Turnover increased by 2.7 percent, reaching SEK 5.2 billion compared to SEK 5.1 billion during the same quarter last year. According to the report, the LCP business segment, which serves large companies and the public sector, is maintaining the momentum.
Within this part of the business, organic turnover growth amounted to 8.1 percent. Stable demand in Sweden and Belgium, where selected customers have also chosen to postpone their orders to secure prices and availability, is behind the increase.
Costly Clean-Up in the Portfolio
Operating profit, on the other hand, fell to SEK -769 million, compared to SEK 11 million a year earlier. This is due to a write-down of goodwill of SEK 800 million.
The write-down is taking place as Dustin chooses to phase out its more customized services in favor of a simpler and more standardized service portfolio.
Within the SMB business area, which targets small and medium-sized companies, organic growth fell by almost 12 percent. This is attributed to the phasing out of services and the fact that the company has previously discontinued its consumer business.
During the third quarter, we took several important steps to strengthen the business. We are reporting continued organic growth, improved profitability and a strong cash flow, while also completing several important change initiatives, says Samuel Skott, CEO and Group Manager at Dustin, and continues:
The new sales organization is now fully implemented, the communicated efficiency measures have been completed and we continue to prioritize the transformation of our service offering. Several of the measures implemented during the year are now starting to yield results, while continued commercial focus and efficiency are required to fully realize the potential of the business.
Technology Focus and Slimmed-Down Cost Structure
Going forward, the focus is on benefiting from the cost savings program of SEK 80 million per year, which is now fully completed. This has resulted in a reduction in the number of employees and consultants.
With a new sales organization for the Nordic countries and Benelux, the B2B supplier wants to get closer to local markets.
In addition, the company plans to meet future customer needs through solutions in AI, modern IT infrastructure, IT security and lifecycle services.