Swedish industrial technology group Indutrade AB on Tuesday reported a 12% drop in second-quarter profit as sales weakened amid what it called a "generally uncertain global situation."
Net profit for the three months ended June 30 fell to 639 million Swedish kronor from 730 million kronor a year earlier, the company said.
Net sales decreased by 4% to 8.12 billion kronor, which the company attributed to a lower order backlog at the start of the quarter, strong comparative figures, and fewer working days.
Indutrade said that while demand was strong from customers in the energy, medical technology and pharmaceutical segments, it saw more subdued demand from the infrastructure, construction, and engineering industries.
The earnings before interest, taxes, and amortization (EBITA) margin fell to 13.7% from 14.8% in the same period last year.
"We have had a positive book-to-bill ratio for two consecutive quarters, but there remains considerable general uncertainty surrounding upcoming quarters, and the order backlog is somewhat weaker than in the previous year," Chief Executive Bo Annvik said in a statement.
Order intake for the quarter was flat year-over-year at 8.29 billion kronor.
The company also noted that due to global uncertainty, it has chosen to prolong some acquisition processes, though it has acquired four companies so far this year.
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Swedish industrial technology group Indutrade AB on Tuesday reported a 4% drop in third-quarter profit as sales slipped, but said order intake grew, driven by improved demand from the life sciences and energy sectors.