VMETRO receives order in Germany

VMETRO ASA reports strong growth in the fourth quarter of 2004. Revenues of 92.7 MNOK increased by 53% over the same quarter in 2003. Pre-tax profit was up 109% to 15.0 MNOK. VMETRO also announces a preliminary yearly pre-tax profit of 35.0 MNOK. Earnings per share for the year was 1.03 NOK, an improvement of 145% from the previous year. Expectations regarding significant improvement in profit during 2004 were therefore met. The board suggests a dividend per share of 0.75 NOK. VMETRO has a business model that focuses on the development and sale of products, where all manufacturing is subcontracted. Revenues for the year were 273.1 MNOK, and represent a growth of 32%. Operating profit in the same period grew 329% to 32.2 MNOK. This confirms the strength and scalability of VMETRO’s business model. During the fourth quarter, the UK based company acquired by VMETRO was consolidated into the group with a positive contribution. This company provided 13.8 MNOK in revenue during the fourth quarter. VMETRO now has a strong product portfolio that leads to high expectations for years to come. Through the acquired UK company, VMETRO has gained access to processing products that complement existing products in military and high-end telecommunication projects. VMETRO is now able to increase sales to new and existing customers, since VMETRO’s products now can make up a larger share of the customer’s value chain. “With a strong product range and effective distribution network, VMETRO is well positioned for future growth”, says Sverre Kjenne, President and CEO of VMETRO ASA.