LINKÖPING, Sweden, June 3, 2020 /PRNewswire/ -- International
medical imaging IT and cybersecurity company
Sectra (STO: SECT B) reports the best earnings year in
its history, exceeding its three financial goals. Our success and
growth are built on high levels of customer satisfaction,
long-standing customer relationships, high-quality products and
skilled, dedicated employees. These conditions form a stable
foundation for our future development and profitability. With a
strong financial position, positive cash flow and significant
recurring revenue, Sectra is well equipped to manage the great
degree of uncertainty resulting from COVID-19. In light of this, it
is proposed that the Annual General Meeting (AGM) resolve that
SEK 4.50 per share be distributed to
the shareholders through a share redemption program.
2019/2020 fiscal
year
- Order bookings amounted to SEK 1,816.0
million (2,132.8). The comparative year included Sectra's
largest order ever-a 13-year agreement with NSW Health in
Australia worth SEK 560
million.
- Net sales rose 17.5% to SEK 1,661.1
million (1,413.5). Adjusted for currency fluctuations, sales
increased
14.7%.
- Operating profit rose 25.4% to SEK 295.3
million (235.5), corresponding to an operating margin of
17.8% (16.7). Adjusted for currency fluctuations, operating profit
increased
19.2%.
- Profit before tax amounted to SEK 303.0
million
(248.8).
- This result includes nonrecurring items (refer to Secure
Communications, page 10). These items had a positive net effect of
SEK 1.4 million on operating
profit.
- Cash flow after changes in working capital amounted to
SEK 296.3 million
(252.5).
- The Board and the President propose that the 2020 Annual
General Meeting (AGM) resolve to distribute SEK 4.50 per share to the shareholders through a
2:1 share split in combination with a mandatory redemption process
(refer to page 13). No ordinary dividend is proposed.
Fourth quarter, February-April
2020
- Order bookings amounted to SEK 716.2
million (1,104.9). The comparative quarter included the
major order from NSW Health. Of the order bookings during the
quarter, 36% were recognized during the fourth quarter and a
further estimated 34% to 44% pertains to revenue within 12 months
after the end of the
quarter.
- Net sales increased 7.1% to SEK 507.6
million (474.1). Adjusted for currency fluctuations, sales
increased
5.0%.
- Operating profit rose 18.1% to SEK 123.6
million (104.7), corresponding to an operating margin of
24.3% (22.1). Adjusted for currency fluctuations, operating profit
increased
12.5%.
- Profit before tax amounted to SEK 126.7
million
(110.9).
- Cash flow after changes in working capital amounted to
SEK 81.0 million
(72.1).
- The outbreak of COVID-19 has not had any significant effect on
Sectra's financial outcome.
Torbjörn Kronander, CEO and President Sectra AB,
comments
"When our customers in the healthcare sector become more efficient
in their daily work and can thus provide care for more people, or
when society's vulnerability decreases through the use of our data
security solutions, then we have also succeeded. It is deeply
satisfying that our long-term efforts in creating real value for
customers, patients and society at large have enabled us to report
the best earnings year in Sectra's history."
"Several of our projects are extensive, which leads to broad
fluctuations between quarters since a significant portion of
earnings is recognized in conjunction with services going online
and project deliveries. Accordingly, it is important to look more
at trends than at the output for an individual quarter when
assessing our development. In the coming fiscal year we expect a
weaker first quarter than normal and a sharp focus on deploying our
services to customers during the second half of the year,
particularly during the spring months. This is due in part to
natural seasonal variations, when many customers want to come
online before the relatively calm summer period, but also to delays
in projects and orders because of COVID-19. Over the long term, our
new subscription model for software licenses will enable more
balance between quarters, but it is believed this will not have a
major effect over the next few years."
"Our stable development and positive underlying cash flows and
profitability give me every reason to remain optimistic. We have a
number of exciting projects in the pipeline as well as completely
new geographic markets that could eventually become significant.
Our possibilities for growth are strong in all operating areas for
the foreseeable future, even if COVID-19 will likely mean
temporarily dampened demand in certain markets. With our work and
investments in the field, and innovation that has the potential to
increase customer value, we are creating value for our customers
and are thus helping to make society healthier and safer. This
customer value is the foundation of our success, and also
determines how we successfully create shareholder value and returns
for our owners.See the attached year-end report for further CEO
comments and information."
Presentation of the interim report with in-depth information
on the new subscription model
Torbjörn Kronander, President and CEO of Sectra AB, and Mats
Franzén, CFO of Sectra AB, will present the financial report and
answer questions. Fredrik
Gustavsson, CTO and Pre-Sales/Product Marketing Manager at
Sectra Imaging IT Solutions AB, will present Sectra's new
subscription model for software licenses. The presentation will be
held in English.
When: Time: June 3, 2020, at
10:00 am
Follow live or listen to the recording afterward:
investor.sectra.com/q4report1920
SE: +46850558366
UK: +443333009035
US: +18335268397
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 8:15
a.m. (CET) on June 3,
2020.
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
http://news.cision.com
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The following files are available for download:
https://mb.cision.com/Main/1263/3126542/1258216.pdf
|
Sectra's year-end
report 2019/2020
|
https://news.cision.com/sectra/i/torbjorn-kronander,c2792425
|
Torbjörn
Kronander
|
https://news.cision.com/sectra/i/sectra-digital-pathology,c2792433
|
Sectra Digital
Pathology
|
https://news.cision.com/sectra/i/sectra-secure-mobile-workplace,c2792426
|
Sectra secure mobile
workplace
|
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SOURCE Sectra