Alimak

The expected annual cost savings generated by the consolidation of the assembly activity is estimated to be SEK 60 million from 2025 and onwards. The total one-off costs implied by such a project are estimated to be SEK 95 million and include termination, consolidation and some temporary impacts on operations.

Those one-off costs could be partially offset by the capital gain resulting from the divestment of the Mammendorf real estate (SEK 30 million capital gain out of an estimated potential sales value of SEK 60 million).

The consolidation only targets the assembly workshop in Mammendorf, while R&D, engineering functions and service would be maintained in Germany.

One of the most significant projects that involves the Mammendorf facility is Sydney Harbour Bridge, awarded in 2017, including design, manufacturing, installation, and service of several maintenance units. As part of the ongoing project review, a decision has been made to adjust down the project margin. The estimated non-recurring project adjustment will have a negative revenue and EBITA effect of SEK 45 million in the fourth quarter. The project is still estimated to continue for at least another 2-3 years, and to be profitable.

The above items affecting comparability imply that the operating profit will be negatively impacted by an estimated total of SEK 110 million, of which SEK 85 million in Q4 2023, as detailed below:

Cash outflows affecting comparability should occur in 2024.