Beijer Electronics Group Q2'19: Temporary profitability setback
Beijer Group’s sales in Q2 came in 3% below our estimate. Its earnings were negatively affected by higher costs related to Westermo's growth and capacity initiatives and Beijer Electronics phase-out of older products, which resulted in lower than expected EBIT. Although improving year-over-year (19%), Q2'19 was a temporary setback in Beijer Group’s profitability progression.