Home appliance maker Electrolux has seen a dramatic profit loss for the first quarter of 2008 having seen demand for its products drop in the current economic climate.
The company reported a loss of 106 million Swedish crowns (£8.9 million, $17.7 million), resulting in a profit of around 100 million Swedish crowns less than analysts had predicted.
“Demand for our products has been lower than we had expected and the market downturn in Europe and North America affected our results negatively,” said Hans Stralberg, head of Electrolux. “As everyone knows, there is a great uncertainty about future market developments.”
Electrolux has now warned that its annual profits are also likely to be hit by the downturn in consumer demand.