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Flotek Announces Increased 2024 Guidance, Improved Revenue, and Continued Profit Growth in Connection with Third Quarter 2024 Results

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HOUSTON, Nov. 4, 2024 /PRNewswire/ — Flotek Industries, Inc. (“Flotek” or the “Company”) (NYSE: FTK) today announced operational and financial results for the quarter ended September 30, 2024, highlighted by significant improvement in profitability metrics as compared to the third quarter of 2023. Due to the strong results achieved through the first nine months of the year, the Company increased its 2024 profit guidance.

Financial Summary (in thousands, except ‘per share’ amounts)

Three Months Ended September 30,

Nine Months Ended September 30,

2024

2023

2024

2023

Total Revenues

$            49,742

$            47,268

$          136,267

$          145,870

Gross Profit

$              9,119

$              9,047

$            27,108

$            14,833

Adjusted Gross Profit (1)

$            10,695

$            10,264

$            31,421

$            18,005

Net Income

$              2,532

$              1,287

$              6,068

$            22,609

Diluted Income (Loss) Per Share

$                0.08

$                0.04

$                0.20

$               (0.18)

Adjusted EBITDA (1)

$              4,840

$              3,392

$            13,303

$            (2,464)

Third Quarter 2024 Highlights

Generated total revenue of $49.7 million, a 5% increase from the third quarter of 2023, highlighted by a 58% year-over-year increase in Data Analytics revenues.Reduced SG&A by 12% from the third quarter of 2023 and by 9% sequentially from the second quarter of 2024.Reported net income of $2.5 million and adjusted EBITDA(1) of $4.8 million, representing a year-over-year increase of 97% and 43%, respectively.Reduced borrowings outstanding under the Asset Based Loan by 81% (or $6.1 million) compared to year-end 2023.

2024 Guidance: Stronger Profit Expectations

Based upon the Company’s strong year-to-date operational performance and the outlook for the fourth quarter, the Company is increasing its 2024 guidance. Flotek now expects adjusted EBITDA(2) to be in the range of $16.5 million to $18.5 million, up from the previous range of $14 million to $18 million. This represents a 9% increase to the midpoint of the range and a 35% increase when compared to the midpoint of the Company’s original 2024 guidance of $10 million to $16 million. In addition, the Company now expects its adjusted gross profit margin(2) for 2024 to be in the range of 20% to 22%, up from the original guidance of 18% to 22%.        

Management Commentary

Chief Executive Officer Dr. Ryan Ezell commented, “We are pleased to report another quarter of outstanding safety, service quality and financial results. We continue to gain momentum and market share with the execution of our strategy, despite a challenging upstream market. Revenue from our Data Analytics segment grew 30% in the third quarter, a continuation of the strong growth of 22% in the second quarter. Our new upstream Data Analytics’ applications, including flare monitoring, were a catalyst for revenue growth this quarter.  Following the EPA’s approval of our JP3 analyzer in mid-July, we recognized our first revenues from flare monitoring in August and September, which comprised 25% of total quarterly segment revenues. We expect to see further growth in flare monitoring revenues during the fourth quarter. Revenue from our chemistry segment increased 7% in the third quarter, a continuation of the growth in the prior quarter. Our persistent revenue growth in our chemistry segment, despite a declining frac fleet market, is clear evidence that we are gaining market share through our differentiated chemistry technology solutions. 

In terms of profitability, adjusted EBITDA during the third quarter improved for the eighth consecutive quarter and, as a result, we are increasing our adjusted EBITDA guidance for the second time this year.  Over the first nine months of 2024, we reported adjusted EBITDA of $13.3 million, as compared to ($2.5) million during the nine months ended September 30, 2023. This $15.8 million improvement reflects the continued positive trajectory of the Company and the hard work and dedication  of the Flotek employees.”   

