Newly compiled statistics from Statistics Sweden (SCB) indicate that the overall operating profit of the Swedish business sector witnessed growth in the first quarter of 2023.
The total operating profit before depreciation and amortization experienced a 6.1 percent increase during Q1 2023, compared to the same period the previous year. Operating income and operating costs, excluding personnel expenses, rose by 11.7 percent and 13.3 percent, respectively. Personnel costs also saw a notable increase of 7.9 percent.
However, the operating margin, which represents the proportion of revenue remaining after covering expenses such as depreciation, interest, taxes, and profit, declined during the first quarter when compared to the same period in the previous year.
Sebastian Rask, a statistician at SCB, explained, “Despite the decrease in the operating margin as a percentage of revenue, the operating profit in kronor has increased. This growth is primarily driven by higher revenue levels, but also by the relatively slower pace at which personnel costs have developed.”
Here is the overview of the business sector’s operating profit after result items:
Business Sector Operating Profit by Quarter Total Business Sector Quarter 1 2022 Quarter 2 2022 Quarter 3 2022 Quarter 4 2022 Quarter 1 2023 Operating Income, SEK billion 2,556 2,859 2,671 3,134 2,854 Annual Change, percent 11.7 Operating Costs, excl. depreciation, amortization, and personnel costs, SEK billion 1,864 2,066 1,967 2,320 2,112 Annual Change, percent 13.3 Personnel Costs, SEK billion 444 468 441 462 479 Annual Change, percent 7.9 Operating Profit, before depreciation and amortization, SEK billion 244 325 263 352 263 Annual Change, percent 6.1 Operating Margin, before depreciation and amortization 9.7 11.4 9.8 11.2 9.2
Note: The total business sector refers to SNI B05-S96, excluding K64-66, L68, O84-Q88. The operating margin before depreciation and amortization is calculated as the operating profit before depreciation and amortization as a percentage of operating income.
Please note that the statistics are still being developed and will only be published on the SCB website scb.se/NV0124 in 2023. The survey is expected to become official statistics starting in 2024.