Sandvik AB

Latest Results (17.12.2024):

Revenue and Order Intake

In the third quarter of 2024, Sandvik AB reported a total order intake of SEK 28,796 million, which was in line with the previous year. At fixed exchange rates, the order intake grew by 4%, with a 2% organic growth. However, total revenues declined by 4% to SEK 30,306 million. At fixed exchange rates, revenues showed a modest growth of 1%, although organically, they decreased by 1%.

Profit and Earnings

Sandvik AB's profit for the third quarter of 2024 amounted to SEK 3,239 million, a decrease from SEK 3,900 million in the same period the previous year, marking a 17% decline. Earnings per share, diluted, were SEK 2.58, down from SEK 3.10. Adjusted earnings per share, diluted, were SEK 2.94, compared to SEK 3.14 in the third quarter of 2023.

Adjusted EBITA and Margins

The adjusted EBITA for Sandvik AB in Q3 2024 was SEK 5,866 million, a 7% decrease from SEK 6,312 million in Q3 2023. This resulted in an adjusted EBITA margin of 19.4%, slightly down from 20.1% in the previous year. The decrease was primarily due to charges from exiting non-strategic businesses, which amounted to SEK -455 million.

Cash Flow and Financial Position

Sandvik AB generated a free operating cash flow of SEK 6,762 million in the third quarter of 2024, an increase from SEK 5,830 million in the same period the previous year. This strong cash flow conversion of 120% highlights the company's robust financial position despite the challenging market conditions.

Market Outlook and Strategic Initiatives

Sandvik AB's outlook for the remainder of 2024 remains uncertain due to persistent macroeconomic and geopolitical challenges. However, the company continues to focus on its strategic priorities, including innovation and customer collaboration. Notably, Sandvik announced the acquisition of Universal Field Robots, enhancing its capabilities in autonomous solutions for mining applications.