Interim report January - June 2009

Interim report January - June 2009

Magnus Yngen, President and CEO:
“Market demand in the second quarter was substantially lower than in the
previous year in all product areas. Group sales declined by 7%, adjusted for
changes in exchange rates and acquisitions. Despite the difficult environment,
sales for Consumer Products in North America increased, for the third
consecutive quarter. Sales in Europe to the mass-market channels also rose from
the previous year, and Gardena-branded irrigation products had a strong quarter.
Overall, we strengthened our market position.
Operating income for the quarter declined by 16%, but margin remained at a high
level. The decline in operating income refers to lower volumes, particularly for
Professional Products, as well as a less favorable product/country mix. Pricing
in the quarter remained stable in both Europe and North America. Lower costs for
materials also contributed positively to income. We are now seeing that
implemented cost and capacity reductions are gradually starting to take effect. 
Cash flow showed a continued positive trend, and our efforts to reduce
inventories and accounts receivables have paid-off.”

• Net sales for the first half rose by 11% to SEK 22,633m (20,386). Adjusted for
acquisitions and changes in exchange rates, net sales declined by 9%. Operating
income decreased by 25% to SEK 1,902m (2,523). Income for the period was SEK
1,225m (1,563), corresponding to SEK 2.33 (3.42) per share.

• Net sales for the second quarter increased by 11% to SEK 11,481m (10,343).
Adjusted for acquisitions and changes in exchange rates, net sales decreased by
7%. Operating income declined by 16% to SEK 1,116m (1,321), corresponding to a
margin of 9.7% (12.8).
 
• The decline in operating income refers mainly to Professional Products.

• Consumer Products in North America reported higher sales and operating income.

• Favorable trend in sales for mass-market consumer products outside North
America, including Gardena-branded irrigation products.

• Continued positive trend in cash flow.

PRESS AND TELEPHONE CONFERENCE
A combined press and telephone conference will be held at 14.00 CET on 17 July
2009 at Scandic Anglais, Humlegårdsgatan 23, Stockholm. In order to participate
in the telephone conference, please call +46 8 5052 0110  or +44 20 7162 0077. A
replay of the telephone conference will be available at www.husqvarna.com/ir

CONTACTS
Åsa Stenqvist, Head of Corporate Communications and Investor Relations, at +46 8
738 64 94.
Bernt Ingman, Chief Financial Officer, at +46 36 14 65 05.
Husqvarna Press Hotline, at +46 8 738 70 80.

This interim report comprises information which Husqvarna is required to
disclose under the Securities Markets Act and/or the Financial Instruments
Trading Act. It was released for publication at 08.00 CET on 17 July 2009.