COPENHAGEN (Reuters) - Swedish metal-cutting tools and mining gear maker Sandvik reported first-quarter operating profit slightly below analyst expectations on Friday and said order intake at fixed exchange rates grew 6% on the back of mostly strong demand.
Adjusted operating profit (EBIT) rose to 5.64 billion Swedish crowns ($546.64 million) in the quarter from a year earlier 4.73 billion, while analysts on average had expected 5.75 billion crowns, according to a Refinitiv poll.
Order bookings, excluding Russia, grew to 34.36 billion crowns at fixed exchange rates from a year earlier 30.47 billion.
Sandvik Manufacturing and Machining Solutions, one of the group's main business areas, experienced solid development in all customer segments, driven by good activity in Europe, CEO Stefan Widing said in a statement.
"The group experienced strong momentum in automation and battery electric vehicle orders," he said. "We delivered strong growth, and all business areas are now compensating fully for cost inflation."
Sandvik, among the first major Nordic groups to announce its earnings, is widely regarded as an industry bellwether for its broad customer base and relatively short lead times from order booking to delivery of its cutting tools.
(This story has been refiled to add missing word in the headline)