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Sectra's Three-month Interim Report 2018/2019: US Success Contributes to Increased Order Bookings


News provided by

Sectra

04 Sep, 2018, 06:15 GMT

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LINKÖPING, Sweden, Sept. 4, 2018 /PRNewswire/ -- International medical imaging IT and cybersecurity company Sectra (STO: SECT B) reported increased order bookings, net sales and earnings. Collaborations with new and existing customers contribute to a favorable performance and financial key figures exceed the Group's goals. At the same time, future ventures being carried out in new markets and product areas have been charged to earnings but are expected to make a positive contribution within the next few years.

First quarter in figures 

  • Order bookings increased 25.9% to SEK 286.5 million (227.6). Of the order bookings during the quarter, an estimated 48–58% pertains to invoicing within 12 months after the end of the quarter.
  • Net sales rose 15.5% to SEK 306.1 million (265.1). Adjusted for currency fluctuations, sales increased 11.5%.
  • Operating profit rose 4.5% to SEK 46.3 million (44.3), corresponding to an operating margin of 15.1% (16.7). Adjusted for currency fluctuations, operating profit decreased 1.6%.
  • Profit before tax rose 48.6% to SEK 42.8 million (28.8). The outcome was impacted by improvements in net financial items due to currency fluctuations, primarily in USD.
  • Cash flow after changes in working capital amounted to SEK 19.4 million (24.3).

Torbjörn Kronander, President and CEO of Sectra AB, comments 

"The trend with respect to order bookings and sales remained positive. The order book is healthy, and all operating areas reported an increase in sales. We are also benefiting from exchange-rate movements compared with the corresponding quarter in the preceding year, which has impacted our financial items. We intensified our focus on North America and on new product areas and geographic markets. The cost for this work was charged to earnings but is ultimately expected to generate a positive return. Cash flow was burdened by the signing of several major agreements with customers in Imaging IT Solutions and Secure Communications over the past year, which are initially generating more expenditures than income.

"Within Imaging IT Solutions, the US is currently our most exciting growth market and we kicked off the fiscal year with orders from new, reputable customers in the country, including Stanford University Hospital in California and Sanford Health, a hospital chain primarily operating in North and South Dakota. Agreements with such large, respected customers strengthen Sectra's market position and will provide the company with solid future references.

"Our high customer satisfaction, benefits for society and future initiatives will serve as the basis for our long-term success. I am therefore optimistic when it comes to our ability to continue this positive trend going forward."

For further CEO comments and information, see the attached interim report.

Presentation of the interim report  

A teleconference will be held by Torbjörn Kronander, President and CEO of Sectra AB, and Mats Franzén, CFO of Sectra AB. The presentation will be held in English.

Time: September 4, 2018 at 10:00 a.m. (CET)

To participate, call:

SE +46-8-5664-2662

UK +44-20-3008-9806

US +1-855-753-2235

The report presentation can also be followed live online: www.sectra.com/irwebcast. A recorded version will also be available via this link after the conference.

This information constitutes information that Sectra AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and/or the Swedish Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out below, at 8:00 a.m. (CET) on September 4, 2018.

For further information, please contact:

Dr. Torbjörn Kronander,
CEO and President Sectra AB,
+46(0)705-23-52-27

This information was brought to you by Cision http://news.cision.com

http://news.cision.com/sectra/r/sectra-s-three-month-interim-report-2018-2019--us-success-contributes-to-increased-order-bookings,c2607179

The following files are available for download:

http://mb.cision.com/Main/1263/2607179/902245.pdf

Sectra three-month interim report 2018/2019

http://news.cision.com/sectra/i/torbjorn-kronander--president-and-ceo-of-sectra-ab,c2478776

Torbjörn Kronander, President and CEO of Sectra AB

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