LINKÖPING, Sweden, Nov. 27, 2020 /PRNewswire/ -- Demand for
the international medical imaging IT and cybersecurity company
Sectra's (STO: SECT B) services and products remained high
during the second quarter and order bookings for the first half of
the year increased over the year-earlier period. Sales growth and
lower operating expenses enabled increased profits despite delivery
opportunities in parts of our operations being limited by
restrictions in society as a consequence of the pandemic. The
reintroduction of tighter restrictions in many countries could lead
to greater fluctuations between quarters and increase the risk of
delays in deliveries. However, Sectra is relatively well equipped
to manage the pandemic based on a strong financial position,
positive cash flow and significant recurring revenue.
Six-month period May-October
2020, in figures
- Order bookings rose 105.4% to SEK
1,364.4 million (664.4).
- Net sales increased 2.3% to SEK 712.1
million (696.1). Based on unadjusted exchange rates, the
increase was 6.1%.
- Operating profit rose 62.5% to SEK 117.0
million (72.0), corresponding to an operating margin of
16.4% (10.3). Based on unadjusted exchange rates, operating profit
- Profit before tax amounted to SEK 113.9
- Cash flow after changes in working capital increased to
SEK 121.8 million (81.2).
Second quarter August-October, in figures
- Order bookings increased 76.7% to SEK
752.1 million (425.7). Of the order bookings during the
quarter, 13% were recognized as revenue during the quarter and a
further estimated 22% to 32% pertains to revenue within 12 months
after the end of the quarter
- Net sales increased 13.7% to SEK 413.2
million (363.3). Based on unadjusted exchange rates, the
increase was 18.8%.
- Operating profit rose 109.8% to SEK 89.6
million (42.7), corresponding to an operating margin of
21.7% (11.8). Based on unadjusted exchange rates, operating profit
- Profit before tax amounted to SEK 92.5
- Cash flow after changes in working capital amounted to
SEK 36.3 million (109.2). During the
quarter, Sectra distributed SEK 173.3
million (172.6) to its shareholders through a share
Comments from Torbjörn Kronander, President and CEO of Sectra
- Possibilities for working remotely with the same functionality
and security as the workplace, as well as comprehensive
consolidation in healthcare to promote higher productivity, are
some of the factors that drive the markets for medical IT and
cybersecurity. With increased order bookings and profits in the
first half of the year, we have shown that our focus on customer
satisfaction is paying off. This is how we grow and achieve our
- In the year-earlier period, we reported record-high order
bookings. This trend has continued, and now we are doing it again.
After having recovered from a weak start to the fiscal year, we are
reporting positive financial performance for the second quarter.
This despite the impact of the pandemic, above all in our Business
Innovation and Secure Communications operating areas. At the same
time, more extensive lockdowns are once again taking place in
society, and it appears that a second wave of the pandemic will
continue for several months to come. This severely limits the
opportunities for visiting customers in the field, and will have an
effect on delivery plans for certain projects in the immediate
future. The impact on long-term sales activities such as trade
fairs and physical meetings with customers will lead to reduced
costs over the short term, but could have effects on order bookings
over the long term. This applies not only to us, but to other
players in our industries as well.
- The situation for many of our customers is far from ideal,
owing to the ongoing pandemic, and we are doing what we can to
help. Based on their feedback, we have done well at maintaining a
high level of customer satisfaction. This feels fantastic and
encourages us to continue to do our utmost to meet our customers'
needs so that they can provide their patients with the best care
possible and protect critical infrastructure and communication,
where society is at its most vulnerable.
See the attached interim report for further CEO comments and
Presentation of the interim report Torbjörn
Kronander, President and CEO of Sectra AB, and Mats Franzén, CFO of
Sectra AB, will present the financial report and answer questions.
The presentation will be held in English.
Time: November 27, 2020,
10:00 a.m. CET
Follow live or listen to the recording afterward at
This information constitutes information that Sectra AB
(publ) is obliged to make public pursuant to the EU Market Abuse
Regulation and/or the Swedish Securities Markets Act. The
information was submitted for publication, through the agency of
the contact person set out below, at 08:15
a.m. (CET) on November 27,
Sectra assists hospitals throughout the world to enhance the
efficiency of care, and authorities and defense forces in
Europe to protect society's most
sensitive information. Thereby, Sectra contributes to a healthier
and safer society. The company was founded in 1978, has its head
office in Linköping, Sweden, with
direct sales in 19 countries, and operates through partners
worldwide. Sales in the 2019/2020 fiscal year totaled
SEK 1,661 million. The Sectra
share is quoted on the Nasdaq Stockholm exchange. For more
information, visit https://sectra.com/.
For further information, please contact:
Dr. Torbjörn Kronander, President and CEO, Sectra AB, +46
(0) 705 23 52 27
This information was brought to you by Cision
The following files are available for download:
Sectra Secure Mobile