AB SKF Stock Price, News & Analysis

SKF has renewed its partnership with the Gothia Cup for an additional three years, extending its involvement to over 20 years. This year, the tournament is seeing unprecedented interest with more than 1,700 teams registered from over 60 countries, marking a record participation. The Gothia Cup will take place from July 16-22, 2023, and SKF's sponsorship includes the Meet the World initiative, allowing underprivileged youth to join the tournament. Over 5,000 young players have fulfilled their dreams of competing at this prestigious event through this initiative. SKF emphasizes the importance of sports in fostering global connections and community engagement.

The Annual General Meeting of Aktiebolaget SKF was held on March 23, 2023, in Gothenburg, Sweden. Shareholders approved a dividend of SEK 7.00 per share, with eligibility based on registration by March 27, 2023. The Board was discharged of liability for the financial year 2022, and several members were re-elected, including Hans Stråberg as Chair. The remuneration for Board members was set, including SEK 2,610,000 for the Chair. Additionally, the meeting approved the Performance Share Programme 2023, targeting 225 senior managers and allowing for the allotment of up to 1,000,000 SKF B shares, contingent on meeting specific performance metrics.

SKF has achieved a significant milestone in its Net Zero journey, with over half of its electricity consumption now sourced from renewable energy. This achievement is highlighted in the Annual Report 2022, which outlines the company's strategic progress and commitment to sustainability. Launched in early 2022, SKF's new strategic framework aims to accelerate profitable growth despite external challenges. The report emphasizes the integration of sustainability measures and strong stakeholder partnerships for renewable energy sourcing. The full report is available for download at SKF's investor website.

The Annual General Meeting (AGM) of SKF is scheduled for March 23, 2023, at the Radisson Blu Scandinavia Hotel in Gothenburg, Sweden. Shareholders can participate through postal voting or in person. Key agenda items include the election of board members, presentation of the annual report, and a proposed dividend of SEK 7.00 per share, payable to eligible shareholders recorded by March 27, 2023. The meeting will also address the Performance Share Programme 2023, which allows up to 1,000,000 shares for senior managers based on performance targets. Key participation requirements include registration in the Euroclear Sweden AB register by March 15, 2023.

The Nomination Committee has proposed the appointment of four new Board members for SKF: Beth Ferreira, Therese Friberg, Richard Nilsson, and Niko Pakalén. Ferreira brings experience from IMI plc and Illinois Tool Works, while Friberg serves as CFO at Electrolux. Nilsson is an Investment Director at FAM AB, and Pakalén is a partner at Cevian Capital. Colleen Repplier has opted out of re-election. The Board will have ten members with Hans Stråberg proposed as Chair. The final proposals will be released alongside the notice for the Annual General Meeting in 2023.

GOTHENBURG, Sweden, February 2, 2023 – SKF reported strong financial results for Q4 and full year 2022. Q4 net sales reached SEK 25,361 million, a 20.9% increase, with organic growth at 9.7%. Adjusted operating profit was SEK 2,542 million, with a margin of 10.0%. For the full year, net sales totaled SEK 96,933 million and adjusted operating profit was SEK 10,204 million, representing a margin of 10.5%. Despite challenges like cost inflation and geopolitical tensions, the company expects mid single-digit organic sales growth in 2023 and proposes a dividend of SEK 7.00 per share.

SKF hosted its Capital Markets Day in London on December 8, 2022, presenting strategic updates to investors and analysts. CEO Rickard Gustafson outlined the Group's focus areas, highlighting the Industrial business developments in the Americas and India, as well as the global Automotive sector. A strategic review of the Aerospace business was also announced due to industry consolidation. For Q4 2022, SKF expects organic sales growth of approximately 10%, anticipating full-year growth to be in the upper range of 4-8% as previously guided.

SKF has partnered with Castrol to enhance lubrication processes through 'Oil as a Service'. This collaboration integrates SKF's RecondOil Double Separation Technology with Castrol's lubricants, promoting the circular use of lubricant fluids. This partnership aims to reduce oil consumption and waste, while improving machine efficiency in the metalworking industry. Both companies are committed to sustainability, with fee- and performance-based contracts to be offered initially. SKF's revenue in 2020 was SEK 74,852 million, employing over 40,000 staff worldwide.