Electrolux sticks to full-year forecast

21/05/2008
Electrolux has confirmed that it still expects to meet its full-year 2008 operating profits, towards the lower end of predictions.

The second biggest appliance maker in the world has said the uncertainty remains in the US market, but the firm is still on track for the forecast, reports Reuters.

A narrow loss was seen in the first quarter of this year, which the Swedish firm has blamed on weak demand in both the US and UK markets, as well as incurring costs in launching a new range of high-end products.

Hans Straberg, the chief executive of the firm, told the news organisation: "We are sticking to our outlook for the full year which we communicated in the first quarter [report]."

As Electrolux generates around a third of its revenue from the North American market it has been hit by a recent downturn in appliance sales lately.

The firm has lost 44 per cent of its value in the past year, blaming high costs for steel and manufacturing.

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