Atria: New efficiency programme targets EUR 2.5m annual cost savings in Sweden - Nordea

Atria Sweden is planning an efficiency programme in Sweden. High raw material costs, inflation, weak SEK and tough pricing negotiations with the trade are affecting Atria Sweden’s performance. The company aims to layoff approximately 35 employees and targets EUR 2.5m annual cost savings that would start to materialise during Q2 2024. The company announced restructuring its Swedish operations in 2021 and has now completed the investment phase which targeted EUR 3.5m annual cost savings. For 2024E, we have modelled Atria Sweden adjusted EBIT of EUR 3.7m (1.1% adjusted EBIT margin). Based on our estimates, Atria Sweden accounts for 6% of group adjusted EBIT in 2024E. We view the announcement as a logical step after the investment phase, while we do not expect any material consensus revisions following the announcement.

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