Third Quarter 2024 Financial Results

Revenue: Flotek reported total revenues of $49.7 million for the third quarter of 2024, which was an increase of $2.5 million, or 5% compared to the third quarter of 2023. Third quarter revenue increased 8% sequentially driven by a 7% sequential increase in Chemistry revenues and a 30% sequential increase in Data Analytics’ revenue. Data Analytics segment revenue totaled $2.7 million during the third quarter of 2024, of which 25% was attributed to Flotek’s new proprietary flare measurement application.Gross Profit: The Company generated gross profit of $9.1 million with a margin of 18% during the third quarter 2024, as compared to gross profit of $9.0 million with a margin of 19% for the third quarter 2023. Gross profit margin during the third quarter of 2024 was lower than the 2023 period as a result of a shift in chemistry product mix as well as lower revenue during the 2024 period related to the minimum chemistry purchase requirements contained in the Company’s long-term supply agreement. Partially offsetting these items was an increase in gross profit from the Company’s Data Analytics segment, which contributed $1.2 million to third quarter 2024 gross profit, a 46% increase from the year ago quarter.Adjusted Gross Profit (Non-GAAP)(1): Flotek generated adjusted gross profit of $10.7 million during the third quarter 2024 compared to adjusted gross profit of $10.3 million for the third quarter 2023. Adjusted gross profit excludes non-cash items, primarily amortization of contract assets.Selling, General and Administrative (“SG&A”) Expense: SG&A expense totaled $5.7 million for the third quarter 2024 compared to $6.5 million for the third quarter 2023. The improvement was the result of lower personnel costs and professional fee expenses during the 2024 period.Net Income and EPS: Flotek reported net income of $2.5 million, or $0.08 per diluted share, for the third quarter 2024. This compares to a net income of $1.3 million, or $0.04 per diluted share, for the third quarter 2023.Adjusted EBITDA (Non-GAAP)(1): Adjusted EBITDA was $4.8 million in the third quarter 2024 as compared to $3.4 million in the third quarter 2023. Third quarter 2024 adjusted EBITDA marked the eighth consecutive quarter of improvement.

(1)

A non-GAAP financial measure. See the “Unaudited Reconciliation of Non-GAAP Items and Non-Cash Items Impacting Earnings” section in this release for more information, including reconciliations to the most comparable GAAP measures.

(2)

A non-GAAP financial measure. See the “Unaudited Reconciliation of Non-GAAP Items and Non-Cash Items Impacting Earnings” section in this release for more information, including reconciliations to the most comparable GAAP measures. We are unable to reconcile this forward-looking non-GAAP financial measure to the most directly comparable GAAP financial measure without unreasonable efforts, as we are unable to predict with a reasonable degree of certainty the impact of certain items that would be expected to impact the GAAP financial measure, including, among other items, the future amortization of our contract assets, certain stock-based compensation costs and the impact of the revaluation of certain liabilities, which is based upon our future stock price. These items do not impact the non-GAAP financial measure.

 

Conference Call Details

Flotek will host a conference call on November 5, 2024, at 9:00 a.m. CT (10:00 a.m. ET) to discuss its third quarter 2024 results. Participants may access the call through Flotek’s website at www.flotekind.com under “News” within the Investor Relations section, by telephone toll free at 1-800-836-8184 (international toll: 1-646-357-8785), or by using the following link to access the audience view of the webcast at https://app.webinar.net/7baorgbxmJ5 approximately five minutes prior to the start of the call. Following the conclusion of the conference call, a recording of the call will be available on the Company’s website.

An updated corporate presentation that will be referenced on the call will be posted to the Investor Relations section of Flotek’s website at www.flotekind.com prior to the start of the earnings conference call.

About Flotek Industries, Inc.

Flotek Industries, Inc. is a leading chemistry and data technology company focused on servicing the Energy industry. The Company’s top tier technologies leverage near real-time data to deliver innovative solutions to maximize customer returns. Flotek has an intellectual property portfolio of over 170 patents, 20+ years of field and laboratory data, and a global presence in more than 59 countries.

Flotek has established collaborative partnerships focused on sustainable and optimized chemistry and data solutions, aiming to reduce the environmental impact of energy on land, air, water and people.

Flotek is based in Houston, Texas and its common shares are traded on the New York Stock Exchange under the ticker symbol “FTK.” For additional information, please visit www.flotekind.com.

Forward-Looking Statements

Certain statements set forth in this press release constitute forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934) regarding Flotek Industries, Inc.’s business, financial condition, results of operations and prospects. Words such as will, continue, expects, anticipates, intends, plans, believes, seeks, estimates and similar expressions or variations of such words are intended to identify forward-looking statements, but are not the exclusive means of identifying forward-looking statements in this press release. Although forward-looking statements in this press release reflect the good faith judgment of management, such statements can only be based on facts and factors currently known to management. Consequently, forward-looking statements are inherently subject to risks and uncertainties, and actual results and outcomes may differ materially from the results and outcomes discussed in the forward-looking statements. Further information about the risks and uncertainties that may impact the Company are set forth in the Company’s most recent filing with the Securities and Exchange Commission on Form 10-K (including, without limitation, in the “Risk Factors” section thereof), and in the Company’s other SEC filings and publicly available documents. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to revise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this press release.

