© Incap Electronics Production | August 14, 2019
Revenue growth continues for Incap
EMS provider Incap Group reported second quarter revenues of EUR 18.7 million, showing an increase of 29.1% from EUR 14.5 million during the same period last year.
Operating profit (EBIT) for the second quarter amounted to EUR 2.9 million, an increase of 50.2% from EUR 1.9 million during the second quarter 2018. "Incap's second quarter was strong again. In January-June our revenues increased by 38 percent compared to the first half of the previous year, and operating profit (EBIT) margin increased to 15.5 percent,” says CEO Otto Pukk in a press relesae. He explains that the growth of sales was mainly due to deliveries to new customers saying: “We managed to broaden our customer base especially in the area of IoT (Internet of things) and light vehicles. At the same time, the business continued smoothly with our long-term established customers both in our production units in India and Estonia.” Mr. Pukk says that the growth of contract manufacturing in electronics is expected to continue. The growth is based not only on the increasing interest in the contract manufacturing business model, but also on the growing market for IoT and new types of electronic gadgets manufactured globally. Looking at the figures for the first two quarter of 2019, Incap Group’s revenues amounted to EUR 37.2 million, an increase of 38% compared to EUR 27.0 million during the same period last year. The Group’s operating profit (EBIT) was EUR 5.7 million, an increase of 87% from EUR 3.1 million during the first two quarter of 2018. Net profit for the report period was EUR 4.3 million, up from EUR 2.1 million. “Even though the competition in electronic manufacturing is harsh and the problems with component availability still remain, I am confident that with our focus on efficiency, we are able to maintain our strong position in the markets. We aim to continue to grow our business organically. However, should suitable opportunities arise, with our good financial position it is also possible to grow our business through acquisitions,” Pukk concludes.