Kitron's Q1 Financials, Outlook Improve
BILLINGSTAD, NORWAY -- Kitron today reported growth in revenue and order backlogs, as well as continued improvement in underlying profitability.
Kitron's revenue in the first quarter was NOK 497 million ($60.6 million), up 6% from last year. The industrial sector performed particularly well, with a revenue growth of 35%, offset in part by offshore/marine sales.
The completed factory move in Norway had a negative impact on efficiency and profitability in the first quarter.
Operating profit (EBIT) was NOK 20.5 million, compared NOK 20.8 million last year. Net profit was NOK 10 million, down 27% from a year ago, including one-time charges of NOK 5 million related to a potential acquisition that was not completed. Adjusted for one-time charges, the EBIT rose to NOK 25.5 million from NOK 17.3 million in 2015.
"We continue to grow our sales, and our order book is solid," Kitron CEO Peter Nilsson said. "Orders from the industry market sector were particularly strong, and we also continue to secure key defense orders. While one-off effects and change in net finance cause a decrease in profit, the underlying positive trend towards stronger margins and profits remains intact."
Order backlog ended at NOK 902 million, an increase from NOK 855 million a year ago. Growth in order backlog was especially strong in the industrial sector, with an increase of 56%.
For 2016, Kitron expects revenue of NOK 2.05 billion to NOK 2.25 billion, boosted by increased demand in industrial and defense/aerospace.
Ed.: 1 NOK = $0.1219
