Aspocomp is back in black
The continued recovery in the general market situation had a positive effect on Aspocomp's demand in the second quarter. Demand has started to grow, and the company’s order book level has risen significantly.
Aspocomp's second-quarter net sales amounted to EUR 7.2 (7.1) million, a year-on-year increase of 1%. Demand strengthened significantly during the second quarter of the year and the order book rose from EUR 4.2 million to EUR 10.8 million. In the second quarter, net sales growth was strongest in the Industrial Electronics and the Automotive segments, while demand in the Telecommunications segment remained weak. Net sales growth was slowed by extended delivery times for production raw materials. The five largest customers accounted for 49% (45%) of net sales. In geographical terms, 84% (80%) percent of net sales were generated in Europe and 16% (20%) percent on other continents. The operating result for the second quarter amounted to EUR 0.5 (0.3) million. The operating profit increased due to higher utilisation and better product mix. Second-quarter operating result was 6.4% (3.6%) of net sales. Profit/loss for the period ended up at EUR 0.4 million, a 96% increase from EUR 0.2 million during the same period last year. “In the second quarter, growth was strongest in the Industrial Electronics and the Automotive segments, while demand in the Telecommunications segment remained weak. Net sales growth was slowed by extended delivery times for production raw materials, such as circuit board laminates. The situation is expected to improve clearly during the second half of the year, when the record-strong order book can be manufactured and delivered to customers,” says President and CEO Mikko Montonen in the second quarter report. The CEO continues to explain that the operating result increased due to higher utilisation and better product mix. He also says that the operating result is expected to improve further as production and delivery volumes increase in the second half of the year. “The company has continued its investments to increase capacity in line with its strategy, but the completion of equipment installations have been slowed down in part due to delays in material and component deliveries caused by the COVID-19 pandemic,” Montonen continues. When looking at the financial figures for the first half of 2021 the company's net sales amounted to EUR 13.4 (13.8) million, a year-on-year decrease of 3%. First-half operating result amounted to EUR 0.0 (-0.2) million. The order book at the end of the review period was EUR 10.8 (4.2) million. Aspocomp's production at the Oulu plant has continued normally and delivery capacity has been reasonable throughout the pandemic. The company has continued to invest in new capacity and increased its product development investments in new products and more challenging technologies.