I.A. Hedin Bil AB interim report Q1 2020
Higher profit margins during the first quarter compared to the first quarter 2019 is the effect of efficiency improvements and digitalization of customer offerings and internal processes.
Gothenburg, 8th of May 2020
The new year came to a convincing start and the investments we have done in the past years in efficiency programs and digitalization continued to pay off. With the introduction of new emission regulations starting in 2020, it will be the year of a shift in focus to alternative drivetrains in the EU to avoid substantial penalties. This creates possibilities in the sales of both new and used vehicles.
Margins improved both for car sales and the aftermarket, and in Sweden and Norway. The Belgian business was negatively impacted by a lock down of the economy starting March 18, due to the Belgian government’s response to Covid-19.
In accordance with our philosophy to act quickly both on opportunities and risks, we launched extensive saving programs that will help us through the Covid-19 crisis. Since then, the development has differed between the markets. The Swedish market is the one of our home markets that has kept open to the largest extent, which we can also see in sales statistics. Norway closed parts of the society and at the other end of the spectrum Belgium has been under lock down for more than six weeks and are currently opening up slowly.
Key performance indicators compared with previous year:
• Net sales increased by 6 % to MSEK 5,644 (MSEK 5,329).
• Operating profit increased to MSEK 110 (MSEK 77).
• Profit after financial items increased to MSEK 42 (MSEK 22).
For full report please follow link:
https://www.hedinbil.se/om-hedin-bil/investor-relations/ekonomiska-rapporter
I.A. Hedin Bil AB
(publ)