Q3 INTERIM REPORT HEDIN BIL 1
Words from our CEO • Increased private lease • La
ck of semiconductors • All time high order backlog The third quarter has been characterized by high demand, at the same time as we are experiencing delivery problems on new vehicles. Delivery problems caused by the global shortage of semiconductors affect most of our brands. However, this varies over time between different brands, which means that we have been able to maintain a high level of both sales and deliveries. Invoicing increased by 15 percent compared with the previous year. Delivery problems will continue during the next quarter and a bit into next year. The order backlog as of September 30 is all-time high of totally14,600 vehicles. The interest in private lease has increased for a long time and in September the proportion of private lease of vehicles sold to private customers in Sweden amounted to 55 percent. Brands that are increasing a lot include KIA and MG, but also several other brands in our portfolio. This contributes to increased sales, but also to an increase in our investment in leasing vehicles. We see this as a great opportunity to ensure access to used vehicles in the future, and by offering greater variation in maturities between 18–36 months, also get a good spread on our repurchases. In Sweden, the interest in electric cars and plug-in hybrids is rising sharply, which accounted for 54 percent of total sales in Sweden in September. Our launch of the Chinese brand MG this spring has generated great interest and since deliveries began in June, 3,388 vehicles have been registered. This means that MG is one of the best-selling electric cars in Sweden. We continue to grow within Ford, with access to newly acquired dealerships in Halmstad, Värnamo and Enköping in July. Ford has increased the market share during the year and sales have increased more than twice as much as the total market. In September, the Porsche Center in Umeå was acquired, which complements our operations in northern Sweden, where we already sell BMW. The market in Norway is increasing by 35 percent so far this year. BMW maintains its market share, while our BMW sales increase more than BMW overall. There has been a decline in sales of Porsche this year, after strong sales last year when, among other things, the electric car Taycan was launched. Porsche is also suffering from delivery delays due to a lack of semiconductors. The market in Belgium is down 6 percent so far this year. Our sales of Mercedes-Benz are increasing, while Mercedes-Benz overall follows the market with a decline of 6 percent. In Belgium, there are also problems with delivery delays due to lack of semiconductors. We have always worked long-term, and we are constantly continuing to develop and improve the business. We have a good order backlog, and we do what we can to find solutions so that customers do not have to wait for their vehicles. I look forward to a strong end to a successful year. Anders Hedin 7 INTERIM REPORT Q3 HEDIN BIL – 1 JULY – 30 SEPTEMBER