Assa Abloy Adr Stock Price, News & Analysis

ASSA ABLOY will host its Capital Markets Day on November 16, 2022, in London. During the event, CEO Nico Delvaux and CFO Erik Pieder will present updates on the company's strategy and direction, along with other executive team members. The formal program is expected to conclude by approximately 4 PM. Registration details will be provided prior to the event.

At the Annual General Meeting of ASSA ABLOY AB on April 27, 2022, key resolutions were adopted, including the approval of income statements and discharge from liability for the Board of Directors and CEO. A dividend of SEK 4.20 per share was approved, payable in two installments. Board members were re-elected, and new guidelines for executive remuneration and share repurchase were established. The meeting also launched a long-term incentive program for senior executives. The total remuneration for the Board amounts to SEK 9,995,000.

ASSA ABLOY reported a strong start to 2022, with net sales increasing by 22% to SEK 26,591 M, driven by 14% organic growth. Operating income rose 26% to SEK 4,001 M, with an operating margin of 15.0%. Earnings per share increased by 27% to SEK 2.57. Despite operational challenges, the company signed three acquisitions with combined annual sales of SEK 250 M. Organic sales growth was particularly strong in the Americas, while Asia Pacific saw a decline. The company remains optimistic about long-term growth opportunities, particularly in mobile access solutions.

The Annual General Meeting (AGM) of ASSA ABLOY AB is scheduled for April 27, 2022, at the Stockholm Waterfront Congress Centre. Shareholders must register by April 21, 2022, and can vote by post. Key agenda items include the election of the Board of Directors, approval of a dividend of SEK 4.20 per share, and new guidelines for executive remuneration. The Board proposes a long-term incentive program aimed at enhancing employee retention. The meeting will also address share repurchase authorizations. More details on the agenda and voting procedures are available on the company's website.

ASSA ABLOY has signed a definitive agreement to acquire JOTEC Service & Vertriebsges.mbh, a leading industrial door distributor and service provider in Germany. This strategic acquisition aims to enhance ASSA ABLOY's entrance automation offering. JOTEC, established in 1985 and employing around 100 staff, reported sales of approximately €19 million in 2021. The transaction is anticipated to positively impact earnings per share (EPS) immediately upon closure, which is expected in the second quarter of 2022 pending regulatory approval.

ASSA ABLOY has announced an agreement to acquire Vigil Health Solutions Inc., a leader in call systems and monitoring solutions for senior living, enhancing its offerings in this sector. Founded in 1998, Vigil reported sales of approximately MCAD 6 (around MSEK 40) in 2020. The acquisition is expected to be accretive to EPS immediately and is anticipated to close in Q1 2022. ASSA ABLOY aims to leverage Vigil's innovative technologies to broaden its market reach and improve services for senior care.

ASSA ABLOY has completed the acquisition of B&B Roadway and Security Solutions, a U.S. manufacturer specializing in roadway safety and perimeter security solutions. Established in 1925, B&B generated approximately MUSD 14 in sales with a good EBIT margin in 2020. This acquisition will enhance ASSA ABLOY's geographic footprint in the U.S. and is expected to be accretive to EPS from the outset. CEO Nico Delvaux expressed confidence in the synergistic potential of this acquisition for further market expansion.

The acquisition of the HHI division from Spectrum Brands by ASSA ABLOY is valued at MUSD 4,300, expected to finalize in 2022 after regulatory approval. Initially planned for Q4 2021, the regulatory process continues to progress. ASSA ABLOY's President and CEO, Nico Delvaux, expressed confidence in the acquisition, highlighting its strategic importance as the company aims to strengthen its position in access solutions.

ASSA ABLOY reported an 8% increase in net sales for Q3 2021, reaching SEK 23,930 M, driven by strong organic growth of 7% in the Americas and Entrance Systems. However, sales dropped in Asia Pacific due to lockdowns. The company signed agreements for five acquisitions, including HHI, enhancing its North American residential business. Operating income (EBIT) fell 6% to SEK 3,392 M, with an operating margin of 14.2%. Net income decreased by 5% to SEK 2,392 M, while earnings per share were SEK 2.15.