Investing.com -- Shares in Swedish outdoor equipment maker Thule fell as much as 3.2% on Thursday before paring losses to trade down 1.8%, as one-off tariff refunds boosted third-quarter operating profit while organic sales growth slowed and its chairman resigned following pressure from major shareholders.
Operating profit rose 15% to 521 million Swedish crowns from 453 million a year earlier, including 52 million crowns in tariff refunds. Excluding the refunds, profit was roughly unchanged from a year earlier.
Organic sales growth slowed to 1.2%, well below Thule's annual target of 7%, as a weakening recreational vehicle market and the timing of smartphone mount launches weighed on performance. Net sales rose 3% to 2.60 billion crowns, including a 1 percentage point contribution from currency effects.
Revenue rose 3.9% organically in Europe but fell 0.8% in North America, where retailers remained cautious about inventories. Sales in the rest of the world declined 12.4%.
"Market conditions remain challenging, and we do not expect any significant improvement in the short term," Chief Executive Mattias Ankarberg said.
The company's operating margin rose to 20.0% from 17.9%, while earnings per share before dilution increased to 3.65 crowns from 2.91 crowns.
After the quarter ended, Chairman Hans Eckerström resigned after major shareholders called for an extraordinary general meeting to elect a new chairman. Deputy Chairman Per-Arne Blomquist was appointed to the role.
For the first nine months of the year, net sales were flat at 8.60 billion crowns, while operating profit increased to 1.70 billion crowns from 1.56 billion a year earlier.
Original Article
Thule stock down as sales growth slows to 1.2% in Q3; Chairman resigns
Nokia Q3 profit rises on AI-driven network demand, outlook unchanged
Nordic Semi Q3 core earnings more than double as revenue rises on chip demand
