Cavotec SA - Interim report January - December 2019

Stable revenue and order book – Significantly improved profitability and cash flow

OCTOBER–DECEMBER 2019 

• Order book stable at EUR 100.0 million (100.1)
• Order intake decreased 13.7% to EUR 38.2 million (44.2) 
• Revenues decreased 2.1% to EUR 47.8 million (48.8)
• EBIT excluding non-recurring items increased to EUR 5.6 million (0.1), corresponding to a margin of 11.8% (0.2%)
• Non-recurring items amounted to EUR 0.3 million (11.2)
• Net result for the period was EUR 1.8 million (-13.4)
• Earnings per share basic and diluted amounted to EUR 0.019 (-0.169)
• Operating cash flow amounted to EUR 9.1 million (1.8)

JANUARY–DECEMBER 2019 

• Order book stable at EUR 100.0 million (100.1) 
• Order intake decreased 7.3% to EUR 196.0 million (211.5) 
• Revenues were stable at EUR 196.0 million (197.0)
• EBIT excluding non-recurring items amounted to EUR 15.7 million (3.9), corresponding to a margin of 8.0% (2.0%)
• Non-recurring items amounted to EUR 3.4 million (17.8) million
• Net result for the period was EUR 7.5 million (-18.5)
• Earnings per share basic and diluted amounted to EUR 0.080 (-0.233)
• Operating cash flow amounted to EUR 14.4 million (1.2), including the California case payment of EUR 8.1 million paid in June 2019
• Net debt decreased to EUR 3.9 million (FY2018: 32.1) 
• The Board of Directors’ proposal to the AGM is that no dividend is to be paid for the 2019 financial year

Comment from the CEO 

Transformation completed - Accelerated target for higher profitability announced  

The transformation we started in the fall of 2017 is now finalized. We have completed a thorough reorganisation and restructuring of our business, a strengthening of the management team, a rights issue and we have launched a new strategy. During 2019, we have focused on locking in the improvements from those initiatives and on further investing in our Commercial and Operational Excellence programs to underpin our growth ambitions for 2020 and beyond. We now have a good control of costs, a more reliable process from sales to delivery and we focus our sales efforts on the right geographies and segments. We have also added an attractive service offering to our portfolio, which provides stable and predictable income streams.