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Arjo interim report January-March 2018

“The strong start to the year with an organic sales growth of 2.3% shows that our increased external focus and the initiatives implemented to date are generating results. We have now taken the first important steps as an independent company and it is gratifying that, for the first time in three years, we are reporting a positive organic sales growth. The strong beginning of the year means that we now, with even more confidence, believe that we will reach our 2018 target of entering the lower end of 2-4% sales growth”, says Joacim Lindoff, President & CEO.

January-March 2018 in brief

  • Net sales increased 0.6% to SEK 1,943 M (1,931). Net sales rose organically by 2.3%.
  • Adjusted EBITDA declined to SEK 289 M (460), primarily due to higher operating expenses related to Arjo now operating as an independent company.
  • Comparisons of gross margin and operating expenses between the first quarters of 2017 and 2018 do not provide a fair presentation since the first quarter of 2017 reflects only the legal structure of the former Getinge, which did not include all of the expenses for Arjo as an independent company. Accordingly, full-year figures for 2017 provide a more fair presentation as comparative figures.
  • Restructuring and integration costs amounted to SEK 42 M (69), mainly related to a re-organization of product development to enhance efficiency.
  • Profit after financial items declined to SEK 67 M (224).
  • Earnings per share fell to SEK 0.18 (0.60).
  • Cash flow from operations amounted to SEK 268 M (153). The cash conversion was 107.6% (33.4).
  • Continued positive performance in the rental operations in the US, and stabilization in the UK.

Telephone conference

Fund managers, analysts and the media are invited to a teleconference on May 4 at 9:00 a.m. CET. Please see details below to join the conference:

Sweden: +46 (0)8 5033 6574
UK: +44 (0)330 336 9105
USA: +1 646-828-8156
Code: 9658277

A presentation will be held during the telephone conference. To access the presentation, please use this link: starthere.jsp?ei=1188389

Alternatively, use the following link to download the presentation:

A recording of the teleconference will be available for 90 days via the following link:

For more information, please contact:

Kornelia Rasmussen
Executive Vice President, Marketing Communications & Public Relations
Tel: +46 (0)10 335 4810

Maria Nilsson
Investor Relations & Corporate Communications
Tel: +46 (0)10 335 4866

This information is information that Arjo AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CET on May 4, 2018.

About Arjo

At Arjo, we are committed to improving the everyday lives of people affected by reduced mobility and age-related health challenges. With products and solutions that ensure ergonomic patient handling, personal hygiene, disinfection, diagnostics, and the effective prevention of pressure ulcers and venous thromboembolism, we help professionals across care environments to continually raise the standard of safe and dignified care. Everything we do, we do with people in mind.