Order bookings were at a record high for Sectra during the most recent 12-month period, but the volume of orders also had a negative impact on cash flow and earnings during the first half of the year.
For the six-month period (end-31 October), bookings increased 4.3% to 664 million Swedish kronor (63 million euros) and net sales increased 14.1% to 696 million kronor (66 million euros). Profit before tax amounted to 75.6 million kronor (7 million euros).
For the second quarter, bookings increased 21.4% to 425 million kronor (40 million euros). Net sales increased 14.9% to 363 million kronor (34 million euros). Profit before tax amounted to 44.9 million kronor (4.25 million euros).
Order bookings exceeded 2 billion kronor (189 million euros) on a rolling 12-month basis, the firm said. The initial placement of a Sectra order results in high installation costs, but as the systems transition to the operational phase, the contracts generate multiyear revenue streams with healthy margins. The company said it expects to see that shift into revenue during the second half of 2019/2020.
