CellaVision AB

Year-end bulletin 2015

2015- A record year for CellaVision

October 1-December 31, 2015  Net sales decreased by 15 % to SEK 61.6 million (72.5) Operating profit was SEK 16.4 million (16.8).

The operating margin was 26.7 % (23.2).

Profit before tax was SEK 16.8 million (16.6).

Earnings per share were SEK 0.64 (0.49)

Significant events after the first quarter

• Launch of the new CellaVision® CDMS 6.0 software and an update of CellaVision® Remote Review.

January 1-December 31, 2015 
· Net sales increased by 10 % to SEK 239.4 million (216.9).
· Operating profit increased to SEK 65.5 million (42.8).
· The operating margin increased to 27.3 % (19.7).
· Profit before tax increased to SEK 65.6 million (43.4).
· Earnings per share increased to SEK 2.22 (1.32).
· The Board of Directors proposes an increased dividend of SEK 1.50 per share for 2015 (1.00)

CEO's comments

2015 was a record year for CellaVision with a very strong increase in profitability and sound sales growth. The major follow-up order for the veterinary market contributed to a ten percent sales increase in 2015 to SEK 239.4 million (216.9). This, together with our indirect scalable business model, meant that the operating profit grew by 53 percent to SEK 65.5 million (42.8), which correspond to an operating margin of 27.3 percent (19.7). All in all, this means that 2015 was CellaVision's best year yet, and in line with our previously announced expectations of an operating income of SEK 65 million.  
 The development should also be seen in the light of 2014 being a good year for us. Seen over the past two years CellaVision's sales increased from SEK 179.9 million to SEK 239.4 million and the operating profit has moved from SEK 25.9 million to SEK 65.5 million, implying an improved operating margin in excess of 150% over two years.
 Sales in the final quarter of the year were SEK 61.6 million (72.5). The main explanation for lower sales is the veterinary order we received in the fourth quarter of 2014 that affects the comparison between the two quarters.