Structural measures and cost reductions in Lindab's operations

"These measures are important to reduce Lindab's fixed costs and increase profitability at a time of weak demand", says Ola Ringdahl, President and CEO of Lindab. "The changes are designed to have as little impact as possible on customers, and they do not affect our strong market position. At the same time, we continue to invest in competitive products, acquisitions and digitalisation."  "These measures are important to reduce Lindab's fixed costs and increase profitability at a time of weak...

"These measures are important to reduce Lindab's fixed costs and increase profitability at a time of weak demand", says Ola Ringdahl, President and CEO of Lindab. "The changes are designed to have as little impact as possible on customers, and they do not affect our strong market position. At the same time, we continue to invest in competitive products, acquisitions and digitalisation." 

Personnel reductions

A personnel cut is being implemented with the reduction of 180 full-time positions. Approximately two thirds of these employees are white-collar workers and one third blue-collar workers. 160 people work in business area Ventilation Systems and 20 people in business area Profile Systems. The measures entail one-time costs of 45 MSEK, all of which will be recognised in the fourth quarter of 2024. 

Structural measures 

Lindab is also implementing structural measures involving the closure of 10 sites for warehousing, stores and local production. Customers will be served from other Lindab units in neighbouring locations. The measures entail one-time costs of 25 MSEK, all of which will be recognised in the fourth quarter of 2024.

In October, it was announced that the production of building products for Profile Systems in the Czech Republic will close at the end of the year. The closure will affect some 30 employees working in production and warehousing. This is a first step in the structural transformation that Lindab is carrying out within business area Profile Systems, with a particular focus on Eastern Europe. 

Contacts:
Ola Ringdahl
President and CEO
E-mail: [email protected]
Phone: +46 (0) 431 850 00

Lars Ynner
CFO
E-mail: [email protected]
Phone: +46 (0) 431 850 00

Fredrik Wahrolén
Head of Communications
E-mail: [email protected]
Mobile: +46 (0) 705 393 379

This information was brought to you by Cision http://news.cision.com.

https://news.cision.com/lindab/r/structural-measures-and-cost-reductions-in-lindab-s-operations,c4072661

The following files are available for download:

 

View original content:https://www.prnewswire.co.uk/news-releases/structural-measures-and-cost-reductions-in-lindabs-operations-302318156.html