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Electrolux AB Class B (ELUXY)
OTHER OTC:ELUXY
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Electrolux AB
(OTC:ELUXY)
48Neutral
Electrolux AB (ELUXY) vs. S&P 500 (SPY)
Market Cap
$1.85B
Dividend YieldN/A
Average Volume (3M)267.00
Price to Earnings (P/E)―
Beta (1Y)1.14
Revenue Growth1.61%
EPS Growth72.67%
CountryUS
Employees41,000
SectorConsumer Cyclical
Sector Strength63
IndustryFurnishings, Fixtures & Appliances
Share Statistics
EPS (TTM)-0.99
Shares Outstanding137,442,800
10 Day Avg. Volume801
30 Day Avg. Volume267
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.28
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Electrolux AB Business Overview & Revenue Model
Company DescriptionElectrolux AB (ELUXY) is a leading global appliance company headquartered in Stockholm, Sweden. The company specializes in manufacturing and selling a wide range of household and professional appliances, including refrigerators, dishwashers, washing machines, vacuum cleaners, air conditioners, and other small domestic appliances. Electrolux operates across multiple sectors, serving both consumer and professional markets under various brands, including Electrolux, AEG, and Frigidaire, among others.
How the Company Makes MoneyElectrolux AB generates revenue primarily through the sale of household and professional appliances. The company's revenue model is centered around manufacturing and distributing a diverse range of products that cater to different consumer and business needs across multiple regions. Key revenue streams include sales from major appliances like refrigerators, ovens, and washing machines, as well as small appliances and professional products used in sectors such as hospitality and healthcare. Electrolux also benefits from significant partnerships and collaborations with retailers and distributors worldwide, which help in expanding its market reach. Additionally, the company invests in research and development to innovate and improve its product offerings, thereby maintaining its competitive edge and driving sales growth.
Electrolux AB Financial Statement Overview
Summary
Electrolux AB faces significant financial challenges, with persistent net losses and negative cash flow trends despite maintaining a positive gross profit margin. High leverage increases financial risk, while negative profitability metrics highlight operational challenges. Improvement in cost management and reduced debt reliance would be critical to enhance financial stability.Income Statement
Electrolux AB has faced declining revenue growth and profitability. The net profit margin has been negative over recent years, indicating challenges in achieving profitability. Although there was a gross profit margin of 14.9% for 2024, the net income remains negative, leading to negative net profit and EBIT margins, suggesting operational inefficiencies or high costs.45
Neutral
Balance Sheet
The balance sheet shows a high debt-to-equity ratio, which has been increasing, reflecting high leverage and potential financial risks. The equity ratio is relatively low, indicating limited shareholder equity as a proportion of total assets. The return on equity is negative due to consistent net losses, posing a concern for investors regarding future earnings potential.60
Neutral
Cash Flow
Electrolux AB has struggled with negative free cash flow in recent years, indicating potential issues in generating cash from operations. The operating cash flow to net income ratio is positive, suggesting some ability to convert income to cash, but this is overshadowed by negative free cash flow growth. The free cash flow to net income ratio is negative, reflecting challenges in generating sufficient cash to cover net losses.50
Neutral
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 136.15B | 134.45B | 134.88B | 125.63B | 115.96B | Gross Profit |
| 20.30B | 17.14B | 17.70B | 23.98B | 22.27B | EBIT |
| 1.10B | -2.99B | -2.35B | 6.80B | 5.78B | EBITDA |
| 7.52B | 3.22B | 5.29B | 11.31B | 10.42B | Net Income Common Stockholders |
| -1.39B | -5.23B | -1.32B | 4.68B | 3.99B |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 16.34B | 15.50B | 17.73B | 11.09B | 20.37B | Total Assets |
| 125.39B | 120.05B | 127.10B | 107.61B | 99.60B | Total Debt |
| 43.63B | 40.87B | 41.38B | 18.82B | 18.07B | Net Debt |
| 27.46B | 25.54B | 23.82B | 7.90B | -2.13B | Total Liabilities |
| 115.67B | 108.78B | 110.65B | 89.00B | 80.89B | Stockholders Equity |
| 9.72B | 11.27B | 16.44B | 18.60B | 18.70B |
| Cash Flow | Free Cash Flow | |||
| -451.00M | -1.70B | -9.66B | 1.02B | 6.59B | Operating Cash Flow |
| 4.20B | 4.00B | -2.27B | 7.06B | 11.93B | Investing Cash Flow |
| -4.28B | -4.36B | -6.96B | -6.82B | -5.12B | Financing Cash Flow |
| 1.27B | -1.55B | 15.60B | -9.79B | 2.02B |
Electrolux AB Technical Analysis
Negative
13.49
Price Trends
17.11
Negative
16.93
Negative
17.43
Negative
Market Momentum
-1.11
Positive
31.33
Neutral
15.07
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ELUXY, the sentiment is Negative. The current price of 13.49 is below the 20-day moving average (MA) of 16.19, below the 50-day MA of 17.11, and below the 200-day MA of 17.43, indicating a bearish trend. The MACD of -1.11 indicates Positive momentum. The RSI at 31.33 is Neutral, neither overbought nor oversold. The STOCH value of 15.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ELUXY.