FLOTEK INDUSTRIES, INC.

 UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

September 30, 2024

December 31, 2023

ASSETS

Current assets:

Cash and cash equivalents

$                          4,997

$                          5,851

Restricted cash

101

102

Accounts receivable, net of allowance for credit losses of $388 and $745 at
September 30, 2024 and December 31, 2023, respectively

12,220

13,687

Accounts receivable, related party, net of allowance for credit losses of $0 at
each of September 30, 2024 and December 31, 2023, respectively

47,064

34,569

Inventories, net

12,744

12,838

Other current assets

2,687

3,564

Current contract asset

6,480

5,836

Total current assets

86,293

76,447

Long-term contract asset

63,835

68,820

Property and equipment, net

4,958

5,129

Operating lease right-of-use assets

3,759

5,030

Deferred tax assets, net

66

300

Other long-term assets

1,738

1,787

TOTAL ASSETS

$                      160,649

$                      157,513

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

$                        37,395

$                        31,705

Accrued liabilities

4,115

5,890

Income taxes payable

54

45

Current portion of operating lease liabilities

1,642

2,449

Current portion of finance lease liabilities

—

22

Asset-based loan

1,426

7,492

Current portion of long-term debt

104

179

Total current liabilities

44,736

47,782

Deferred revenue, long-term

35

35

Long-term operating lease liabilities

6,871

7,676

Long-term debt

—

60

TOTAL LIABILITIES

51,642

55,553

Commitments and contingencies

Stockholders’ equity:

Preferred stock, $0.0001 par value, 100,000 shares authorized; no shares issued and outstanding

—

—

Common stock, $0.0001 par value, 240,000,000 shares authorized; 30,891,597 shares issued and
29,789,476 shares outstanding at September 30, 2024; 30,772,837 shares issued and 29,664,130
shares outstanding at December 31, 2023

3

3

Additional paid-in capital

464,143

463,140

Accumulated other comprehensive income

133

127

Accumulated deficit

(320,738)

(326,806)

Treasury stock, at cost; 1,102,121 and 1,108,707 shares at September 30, 2024
and December 31, 2023, respectively

(34,534)

(34,504)

Total stockholders’ equity

109,007

101,960

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

$                      160,649

$                      157,513

 

FLOTEK INDUSTRIES, INC.

Unaudited Condensed Consolidated Statements of Operations

(in thousands, except per share data)

Three Months Ended
September 30,

Nine Months Ended
September 30,

2024

2023

2024

2023

Revenue:

Revenue from external customers

$              16,565

$            17,806

$            47,935

$          47,278

Revenue from related party

33,177

29,462

88,332

98,592

Total revenues

49,742

47,268

136,267

145,870

Cost of goods sold

40,623

38,221

109,159

131,037

Gross profit

9,119

9,047

27,108

14,833

Operating costs and expenses:

Selling, general, and administrative

5,714

6,526

18,056

21,303

Depreciation

220

181

662

530

Research and development

462

757

1,349

2,231

Severance costs

—

2

23

(28)

Gain on sale of property and equipment

—

(38)

(34)

(38)

Gain in fair value of Contract Consideration Convertible Notes Payable

—

—

—

(29,969)

Total operating costs and expenses

6,396

7,428

20,056

(5,971)

Income from operations

2,723

1,619

7,052

20,804

Other income (expense):

Paycheck protection plan loan forgiveness

—

—

—

4,522

Interest expense

(256)

(160)

(842)

(2,537)

Other income, net

102

(91)

151

(82)

Total other income (expense)

(154)

(251)

(691)

1,903

Income before income taxes

2,569

1,368

6,361

22,707

Income tax expense

(37)

(81)

(293)

(98)

Net income

$                 2,532

$               1,287

$              6,068

$          22,609

Income (loss) per common share:

Basic

$                   0.09

$                 0.04

$                0.21

$               0.97

Diluted

$                   0.08

$                 0.04

$                0.20

$             (0.18)

Weighted average common shares:

Weighted average common shares used in
computing basic income (loss) per common share

29,613

29,358

29,498

23,291

Weighted average common shares used in
computing diluted income (loss) per common share

