Incap presents 'turning point in profitability'

The Group's revenue for the period january – september was EUR 17.6 million, down approximately 39% year-on-year (1-9/2013: EUR 28.7 million). The decrease was expected and was caused by the decreased production volumes in the company's factories in Europe. The operating result (EBIT) was positive and amounted to EUR 0.3 million (1-9/2013: EUR -2.2 million). The improvement was a result of comprehensive actions taken to increase the efficiency. Net profit for the period improved remarkably but remained negative being approx. EUR -0.3 million (EUR -4.5 million) due to financing costs. Incap's estimates for future business development are based both on its customers' forecasts and on the company's own assessments. The business environment is estimated to remain challenging in 2014 as the economic growth worldwide is forecasted to be low. Ville Vuori, President and CEO of Incap Group: "The systematic work that has been done during the past 12 months is now bearing fruit and reflects positive in the profitability of the company. On the revenue side, the manufacturing volumes in the electronics factory in Kuressaare are on the increase whereas the sheet-metal production in Vaasa is suffering from the weak demand. The development in India continues strong. New government of India has announced their aim to improve local business environment, and this is expected to support Incap's growth ambitions particularly in the local market.