© Kitron Electronics Production | October 22, 2020
Kitron’s record performance continues amidst the pandemic
The EMS provider reported strong growth and record profit for the third quarter of 2020 – mainly driven by the Medical devices, Defence/Aerospace and Industry sectors.
Kitron's revenue for the third quarter was NOK 1.05 billion (EUR 95.98 million), an increase of 43% compared to last year. Growth adjusted for currency effects was 35%. Profitability (EBIT margin) was 8.6% in the third quarter, compared to 5.4% during the same quarter last year. The company’s order backlog ended at NOK 1.86 billion (EUR 170 million), an increase of 18% compared to last year. "The strong performance in the first half of 2020 continues over the rest of the year. A 43 percent growth in the third quarter and revenue over NOK 1 billion is a record for Kitron. The third quarter is characterized by exceptional revenues in medical devices. The remarkable performance of Kitron employees and partners has made this possible,” CEO Peter Nilsson, comments in the quarter report. For 2020, Kitron has previously indicated a revenue outlook of between NOK 3.5 and 3.8 billion (EUR 320 – 347 million) and EBIT margin between 6.7% and 7.5%. Due to increased growth in the Defence/Aerospace, Industry and Medical devices sectors, overall profitability improvement and favorable currency, revenue is now expected to be between NOK 3.85 and 4.0 billion (EUR 352 – 365 million) and EBIT margin is expected to be between 7.6% and 7.8%. Demand within the Medical devices sector, has been driven by the Corona pandemic, and has been particularly strong in the second and third quarter – this is something that Kitron expects will normalize during the fourth quarter and going forward.