30,897

30,688

30,655

28,034

 

FLOTEK INDUSTRIES, INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

Nine Months Ended September 30,

2024

2023

Cash flows from operating activities:

Net income

$                    6,068

$                  22,609

Adjustments to reconcile net income to net cash provided by (used in) operating activities:

Change in fair value of contingent consideration

(46)

(384)

Change in fair value of Contract Consideration Convertible Notes Payable

—

(29,969)

Amortization of convertible note issuance costs

—

83

Payment-in-kind interest expense

—

2,284

Amortization of contract asset

4,341

3,665

Depreciation

662

530

Amortization of asset-based loan origination costs

243

36

Provision for credit losses, net of recoveries

121

97

Provision for excess and obsolete inventory

626

626

Gain on sale of property and equipment

(34)

(38)

Non-cash lease expense

1,661

2,316

Stock compensation expense

915

(565)

Deferred income tax expense

233

50

Paycheck protection plan loan forgiveness

—

(4,522)

Changes in current assets and liabilities:

Accounts receivable

1,346

3,472

Accounts receivable, related party

(12,495)

(2,082)

Inventories

(532)

(776)

Other assets

849

(863)

Accounts payable

5,690

60

Accrued liabilities

(1,730)

(3,179)

Operating lease liabilities

(2,002)

(2,636)

Income taxes payable

9

(54)

Interest payable

—

(8)

Net cash provided by (used in) operating activities

5,925

(9,248)

 

FLOTEK INDUSTRIES, INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(continued)

Nine Months Ended September 30,

2024

2023

Cash flows from investing activities:

Capital expenditures

(491)

(593)

Proceeds from sale of assets

34

68

Net cash used in investing activities

(457)

(525)

Cash flows from financing activities:

Payment for forfeited stock options

—

(617)

Payments on long term debt

(135)

(104)

Proceeds from asset-based loan

122,600

27,750

Payments on asset-based loan

(128,666)

(24,380)

Payment of asset-based loan origination costs

(164)

(502)

Payments to tax authorities for shares withheld from employees

(30)

(246)

Proceeds from issuance of stock

88

48

Payments for finance leases

(22)

(24)

Net cash (used in) provided by financing activities

(6,329)

1,925

Effect of changes in exchange rates on cash and cash equivalents

6

13

Net change in cash and cash equivalents and restricted cash

(855)

(7,835)

Cash and cash equivalents at the beginning of period

5,851

12,290

Restricted cash at the beginning of period

102

100

Cash and cash equivalents and restricted cash at beginning of period

5,953

12,390

Cash and cash equivalents at end of period

4,997

4,453

Restricted cash at the end of period

101

102

Cash and cash equivalents and restricted cash at end of period

$                    5,098

$                    4,555

 

FLOTEK INDUSTRIES, INC.

Unaudited Reconciliation of Non-GAAP Items and Non-Cash Items Impacting Earnings

(in thousands)

Three Months Ended
September 30,

Nine Months Ended

September 30,

2024

2023

2024

2023

Gross profit

$               9,119

$               9,047

$             27,108

$             14,833

Stock compensation expense

3

2

9

(135)

Severance and retirement

—

—

9

26

Contingent liability revaluation

(19)

(61)

(46)

(384)

Amortization of contract asset

1,592

1,276

4,341

3,665

Adjusted Gross profit (Non-GAAP) (1)

$             10,695

$             10,264

$             31,421

$             18,005

Net income

$               2,532

$               1,287

$               6,068

$             22,609

Interest expense

256

160

842

2,537

Income tax expense

37

81

293

98

Depreciation and amortization

220

181

662

530

EBITDA (Non-GAAP) (1)

$               3,045

$               1,709

$               7,865

$             25,774

Stock compensation expense

272

268

915

(574)

Severance

—

2

32

(28)

Contingent liability revaluation

(19)

(61)

(46)

(384)

Gain on disposal of assets

—

(38)

(34)

(38)

PPP loan forgiveness

—

—

—

(4,522)

Contract Consideration Convertible Notes Payable revaluation adjustment

—

—

—

(29,969)

Amortization of contract asset

1,592

1,276

4,341

3,665

Non-Recurring professional fees

(50)

236

230

3,612

Adjusted EBITDA (Non-GAAP) (1)

$               4,840

$               3,392

$             13,303

$             (2,464)

(1)

Management believes that adjusted gross profit, EBITDA and adjusted EBITDA for the three and nine months ended September 30, 2024 and 2023, are useful to investors to assess and understand operating performance, especially when comparing those results with previous and subsequent periods.  Management views the income and expenses noted above to be outside of the Company’s normal operating results.  Management analyzes operating results without the impact of the above items as an indicator of performance, to identify underlying trends in the business and cash flow from continuing operations, and to establish financial and operational goals, excluding certain non-cash or non-recurring items.