Electrolux AB Peers Comparison
Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $1.59B | 13.20 | 12.40% | 2.18% | 1.81% | 8.09% | |
66 Neutral | $2.70B | 19.58 | 12.73% | 1.91% | 7.14% | -4.01% | |
66 Neutral | $6.57B | 12.92 | 6.82% | ― | -2.68% | ― | |
63 Neutral | $1.56B | 12.70 | 10.12% | ― | -0.95% | -30.42% | |
59 Neutral | $11.48B | 10.33 | -0.21% | 4.02% | 1.19% | -15.83% | |
48 Neutral | $1.85B | ― | -13.46% | ― | 1.61% | 72.67% | |
47 Neutral | $4.50B | 13.03 | -12.77% | 8.61% | -14.64% | -167.22% |
* Consumer Cyclical Sector Average
Performance Comparison
ELUXY
Electrolux AB
13.49
-3.08
-18.59%
LZB
La-Z-Boy Incorporated
38.49
6.12
18.91%
MHK
Mohawk
105.05
-6.67
-5.97%
PATK
Patrick Industries
80.43
11.26
16.28%
WHR
Whirlpool
81.26
-18.22
-18.32%
MBC
MasterBrand Inc
12.23
-4.99
-28.98%
Electrolux AB Earnings Call Summary
Earnings Call Date: Jan 30, 2025 | % Change Since: -32.58% | Next Earnings Date: Apr 29, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed outlook with notable achievements in organic sales growth and cost efficiency, particularly in Latin America, alongside challenges such as significant currency headwinds and pricing pressures. The strategic focus on cost reduction and efficiency improvements has started to yield positive results, but market conditions remain challenging, especially in North America.Highlights
Strong Organic Sales Growth
For the full year 2024, Electrolux reported an organic sales growth of 5.1%, with significant contributions from Latin America. In the fourth quarter, organic sales increased by 11.5%, driven by higher volumes and a favorable mix across all business areas.
Cost Efficiency Achievements
Electrolux achieved SEK4 billion in cost reductions for the full year 2024. The fourth quarter alone contributed SEK2 billion to this effort, showcasing effective organizational simplification and product cost reductions.
Record Performance in Latin America
Latin America demonstrated a strong performance with a 21.8% organic sales increase in the fourth quarter, driven by higher volumes and positive mix, especially in Brazil.
Improvement in Operating Income
Fourth quarter operating income, excluding non-recurring items, was SEK1.249 billion, up from a negative SEK724 million last year, marking a significant improvement driven by cost efficiency and higher sales volumes.
Successful Organizational Restructuring
The new organizational structure was successfully implemented, reducing global headcount from 53,000 to 40,000, contributing to cost savings and improved efficiency.
Lowlights
Negative Pricing Impact
Price pressure was evident, particularly in North America, where refrigeration faced significant challenges. Overall, negative pricing effects contributed to a decline in organic earnings for the year.
Currency Headwinds
Significant adverse currency effects particularly impacted the Latin America and Europe regions, contributing negatively to operating income despite some offset from favorable raw material costs.
Challenges in North America
Despite a 17% organic sales increase, North America's operating income was only SEK45 million, with underlying profitability challenges persisting, exacerbated by low market price levels.
No Dividend for 2024
The Board proposed that no dividend payment be made for 2024, reflecting the financial pressure and strategic focus on cost efficiency and investment in growth areas.
Company Guidance
In the Electrolux Fourth Quarter Report 2024, CEO Yannick Fierling shared that organic sales grew by 5.1% for the full year, with Latin America being a significant contributor. Despite challenging market conditions, the company achieved an operating income of SEK1.1 billion, equating to a margin of 0.8%, but excluding a non-recurring item, operating income was SEK1.7 billion, or a 1.2% margin. Cost reduction efforts yielded SEK4 billion in savings. In Q4, organic sales surged by 11.5%, and operating income reached SEK1.52 billion, corresponding to a 2.8% margin. Excluding non-recurring items, Q4 operating income was SEK1.249 billion, marking a significant improvement from the previous year. The company anticipates a relatively neutral market demand in 2025, with expected cost efficiencies contributing SEK3.5 billion to SEK4 billion to earnings. Investments in innovation and marketing are expected to rise, and external factors, including currency headwinds, will continue to impact performance.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.