Demand for Husqvarna Group’s products is strong across all core markets and product categories. However, with escalating global supply chain challenges resulting in shortages of certain components and longer lead times, the Group expects reduced production for the first quarter. This development is affecting robotic mowers and lawn tractors in particular and creates a record order backlog. Net sales for the first quarter 2022 is estimated to approximately SEK 15bn (SEK 14.0bn reported in Q1 2021) including Orbit Irrigation.
The ongoing geopolitical situation in Europe has led to further logistical disruptions and increased costs for raw materials, energy and transportation, which will impact the operating result in the first quarter. The Group continues to work with pricing to mitigate the effects.
Henric Andersson, CEO comments:
“The strong demand from the previous record year continues, but the challenging global supply chain situation is affecting us particularly in the latter part of the first quarter. However, the gardening season is ahead of us, we have a record order backlog and we are taking decisive mitigating measures in order to increase production throughout the season”.
All figures in this press release are preliminary and unaudited. The full interim report for the first quarter will be released on April 21, 2022, as previously announced.