Alfa Laval - ALFVY STOCK NEWS

Alfa Laval has released its Q1 2025 interim report showing mixed financial results. The company experienced an organic decline of -3% in order intake to SEK 16.8 billion, impacted by a negative currency effect of SEK -0.9 billion. However, net sales increased by 10% to SEK 16.5 billion.

Key financial highlights:

• Adjusted EBITA grew 20% to SEK 2.9 billion with improved margin of 17.7%
• Earnings per share rose to SEK 4.82 from SEK 4.07
• Cash flow from operations decreased to SEK 1.4 billion
• Net debt to EBITDA ratio improved to 0.34 times

The Board plans to propose a dividend increase to SEK 8.50 per share, up from SEK 7.50. Looking ahead, the company expects Q2 2025 demand to remain at similar levels as Q1.

Alfa Laval (ALFVY) has announced its first quarter earnings release scheduled for April 29, 2025, at 13:00 CET, followed by a conference call at 14:00 CET. The call will be led by CEO Tom Erixon and CFO Fredrik Ekström, with participants required to pre-register through a provided link.

The company, a global leader in heat transfer, separation, and fluid handling, reported annual sales of SEK 63.6 billion (5.5 BEUR) in 2023. With a 140-year history, Alfa Laval operates in 100 countries, employs over 22,000 people, and is listed on Nasdaq Stockholm. The company focuses on providing solutions for energy, food, and clean water sectors while working towards marine fleet decarbonization.

Alfa Laval (ALFVY) has published its annual and sustainability report for 2024, highlighting its position as a global leader in heat transfer, separation, and fluid handling solutions. The company reported annual sales of SEK 66.9 billion (5.8 BEUR) in 2024.

With a 140-year legacy, Alfa Laval operates in 100 countries with over 22,300 employees. The company focuses on innovating industries essential to society, particularly in energy efficiency, food production, and clean water access. A key initiative includes efforts to decarbonize the marine fleet supporting global trade.

The company, listed on Nasdaq Stockholm, emphasizes its commitment to resource optimization, responsible growth, and supporting customers in achieving both business and sustainability targets.

Alfa Laval (ALFVY) has announced a strategic collaboration with Outokumpu and SSAB to integrate low-emission steel into its plate heat exchangers. The partnership, utilizing SSAB Zero™ steel and Outokumpu Circle Green® stainless steel, reduces the product's carbon footprint by up to 60 percent.

The initiative is part of the Laakso Joint Hospital project in Helsinki, Finland, where five Alfa Laval Concept Zero™ TL10 gasketed plate heat exchangers will be installed in 2025. These heat exchangers will provide energy-efficient heat transfer solutions for the new cooling system while maintaining a low carbon footprint throughout the product lifecycle.

This marks the first collaboration between all three companies, though Alfa Laval has previously worked with both Outokumpu and SSAB separately. The project demonstrates how local initiatives can drive global impact in reducing emissions and advancing sustainable industrial solutions.

Alfa Laval AB (ALFVY) has announced its Annual General Meeting scheduled for Tuesday, April 29, 2025, at 4:00 p.m. CET at Stadshallen, Lund, Sweden. Key highlights include:

- Proposed dividend of SEK 8.50 per share for 2024, with payment expected on May 7, 2025
- Board proposes expanding from nine to ten members
- Nomination Committee proposes increased Board compensation to SEK 8,760,000 from previous SEK 7,490,000

Notable changes include the proposed addition of Annica Bresky as a new board member, who brings extensive experience as former CEO of Stora Enso (2019-2023) and currently serves as Chair of Permascand. The meeting will include security measures, with shareholders required to register by April 23, 2025, and be recorded in the share register by April 17, 2025.

Alfa Laval (ALFVY) has signed a binding put-option agreement to acquire Fives Cryogenics business unit for EUR 800 million on a cash and debt-free basis. The France-headquartered target company is a world-leading expert in cryogenic heat transfer and pump technologies, with over 60 years of experience in manufacturing cryogenic heat exchangers and pumps for gas liquefaction.

Fives Cryogenics employs more than 700 people, operates manufacturing facilities in France, China, and Switzerland, and generated revenue of approximately EUR 200 million in 2024. Looking forward, the company is expected to generate revenue of EUR 200-250 million and be neutral to positive to Alfa Laval's group margin.

The transaction, subject to regulatory approvals and works council consultation, will be funded through existing liquidity and debt financing, with expected closing during 2025. The acquired business will operate as a new separate unit within Alfa Laval's Energy Division.

Alfa Laval (ALFVY) has secured its first contract for the FCM Ammonia fuel supply system, marking a significant step in maritime decarbonization. The system will be installed on seven ammonia dual-fuel LPG/ammonia carriers for Tianjin Southwest Maritime at CSSC Huangpu Wenchong shipyard in China.

The contract includes three 25,000 cubic metre and four 41,000 cubic metre LPG/ammonia carriers, with the first unit scheduled for delivery by end-2025. This development comes as international shipping is projected to more than double by 2050, making the adoption of low-carbon fuels important for achieving net zero emissions.

The company leverages its experience with fuels like methanol and LPG to advance ammonia fuel technology, demonstrating its technological readiness in handling ammonia as a marine fuel.

Alfa Laval (ALFVY) has announced an agreement to acquire NRG Marine, a UK-based provider of ultrasonic anti-fouling solutions. The acquisition, expected to close in Q2 2025, aims to expand Alfa Laval's portfolio with innovative technology that addresses biofouling issues in marine, oil and gas, and industrial applications.

NRG Marine's technology utilizes ultrasonic microscopic bubbles to reduce fouling and prevent new deposits, offering both operational and environmental benefits. This acquisition aligns with Alfa Laval's decarbonization strategy and responds to growing demand for sustainable solutions across key industries.

The technology is positioned as a more sustainable alternative to existing solutions and is expected to comply with future environmental legislation. This strategic move enhances Alfa Laval's ability to help customers meet both business and environmental objectives in their pursuit of net-zero goals.

Alfa Laval reported strong financial results for Q4 and full year 2024. In Q4, order intake grew 8% organically to SEK 18.5 billion, while net sales increased 2% organically to SEK 18.3 billion. The company achieved an adjusted EBITA of SEK 2.9 billion with a margin of 16.0%.

For the full year 2024, order intake rose 7% organically to SEK 74.6 billion, and net sales grew 6% organically to SEK 67.0 billion. The adjusted EBITA margin improved to 16.6% from 16.1%. Earnings per share increased to SEK 17.88, up from SEK 15.31. The company demonstrated strong financial health with net debt to EBITDA ratio of 0.43.

The Board of Directors proposed a dividend increase to SEK 8.50 per share, up from SEK 7.50. Looking ahead, the company expects Q1 2025 demand to remain at similar levels as Q4 2024.