TPT July 2011

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12 July 2011 ›
Industry News
DEMAND improved for Sandvik Materials
Technology during the quarter. Order intake
rose 14 per cent and invoiced sales 21
per cent at fixed exchange rates. Order
intake for products for the energy sector and
mining industry remained strong and the
improvement continued for products used
in the automotive, electronics and consumer
goods industries. Earnings were negatively
impacted by production disruptions in tube
and pipe manufacturing, which also resulted
in an increase in inventories.
The global market situation gradually
improved during the quarter, primarily
in Europe and North America. The
market for high-alloy products for the
energy sector remained strong during the
quarter although invoiced sales to the
nuclear power industry decreased slightly
compared with the preceding quarter
due to a planned, lower delivery level.
Demand also increased for products to the
automotive, consumer goods, chemical
and engineering industries, while the
volume trend for medical technology
applications remained weak. The tragic
events in Japan during the quarter have
not, to date, led to the cancellation or
postponement of orders from the nuclear
power industry. However, it is still too early
to assess the long-term consequences.
The ongoing capacity expansion is
currently progressing as planned.
An agreement was signed with
Westinghouse for deliveries of cladding
tubes to nuclear power stations during
the quarter. The agreement extends over
several years and corresponds to a total
value of more than SEK3bn.
Capacity utilisation increased in
several areas but recurrent production
disruptions in tube manufacturing
resulted in lower deliveries and increased
costs, and that working capital rose
due to greater production inventories.
A number of activities are under way
to counteract the disruptions, and both
improvements and growing deliveries
were noted in March. In April, a fire
occurred in Sandviken’s wire production
plant. The effects will impact production
and deliveries of wire products during at
least the second quarter.
Working capital was 30 per cent (28) of
invoiced sales. Operating profit amounted
to SEK362mn (312) or 7.9 per cent (7.8)
of invoiced sales. Changed metal prices
had a positive effect of about SEK80mn on
operating profit. Changed exchange rates
had a negative impact of about SEK50mn.
Return on capital employed for the past 12
months was +9.6 per cent (-1.9).
Mr Jonas Gustavsson, former president
of the Wire and Heating Technology
product area, has been appointed
president of the business area and took up
his new position in May 2011. He succeeds
Mr Peter Gossas, who will retire according
to agreement.
Sandvik – Sweden
Website:
Sandvik reveals Q1 2011 segment results
Tolexpo
2011:
economic
recovery and
innovations
THE 4th edition of Tolexpo, the international
show for sheet metal, coil, tube and section
equipment, organised by DBR Event, will
be held at Paris-Nord Villepinte Exhibition
Centre from 15 to 18 November 2011.
Six months before the show opens,
Tolexpo already has more than 150
exhibitors, among them both French
leaders in the sector and the majority of
foreign manufacturers. Almost 11,000
targeted visitors looking for new equipment
will discover the products and technical
innovations offered by suppliers at the
show. Visitors will find solutions to all their
needs, whether they are looking to renew
or modernise their equipment, begin using
new technology, improve their productivity,
or bring their businesses into line with
standards and regulations. For the first time
this year, in partnership with the Tolexpo
show, Tôlerie magazine is organising a
competition for students in the various
areas that involve sheet metal working. The
Tol&Design Challenge has been created
to put the spotlight on the expertise of
young people who have chosen the various
subjects which involve sheet metal working,
and aims to promote these subjects and the
production chain itself, by bringing students
together to work on an industrial project.
It is also an opportunity for the students
to present their expertise to industry
professionals by creating finished products
– in this case a chair – using precise
specifications.
The organisers of Tolexpo, Midest,
the global sub-contracting show, and
Maintenance Expo, the maintenance
solutions show, are continuing to work
together in order to create communication
synergies and boost their industry
sectors. The major objective is to create
a technological showcase that will bring
the expertise of sub-contractors together
with that of production equipment
manufacturers.
This agreement confirms the close
links between these three events, which
are positioning themselves to cover the
whole of the industrial process, from start to
finish, in various business sectors. It offers
buyers and principals the opportunity to find
solutions to all their needs under one roof:
equipment and investments with Tolexpo;
expertise with Midest; and services with
Maintenance Expo.
DBR Event – France
Email:
Website:
Tolexpo takes place in Paris from 15 to 18 November 2011