Alfa Laval AB (publ) Interim report January 1 - March 31, 2015

Comment from Lars Renström, President and CEO

“Both net sales and result reached record levels for a first quarter. Net sales increased with 38 percent to 9.1 billion and the operating result increased with 48 percent to 1.6 billion.

The order intake in the first quarter was SEK 9.8 billion, out of which 0.4 billion related to a revaluation of the order backlog due to continued currency rate movements. Adjusted for this revaluation the order intake decreased with 3 percent from the fourth quarter and in line with our expectations.

The Process Technology division’s order intake showed a decrease compared to the fourth quarter since fewer large orders were booked. The downturn in the oil price meant that capital sales to customers within oil & gas, both up- and downstream decreased while Service within refinery and petrochemicals had an excellent growth.

The Marine & Diesel division showed a small decrease in the first quarter compared to the fourth. Excluding substantial revaluations of the order backlog in both quarters, the underlying order intake was higher, thanks to a very strong demand for systems to ships transporting liquid natural gas as well as ships used when producing oil at sea.

For the Equipment division the order intake was marginally lower. Applications within food, beverages and data centre cooling had a good development.”

Summary

First three months
Order intake increased by 19 percent* to SEK 9,844 (7,474) million.
Net sales increased by 24 percent* to SEK 9,071 (6,597) million.
Adjusted EBITA was SEK 1,570 (1,062) million.
Adjusted EBITA-margin was 17.3 (16.1) percent.
Result after financial items was SEK 1,264 (794) million.
Net income was SEK 863 (564) million.
Earnings per share was SEK 2.05 (1.34).
Cash flow from operating activities was SEK 1,101 (592) million.
Impact on EBITA of foreign exchange effects was SEK 148 (-10) million.
Impact on result after financial items of comparison distortion items was SEK - (-60) million.

* Excluding currency effects.

Dividend
The Board of Directors propose a dividend of SEK 4.00 (3.75) per share.

Outlook for the second quarter
“We expect that demand during the second quarter 2015 will be somewhat lower than in the first quarter.”
Earlier published outlook (February 3, 2015): “We expect that demand during the first quarter 2015 will be somewhat lower than in the fourth quarter.”

The interim report has not been subject to review by the company’s auditors.

For more information, please contact:
Peter Torstensson, Senior Vice President, Communications
Phone: +46 46 36 72 31
Mobile: +46 709 33 72 31 
peter.torstensson@alfalaval.com

Gabriella Grotte, Investor Relations Manager
Phone: +46 46 36 74 82 
Mobile: +46 709 78 74 82
gabriella.grotte@alfalaval.com

Alfa Laval AB (publ)
PO Box 73
SE-221 00 Lund
Sweden Corporate registration number: 556587-8054

Alfa Laval AB (publ) discloses the information provided herin pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 12.45 p.m. on April 23, 2015