong operating cash flow after investments.

For the better

Electrolux sustainability framework

BETTER SOLUTIONS Wherever we are in the world, Electrolux products enable consumers to live better lives while saving energy, water and resources.

BETTER OPERATIONS We constantly challenge ourselves to improve, making Electrolux safe efficient and ethical.

BETTER SOCIETY Wherever we are in the world, Electrolux empowers consumers and suppliers, and supports local communities.

Electrolux has been recognized by the Dow Jones Sustainability Index as the industry leader for 10 consecutive years. Electrolux is a signatory of the UN Global Compact.

Margin improvement

 
 
 
 
 
 
 
 
 
 
 
12
13
14
15
16
 
 
 
 
 
0
 
25,000
 
50,000
 
75,000
 
100,000
 
125,000
 
SEKm
0.0
 
1.5
 
3.0
 
4.5
 
6.0
 
7.5
 
%
Net sales
Operating margin
  12 13 14 15 16
Net sales 109994 109151 112143 123511 121093
Operating margin 3.6 1.4 3.2 2.2 5.2

 

NET SALES were impacted by lower sales volumes. Active product portfolio management to exit from unprofitable product categories and continued weak market demand in Latin America impacted sales.

OPERATING MARGIN improved to 5.2%. Four of six business areas reached an operating margin above 6%. Increased efficiency and product-­mix improvement contributed to the positive earnings trend.

OPERATING CASH FLOW amounted to SEK 9.1bn. The main contributor to this strong cash flow is the earnings development and a positive cash flow from operating assets and liabilities.

 

OPERATING INCOME

6,274

SEKm

OPERATING MARGIN

5.2

percent

OPERATING CASH FLOW1)

9,140

SEKm

DIVIDEND2)

7.50

SEK per share

1) after investments 2)proposed by the Board

 

 

 

We want to deliver Best-in-Class Consumer Experiences by making it possible to make great tasting food.

Electrolux continues to develop and launch connected appliances.

New products under the AEG brand.

Business Areas

SHARE OF GROUP SALES

Major Appliances Europe, Middle East and Africa 31%
Major Appliances North America 35%
Major Appliances Latin America 13%
Major Appliances Asia/Pacific 8%
Small Appliances 7%
Professional Products 6%
   
Major Appliances Europe, Middle East and Africa 31% 31
Major Appliances North America 35% 35
Major Appliances Latin America 13% 13
Major Appliances Asia/Pacific 8% 8
Small Appliances 7% 7
Professional Products 6% 6

 

Sales by region