Electrolux to cut costs as inflation hits demand

Sweden’s Electrolux plans to start a cost-cutting programme in response to softer than expected demand and weak earnings against a backdrop of high inflation, it said on Monday.

Europe’s biggest home appliances maker said the cost reductions would primarily take place in Europe and North America, resulting in a material positive earnings contribution in 2023.

The company also said the board did not intend to initiate further share buybacks before the annual general meeting in 2023, citing the current market environment.