Nov 20, 2012. /Lesprom Network/. In 3Q DLH experienced a continuation of the difficult European market conditions, which began last autumn. A significant slowdown in the group’s European main markets means that turnover in the first nine months of the year of DKK 1.9 billion ($321 million) is 7% below that for the same period last year, as the company said in the press release received by Lesprom Network. In the 3Q, the group achieved a turnover of DKK 586 million ($100 million), which is 4% below the same period last year. Global sales saw growth of 30% whereas the European business saw a fall in turnover of 18% as a result of difficult market conditions. EBIT (Earnings Before Interest and Tax) came in at DKK 3 million ($514,412) in the first nine months of the year against DKK 44 million ($7.5 million) for the same period last year. The group’s EBIT margin for the period totals 0.2% against 2.2% last year. The negative trend in EBIT can predominantly be attributed to the fall in turnover and the lower gross margin. EBITDA in the first nine months was DKK 18 million ($3 million) against DKK 61 million ($10.5 million) last year. DLH maintains its expectations for 2012 for turnover of approximately DKK 2.5 billion ($429 million). Continuous mix changes between the business areas are expected, which means that the Global Sales business that traditionally operates with a lower gross margin, will account for a larger percentage than is currently the case. Cost reductions will compensate for this and therefore DLH expects, also in 2013, to operate with an EBIT margin of around 0%. DLH will use 2013 to secure an even stronger balance sheet with further debt reduction and a competitive organisation. Since 30 June 2012, DLH has reduced its net interest bearing debt by DKK 182 million ($31.2 million), from DKK 527 million ($90 million) to DKK 345 million ($59 million). Approximately half of the reduction can be attributed to a decrease in working capital while the divestment of assets has contributed approximately DKK 90 million ($15.4 million). DLH continues its efforts to reduce its net interest bearing debt through the divestment of discontinued operations and the reduction of working capital. “We continue to experience particularly difficult market conditions in Europe. We have, however, succeeded in continuing our growth in overseas markets and, during the year, we reduced our debt significantly. We maintain our expectations for the full year 2012,” says CEO of DLH, Kent Arentoft. DLH is a Danish owned group quoted on the Copenhagen Stock Exchange and since 1908 trading in timber and wood products all over the world.