Interim report, third quarter 2015

26 November 2015

  · Net sales increased by 3 percent to MSEK 1,396.1 (1,358.9), and by 2 percent
at constant exchange rates. Net sales increased by 5 percent in Sweden and
Norway respectively and decreased by 2 percent in Denmark at constant exchange
rates.
  · Adjusted operating income increased by 8 percent to MSEK 71.7 (66.5),
corresponding to an adjusted operating margin of 5.1 (4.9) percent.
  · Income for the period amounted to MSEK 48.5 (32.1) and earnings per share
were SEK 0.81 (0.53).
  · Adjusted operating cash flow amounted to MSEK 41.4 (65.9).
  · Deliveries to Coop Norway under the new supply agreement started in August.


MSEK            Q3 2015  Q3 2014  Change  9m 2015  9m 2014  Change
Net sales       1,396.1  1,358.9      3%  4,047.0  4,015.2      1%
Operating          71.4     57.7     24%    211.8    165.0     28%
income
Income for the     48.5     32.1     51%    135.8     13.2    927%
period
EPS                0.81     0.53     50%     2.26     0.25    824%
Adjusted*         119.7    112.0      7%    357.5    351.4      2%
EBITDA
Adjusted*          71.7     66.5      8%    216.3    221.4     -2%
operating
income
Adjusted*          5.1%     4.9%       -     5.3%     5.5%       -
operating
margin
Adjusted*          48.7     39.1     25%    139.1     97.0     43%
income for the
period
Adjusted* EPS      0.81     0.65     24%     2.32     1.80     29%
Adjusted*          41.4     66.0    -37%    277.7    373.4    -26%
operating cash
flow

*) Adjusted for non-comparable items in Q3 2015 of MSEK -0.3 (-8.8) in EBITDA
and operating income and
   MSEK -0.2 (-7.1) in income for the period, and in the first 9m 2015 of MSEK
-4.5 (-56.4) in EBITDA and
   operating income and MSEK -3.5 (-83.8) in income for the period. See page 3.


CEO Statement

Trends in sales and income for the Group were positive in the quarter. The
adjusted operating margin improved from the previous year. I am pleased to see
that our efforts in product development and to increase efficiency in production
are paying off and contributing to income.

Net sales in Sweden showed strong growth driven by continued good market growth
and successful product launches. We had a strong performance in chilled
products, particularly within the barbeque segment, which is an important
category during the summer months. The adjusted operating income and margin for
the Swedish operation improved.

Net sales in Denmark were slightly down in local currency due to continued price
pressure both in the local market and on exports. We expect that the pressure on
prices will continue. The adjusted operating income improved, however, with a
higher margin thanks to continued efficiency improvements in the supply chain.

It was also encouraging to see net sales in Norway increasing gradually during
the quarter after the start of deliveries to Coop Norway in August under the new
supply agreement. The new agreement also includes the stores acquired from ICA
Norway, but the number of stores is today significantly lower than when they
were part of the ICA Group. The Norwegian retail market for chilled chicken
products showed some growth in the quarter year over year, after three
consecutive quarters of decline. But we believe it will take some time before
the market is fully recovered.

The integration of the newly acquired Finnish operation is proceeding according
to plan. This operation reported MSEK -8.9 in operating income for the quarter.
The factory is running at approximately 15 percent of total capacity and it will
take time to reach profitability. Finland is an attractive market long-term with
good opportunities for growth. The main focus is to increase volumes and new
farming capacity will therefore be added during next year.

We will continue to strengthen cooperation between our operations in the
different countries to further increase internal efficiency and to develop new
and innovative product concepts.

Leif Bergvall Hansen
Managing Director and CEO


Further information

For further information, please contact:
Leif Bergvall Hansen, CEO, Tel: +45 22 10 05 44
Tobias Wastensson, Head of Group Finance, Tel: +46 10 456 14 86
Patrik Linzenbold, IR, Tel: +46 708 25 26 30

Financial calendar
Fourth quarter and year-end report 2015: 26 February 2016
Interim report for the first quarter 2016: 10 May 2016

This interim report comprises information which Scandi Standard is required to
disclose under the Securities Markets Act and/or the Financial Instruments
Trading Act. It was released for publication at 07:30 CET on 26 November 2015.