First six months
* Net sales for the first six months increased with 21 % reaching SEK 235 m
(195), corresponding to a 27 % increase in local currencies
* Operating profit reached SEK 41 m (34), equal to a 17 % (18) operating
margin
* Order intake for the first half year increased with 13 % to SEK 259 m (229)
corresponding to a 19 % increase in local currencies
* Cash flow from operating activities amounted to SEK 67 m (38)
* Profit after taxes totaled SEK 30 m (26) and result per share amounted to
SEK 2.63 (2.29)
* Net sales for the last twelve months amounted to SEK 422 m (391)
corresponding to a 14 % increase in local currencies. Operating result
amounted to SEK 70 m (69) corresponding to a 17 % (18) operating margin
Second quarter
* Net sales for the second quarter reached SEK 128 m (99) corresponding to a
29 % increase Operating result reached SEK 27 m (20) corresponding to a
operating margin of 21 % (20)
* Order intake during the second quarter was SEK 140 m (113)
Comments from the CEO
During the second quarter we saw order intake, revenues, operating result and
earnings per share on levels not seen before in the Group. The acquisition of
IXXAT Automation GmbH earlier this year contributes to these improvements but we
can also see tendencies of improved demands.
Japan shows growth due to our Japanese customer's competitive advantage from a
weak Japanese currency. Germany shows sign of some growth. The expected positive
development in the US has not materialized and we can see a cautious approach.
We see continuing progress with new and existing customers and the order intake
during the period indicates future growth.
Our new product platform in the Embedded product group is attracting
considerable interest and already starting to generate design wins. We are
expecting a positive development in volumes from this platform during 2014 and
going forward. The core technology of this product offer, our new NP40 processor
was recently awarded the "2013 New Product Innovation Award" by Frost & Sullivan
providing good attention for our new product offer in the embedded area.
The product- and market development within Remote Management continues. We have
experienced longer sales cycles than expected and despite many pilot series with
interesting customers the sales volumes from the Remote Management products are
delayed.
The development of IXXAT Automation that was acquired earlier this year is not
in line with expectations but we see good opportunities for future synergies in
the areas of sales and product development. During the second quarter the
coordination of the sales and marketing organizations continued and we now have
established common sales organizations in North America and Central Europe for
our three brand names Anybus, IXXAT and Netbiter.
We can conclude that we see a mixed picture going forward. On the one hand we
had a positive second quarter with good levels of order intake, sales, operating
profit and earnings per share. On the other hand the market is difficult to
predict in the near future. We continue to balance our long-term growth strategy
with a restrictive view on costs. In the long term, we see the markets for
industrial communication and remote management to be growth sectors.
Halmstad July 22, 2013
Staffan Dahlström
Chief Executive Officer
Further information can be obtained from: CEO Staffan Dahlström, telephone +46
(0) 35-17 29 01 or CFO Gunnar Högberg, telephone +46 (0) 35-17 29 95. See also:
http://investors.hms.se
HMS Industrial Networks (publ) is the leading independent supplier of products
for industrial communication including remote management. HMS develops and
manufactures solutions for connecting automation devices and systems to
industrial networks under the Netbiter, Anybus and IXXAT brands.
Development and manufacturing take place at the headquarters in Halmstad, Sweden
and in Weingarten, Germany. Local sales and support are handled by branch
offices in China, Denmark, France, Germany, India, Italy, Japan, UK, and USA.
HMS employs over 350 people and reported sales of 58 million EUR in 2012. HMS is
listed on the NASDAQ OMX in Stockholm.
[HUG#1717925]