 

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SOURCE Flotek Industries, Inc.

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Volvo Cars Q3 2026: taking decisive action to navigate a very tough environment

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GOTHENBURG, Sweden, Oct. 23, 2026 /PRNewswire/ — Volvo Cars today reports an operating income, excluding joint ventures & associates and items affecting comparability, of SEK -3.7 billion and a corresponding EBIT margin of -5.6 per cent for the third quarter of 2026. The result reflects a further deteriorating external environment, led by market developments in China and the US.

Q3 revenue was SEK 66.9 bn (SEK 86.4 bn in Q3 2025)Q3 operating income was SEK -5.6 bn (SEK 6.4 bn in Q3 2025)Q3 EBIT (excl. share of income in JVs & associates and IAC) was SEK -3.7 bn (SEK 5.8 bn in Q3 2025)Q3 EBIT margin was -8.4 per cent (7.4 per cent in Q3 2025)Q3 EBIT margin (excl. share of income in JVs & associates and IAC) of -5.6 per cent (6.7 per cent in Q3 2025)Q3 basic earnings per share were SEK -1.63 (SEK 1.75 in Q3 2025)Q3 fully electric car sales share at 32 per cent (22 per cent in Q3 2025)Q3 electrified car sales share at 53 per cent (46 per cent in Q3 2025)Q3 free cash flow of SEK -8.9 billion (SEK -4.3 billion in Q3 2025)

Volvo Cars today reports an operating income, excluding joint ventures & associates and items affecting comparability, of SEK -3.7 billion and a corresponding EBIT margin of -5.6 per cent for the third quarter of 2026. The result reflects a further deteriorating external environment, led by market developments in China and the US.

Volvo Cars remains a leader in the premium fully electric (BEV) segment, underpinned by a resilient performance in Europe where it had a BEV sales share of 45 per cent in Q3. But the situation in China and the US was considerably tougher, which also negatively affected free cash flow.

In China, Volvo Cars and other legacy premium brands faced hypercompetition from new Chinese alternatives, as well as severe pricing pressure. As a result, Volvo Cars’ revenues in China fell by almost 50 per cent year-on-year. In the US, Volvo Cars saw continued negative effects from tariffs and the removal of consumer incentives for electrified cars, which pressured margins.

The company’s Q3 result was also affected by other external developments: a negative revaluation of SEK 1.1 billion in CAFE credits due to legislation changes in the US, negative raw material developments, and SEK -0.9 billion due to the recognition of Polestar’s losses in Q2 2026.

In response to the result, Volvo Cars aims to reduce an additional SEK 5 billion in indirect spend and variable costs, on top of earlier cost programmes it successfully completed. These actions will lead to a structural reduction of approximately 2,500 jobs globally, of which 2,000 are based in Sweden, by ending consultant contracts, through natural attrition and by targeted exit packages to employees.

Full financial effects of these measures will be realised by the end of 2027, by which time the company’s overall indirect spend will be almost 25 per cent lower versus FY 2024.

The company is also working at speed on its recently announced, largest-ever product push. This consists of 13 new cars between now and the end of 2030, with a tailored portfolio of new cars for Europe, the US and China and more localised production. Already in 2027, Volvo Cars will reveal three of these new cars: one new car for Europe and two China-specific models.

More details about Volvo Cars’ performance can be found in the Q3 2026 financial report. 

“We continue to operate in a very tough environment with strong external challenges: de-globalisation, hypercompetition and climate change. We are convinced that we have the right long-term strategy addressing these challenges,” says Håkan Samuelsson, president and CEO. “However, in the short term, with severely challenged volumes, we need to reinforce our turnaround plan with additional decisive actions, lowering our break-even point and improving cash flows to make us more resilient.”

A reinforced turnaround plan with the right regional products

Reflecting its strong BEV position in Europe, the EX60 has been a big success with over 50,000 European orders and it will be one of Volvo Cars’ most profitable models. Due to new industrial technology such as cell-to-body it is taking longer than planned to ramp up production, but Volvo Cars is steadily improving built volumes.

