Strong end to 2020 for NCAB - enters 2021 with confidence
"We leave 2020 behind us with a positive trend for order intake and increased activity among our customers. This augurs well for 2021," says CEO Peter Kruk in the year-end report.
The PCB supplier's net sales increased by 22% during the last quarter of 2020 to SEK 514,9 million (USD 60.83 million). This increase is mainly a result of the acquisitions of Flatfield and Bare Board Group. In USD, net sales increased 32%. Excluding acquisitions, net sales decreased 6%, but increased 5% in USD. Order intake increased 42% to SEK 681.4 million (USD 81.9 million), compared to SEK 479.7 million (USD 57.6 million). The company says that the order intake gradually improved during the quarter, partly due to orders with longer delivery times linked to announced price increases. EBITA increased to SEK 52.2 million (USD 6.2 million), compared to SEK 41.2 million (USD 5.1 million). Operating profit was SEK 50.1 million (USD 6 million), compared with SEK 40.7 million (USD 4.9 million). Profit after tax was SEK 35.2 million (USD 4.2 million), compared with SEK 31.7 million (USD 3.8 million). In the year-end report, CEO Peter Kruk states that the company continues to invest in order to increase its market share; this has mainly taken place via further reinforcements in the sales organisation, primarily in Germany and North America. “Our portfolio grew in 2020 with many new customers and projects. This is partly due to acquisitions, but our ability to provide excellent service to customers during these difficult times has also secured us new business. The acquisition of PreventPCB will make us the leading supplier in Italy.” NCAB:s Order intake rose sharply, by 42% during the fourth quarter and 57€ in USD. A large share of this is attributable to our acquisitions, although organic growth also accounted for a 27% increase in USD. “It is gratifying to see a recovery in many of our markets. There is for instance a rapid growth in solutions for electric car chargers. One contributing factor to our strong order intake is the decision by customers to bring orders forward to avoid the announced price increases from our suppliers. These price increases are the result of higher raw material prices and foreign exchange effects. We do not expect this to have an impact on NCAB’s margins,” says the CEO. The CEO continues to say that there are major opportunities for NCAB to continue its growth. And that it organic growth, something that the company continues to strive for. “We can also see further opportunities in market consolidation through acquisitions. The integration of last year’s acquisitions, Flatfield and Bare Board Group, has been successfully completed. Our balance sheet is strong and we are actively working with our pipeline of attractive acquisition candidates,” the CEO ends.