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Electrolux takes Q3 earnings hit on weak sales in European market, currency fluctuation

STOCKHOLM – Home appliance manufacturer Electrolux says third quarter earnings fell 29 per cent due to currency weakness in several key markets and a continuing fall in core European sales.

Earnings for the three-month period amounted to 656 million kronor ($104 million), down from 923 million for the same period last year.

Net sales for the quarter were essentially flat year-on-year at 27.3 billion kronor ($4.3 billion). The company says shifting currency values shaved 4.6 per cent of sales.

Electrolux said Friday that sales in North America grew 5 per cent to 8.2 billion kronor ($1.3 billion) thanks to robust demand for microwaves and air conditioners.

The world’s second-largest appliance maker says it has started a program to cut annual costs by 1.8 billion kronor ($280 million) that will include slashing jobs.