Kitron Asa · OSL:KIT

Kitron Asa — Q1 2017 Earnings Presentation

15 slides from Kitron Asa's earnings presentation, Apr 26, 2017

  1. Slide 1: Q1 results 2017

    Q1 results 2017 Peter Nilsson, CEO Cathrin Nylander, CFO 26 April, 2017

  2. Slide 2: Strong revenue growth and improved profitability

    Financial highlights Q1: Strong revenue growth and improved profitability  Strong revenue growth NOK mill. Q1 2017 vs Q1 2016  Underlying growth 23.1% Revenue 585.1  17.7 %  Strong profitability  EBIT margin 5.3% (4.1%) EBIT 30.8  50.5 %  Solid order backlog Order backlog 1058.7  17.4 %  Un

  3. Slide 3: Important agreements in the first quarter

    Major new orders: Important agreements in the first quarter  Kitron received communications order from KONGSBERG  Kitron received a NOK 120 million order from Kongsberg Defence Systems (KONGSBERG) for military communications equipment.  Kitron will supply various communications products, material

  4. Slide 4: Important agreements in the first quarter

    Major new orders: Important agreements in the first quarter  Kitron signs contract with Rheinmetall  Kitron signed an agreement with Rheinmetall MAN Military Vehicles  The potential contract value is NOK 250 million over a five-year period.  The agreement covers manufacturing of electronics, mea

  5. Slide 5: Financial statements Q1 2017

    Financial statements Q1 2017 5

  6. Slide 6: Revenue Q1: Strong growth in several sectors

    Revenue Q1: Strong growth in several sectors 585 Q1 2017 vs Q1 2016 Share of total revenue  563 570 497 463 Offshore/Marine -50.5 % 1.1 % Medical devices -11.4 %  17.3 % Defence/Aerospace 46.2 %  28.1 % 17.7 % Energy/Telecoms 23.3 %  14.1 % NOK million Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Ind

  7. Slide 7: Revenue by country Q1: Continued strong growth in Lithuania and Sweden

    Revenue by country Q1*: Continued strong growth in Lithuania and Sweden 213 Q1 2017 vs Q1 2016 Share of total revenue Q1/2016  184 184 Q1/2017 Norway -0.1 % 28.4 % 173 162  130 Sweden 24.8 % 25.0 % 89  76 Lithuania 22.6 % 32.8 % NOK million Others 16.2 %  13.7 % Norway Sweden Lithuania Others 7

  8. Slide 8: Quarterly EBIT: Profitability level stabilised at a higher level

    Quarterly EBIT: Profitability level stabilised at a higher level  Cost reductions take effect 33.6 33.1 34.1 30.1 30.8  Inefficiencies due to 26.3 relocations in Q1 and 22.1 20.8 20.5 Q4 2016 and Q1 2017  Profitability in Q1 2016 NOK million includes one-offs of 48 % MNOK 5 Q1 2015 Q2 2015 Q3 201

  9. Slide 9: EBIT by country Q1: Lithuania and Norway drives profitability

    EBIT by country Q1: Lithuania and Norway drives profitability EBIT*  Norway  Cost reductions drives margin improvement. Relocation Q1 2016. 19,9  Sweden 15,4  Efficiency challenges and relocation  Lithuania 10,3  EBIT improvement driven by strong 8,1 7,2 revenue growth  Other 3,4 1,6  Revenu

  10. Slide 10: Balance sheet: Operating cash flow and net working capital

    Balance sheet: Operating cash flow Cash flow NOK million  Cash flow 61.0  Q1 Cash flow MNOK -15.5 (-25.3) 36.4 36.4 -15.5 38.7 % -25.3 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017  Working capital Net working capital  Working capital up 6% from last years level NOK million 553  NOWC (R3*) at 22% a r

  11. Slide 11: Market development

    Market development www.kitron.com

  12. Slide 12: Order backlog: Solid order backlog

    Order backlog: Solid order backlog Order backlog Order Backlog MNOK NOK million  1059 vs. 902 last year. Increase of 17.4% with 19.9% underlying growth. 1 059  Defence: 466 +16% (401) 1 019  Medical: 143 -4% (149) 989  Industry: 295 +22% (243) 980  Energy/Telecom: 140 +60% (88)  Offshore: 14 -

  13. Slide 13: Outlook

    Outlook www.kitron.com

  14. Slide 14: Outlook

    Outlook  For 2017, Kitron expects revenue to grow to between NOK 2 150 and 2 350 million. EBIT margin is expected to be between 5.6 and 6.4 per cent.  The growth is primarily driven by customers in the Industry sector.  The profitability increase is driven by cost reduction activities and improve

  15. Slide 15: Thank you!

    4 Kitron Your ambition. Our passion. Thank you!

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