Kitron

Q4 2015 - Improved profitability, strong cash flow - Seite 2

Strengthened order backlog
The increased order backlog came despite a marked reduction within the Offshore/Marine sector.
Of particular strategic importance, Kitron in the fourth quarter signed an agreement with a global energy company. The company is headquartered in the US, and Kitron will deliver prototypes and serial manufacturing for a specific product family of power controllers. The agreement is valid for three years with an option of a one-year extension. The agreement is estimated to be worth NOK 100 million for Kitron.

Significantly improved operational cash flow
The strong improvement in operational cash flow is caused by a combination of improved profitability and reduced working capital. In the quarter, net working capital was reduced by NOK 33.7 million.

Full year improvement
Full year revenue of NOK 1 952 million gave an overall revenue growth of 11 per cent for the year. Operating profit for the year ended at NOK 102.7 million, compared to 30.0 million in 2014, resulting in an EBIT margin of 5.3 per cent for the year, up from 1.7 per cent in 2014.

Facility upgrades and relocations in Sweden and Norway
Kitron has decided to relocate the Swedish operations to a facility that will be built for Kitron in Torsvik, not far from the current facility in Jönköping. Kitron will lease the new facility, and the move is expected to take place in late 2016. The relocation of the Norwegian facility in Arendal, from Hisøy to Kilsund is performed according to plan and budget. The first production in Kilsund started up in the beginning of January.

Outlook
For 2016, Kitron expects revenue of NOK 2,050 to 2,250 million and an EBIT margin of 5.3 to 6.3 per cent. The growth is driven by increased demand in the Industry and Defence/Aerospace sectors. The profitability increase is driven by cost reduction activities and improved efficiency.

Enclosed in PDF are the quarterly report and the presentation.

The interim report is presented today at 8:30 a.m. CET at Felix Konferansesenter (Felix Conference Centre), Bryggetorget 3, 0250 Oslo, Norway.

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=29499479

For further information, please contact:
Peter Nilsson, CEO, Tel: [phone]
Cathrin Nylander, CFO, Tel: [phone]
E-mail: [e-mail]

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 1.95 billion in 2015 and has about 1 200 employees. www.kitron.com

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

Kitron Presentation Q4 2015
Kitron Report Q4 2015

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Kitron ASA via Globenewswire

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