By Kari Williamson
The fall came despite a 6% increase in net sales to almost SEK7.1 billion.
Höganäs CEO Alrik Danielsson, says: “Just as in 2010, in 2011 we achieved our long-term objectives for growth, operating margin and returns. During the autumn we were negatively affected by inventory adjustments made by our customers, which also caused us to reduce our inventories and cout our production rates. We did this to protect our strong cash flow, even if it is having a negative effect on earnings in the [fourth] quarter.
“The prospects for 2012 are uncertain, and Höganäs is being affected by fluctuations in the global economy, although as a company, we are in a strong position for our future. We are now launching inductors under the Höganäs brand Inductit, which is another big step in Höganäs' work in the value chain. These products are really promising, not least because of increased demand for environmentally friendly energy sources.”