Kitron: Q3 2015 - Solid growth, improved profitability
(Thomson Reuters ONE) -
(2015-10-20) Kitron ASA today reported the sixth consecutive quarter of improved
profits, due to a combination of growing revenue and improved margins.
Kitron's revenue in the third quarter amounted to NOK 468 million, an increase
from 382 million in the third quarter last year, reflecting both underlying
growth and currency effects.
Operating profit (EBIT) was NOK 26.3 million, compared to 6.9 million last year.
The improved results are a consequence of increased revenue, helped by a
stronger demand for technical services.
Net profit after tax amounted to NOK 22.8 million, an improvement from 4.8
million. This corresponds to earnings per share of NOK 0.13, compared to NOK
0.03 last year. In addition to the underlying improvement in operating
profitability, currency effects on intra-group financial loans affected net
profit positively.
Peter Nilsson, Kitron's CEO, comments:
"Once again we are able to demonstrate that Kitron is on the right track. This
quarter we combined strong growth, improved profitability and important new
orders, particularly in the Defence and Aerospace sector. In the coming
quarters, we plan to build on the improvements in our underlying margins while
also aiming for top-line growth."
* Sixth consecutive quarter of improved profits
* Strong overall revenue growth
* Defence orders strengthens future position
* Increased operational cash flow
Sixth consecutive quarter of improved profits
Profitability expressed as EBIT as a percentage of revenue was 5.6 per cent for
the quarter, up from 1.8 per cent in the third quarter of 2014. The
substantially improved results are a consequence of increased revenue, improved
products mix and increased service sales, both from development and engineering.
In general, there is a stronger demand for technical services than last year.
Strong overall revenue growth
Kitron's revenue in the third quarter was 22 per cent higher than last year.
Adjusted for currency effects, growth was 14 per cent. Growth was particularly
strong in the Defence/Aerospace sector, where revenue increased 71 per cent.
Growth was also solid in Energy/Telecoms and Medical equipment, while
Offshore/Marine fell sharply, affected by the adjustment in the oil service
market.
Defence orders strengthens future position
The order backlog ended at NOK 916 million, an increase from 807 million a year
ago. Significant defence orders awarded in the quarter further underline
Kitron's position as a strong partner within the Defence/Aerospace sector. In
particular the expansion of the footprint in the F35 program secures this
position for the future.
Increased operational cash flow
Operational cash flow was NOK 32.7 million, an improvement from minus 9.7
million in the same quarter last year, primarily related to the significant
improvement in profit.
Outlook
For 2015, Kitron expects growth and a clear improvement in profitability. Growth
is driven by increased demand in the Defence sector for US and Norwegian
markets, as well as increases in Energy/Telecoms and Industry. Offshore/Marine
will have a reduction due to the oil service market in Norway.
Enclosed in PDF are the quarterly report and the presentation.
The interim report is presented today at 8:30 a.m. CEST at Kitron ASA's head
office, Olav Brunborgs vei 4, Billingstad.
The presentation will be given in English by CEO Peter Nilsson and CFO Cathrin
Nylander, and will be distributed through webcast at the same time at the
following link: http://webtv.hegnar.no/presentation.php?webcastId=25254495
For further information, please contact:
Peter Nilsson, CEO, Tel: +47 948 40 850 or e-mail: peter.nilsson(at)kitron.com
Cathrin Nylander, CFO, Tel: +47 900 43 284 or e-mail:
cathrin.nylander(at)kitron.com
Kitron is one of Scandinavia's leading electronics manufacturing services
companies for the Defence/Aerospace, Energy/Telecoms, Industry, Medical
equipment and Offshore/Marine sectors. The company is located in Norway, Sweden,
Lithuania, Germany, China and the United States. Kitron had revenues of about
NOK 1.75 billion in 2014 and has about 1 200 employees. www.kitron.com
This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act).
Kitron Q3 2015 Presentation:
http://hugin.info/197/R/1959941/714374.pdf
Kitron Q3 2015 Report:
http://hugin.info/197/R/1959941/714373.pdf
This announcement is distributed by GlobeNewswire on behalf of
GlobeNewswire clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Kitron ASA via GlobeNewswire
[HUG#1959941]
Unternehmensinformation / Kurzprofil:
Datum: 20.10.2015 - 08:01 Uhr
Sprache: Deutsch
News-ID 427999
Anzahl Zeichen: 5472
contact information:
Town:
Oslo
Kategorie:
Business News
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