Sectra's six-month interim report 2020/2021 Increase in profit and order bookings, but deliveries impacted by pandemic restrictions
LINKÖPING, Sweden, Nov. 27, 2020 /PRNewswire/ -- Demand for the international medical imaging IT and cybersecurity company Sectra's (STO: SECT B) services and products remained high during the second quarter and order bookings for the first half of the year increased over the year-earlier period. Sales growth and lower operating expenses enabled increased profits despite delivery opportunities in parts of our operations being limited by restrictions in society as a consequence of the pandemic. The reintroduction of tighter restrictions in many countries could lead to greater fluctuations between quarters and increase the risk of delays in deliveries. However, Sectra is relatively well equipped to manage the pandemic based on a strong financial position, positive cash flow and significant recurring revenue.
Six-month period May-October 2020, in figures
- Order bookings rose 105.4% to SEK 1,364.4 million (664.4).
- Net sales increased 2.3% to SEK 712.1 million (696.1). Based on unadjusted exchange rates, the increase was 6.1%.
- Operating profit rose 62.5% to SEK 117.0 million (72.0), corresponding to an operating margin of 16.4% (10.3). Based on unadjusted exchange rates, operating profit increased 75.9%.
- Profit before tax amounted to SEK 113.9 million (75.6).
- Cash flow after changes in working capital increased to SEK 121.8 million (81.2).
Second quarter August-October, in figures
- Order bookings increased 76.7% to SEK 752.1 million (425.7). Of the order bookings during the quarter, 13% were recognized as revenue during the quarter and a further estimated 22% to 32% pertains to revenue within 12 months after the end of the quarter
- Net sales increased 13.7% to SEK 413.2 million (363.3). Based on unadjusted exchange rates, the increase was 18.8%.
- Operating profit rose 109.8% to SEK 89.6 million (42.7), corresponding to an operating margin of 21.7% (11.8). Based on unadjusted exchange rates, operating profit increased 127.3%.
- Profit before tax amounted to SEK 92.5 million (44.9).
- Cash flow after changes in working capital amounted to SEK 36.3 million (109.2). During the quarter, Sectra distributed SEK 173.3 million (172.6) to its shareholders through a share redemption program.
Comments from Torbjörn Kronander, President and CEO of Sectra AB