In 2027 Volvo Cars will introduce its next global BEV car, which targets a large, lower priced market segment in Europe, with the first customer deliveries starting after summer. This will further strengthen its BEV leadership and improve margins.

In the US, Volvo Cars has divided the market in four regions to enable faster decision-making and improve sales. It is fast-tracking the production start of the long-range plug-in hybrid versions of the XC90 and XC60, with European deliveries starting this year and the US shortly after. In Q1 2027, it will localise XC60 production in Charleston. By the end of the decade, it will localise a second, all-new car with multiple powertrain options.

In China, the next two years will remain tough, so Volvo Cars is taking further cost-efficiency actions to weather the storm. For example, it will combine its two offices in Shanghai by moving the sales office to the local HQ in Jiading.

Mid-next year Volvo Cars will reveal and start production of the first two of six new China-tailored cars, through closer cooperation with Geely. These cars will be developed with a Chinese tech stack and the latest ADAS technologies to make them fully competitive in China. 

Additional cost and cash actions

Volvo Cars will achieve the additional savings of SEK 5 billion by driving structural change, lowering corporate overheads and empowering its regions. It is adapting its blue-collar workforce to current volumes by leveraging existing flexibility and will continue to reduce R&D costs, as it has already established its tech foundation with SPA3 and HuginCore.

Volvo Cars will also develop a more efficient production structure by concentrating on five dedicated Volvo plants globally. For its Chengdu and Ghent plants the company is exploring the option of multi-brand assembly together with Geely.

In addition, the company will further lower its variable costs, for example by increasing its common supplier base with Geely Group and adopting more common hardware parts in its cars.

Finally, Volvo Cars will continue to prioritise cash. The company has passed its investment peak and has now returned to normal and affordable investment levels, corresponding to an approximately 30 per cent reduction compared to 2024. 

Note to editors

Volvo Cars will host a livestream on its Q3 2026 results for media, investors and analysts at 08:00 CET today. The presentation will be held in English and followed by a Q&A session.

Link for livestream

It will be possible to ask questions during the Q&A session following the main presentation. To participate, you can either use the chat function online to type your question, or you can call in. To call in, participants need to register via the link below and will then receive the dial-in details and individual PIN.

Link to register

This disclosure contains information that Volvo Car AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 23-10-2026 07:00 CET.

For further information please contact:
Volvo Cars Media Relations
+46 31-59 65 25
media@volvocars.com

Volvo Cars Investor Relations
+46 31-793 94 00
investors@volvocars.com

This information was brought to you by Cision http://news.cision.com

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SOURCE Volvo Car AB (publ)

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Artery AT32 AI Studio Empowers Edge Intelligence, Accelerating AI Application Deployment

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TAIPEI, Oct. 23, 2026 /PRNewswire/ — As artificial intelligence (AI) technology continues to advance rapidly, AI is expanding from cloud computing to edge devices, with applications such as intelligent sensing, voice interaction, and visual recognition increasingly being integrated into a wide range of end devices. 

Focusing on the development of edge intelligence, Artery continues to strengthen its AT32 ecosystem with AT32 AI Studio, a one-stop edge AI development platform designed to help developers efficiently build and deploy edge AI applications on AT32 MCUs, lower the barriers to AI development, and accelerate the transition from AI models to real-world products.

An Integrated Toolchain Streamlining the Entire Edge AI Development Process

AT32 AI Studio integrates key capabilities throughout the edge AI development process, including data processing, model training and optimization, simulation and validation, and code generation, into a unified development environment. This integration helps developers reduce tool switching and repetitive configuration, enabling more efficient integration of AI models into AT32 MCU applications.

With its graphical development workflow and automated code generation capabilities, developers can build AI applications more intuitively and quickly convert optimized models into embedded code compatible with the AT32 platform, further shortening the development cycle from algorithm validation to product implementation.

Optimized for Edge Computing, Enabling Lightweight AI Model Deployment

For resource-constrained embedded devices, model size, memory usage, computational requirements, and power consumption often directly determine whether AI applications can be successfully deployed.

AT32 AI Studio provides model optimization capabilities tailored to edge deployment requirements. Through techniques such as quantization and compression, the platform reduces model storage and computational resource requirements while maintaining accuracy and improving execution efficiency on AT32 MCUs. In addition, the platform includes lightweight neural network models designed for embedded applications, providing developers with an AI development foundation better suited to the resource constraints of MCUs. These capabilities enable AI algorithms to move beyond basic execution toward practical deployment and real-world applications.

