Operating profit amounted to SEK 225 million (285)
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Nobia's sales during the first quarter of 2008 amounted to SEK 3,835 million (3,870). Profi t after tax amounted to SEK 138 million (181). Organic growth was 2 per cent. Earnings per share amounted to SEK 0.80 (1.03) after dilution.
The fewer number of delivery days due to the early Easter and an unfavourable exchange-rate trend decreased Nobia's earnings. Demand weakened in many of Nobia's primary markets compared with the year-earlier period.
Operating profi t for the quarter amounted to SEK 225 million (285) and the operating margin was 5.9 per cent (7.4). Operating profi t for the quarter includes capital gains of SEK 21 million from the sale of the UK bathroom chain C.P. Hart. The reduced cash fl ow compared with the corresponding period in the preceding year is attributable to non-recurring effects.
The store portfolio was further developed during the period. A total of 13 franchise stores were acquired in Denmark, corresponding to a third of HTH's store sales in the country, in a bid to strengthen the company's infl uence over distribution in HTH.
Comments from the CEO
"The operations performed well in the UK region, but we need to better adapt to the weaker market in the Nordic region. We are also continuing our work on developing and enhancing the effi ciency of our structure in the Continental Europe region," says President and CEO Preben Bager.