BE Group will close loss-making operations in the Baltics
BE Group OÜ, which includes sales unit and warehouse in Maardu (Estonia) and sales units in Riga (Latvia) and Kaunas (Lithuania) has, despite extensive improvement measures taken to reach profitability, continued to generate losses. Decision has therefore been taken to close operations in Baltics. Net sales in 2023 was SEK 268 M and the operating result amounted to SEK -10 M.
The closure will take place during the second quarter and affects approximately 25 employees.
One-off cost is estimated to amount to approximately SEK 35 M and will affect the result for the current year. The closure is estimated to generate approximately SEK 30 M in positive cash flow impact.
An updated estimation will be presented in connection with the publishing of the second quarter report. The closure is estimated to have a positive impact on BE Group’s underlying result 2024.
For further information, please contact:
Peter Andersson, President and CEO
Tel: +46 706 53 76 55, email: peter.andersson@begroup.com
Christoffer Franzén, CFO
Tel: +46 705 46 90 05, email: christoffer.franzen@begroup.com
BE Group AB (publ), listed on Nasdaq Stockholm, is a trading and service company in steel, stainless steel and aluminium. BE Group offers efficient distribution and value-adding production services to customers primarily in the construction and manufacturing industries. In 2023, the Group reported sales of SEK 5.3 billion. BE Group has about 680 employees, with Sweden and Finland as its largest markets. The head office is located in Malmö, Sweden. Read more about BE Group at www.begroup.com.