Press Releases

08. May 2024

LEAX Interim Financial Report Q1 2024

Continued focus on adaptation, quality and growth

The first quarter in summary

•                           Net Sales decreased to SEK 560.8 million (588.6)

•                           Operating profit decreased to SEK 6.4 million (19.8)

•                           Earnings before tax (EBT) decreased to SEK -0.2 million (13.7)

•                           Net income for the period decreased to SEK -1.1 million (11.3)

•                           Cash flow from operating activities amounted to SEK 26.1 million (53.7)

Comments from the Group President and CEO, Roger Berggren;

During the first quarter of 2024, LEAX continued to adapt to the growing trend towards electric vehicles. LEAX has intensified its efforts to develop and manufacture components and systems for electric vehicles. Despite the overall decline in net sales and earnings for the period, we see a positive development. Our goal is to strengthen our position as a reliable supplier of high-quality components to the automotive industry regardless of energy carrier.

Net sales for the first quarter amounted to SEK 560.8 million (588.6), a decrease of 4.7% compared to the same period last year. We noted a continued weak market in Europe during the quarter, but despite the challenges in the European market, we continue to adapt our operations to meet our customers’ requirements and expectations in the region.

A bright spot in the first quarter was the stronger market in South America. We saw an increase in demand and sales within the region, which contributed positively to our results for the period. We continue to expand our presence in the South American market to maximise growth opportunities and strengthen our position.

In the first quarter of 2024, we maintained our focus on managing cash flow and we continued to make strategic investments to ensure long-term growth and profitability. Despite challenging market conditions, we managed to generate positive cash flow from operating activities, enabling continued investments.

LEAX continues to drive the business with a focus on adaption, quality and growth even though there are challenges in several markets, and an overall decline in Q1 2024 results. We are determined to continue to develop our presence within electric vehicles, optimise our operations to meet market demands and maximise our profitability in the long term.

With a strong foundation and commitment from the entire organisation, we look forward to meeting the challenges and opportunities that lie ahead for the rest of the year. We are planning for overall cost savings and continued market adaptions with the expectation of a long-term annual profit improvement of SEK 100 million.

About LEAX

LEAX Group AB (publ) is the parent company of a group (“LEAX Group”) with about 1,100 employees. LEAX has operations in Köping, Falun and Falköping in Sweden, Riga and Rezekne in Latvia, Curitiba in Brazil, Detmold in Germany, Mezökövesd in Hungary and Wuxi in China. The Group designs, develops and industrializes advanced manufacturing solutions and superior products for global mobility and industrial markets. The Group had sales of SEK 2.2 billion in 2023.


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