Assa Abloy Sales Rise on Strong Americas Performance — Update

By Anthony O. Goriainoff

Assa Abloy said third-quarter sales rose on the back of its strong performance across several regions, including in the Americas.

The Swedish lock maker on Tuesday said sales grew 7% to 40.77 billion Swedish kronor ($4.09 billion) with FactSet consensus for the metric at 40.71 billion kronor.

Organic sales rose 4% on year as they increased 6% in the Americas, driven by continued strong growth in the non-residential segment and Latin America.

In the Europe, Middle East, India, and Africa regions growth of 5% was driven by strong sales increase in Central Europe, while the other regions had good or stable sales growth developments, it said.

Still, organic sales in Asia-Pacific declined 1% due to weak sales in Greater China, the company said.

On the back of this performance, Assa Abloy reported an adjusted operating margin of 17.4%, up from 16.8%. This was driven by an operating leverage of 47%, stemming from price realization and cost efficiencies, it said.

"Despite subdued markets and inflationary headwinds, Assa continues to deliver solid organic growth, healthy margins and excellent free cashflow generation," RBC Capital Markets analysts said in a note.

Net profit in the quarter rose to 4.72 billion kronor from 4.15 billion kronor a year earlier. A FactSet consensus had forecast quarterly profit of 4.71 billion Swedish kronor.

Operating income, the company's preferred metric, rose 11% to 7.1 billion kronor. This was the first time the metric exceeded 7 billion kronor in a quarter, the company said.

"We are... confident in our ability to deliver another strong year," Chief Executive Nico Delvaux said.

Shares are down 0.2% at 372 Swedish kronor.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

October 27, 2026 05:18 ET (09:18 GMT)