#Sweden #Stockholm #Electrolux Group #Q2 2025 #Yannick Fierling

Electrolux Group Interim Report for Q2 2025

On July 18, 2025, Electrolux Group unveiled its interim financial results for the second quarter of the year, revealing both successes and challenges present in the current market landscape. The report highlights that net sales for the quarter reached SEK 31,276 million, reflecting a decrease from SEK 33,819 million in the same period the previous year. Despite this decline, the company managed to achieve an organic sales growth of 1.8%, a drop compared to the 6.8% reported last year. This growth was primarily fueled by solid performance in North America and Latin America, albeit tempered by a slight downturn in sectors across Europe, Asia-Pacific, the Middle East, and Africa.

One of the significant achievements highlighted in the report was the increase in operating income, which improved to SEK 797 million from SEK 419 million last year, leading to a more favorable operating margin of 2.5%, up from 1.2%. This enhancement was predominantly attributed to the positive operating income in North America, where the business adjusted well to price increases and was able to navigate through cost pressures stemming from tariffs recently introduced in the region. Moreover, the divestment of the Kelvinator trademark portfolio in India contributed SEK 180 million to the overall operating income, marking another strategic move by the company to streamline operations and enhance financial performance.

Notably, the net income for the period increased significantly to SEK 178 million, a turnaround from the loss of SEK 80 million reported in the same quarter last year. This led to earnings per share climbing to SEK 0.66, compared to a loss of SEK 0.30 in Q2 2024. Despite facing high competitive pressure and increased costs, particularly in Europe where price development presented challenges, the operational results showcased an agile business model ready to adapt to rapidly changing market conditions.

Electrolux President and CEO Yannick Fierling acknowledged the complex market environment, noting that demand was shifting as customers increasingly opted for lower price points amid geopolitical uncertainties. Although North America experienced a slight decline in market demand, the company managed to outperform overall market trends. In regions such as Latin America, despite inflationary pressures in Brazil impacting growth, organic sales reflected slight improvement, showcasing the resilience of the brand in diverse economic climates.

The strategic focus on consumer centricity remained at the forefront of Electrolux's long-term goals, with continued investment in brand strength and new marketing campaigns aimed at highlighting recent innovations. Notable among these is the launch of new Frigidaire ovens featuring a stone-baked pizza mode in the U.S market, which reflects the company's commitment to consumer preferences.

Looking ahead, the organization will increase its efforts to enhance speed and agility, which are pivotal in navigating current challenges and seizing future opportunities. With a renewed focus on cost efficiency measures and efforts to pass on tariff impacts through price adjustments, the management maintains a confident outlook for the remainder of the year, aiming to sustain growth in North America while lending attention to recovery in other markets.

Electrolux Group will be hosting a video webcast and teleconference at 09:00 CET on July 18, where company leaders, including Fierling and CFO Therese Friberg, will discuss the report in greater detail. Investors and analysts interested in this session can access the presentation materials through the company's investor relations website.

Overall, despite facing headwinds in specific regions and economic pressures, Electrolux Group's second quarter results exhibit a commitment to growth, adaptation, and continued consumer focus, illustrating the company's ambitions in a challenging market environment.