Interim report Jan-March 2013: Healthy Organic Order Intake Growth and Stable Operating Profit
• Order intake increased to 357.3 MSEK (353.3).
• Net sales were 327.7 MSEK (339.0).
• Operating profit before depreciation and amortization was 39.8 MSEK (41.1).
• Operating profit was 24.7 MSEK (25.5).
• Profit after tax increased by 31% to 16.8 MSEK (12.8).
• Earnings per share increased to 0.83 SEK (0.62).
• New distributor agreement signed with Mitsubishi Electric.
• Repurchase of 15% of the Automation business area.
• Acquisition of 15% of Altus Sistemas de Automação S.A.
COMMENTS FROM FREDRIK JÖNSSON, CEO
“Beijer Electronics progressed in line with expectations in the first quarter. The period still featured uncertain external economic conditions, with some geographical differences in demand. Simultaneously, the group was affected by the Easter week occurring in March this year, against April last year, and a stronger Swedish krona, with negative currency effects as a result.
Beijer Electronics reported organic order intake growth of 4%, simultaneous with currency-adjusted sales being basically unchanged. Through good cost control, we were able to report unchanged operating profit. After the end of the quarter, Beijer Electronics repurchased the 15% minority stake in the Automation business area previously held by Mitsubishi Electric. This repurchase streamlines our relationship to Mitsubishi Electric, which is a supplier and customer of Beijer Electronics. Simultaneously, we signed a new distributor agreement with Mitsubishi Electric. This agreement means that our collaboration, extending for over 30 years, can continue to develop, with the Automation business area as main distributor of Mitsubishi Electric’s Automation products on the Nordic and Baltic markets. This also means more growth opportunities for Automation, because we will have a broader-based product offering for the market in the Nordics, and globally.
Otherwise, the Automation business area had a challenging first quarter with a noticeable effect of Easter, affecting order intake and sales. Despite this, Automation was able to return increased operating profit and an operating margin above its long-term target.
The IDC business area made stable progress, with order intake growth of a healthy 9%. Currency-adjusted sales were unchanged, while operating profit increased somewhat.
The HMI Products business area achieved good organic order intake growth of 4%. However, sales fell by 7%, which had its full impact on operating profit. The decrease in sales and profit is exclusively explained by a temporary decrease in the US, due to weak order intake in the fourth quarter of 2012. However, HMI Products’ order intake in the US increased by 19% in the quarter.
Overall, we think that the underlying market is somewhat more stable, but substantial uncertainty regarding economic progress for the remainder of 2013 persists. Demand is fluctuating rapidly, and making an accurate assessment of expected results for the full year 2013 will take more time.”
INVITATION TO TELEPHONE CONFERENCE
On the same day 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: Tuesday April 23, at 2.30 p.m. CET
To participate in the conference please dial:
From Sweden: +46 (0)851999359
From UK: +44 (0)2076602077
To access the presentation please use this link:
The interim report 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.
For more information please contact:
President and CEO, Fredrik Jönsson, tel 46 (0)40 35 86 10, mobile 46 (0)705 17 16 26
CFO, Anna Belfrage, tel 46 (0)40 35 86 53, mobile 46 (0)706 35 86 53
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 21 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. www.beijerelectronics.se