The sales trends for traditional lock products, electromechanical products, the private residential market and South America were very strong. Security doors and high-security products showed good growth, while Canada and Mexico showed a weak negative trend. Acquired growth amounted to 0%. Operating income totaled SEK 549 M (510) and the operating margin was 21.2% (20.6). Return on capital employed amounted to 25.7% (23.9). Operating cash flow before interest paid totaled SEK 673 M (529).

On 1 October it was announced that Assa Abloy had signed a contract to acquire the American company Ameristar, a leading American manufacturer of perimeter security in the form of high-security fences and gates. The company has about 650 employees and its sales in 2013 are expected to total about SEK 1,100 M.

Assa Abloy president and CEO Johan Molin, commented.“I am very pleased to report that Americas, Asia Pacific and Global Technologies all had strong organic growth. EMEA also grew, by 1% organically, and showed clear signs of having bottomed out, while Entrance Systems had a surprisingly small fall of just 1% despite its exposure to European industry. Total growth for the Group was 6% in local currencies, made up of 3% organic growth and 3% acquired growth. Exchange-rate effects remained negative at -1%, which meant that total growth ended up at 5%.

“The Group’s earnings reached a record level, largely due to good growth arising from new products, which accounted for 26% of sales value, with growth in electromechanical products especially strong. In addition, major savings and efficiency measures in production continued to make good contributions to earnings.

“Agreements of acquisition where signed with several interesting companies during the quarter. Especially exciting is the acquisition of Ameristar, which complements our product portfolio in North America very well. Investment in emerging markets also continued with the acquisitions of Mercor in Poland and Huasheng and Xinmao in China. In total these acquisitions will provide an addition of around SEK 2,000 M to our sales.

“My judgment is that the world economy is slowly on the way to improving, although still affected by the budget cutbacks that many countries are making. Our strategy therefore remains unchanged, to reduce our dependence on mature markets and to expand strongly in the emerging markets, which are expected to go on growing well. Another continuing priority will be investments in new products, especially in the growth area of electromechanics.”