Incap with a strong start to 2021 - revenues increase by 55%
EMS provider Incap is presenting a strong start to 2021. Not only did the company see its revenues soar by 55%, it's profit made a massive leap as well.
First quarter revenue for the EMS provider grew 55% YoY and amounted to EUR 37.7 million, compared to EUR 24.3 million during the same quarter 2020. The growth was driven mainly by the positive development at the company's Indian factories. First quarter operating profit (EBIT) grew 155% YoY and amounted to EUR 5.5 million, compared with EUR 2.2 million. Net profit for the period increased significantly from the comparison period, 194% to be precise, and totalled EUR 4.6 million, compared with EUR 1.6 million. "The strong revenue growth was mainly driven by the positive development at our Indian factories. As we have announced earlier, we are expanding our factories in India in order to respond to the demand from existing and new customers. The ramp-up of the expansion has proceeded faster than expected and hence we revised our 2021 revenue estimate upwards," says President and CEO Otto Pukk in a press release. The CEO continues to state that the company continues to look at M&A cases that would offer potential for geographical expansion. The pandemic is far from over, and as Otto Pukk says it still poses risks to the company's operations, especially in India, where new restrictions have been implemented and may need to be continued and extended to limit the spread of the virus. "Currently, our production units in India continue operations, despite the lock-down in the Karnataka state. The health and safety of our employees, suppliers and customers remains our first priority," the CEO says. Commenting on the current shortage of semiconductors the CEO said that the company has been able to manage the situation quite well during the first quarter and that there were no delivery delays impacting its customers.