Scanfil's off to a good start

Scanfil EMS Oy, a subsidiary of Scanfil Plc, has purchased the entire share capital of the German contract manufacturer Schaltex Systems GmbH on 31 March 2014 and authority was transferred to Scanfil EMS Oy at the same time. On 1 April 2014, Scanfil announced that the deal is expected to have a positive impact on the sales and turnover of the Scanfil Group starting from that date. Scanfil estimated that its turnover will increase by 11–18% and that its operating profit for 2014 will be EUR 11.0–15.0 million. Scanfil earlier estimated that its turnover for 2014 will increase by 4–10% and that the operating profit for the year will reach EUR 10.0-14.0 million. Highlights:

• Turnover totaled to EUR 47.6 million (Q1 2013: 44.0) up 8.0%
• Operating profit EUR 2.5 million (Q1 2013: 2.0), 5.3% of turnover (Q1 2013: 4.6%)
• Profit for the review period was EUR 1.7 million (Q1 2013: 1.1)

Petteri Jokitalo, CEO of Scanfil plc commented: “The year started on a positive note. We were able to continue our profitable growth. Turnover was up by 8% and operating profit by 26% from the previous year. We have been particularly happy to see that sales to telecommunication customers increased during the first quarter after a long declining trend. The German contract manufacturer Schaltex, acquired at the end of March, will further accelerate our growth strategy by strengthening our market position in Germany and bringing us new major customers. We believe that Scanfil's processes and purchase operations are able to create added value for Schaltex's customer base. The customers will also benefit from having the manufacturing capacity of our Estonian, Finnish, Hungarian and Chinese factories at their disposal.”