Interim Report for Duni AB (publ) 1 January - 30 September 2009

Interim Report for Duni AB (publ) 1 January - 30 September 2009

Improved income and continued strong cash flow

1 January - 30 September 2009
- Net sales increased by 3.7% to SEK 3,063 m (2,954)
- Earnings per share for continuing operations amounted, after dilution, to SEK
4.36 (3.30)
- A strong cash flow has resulted in a reduction in the net debt from SEK 1,298
m to SEK 870 m over the last 12 months. 

1 July - 30 September 2009
- Net sales increased by 4.9% to SEK 1,021 m (973)
- Earnings per share for continuing operations amounted, after dilution, to SEK
2.12 (1.21)

Key financials
	9 months  9 months   3 months   3 months   12 months	12 months
         Jan-Sep	 Jan-Sep	   Jul-Sep    Jul-Sep    Jan-Dec     Oct-Sep
	2009	2008	2009	2008	2008	08/09
Net sales, SEK m	3 063	2 954	1 021	973	4 099	4 208
Operating income 1), SEK m	269	269	113	102	414	414
Operating margin 1), %	8.8%	9.1%	11.0%	10.5%	10.1%	9.8%
Income after financial items, SEK m	279	212	134	72	251	318
Net income 2), SEK m	205	155	100	53	191	241

1) Before an unrealized valuation effect of derivatives, due to the
non-application of hedge accounting, of SEK 48 m (-9) January - September, SEK
25 m (-18) July - September and before restructuring costs of SEK -2 m (0) 
January - September, SEK -1 m (0) July - September.
2) With respect to continuing operations.

CEO's comments
"The stabilization of the market situation which began during the second quarter
of the year has continued during the third quarter. The trend from the beginning
of the year with declining volumes has gradually leveled off and, during the
third quarter, involved a reduction of approximately 2-3% within the
Professional and Retail business areas compared to last year. In addition, sales
within the Tissue business area have recovered as a result of an improved order
in-take of hygiene products which could be discerned towards the end of the
second quarter. 

Duni's sales during the third quarter reached SEK 1,021 m, a 4.9% increase. At
fixed exchange rates, this corresponds more or less to unchanged sales. The
gross margin was further strengthened during the third quarter, reaching 28.1%.
This, in combination with improving volumes, primarily within the Tissue
business area, and good cost control, have led to a strong operating income of
SEK 113 m, as compared with SEK 102 m the preceding year. 

Duni's main markets continue to resist the weak economy well. On the other hand,
demand has been low during the quarter in Eastern Europe and, to some extent,
Southern Europe. The growth within the market segment for take-away packaging is
still positive. This year we have increased our efforts in offering branded
restaurant chains customized packaging solutions within the Professional
business area.

Operating margins in both the Professional and Retail business areas improved
during the quarter in comparison with last year. For the Tissue business area,
the increase in sales improved operating income, but the margin was lower than
the preceding year primarily due to less favorable product mix.

The strong cash flow has continued during the third quarter, which reflects
continued success with inventory reductions. Duni's net debt is now down to SEK
870 m. 

In terms of seasonality, we are now entering the strongest quarter. Even if the
economic situation has stabilized it is still on a relatively low level and we
estimate that recovery can take time. Moreover, it should be noted that the
prices for some of Duni's key input material have begun to rise. Prices are
nevertheless still lower than the same period last year," says Fredrik von
Oelreich, President and CEO, Duni. 
----

Fredrik von Oelreich, President and CEO, +46 40 10 62 00
Mats Lindroth, CFO, +46 40 10 62 00
Fredrik Wahrolén, Marketing and Communications Manager, +46 734 19 62 07


Duni is a leading supplier of attractive and convenient products for table
setting and takeaway. The Duni brand is sold in more than 40 markets and enjoys
a number one position in Central and Northern Europe. Duni has some 2,000
employees in 17 countries, headquarters in Malmö and production units in Sweden,
Germany and Poland. Duni is listed on NASDAQ OMX Nordic Stockholm under the
ticker name “DUNI”. ISIN-code is SE 0000616716.