Aspocomp's net sales declined 18% in 2020
The pandemic, and the restrictions that followed, are having a broad impact on the supply chains of the electronics industry – and also on customer orders, says the PCB manufacturer.
“The decline in net sales continued in the last quarter of the year, when demand was lower than expected, especially in the Telecommunications and Automotive segments. Net sales for 2020 amounted to EUR 25.6 million, a year-on-year decrease of 18 percent in total. A balance was achieved in full-year sales between different customer segments,” says CEO Mikko Montonen in the fiscal report. As stated earlier, 2020 full year net sales amounted to EUR 25.6 million, compared to EUR 31.2 million in 2019. EBITA ended up at EUR 1.5 million, down from EUR 4.7 million the year before. The company’s operating result for 2020 ended up at EUR -0.1 million, compared to EUR 3.4 million in 2019. For the full year of 2020 the company recorded a loss of EUR 98'000, compared to a profit of EUR 3.9 million in 2019. The PCB manufacturer says that the pandemic, as well as the weakened economy, continue to make it difficult to assess near-term customer needs. However, despite the exceptional circumstances, Aspocomp continued to invest in its capacity and increased product development investments in new products and more challenging technologies. “Due to the COVID-19 pandemic and the resulting decline in general demand, as well as for financial reasons, some customers have had to postpone or even cancel their orders. Asian PCB mass suppliers have had overcapacity due to the weaker market situation, which allowed them to exceptionally respond to changing customer needs. In the Automotive segment, demand has continued to decline as customers have reduced their inventory levels in line with the weakened demand,” the CEO says. Due to the major uncertainties related to customer demand, Aspocomp says that the outlook for 2021 involves a significantly higher risk than normal. Aspocomp estimates that its net sales for 2021 will increase and its operating result for 2021 will improve from 2020.