IPTE NV reports positive operational result for the first half of 2004
Aug 16, 2004
One-time write-off of consolidation difference as a result of divestiture of Autoveyor leads to negative net result.
IPTE NV, (Euronext Brussels: IPT), notes for the first half year of 2004 a turnover of EUR 67.1 million (EUR 50.9 million for the first half year of 2003), (+32%). The operational result before the exceptional depreciation (EUR 1.6 million) of the consolidation difference as a consequence of the divestiture of Autoveyor improves to + EUR 1.7 million versus a loss of EUR 0.5 million for the first half of 2003. The net result group, before the exceptional depreciation consolidation difference Autoveyor, equals EUR 0.4 million positive (EUR 1.5 million negative for the first half year 2003).
For the second quarter of 2004 IPTE NV notes a sales figure of EUR 30.7 million, a drop of 16% in comparison with the first quarter of 2004 (EUR 36.4 million). The total orderbook at the end of the second quarter equals EUR 28.9 million (first quarter 2004: EUR 27.3 million), (+6%).
Important events in the first half year are for the 'Contract Manufacturing' division the continued growth with capacity increases in Eastern Europe and the start of Connectronics GmbH in Germany (takeover from Infotron GmbH). For the 'Factory Automation' division there is the strategic divestiture of its participation in Autoveyor and the start of the production branch IPTE China. On a group level IPTE NV takes the option from the agreement between IPTE NV and the Limburg Reconversion Company (LRM NV), whereby LRM NV and the management of IPTE pledge to sign a second subordinated loan with warrants issued by IPTE NV in the amount of EUR 3.5 million that will be withdrawn before the end of the year.
The turnover of the Factory Automation division rose from EUR 24.8 million in the first half year of 2003 to EUR 31.4 million in the first half year 2004 (+27%).
This sales increase can be attributed to such factors as the takeover in the autumn of 2003 of the French automation group Prodel. On a quarterly basis sales dropped from EUR 17.8 million for the first quarter of 2004 to EUR 13.2 million for the second quarter of 2004. This drop was influenced by the divestiture of subsidiary Autoveyor (Singapore) that as of 1 April 2004 has no longer been included in the consolidated figures of the group (impact: EUR 2 million).
The outstanding orderbook of the automation division at the end of the period equals EUR 13.9 million (EUR 15.3 million first quarter of 2004).
The sales of the Contract Manufacturing division equal EUR 35.8 million, an increase of 35.5% in comparison with the first half year of 2003 (EUR 26.4 million). The steady growth of Connect Systems International is influenced by such factors as the strong growth of the two facilities in Eastern Europe. The strategy of the management to become a European player within the EMS (Electronic Manufacturing Services) market via a focused internationalisation of the group was concretised by the takeover of Infotron GmbH in Germany. Connectronics GmbH, the new name for Infotron, will be included as of 1 July 2004 in the consolidated figures of the group.
The orderbook Contract Manufacturing equals EUR 15 million (EUR 12 million at the end of the first quarter of 2004), (+25%).