Consistent strategy execution and improved resilience over time

Q1 2024 highlights

Order intake for the rolling 12-month period decreased by 10% to SEK 20,362 million (22,550), with organic growth of -8%. The backlog remained solid with a good product mix.

Revenues decreased by 12% to SEK 4,740 million (5,376), with organic growth of -2%. Effects from changed alloy surcharges impacted revenues by -9%.

Adjusted operating profit (EBIT) totaled SEK 453 million (567), corresponding to a margin of 9.6% (10.5), impacted by under-absorption and temporary challenges in deliveries.

Operating profit (EBIT) amounted to SEK 126 million (1,045), corresponding to a margin of 2.7% (19.4), and included metal price effects of SEK -328 million (479).

Adjusted earnings per share, diluted, was SEK 1.24 (1.75).

Earnings per share, diluted, was SEK 0.21 (3.25).

Free operating cash flow amounted to SEK 159 million (404).

CEO’s comment

Market conditions

Market conditions were mixed at the beginning of the year. Some positive signals were noted in a few of the segments where demand had previously been subdued. The stabilization we began to see at the end of 2023 continued in parts of the short-cycle business, especially in the Strip division’s Consumer segment. At the same time, the Chemical and Petrochemical, and Industrial segments in North America remained challenging for Tube, while demand in the Nuclear segment, for example, was high. We received several significant orders in the Oil and Gas segment, and both the market and backlog are strong even though order intake decreased from high levels. In Kanthal, the Medical segment continued its positive trajectory while demand in Industrial Heating remained slightly subdued. Organic order intake growth for the rolling 12-month period was -8%, from high absolute levels.

Temporary delivery challenges during the quarter

Revenues in the quarter decreased organically by 2%, impacted primarily by our more low-refined business as well as challenges in deliveries related to the ongoing implementation of a new ERP system in our Tube and Strip divisions. Kanthal continued to strengthen its EBIT margin in pace with the ongoing improvement of the product mix. All together, the adjusted EBIT margin for the quarter totaled 9.6% (10.5). The decrease is attributable to several factors such as lower invoicing, impacted by the aforementioned temporary challenges in deliveries, and under-absorption in production as a result of lower volumes.

Solid margin resilience

With the challenges we faced in the quarter, and given lower production volumes, our adjusted EBIT margin has demonstrated good resilience. The rolling 12-month margin was 10.1%, which is a historically high number. Our diversified exposure to customer segments in various stages of the business cycle, and a clear strategy to grow in more profitable and less cyclical niches are important contributors to this. We have also been swift to adapt to changing market conditions, and adjusting capacity and cost where needed. Another important aspect of the improved resilience is that we have stood firm on our price leadership strategy, declining to lower prices in order to win volumes. This has impacted cost coverage in parts of production over the short term, but when the market turns around and volumes begin to increase again, I see good opportunities for continued profitable growth over time.

Strategic initiatives

Our growth investments are proceeding as planned. For example, we are currently scaling up the capacity in our newly inaugurated production line for heat exchanger tubing in Mehsana, India, which will give us good opportunities to meet the growing demand in the Chemical and Petrochemical segment for Tube in Asia.

Sustainability drives innovation and business

In February, we were proud to launch the next generation of umbilical tubes for the Oil and Gas industry, with the new SAF™ 3007 alloy. This new alloy is even stronger and more durable, which enabling thinner and lighter tubes. With its lower weight and with less materials consumed, it yields obvious advantages for both our customers and the environment. Our materials technology makes a difference by yielding a smaller climate footprint, and we expect that SAF™ 3007 will be a vital addition to our existing offering. During the quarter, we received yet another order in carbon capture and storage (CCS) and, moreover, we are continuing to grow our business for tubes for the production of polysilicon, which is used in the production of solar panels. Additionally, the Kanthal division received an interesting order for heating modules, which will be used in a manufacturing process for green steel.

Continued value creation

Even though the beginning of 2024 was somewhat challenging, I take a positive view of the coming year. We are well positioned to continue strengthening our product mix, we are executing on our strategic priorities and our balance sheet is stronger than ever.

Göran Björkman, President and CEO

Conference call and webcast 1:00 pm CEST

A webcast and conference call will be hosted on April 23, 2024 at 1:00 pm CEST. More information and a presentation will be available at

Dial-in details for the conference call

Sweden: +46 (0) 8 5051 0031

UK: +44 (0) 207 107 06 13

US: +1 (1) 631 570 56 13

Link to webcast


Sandviken, April 23, 2024

Alleima AB (publ)

Contact details

Emelie Alm, Head of Investor Relations
Phone: +46 (0) 79 060 87 17

Yvonne Edenholm, Press and Media Relations Manager
Phone: +46 (0) 72 145 23 42

About Alleima
Alleima, is a global manufacturer of high value-added products in advanced stainless steels and special alloys as well as solutions for industrial heating. Based on long-term customer partnerships and leading materials technology, we develop products for the most demanding applications and industries. Our offering includes products like seamless steel tubes for the energy, chemical and aerospace industries, precision strip steel for white goods compressors, air conditioners and knife applications, based on more than 900 active alloy recipes. It also includes ultra-fine wires for medical and micro-electronic devices, industrial electric heating technology and coated strip steel for fuel cell technology for cars, trucks, and hydrogen production. Our fully integrated value chain, from R&D to end-product, ensures industry-leading technology, quality, sustainability, and circularity. Alleima, with headquarter in Sandviken, Sweden, had approximately 6,500 employees and revenues of about 21 billion SEK in about 80 countries in 2023. The Alleima share was listed on Nasdaq Stockholm’s Large Cap list on August 31, 2022 under the ticker ‘ALLEI’. Learn more at

This information is information that Alleima AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 11.30 AM CET on April 23, 2024.