Swedish engineering group Sandvik AB on Monday reported a surge in third-quarter orders, but saw its revenue and a key measure of profitability decline compared to the same period last year.
Order intake rose to 30.77 billion Swedish Kronor, a 16% increase at fixed exchange rates, the company said in its interim report.
The strong order book, which was partly boosted by a major mining equipment deal in Zimbabwe booked during the quarter, follows a similar trend of robust demand seen in the second quarter.
However, revenue for the period fell to 29.22 billion kronor from 30.31 billion kronor a year earlier.
Sandvik's adjusted operating profit (EBITA) decreased to 5.54 billion kronor from 5.87 billion kronor, with the corresponding margin contracting to 19.0% from 19.4%.
Free operating cash flow also declined, falling to 5.60 billion kronor from 6.76 billion kronor in the third quarter of the previous year.
Despite the lower operating profitability, profit for the period rose to 3.54 billion kronor from 3.24 billion kronor.
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Swedish engineering group Sandvik AB said Tuesday it has won a mining equipment order in Zimbabwe valued at approximately 280 million Swedish Kronor, bolstering its order book after reporting a dip in second-quarter revenue.
Swedish engineering group Sandvik AB on Wednesday reported a fall in second-quarter revenue and profit, though the company pointed to strong underlying demand.