Aalberts (AALB) Trading Update summary

Trading performance

• Organic revenue declined by 2.9% in the first ten months of 2024, with building technology down 4.7% and industrial technology down 0.7%.

• Added value margin remained strong despite lower volumes and cost inflation.

Operational initiatives

• Productivity, cost savings, and inventory reduction plans are being implemented to address cost inflation and lower demand.

• Accelerated operational excellence program resulted in a one-off restructuring cost of €50 million, with expected annual benefits of €25 million.

Segment and regional trends

• Eco-friendly building activity was lower in Europe, especially Germany and France, but improved in Benelux and Switzerland; America, Asia, and Middle East showed better activity.

• Semicon efficiency growth continued with volatile demand and a strong orderbook; investments in capacity expansion are ongoing.

• Sustainable transportation saw lower automotive demand but growth in aerospace; precision parts and surface technologies demand remained solid.