Raute Corporation's 3Q 2020 net sales amounted to Euro 27.9 million, compared to Euro 33.7 million in the 3Q 2019. Operating profit in the 3Q was Euro 1.3 million positive and accounted for 4.8% of net sales. The result was Euro 0.8 million positive, and earnings per share were Euro 0.18.
The total order intake during the 3Q 2020 was low, coming to Euro 11 million, compared to Euro 73 million in the 3Q 2019.
Raute's net sales for January-September 2020 totaled Euro 76.1 million, down 32.1% from the last year. The dramatic decline in net sales was expected and caused by a low order intake, the planned timing of the order book and the impacts of the coronavirus epidemic. Of the total net sales for the reporting period, Russia accounted for 50%, Europe for 24%, North America for 12%, South America for 8%, and Asia-Pacific for 6%.
Operating profit for January-September 2020 was Euro 2.7 million negative and accounted for -3.6% of net sales. Operating profit fell 141% largely due to a decline in net sales and the already-reported investments in product development, marketing and digitalization. The limitations put in place for travel and on its Chinese plant’s operations due to the coronavirus pandemic also caused its result to fall more than expected as the pandemic persisted and the impacts shifted to other market areas, in particular North America.
The profit before tax for January-September 2020 was Euro 2.3 million negative. The profit for the reporting period was Euro 2.3 million negative. Earnings per share (undiluted) were Euro -0.54.
Raute is a technology and service company that operates worldwide. Raute’s customers are companies operating in the wood products industry that manufacture veneer, plywood, LVL (Laminated Veneer Lumber) and sawn timber.
