Beijer Electronics: Financial Statement 2013: Increased Sales and Improved Operating Profit in the Fourth Quarter
MALMÖ, Sweden--(BUSINESS WIRE)--Regulatory News:
“Beijer Electronics’ operations continued to recover in the fourth quarter, with healthy sales growth and somewhat higher order intake. The same applies to operating profit, even if it was reduced by restructuring expenses in Germany and a temporary but unfavorable sales mix, which meant lower margins.”
Beijer Electronics (STO:BELE)
• Order intake increased by 1% to 352.4 MSEK (349.3).
• Net sales rose by 8% to 366.3 MSEK (340.6).
• Operating profit increased by 7% to 20.0 MSEK (18.7).
• The quarter was charged with restructuring expenses of 5.6 MSEK.
• Profit after tax amounted to 8.5 MSEK (17.3).
• Order intake increased by 2% to 1,401.6 MSEK (1,373.4).
• Net sales were MSEK 1,376.2 MSEK (1,367.2).
• Operating profit was 87.4 MSEK (99.5).
• Profit after tax amounted to 44.4 MSEK (53.4).
• Earnings per share were 2.32 SEK (2.62).
• The Board of Directors is proposing a dividend of 1,25 SEK (1.25) per share.
COMMENTS FROM FREDRIK JÖNSSON, OUR CEO
“Beijer Electronics’ operations continued to recover in the fourth quarter, with healthy sales growth and somewhat higher order intake. The same applies to operating profit, even if it was reduced by restructuring expenses in Germany and a temporary but unfavorable sales mix, which meant lower margins.
But the recovery is slow. Our external environment still features uncertainty, with a hesitant sentiment towards large-scale investments. Meanwhile, the geographical outlook is divided, with healthy demand in the US, certain bright spots in Europe, while things are progressing slowly in Asia. The group’s different business areas also present a divided picture.
The IDC business area continued to impress in the fourth quarter, with robust sales gains, and doubled its operating profit. This business area secured its status as the leading vendor of high-quality communications solutions and now has a solid platform for continued growth.
Order intake and sales in the HMI Products business area made positive progress in the fourth quarter but profits are way off the business area’s long-term target. Structural issues in Germany were rectified in the fourth quarter, which triggered a non-recurring expense of 5.6 MSEK. In the year, as in the fourth quarter, HMI Products was also affected by a small number of very large orders, with low margins in the US automotive segment.
The Automation business area is still encountering a problematic market. For example, demand from the marine side in Norway was very poor. Despite notably lower sales in the fourth quarter and full year, Automation has defended its margins creditably. Its new own-brand product range, launched in the fall, is another positive, gaining a good reception on the market, helping lift sales in the fourth quarter.
Overall, 2013 can be viewed as an off year in purely operational terms. Strategically, we consolidated our positioning with acquisitions like Petek Teknoloji of Turkey and 15% of Altus Sistemas de Automação of Brazil, and through a much-expanded own-brand product range, and continued brisk tempo of product development. The group’s order intake has turned upwards, giving us some confidence of gradual stabilization and better demand growth in 2014.”
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INVITATION TO CONFERENCE CALL
Today a conference call will be held for press and analysts where President and CEO Fredrik Jönsson and CFO Anna Belfrage present the company and comment on the report.
Time: Thursday February 6, at 1.30 p.m. CET
To participate in the conference please dial:
From Sweden: +46850556483
From UK: +442076602080
To access the presentation please use this link: https://www.anywhereconference.com/?Conference=137349961&PIN=241447
The Financial Statement and the presentation will be available at Beijer Electronics’ website www.beijergroup.com under Investors/Presentations. A recording of the conference call will also be available here after the event.
Beijer Electronics is a fast growing technology company with extensive experience of industrial automation and data communication. The company develops and markets competitive products and solutions that focus on the user. Since its start-up in 1981, Beijer Electronics has evolved into a multinational group present in 22 countries and sales of 1,367 MSEK 2012. The company is listed on the NASDAQ OMX Nordic Stockholm Small Cap list under the ticker BELE.
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