Indutrade

Operations

Indutrade is a technology sales company that sells components, systems and services with a high-tech content to industrial customers in selected niches. In addition to the technology sales business is a growing share of own manufacturing companies with proprietary brands.

The focus is on niche-oriented products and services for customers with a repetitive need, which provides stability to the business and its flow of revenues.

The organization is decentralized, and the 140 individual companies create value for their customers by structuring the value chain and enhancing the efficiency of their customers’ use of technological components and systems. For Indutrade’s suppliers, value is created through access to an effective sales organization with high technical expertise and established customer relations. The aim is to make cooperation with Indutrade the most profitable way for suppliers to sell their products in the geographic markets in which Indutrade is active.

Indutrade’s most important products include valves, measuring and analysis instruments, industrial equipment, automation, pumps, filters and process technology, hydraulics and pneumatics, adhesives and chemical-technical products, cutting tools and pipe systems. The aim is to grow the business organically as well as through a triedand- tested acquisition strategy involving continuous acquisitions of profitable companies.

Indutrade - Our ownership perspective

The combination of sales of industrial, high-tech consumables, good organic growth and a highly refined model for acquisition-based growth has resulted in impressive profitability growth.

• Flexibility through a decentralized business model.
• Continued value-creating acquisitions.
• Greater share of proprietary brands is strengthening profitability.

Ownership focus

Favorable profitability growth through continuous development of the company’s unique business model.

Indutrade - Performance 2010

• Net sales increased to SEK 6.7 billion (6.3).
• Indutrade’s profit after net financial items amounted to SEK 0.6 billion (0.5).
• In 2010 nine companies were acquired with combined net sales of approximately SEK 1 billion.
• Through the acquisitions of Abima and the Meson Group, the company has gained exposure to new geographic markets.
• The operating margin (EBITA) was 10.4% (9.5%), which exceeded the long-term target of at least 10% over a business cycle.