Kontron S&T AG
Kontron starts 2017 without a loss
DGAP-News: Kontron AG / Key word(s): Quarterly / Interim Statement – Revenues of EUR 92.4 million comparable to prior year (1Q16: EUR 89.5 million) Augsburg, May 5, 2017 – Kontron AG, a leading global provider of Embedded Computer Technology (ECT), presents its key financials for the first quarter of 2017. In line with the guidance announced by the company for 2017, revenues of EUR 92.4 million roughly match the prior year (1Q16: EUR 89.5 million). Order intake in the first quarter of 2017 stood at EUR 82.1 million, representing a book-to-bill ratio of 0.89. On a pleasing note, EBIT improved to EUR 2.2 million (1Q16: EUR -6.1 million). The net result for the period of EUR 150k (1Q16: a net loss of EUR 6.5 million) is back in the profit zone again for the first time since 2015. This improvement in earnings results from a more favorable product mix in the first quarter combined with a significant decrease in operating expenses of EUR 3.5 million. These cost savings are largely a result of the restructuring program initiated in November 2016. “The worst is over,” claims Hannes Niederhauser, CEO of Kontron. “After concluding the most difficult year in Kontron’s history in 2016, we returned to profit in the first quarter posting net result for the period of EUR 150k. This has made us optimistic, but we are still cautious. In terms of technology, we must start catching up with the field and improve our order intake. This means we must rapidly complete the merger between S&T and Kontron to combine the strengths of the two companies and develop innovative Industry 4.0 products.” Merger plans on track On May 2, 2017 Kontron AG announced that the Supervisory Board of Kontron AG had approved the conclusion of a merger agreement between Kontron AG and S&T Deutschland Holding AG. The Supervisory Board of S&T Deutschland Holding AG issued their approval to conclusion of the merger agreement on the same day. The merger agreement requires the approval of the general meetings of Kontron AG and S&T Deutschland Holding AG. The respective general meetings will be held on June 19, 2017 and June 20, 2017. Outlook 2017 The Management Board is forecasting similar revenues and seasonal fluctuations in fiscal year 2017 as in the 2016 fiscal year. The gross profit margin is expected to rise to over 25 % on account of the partnerships with Ennoconn and S&T. In addition, the Management Board expects EBIT to be positive in 2017. The new restructuring program is expected to produce annual cost savings of over EUR 15 million, most of which were already realized in the first quarter of 2017.
Key performance indicators for the first quarter of 2017
About Kontron: For additional information:
05.05.2017 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. |
Language: | English |
Company: | Kontron AG |
Lise-Meitner-Straße 3-5 | |
86156 Augsburg | |
Germany | |
Phone: | 00498214086114 |
Fax: | 00498214086122 |
E-mail: | Alexandra.Habekost@kontron.com |
Internet: | www.kontron.com |
ISIN: | DE0006053952 |
WKN: | 605395 |
Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
End of News | DGAP News Service |