Unlocking the Potential of AT32 Edge AI Across Diverse Applications

AT32 AI Studio has been successfully applied to various scenarios, including voice keyword recognition, Time-of-Flight (ToF)-based gesture recognition, and industrial anomaly detection, demonstrating its versatility. By leveraging AT32 AI Studio, developers can combine AI algorithms with the hardware capabilities of AT32 MCUs to enhance sensing and decision-making capabilities in end devices, expanding the potential of MCU-based applications in smart homes, industrial control, smart wearables, and human-machine interaction.

Focused on Practical Deployment, Bringing AI Development Closer to Real-World Products

For embedded AI applications, successful execution of a model on a PC does not necessarily guarantee stable operation on actual hardware. Model accuracy, resource utilization, and real-world performance must still be validated in the target hardware environment.

AT32 AI Studio incorporates simulation, evaluation, and practical deployment as essential stages of the development process, establishing a complete development–validation–deployment workflow. This approach helps developers thoroughly evaluate model performance on the AT32 platform during development, while automated code generation further facilitates integration with embedded software development.

Empowering the Ecosystem with Development Tools and Accelerating the Transition to Edge Intelligence

As applications evolve from traditional control to intelligent sensing, MCUs are becoming an important platform for extending AI capabilities to end devices. Artery Technology continues to enhance its software ecosystem and development toolchain centered on AT32 MCUs, reducing development complexity, improving model deployment efficiency, and providing developers with more comprehensive and efficient AI development support.

AT32 AI Studio represents an important part of Artery’s AI ecosystem development, bridging Physical AI and edge computing. Through an end-to-end development workflow, MCU-oriented model optimization, and automated deployment capabilities, Artery Technology will further unlock the potential of edge AI applications on the AT32 platform, helping developers integrate AI capabilities into end products more efficiently and bringing more intelligent applications from algorithms to reality.

Artery Technology specializes in the research, development, and innovation of 32-bit microcontrollers, providing high-performance, highly reliable products and solutions for a wide range of applications, including industrial control, consumer electronics, IoT, and smart applications. The company is committed to advancing intelligent technologies through continuous innovation.

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SOURCE Artery Technology

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Electrolux Group Interim report Q3 2026

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STOCKHOLM, Oct. 23, 2026 /PRNewswire/ — 

Highlights of the third quarter of 2026

Net sales increased to SEK 33,919m (32,318) with organic sales growth of 3.5% (4.6). All regions contributed to the growth, driven mainly by increased sales volumes in Europe, Middle East & Africa, Asia Pacific (EMEA APAC), and Latin America, as well as positive price development in North America.Operating income excluding non-recurring items (NRIs) was SEK 912m (890), corresponding to a margin of 2.7% (2.8). Cost efficiency contributed SEK 1.4bn to operating income, offsetting the significant negative impact from external factors, primarily from increased raw material and logistics cost as a consequence of the Middle East conflict, and U.S. tariff costs.Operating income of SEK 607m (890), corresponding to an operating margin of 1.8% (2.8), included negative NRIs of SEK -305m referring to previously announced restructuring costs related to the strategic partnership with Midea Group in North America, and global organization and footprint optimization costs. In the quarter, the factory in Rosario, Argentina, was closed.Income for the period was SEK -340m (192) and earnings per share were SEK -0.46 (0.39).Operating cash flow after investments was SEK 3,608m (624), mainly driven by improved working capital, and U.S. tariff refunds. Investments continued to be at a low level.Net debt/EBITDA improved to 2.2x (3.5).Manufacturing joint venture in Anderson, U.S., for Fabric Care, with Midea Group in North America, became operational on September 1.

Events after the close of the period:

Sales joint venture, U.S., and manufacturing joint venture in Juarez, Mexico, with Midea Group in North America related to Food Preservation products became operational on October 1.

President and CEO Yannick Fierling’s comment

Strong strategic execution and resilient performance

The third quarter marked strong progress in the transformation of Electrolux Group. We continued to execute the strategic priorities and delivered resilient performance in a challenging market environment. Competitive pressure remained high, alongside significant cost headwinds from external factors, including raw material, logistic costs and U.S. tariffs.

