PCB | November 03, 2005
GPV Group Interim Report Q1 2005/06
During Q1 Danish PCB Producer GPV has been carrying on the activities set out in the strategy plan Fit For the Future. Production in Asia has increased and activities in Denmark have been adjusted.
Towards the end of Q1 the new PCB plant in China opened, and GPV can now offer a new customer concept for the production of printed circuit boards. Sales for Q1 totaled DKK 228.3 million and income from operations (EBIT) DKK 4.4 million. Outlook for 2005/06 is unchanged. In Q1 2005/06, sales were DKK 228.3 million against DKK 242.3 million in last year's Q1 – a fall of DKK 13.9 million. The Electronics and Mechanics divisions performed as planned while sales and income in the PCB division are lower than expected. Income from operations (EBIT) was DKK 4.4 million in Q1 versus DKK 0.7 million in the same quarter last year – up DKK 3.7 million. Income before tax for Q1 2005/06 was DKK 0.3 million, which is unchanged on Q1 of last year and in line with expectations. Last year's income before tax included a financial gain of DKK 5.1 million. Cash flow from operations in Q1 2005/06 was as expected negative by DKK 24.6 million versus DKK 1.0 million the year before, which is attributable to an increase in inventories due to production start-up and new projects within the defense and aerospace segment. Based on the performance in Q1 and the outlook for the remaining part of the fiscal year, expectations for sales are maintained at around DKK 950 million, the EBIT-margin around 5% and income before tax around DKK 25 million as well as a positive cash flow. Read the full report here (external link).