STOCKHOLM (Reuters) – Sweden’s Electrolux swung to loss in the third quarter as costs soared, particularly in North America, and demand slowed, and warned of further slowdown.
Europe’s biggest home appliances said on Friday it made an operating loss of 385 million Swedish crowns in the quarter ($35.1 million) against a year-earlier profit of 1.64 billion.
“Market demand in both Europe and North America for the full-year of 2023 is expected to further deteriorate, i.e. be negative year-over-year,” Chief Executive Jonas Samuelson said.
Electrolux said a group-wide cost cutting and North America turnaround programme, announced in September, would have a 4-5 billion crown positive earnings effect in 2023, and it would book a 1.2-1.5 billion crown restructuring charge for the programme this quarter.
($1 = 10.9679 Swedish crowns)
(Reporting by Anna Ringstrom, editing by Stine Jacobsen)
