President and CEO Nina Kopola:
“During the third quarter of the year our performance further impr
oved, both sales and profit were at their highest level for this year. Sales increased in our Wiping segment, due to favorable development in the Nonwovens business. The demand for our products was especially healthy in the US, leading to a more favorable product mix. The European economic crisis effected a more subdued demand in the European market place.
In our Flexibles segment we are struggling with sluggishness of the market and therefore we started temporary lay-offs at our plant in Tampere, Finland in order to match output to demand.
Our operating profit for the third quarter more than doubled on the preceding six months. I am also especially happy to see that our streamlining efforts in the Summit program are starting to bring the expected results.
The positive effect of the acquisition last year can clearly be seen in our results. At the moment we are sharpening our strategy for all the businesses, however, more stringently so for the Nonwovens business. Further improving our profitability will continue to be our main operational focus. In the future we will be targeting a visible shift in the portfolio towards more value added products. This will guide our efforts in business and product development.”GROUP FINANCIAL RESULTS
Suominen Corporation generated net sales of EUR 121.8 million (42.3) in the third quarter thus the net sales in period was so far the strongest quarter in the current year. Operating profit before non-recurring items was EUR 6.7 million (-1.4) and after them EUR 6.2 million (-1.9). Profit before taxes was EUR 3.3 million (-3.2) and profit after taxes EUR 2.3 million (-2.8). The result of the quarter was profitable and highest since the new Suominen was formed last autumn.