July 17 (Reuters) - Sweden's Assa Abloy, the

world's biggest lockmaker, said on Wednesday its organic sales

fell 1% in the second quarter as low construction activity in

China continued to weigh on its Asia Pacific business.

The company, whose products range from security doors to

electronic and mechanical locks, said the Asia Pacific

division's sales fell 5% organically mainly due to the weakness

in China, while its Global Technologies segment saw a 7% drop

from a strong year-ago period.

"Both Global Technologies (down versus the still tough comp)

and Asia-Pacific (very weak, China-driven) missed consensus

organic sales by >200 bp," J.P.Morgan said in a note to clients.

Assa's shares fell as much as 2.7% in early trading in

Stockholm, but reversed course to trade 0.7% higher by 0757 GMT.

On a reported basis, the group's sales grew by 10% driven by

its recent acquisitions. It made a record 24 acquisitions last

year and further 11 in the first six months of 2024.

"The continued solid non-residential development in the US

contributed to good organic sales growth of 3% in the Americas

division while EMEIA's (Europe, Middle East, India and Africa)

organic sales grew 1%," CEO Nico Delvaux said in a statement.

The rival to U.S.-based Allegion ( ALLE ) and Stanley Black

& Decker ( SWK ) posted an 11% jump in quarterly operating

profit, excluding items affecting comparability, to 6.09 billion

Swedish crowns ($575.23 million), aided by cost actions, strong

price realisation and lower direct material costs. That was in

line with market expectations, according to an LSEG poll.

($1 = 10.5871 Swedish crowns)