Swedish fastener manufacturer Bulten has reported a drop in net sales for the third quarter of 2024.
In its latest financial results announcement, the company recorded net sales of SEK 1,333 million in the most recent quarter, dropping from SEK 1,378 million in the same quarter in 2023.
Christina Hallin, Interim President and CEO of Bulten, said: “There has been a slight decline in demand for fasteners from vehicle manufacturers in all markets during the quarter, though from an unusually high level in recent years.”
She added: “The falling demand is largely due to a decrease in vehicle sales, but also to the fact that some of our larger customers are shifting platforms, thus affecting their production volumes in the short term. In addition, there are other disruptions in OEM supply chains which impact our sales volumes. Although the market is not growing at the same rate as before, we now have an operation that is more stable, flexible, and able to handle large fluctuations.”
However, the company’s net sales for the first three quarters of 2024 are up 3.6% from SEK 4,181 million to 4,332 million.
Order bookings amounted to SEK 1,455 million in Q3 2024, a decrease of -7.2% from SEK 1,566 million in the corresponding period of the previous year.
Looking ahead, Hallin said: “The fall in demand gives us the opportunity to review our customer base and focus on customers and segments where we see better margins. We have also begun to reduce working hours in a couple of factories and we are working on a number of minor structural issues, including a review of some of our joint ventures. We cannot rule out additional structural changes moving forward if they are necessary to further improve profitability levels.”
Previously, the company announced that it had appointed Axel Berntsson as the new President and CEO of Bulten Group. In the financial results announcement, the company said Berntsson will take up his new role in early 2025 at the latest.
