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Industrial Market, Strategic Industries. 8. Outlook and key business message. Performance 2012 – 2014 YTD. Half year 2013. Half year 2014. 2012. 2013. SEK 20,437 million. SEK 18,929 million. SEK 9,529 million. SEK 10,221 million. Net sales. 9.9 % 10.8 %. 8.7 % 10.2 %.
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8 Outlook and key business message
Performance 2012 – 2014 YTD Half year 2013 Half year 2014 2012 2013 SEK 20,437 million SEK 18,929 million SEK 9,529 million SEK 10,221 million Net sales 9.9% 10.8% 8.7% 10.2% 8.6% 10.7% 10.4% 10.6% Operating margin Operating margin, excl. one-time items CMD 2014
Market trends • Overall an uncertain business environment with the current geo-political situation • China – strong for Railway and Renewable Energy, but moderate for industry in general • Aerospace continues on a stable growth path • Positive development in the machine tool industry in Asia and USA • Lubrication business on a good growth trajectory CMD 2014
Strategic Industries - key business message Growth drivers • Asset life cycle solutions and services • Core markets for Strategic Industries – China, Germany, USA and India • Global footprint with local competence Cost efficiency • Lean manufacturing • Accelerate cost reduction programs • Manufacturing footprint aligned to growth markets CMD 2014