Nobina Interim Report 1 September-30 November 2016

STOCKHOLM, Sweden, Dec 20, 2016 /PRNewswire/ --

THE THIRD QUARTER 1 SEPTEMBER–30 NOVEMBER 2016

• Net sales of SEK 2,245 million (2,179), an increase of 3.0 per cent.

• Operating profit of SEK 168 million (161). 

• Profit after tax of SEK 102 million (100) and earnings per share of SEK 1.16 (1.14). 

• The cash flow from operations was SEK 398 million (319). 

• Cash flow for the period was SEK 154 million (117). 

THE NINE-MONTH PERIOD 1 MARCH–30 NOVEMBER 2016 

• Net sales of SEK 6,615 million (6,156), an increase of 7.5 per cent.

• Operating profit increased to SEK 431 million (200)1).

• Profit after tax of SEK 251 million (–4) and earnings per share of SEK 2.84 (–0.05)1). 

• The cash flow from operations was SEK 898 million (461)2).

• Cash flow for the period was SEK 13 million (–12) 2). Cash flow for the period included disbursement of last year's dividend
of SEK 230 million (0). 

IMPORTANT EVENTS IN THE THIRD QUARTER  

• Nobina won a contract to provide bus-for-rail services for the commuter trains in the Stockholm region on behalf of MTR.

• Nobina's contract for bus traffic in Norrtälje was extended by two years, to June 2021.

IMPORTANT EVENTS SINCE THE QUARTER  

• Nobina won traffic contracts worth SEK 260 million and was awarded an environmental bonus of SEK 1 million in Finland.

• Magnus Rosén has been appointed as new President and CEO of Nobina AB. He will take up the position as CEO of Nobina on1 June 2017.

CEO'S COMMENTS  

Nobina delivered a new strong result for the third quarter of 2016/2017 and it is pleasing to note that, despite newly started contracts and an extraordinary winter in November, Nobina was able to increase its earnings compared with last year. Our contract portfolio is thereby performing according to our expectations and, as a whole, very well.

As a consequence of Nobina's optimisation of the joint-group fleet of vehicles, we have reduced residual value losses for our buses and reported relatively low capital losses for the quarter. Despite early, heavy snowfalls in the Stockholm region as well as the implementation of traffic starts in Sweden and Finland at the cut off point for the second quarter, sound traffic planning has also contributed to satisfactory efficiency already being achieved in our newly started contracts. I can thereby once again conclude that Nobina's business model is functioning well and that we are duly discharging our task, as a member of society, within the area of public transport. 

During the third quarter of the year, we were notified that Nobina's contract in Norrtälje has been extended. The contract has been extended by two years and now stretches until June 2021, in large part thanks to the high level of customer satisfaction we have succeeded in achieving. During the period, Nobina has also signed a 10-year agreement with MTR regarding bus-for-rail services for the Stockholm commuter train system. We were awarded by the PTA Movia in respect of passenger satisfaction in Copenhagen and we were also officially awarded as the employer that has been most successful on reducing sick leave in Tromsö, Norway.

We can now focus on developing the company further as we have a period of less contract exposure.

Ragnar Norbäck,  

President and CEO 

The information comprises such as Nobina AB (publ) is obliged to publicly disclose pursuant to the EU Market Abuse Regulation and the Securities Market Act. Through the above contact person, the information was submitted for publication at 8.00am CET on 20 December 2016. 

CONTACT:

For further information, please contact:

Ragnar Norbäck, President and CEO +46 8-410 65 000
Per Skärgård, CFO +46 8-410 65 056
Mattias Gelinder, Head of Treasury & IR  +46 8-410 65 402

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SOURCE Nobina AB