financial development

Net sales and profit

Net sales in the Addtech Group increased by 17 percent during the financial year to SEK 7,178 million (6,155). The organic growth amounted to 7 percent and acquired growth amounted to 9 percent. Exchange rate changes had a positive effect of 1 percent on net sales, corresponding to SEK 46 million, and a marginally positive effect on operating profit. Operating profit increased during the financial year by 36 percent to SEK 604 million (443) and the operating margin amounted to 8.4 percent (7.2). Net financial items were SEK -24 million (-20) and profit after financial items increased by 37 percent to SEK 580 million (423). Profit after tax for the financial year rose by 35 percent to SEK 450 million (333) and the effective tax rate was 22 percent (21). Earnings per share before dilution for the financial year amounted to SEK 6.60 (4.85).

Profitability, financial position and cash flow

Shareholders' equity at the end of the financial year amounted to SEK 1,741 million (1,514). The return on equity at the end of the financial year was 28 percent (20), and return on capital employed was 23 percent (16). Return on working capital P/WC (EBITA in relation to working capital) amounted to 53 percent (44).

At the end of the financial year the equity ratio stood at 39 percent (40). Equity per share, excluding non-controlling interest, totalled SEK 25.45 (22.10). The Group's net debt at the end of the year amounted to SEK 801 million (623), excluding pension liabilities of SEK 210 million (199). The net debt/equity ratio, calculated on the basis of net debt excluding provisions for pensions, amounted to 0.5 (0.4).

Cash and cash equivalents, consisting of cash and bank balances together with approved but non-utilised credit facilities, amounted to SEK 818 million (754) at 31 March 2017.

Cash flow from operating activities amounted to SEK 551 million (474) during the financial year. Company acquisitions and disposals including settlement of contingent consideration regarding acquisitions implemented in previous years amounted to SEK 335 million (623). Investments in non-current assets totalled SEK 68 million (90) and disposal of non-current assets amounted to SEK 5 million (24). Dividend from associated company amounted to SEK 3 million (0). Repurchase of treasury shares amounted to SEK 40 million (45) and repurchase of call options amounted to SEK 6 million (0). Exercised and issued call options totalled SEK 18 million (61). Dividends paid to the shareholders of the Parent Company totalled SEK 218 million (217), corresponding to SEK 3.25 (3.25) per share.