ELECTROLUX faces further headwinds in debt-ridden Europe this year while the US offers a glimmer of hope, the household appliances maker said yesterday as it reported a near 40 per cent fall in 2011 core earnings.
Makers of fridges, washing machines and vacuum cleaners have been buffeted by weak consumer confidence on both sides of the Atlantic and have expanded into faster growing emerging markets.
They pushed through price rises in 2011 to offset soaring raw materials costs, but 2012 is still looking challenging.
Electrolux, which makes 65 per cent of its sales in mature markets, said 2011 earnings before interest and tax before non-recurring items plunged 39 per cent year-on-year to 3.98bn Swedish crowns (£364m).
In the fourth quarter alone, core earnings fell 16 per cent to 1.44bn crowns.
