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INTERIM REPORT 1 JANUARY - 30 SEPTEMBER 2021 THIRD QUARTER ● ● ● ● HEXAGON ● Net sales increased by 15 per cent to 1,077.2 MEUR ( 939.9 ) . Using fixed exchange rates and a comparable group structure ( organic growth ) , net sales increased by 10 per cent Adjusted operating earnings ( EBIT1 ) increased by 19 per cent to 296.8 MEUR ( 250.1 ) Earnings before taxes , excluding adjustments , amounted to 290.5 MEUR ( 242.2 ) Net earnings , excluding adjustments , amounted to 238.3 MEUR ( 198.6 ) Earnings per share , excluding adjustments , amounted to 0.09 EUR ( 0.08 ) Operating cash flow decreased to 179.6 MEUR ( 191.2 ) MEUR Net sales Adjusted gross earnings² ) Adjusted gross margin , % ² ) Adjusted operating earnings ( EBITDA ) ² ) Adjusted EBITDA margin , % ² ) Adjusted operating earnings ( EBIT1 ) ² ) Adjusted operating margin , % Earnings before taxes , excluding adjustments Adjustments ( before taxes ) ³ ) Earnings before taxes Net earnings Net earnings , excl . adjustments Earnings per share , EUR Earnings per share , excl . adjustments , EUR Q3 2021 1,077.2 692.9 64.3 413.4 38.4 296.8 27.6 290.5 -9.4 281.1 230.6 238.3 0.09 Q3 2020 A % 939.9 10 1 ) 599.7 16 63.8 0.5 347.2 36.9 250.1 26.6 242.2 ܘ ܗ ܩ ܗ ܓ 0.09 0.08 1 ) Adjusted to fixed exchange rates and a comparable group structure , i.e. organic growth . 2 ) For definition , see page 18 . 3 ) Adjustments in 2021 relate to share programmes ( LTIP ) . 1.5 19 20 n.a. 242.2 16 198.6 16 20 198.6 0.08 13 13 9M 2021 3,130.7 2,015.8 64.4 1,182.9 37.8 855.8 27.3 835.1 -19.1 816.0 669.2 684.9 0.26 0.26 9M 2020 A % 2,726.4 14 1 ) 1,735.4 16 0.7 19 36.6 1.2 669.0 28 24.5 2.8 63.7 997.0 648.9 29 -135.0 n.a. 513.9 59 422.2 59 532.1 29 0.16 63 0.21 24 10 % ORGANIC GROWTH 28 % ADJUSTED OPERATING MARGIN 79 % CASH CONVERSION COMMENTS FROM THE CEO " Once again , we delivered a record quarter . Recorded sales grew by 15 per cent , 10 per cent organic , and the operating margin ( EBIT1 ) improved by 1 percentage point to 27.6 per cent . The overall demand situation is strong for most of Hexagon's businesses and regions , but supply of some components is strained . With unrestricted supply we would have increased sales by another 2 per cent with even stronger incremental margins . No orders were lost , resulting in a record order backlog . We believe that we will see a similar situation in the fourth quarter , with a further increase in backlog , but envision a gradual improvement in components supply in the first half of 2022 . China recorded 10 per cent organic growth despite last year's strong comparison . Geosystems recorded 16 per cent organic growth , primarily driven by continued high activities in the infrastructure , construction and mining markets . Manufacturing Intelligence recorded 13 per cent organic growth , supported by a broad - based recovery across most industries and regions . As expected , the PPM division started to recover , recording 2 per cent organic growth , led by strong demand in the asset information management and AEC portfolios . Autonomy & Positioning recorded 8 per cent organic growth fuelled by continued strength in precision agriculture . Safety & Infrastructure recorded -6 per cent organic decline , hampered by weaker US defence orders . We hosted a Capital Markets Day in September , where we presented how our digital reality solutions and autonomous technologies will continue to fuel growth and sustainable outcomes in the years ahead . We also launched a new five - year financial plan consisting of an annual average sales growth of 8-12 per cent whilst reaching an operating margin ( EBIT1 ) of over 30 per cent by 2026. " - Ola Rollén , President and CEO , Hexagon AB HEXAGON INTERIM REPORT 1 JANUARY - 30 SEPTEMBER 2021 1