In North America, we reached an important milestone as our strategic partnership with Midea Group became operational. All three joint ventures have been established, including the sales joint venture for Food Preservation and the manufacturing joint ventures in Juarez, Mexico, and Anderson, U.S. The closure of the Anderson factory contributed positively to earnings in the quarter. The repurposing of the site for laundry production is progressing according to plan. The sale of the Juarez assets to Midea Group was completed on October 1.

Across the Group, we continued to progress on the global organization and manufacturing footprint optimization. We are creating a leaner organization, with fewer employees and a greater share of resources closer to consumers and markets. In the third quarter, we closed the factory in Rosario, Argentina. In Italy, discussions with trade unions and institutions regarding the optimization plan are progressing according to plan.

Navigating diverse regional challenges

In North America, inflation concerns continued to weigh on consumer confidence. Demand shifted towards lower price points as consumers are impacted by inflation and prioritize affordability. Higher tariffs added significant cost pressure, forcing the industry to further increase prices in the quarter. In Europe, consumer confidence deteriorated as geopolitical uncertainty increased and inflation weighed on purchasing power and demand. In Brazil, market demand remained positive, although growth slowed significantly as elevated interest rates continued to affect consumers’ financing and household spending.

Organic sales growth and strong cash generation

Organic sales grew in the quarter, with resilient performance across all regions. Strong commercial execution enabled us to increase our value market share for both the Electrolux and the AEG brands in Europe. In Latin America, growth was driven by higher volumes. In North America, organic sales growth mainly reflected the price increases implemented to mitigate higher tariff costs.

Operating income excluding non-recurring items was positively impacted by cost efficiency. This was offset by significant external headwinds, with the Middle East conflict impacting with full effect, leading to substantially higher raw material and logistics costs. U.S. tariff costs also had a negative impact in the quarter. We expect the pressure from external factors to remain in the coming quarters. Operating income benefited from a positive effect related to a recovery claim for overpaid tax, included in cost efficiency. This more than offset the negative effect from a customer-related provision in Brazil.

Operating cash flow after investment improved to SEK 3.6bn, supported by improved operating working capital and U.S. tariff refunds. The leverage ratio improved to 2.2x.

Full-year 2026 business and market outlook

We now expect volume, price and mix combined to have a neutral operating income contribution, compared with previously positive, reflecting the challenging market environment across regions. The expected contribution from cost efficiency is changed to about SEK 4.0bn, reflecting the strong traction in our cost efficiency initiatives. The business outlook for investments in consumer experience innovation and marketing, external factors and capital expenditure remains unchanged, as does our regional market outlook.

Building long-term competitiveness

We remain focused on what we can control to win in the marketplace: resetting North America operations, optimizing our organization and manufacturing footprint, and capturing growth opportunities.

We are reshaping Electrolux Group into a more agile, competitive and consumer-centric company. I am proud of the performance in the third quarter and the commitment and drive across Electrolux Group as we continue our transformation.

Webcast and telephone conference 09.00 CEST

A video webcast and simultaneous telephone conference is held at 09.00 CEST today, October 23. Yannick Fierling, President and CEO, and Therese Friberg, CFO, will comment on the report.

If you wish to participate via webcast, please use the link below. Via the webcast you are able to ask written questions.

https://edge.media-server.com/mmc/p/pb2vmwpk/

If you wish to participate via telephone conference, please register on the link below. After registration, you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the telephone conference.

https://register-conf.media-server.com/register/BI00fde9a3778945cbb8a8c2c1c778f2cb

The press release and presentation material is available for download on the Investor Relations section on electroluxgroup.com.

This is information that AB Electrolux is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, on 23-10-2026 07:00 CET.

For more information:

Ann-Sofi Jönsson, Head of Investor Relations & Sustainability Reporting, ann-sofi.jonsson@electrolux.com,  +46 73 025 1005 

Maria Åkerhielm, Investor Relations Manager, maria.akerhielm@electrolux.com, +46 70 796 3856

Henry Sjölin, Investor Relations Manager, henry.sjolin@electrolux.com, +46 76 863 51 85

Electrolux Press Hotline, +46 8 657 65 07. 

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/electrolux-group/r/electrolux-group-interim-report-q3-2026,c4414138

The following files are available for download:

https://mb.cision.com/Main/1853/4414138/4335007.pdf

Interim report – ENG – Q3 2026

 

View original content:https://www.prnewswire.com/news-releases/electrolux-group-interim-report-q3-2026-302917815.html

SOURCE Electrolux Group

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