Kitron: Q2 2024 - Robust profitability and positive outlook despite sector challenges
Source: GlobeNewswire(2024-07-11) Kitron today reported quarterly figures that reflect the company's ability to maintain operating margins in line with the company's strategic target despite sector challenges.
Kitron's revenue for the second quarter was EUR 167.6 million, compared to 206.3 million last year. There was strong growth within the Defence/Aerospace market sector, while other market sectors declined.
Second-quarter operating profit (EBIT) was EUR 15.0 million, compared to 19.2 million last year. EBITDA was EUR 19.6 million, compared to 23.5 million last year.
Profitability expressed as EBIT margin was 8.9 per cent, compared to 9.3 per cent last year.
The order backlog ended at EUR 454.5 million, a decrease of 15 per cent compared to last year but an increase of 2 per cent from the preceding quarter.
Peter Nilsson, Kitron's CEO, comments:
“Kitron is well-positioned for growth over the next 12 months. With robust performance in the Defence and Aerospace sector and strategic cost-saving measures, the company is well-placed to capitalize on emerging opportunities.”
Profit after tax amounted to EUR 10.4 million, compared to 15.7 million in the same quarter the previous year. This corresponds to earnings per share of EUR 0.05, compared to 0.08 last year.
Solid operating cash flow
Operating cash flow in the first quarter was EUR 18.8 million, compared to 12.7 million in the second quarter of 2023.
Net working capital was EUR 188 million, a decrease of 1.0 per cent compared to the same quarter last year. Net working capital as a percentage of revenue was 28.4 per cent compared to 22.3 per cent last year.
Outlook
For 2024, Kitron reiterates its outlook from the first-quarter report and expects revenue to be between EUR 660 and 710 million with an operating profit (EBIT) between EUR 53 and 60 million, including EUR 4.8 million in restructuring costs in the first quarter.
Enclosed in PDF are the quarterly report and the presentation. The interim report is presented today at 8.30 a.m. CEST by CEO Peter Nilsson and CFO Cathrin Nylander. It will be webcast at the following link: https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20240711_2
For further information, please contact:
Peter Nilsson, President and CEO, tel. +47 94 84 08 50
Cathrin Nylander, CFO, tel: +47 900 43 284
E-mail: investorrelations@kitron.com
Kitron is a leading Scandinavian electronics manufacturing services company for the Connectivity, Electrification, Industry, Medical devices and Defence/Aerospace sectors. The group is located in Norway, Sweden, Denmark, Lithuania, Germany, Poland, the Czech Republic, India, Malaysia, China and the United States. Kitron has about 2 500 employees, and revenues were EUR 775 million in 2023.
This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act
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