Posted July 21, 2017

SKF sales up 7.5 percent

SKF reported net sales of SEK 20.2 billion ($2.45 billion) for the second quarter, an organic increase of 7.5 percent compared to the second quarter last year.

North America sales increased by 10 percent and sales in Asia were up 12 percent.

"The second quarter saw strong organic growth and an improved operating margin. Sales development was positive in all regions, as underlying industrial activity and investments increased," said Alrik Danielson, president and CEO.

Improved sales volumes and factory utilization rates contributed to an adjusted operating profit of SEK 2.4 billion ($295 million).

The automotive business developed in a solid manner, with a good operational improvement, delivering an adjusted operating margin of 8.1 percent. The industrial business delivered an adjusted operating margin of 13.8 percent, the company said.

Third-quarter demand for SKF's products and services is expected to be higher for the Group, including Industrial and Automotive. Demand is expected to be higher in Europe, North America and in Asia and significantly higher in Latin America.