Kitron Asa · OSL:KIT

Kitron Asa — Q1 2016 Earnings Presentation

14 slides from Kitron Asa's earnings presentation, Apr 22, 2016

  1. Slide 1: Q1 results 2016

    Q1 results 2016 Peter Nilsson, CEO Cathrin Nylander, CFO April 22nd, 2016

  2. Slide 2: Financial highlights Q1: Continued growth, solid order backlog

    Financial highlights Q1: Continued growth, solid order backlog  Strong industry growth offset NOK mill. Q1 2016 vs Q1 2015 declining revenues in offshore/marine sector Revenue 497,0  5,6 %  Underlying profitability growth masked by one-offs EBIT 20,5  -1,4 %  Strong backlog growth in industry s

  3. Slide 3: Important orders in the first quarter

    Major new orders: Important orders in the first quarter  Northrop Grumman awards Kitron radar contracts  Kitron selected as an international source for sub-assembly related to the JSF Radar system for the F-35 Lightning II.  The initial steps of transferring technical knowhow and manufacturing pr

  4. Slide 4: Financial statements Q1 2016

    Financial statements Q1 2016 4

  5. Slide 5: Strong growth in Industry and Energy/Telecoms sector

    Revenue Q1: Strong growth in Industry and Energy/Telecoms sector Q1 2016 vs Q1 2015 Share of total revenue 525 497 Offshore/Marine -71,2 %  2,6 % 489 Medical devices 15,2 %  23,0 % 471 468 Defence/Aerospace -13,9 %  22,6 % 5.6 % Energy/Telecoms 22,7 %  13,5 %  NOK million Industry 35,4 % 38,3 %

  6. Slide 6: Strong growth in Lithuania and Sweden

    Revenue by country Q1*: Strong growth in Lithuania and Sweden 231 Q1 2016 vs Q1 2015 Share of total revenue Q1/2015  184 Q1/2016 173 Norway -20,4 % 32,7 % 130 Sweden 31,8 %  23,0 % 98 112 86 76 Lithuania 54,3 %  30,8 % NOK million Others -11,1 %  13,5 % Quarter Norway Sweden Lithuania Others 6

  7. Slide 7: Underlying profitability improved

    Quarterly EBIT: Underlying profitability improved  Underlying profitability growth masked by one-offs. 33,6  Q1 2015 Positive MNOK 3.5 in 26,3 pensions buy outs 22,1 20,5  Q1 2016 Negative MNOK 5 for 20,8 contemplated terminated acquisition  NOK 17.3 million (3.7 per cent) to 14,3 NOK 25.5 milli

  8. Slide 8: EBIT by country Q1: Strong improvement

    EBIT by country Q1: Strong improvement EBIT*  Norway 15,4 NOK million  Affected by reduction in volume and the move has had negative impact on 12,0 efficiencies and profit 10,3  Sweden  Strong growth and improved margins 6,0  Lithuania 5,1 3,4 3,4  Strong growth and improved margins  Other 0,

  9. Slide 9: Cash flow

    Balance sheet: Cash flow Operating cash flow  Cash flow 87,8 NOK million  Q1 Cash flow MNOK -25.3 (35.0)  Cash flow affected by: 48,6 35,0  Low sales linearity in the quarter 32,7 due to the factory move in -172.4 % Norway -25,3  Inventory build-up for Defence/ Aerospace deliveries in the Net w

  10. Slide 10: Market development

    Market development www.kitron.com

  11. Slide 11: Order backlog: Strong growth in Industry

    Order backlog: Strong growth in Industry Order backlog Order Backlog MNOK NOK million  902 vs. 855 Q1 last year (increase of 5.5 %) 976  Defence: 401 -2% (411)  Medical: 149 +4% (143) 916  Industry: 243 +56% (156) 902  Telecom: 88 +7% (82) 855  Offshore: 21 -67% (63) 830 5.5 % Q1 2015 Q2 2015

  12. Slide 12: Outlook

    Outlook www.kitron.com

  13. Slide 13: Outlook

    Outlook  For 2016, Kitron expects revenue of between NOK 2 050 and 2 250 million and EBIT margin of 5.3 to 6.3 per cent.  The growth is driven by increased demand in the Industry and Defence/Aerospace sectors.  The profitability increase is driven by cost reduction activities and improved efficie

  14. Slide 14: Thank you!

    4 Kitron Your ambition. Our passion. Thank you!

Kitron — Q1 2016 Earnings Presentation on 6ix