Electronics Production | September 01, 2011
Elcoteq: Both business units see decline in 2Q
Elcoteq has 2 Strategic Business Segments: <abbr title="Electronics Manufacturing Services">EMS</abbr> and <abbr title="After Market Services">AMS</abbr>. In the second quarter of 2011, the EMS Business Segment contributed 91% (91%) and AMS Business Segment 9% (9%) of the Group’s net sales.
Net sales of the EMS Business Segment were EUR 160.2 million (303.6). The sales decline was caused by TV sales peak in 2010 during Q2, due to Football World Championship and Sharp KIN phone production was at peak in Q2 in 2010. Excluding these two the net sales at Q2 in 2010 and Q2 in 2011 remained roughly at the same level. The segment’s operating loss was EUR –29.9 million (–3.1) and EUR –5.8 million excluding restructuring costs (0.8).
Net sales of the AMS Business Segment were EUR 15.5 million (28.8). The decline in sales was mainly due reduction of volumes by the Company’s main AMS customer in Mexico. The segment’s operating loss was EUR –3.8 million (3.3) and EUR –1.8 million euros excluding restructuring costs (3.3).