SMT & Inspection | August 22, 2007
Cencorp to show weak results
Net sales in April-June 2007 totalled EUR 4.1 million (EUR 6.8 million) while operating profit (EBIT) amounted to EUR -0.6 million (EUR 0.1 million). The Group's net financial items were EUR -0.3 (-0.3) million. Profit before taxes totalled EUR -1.0 (-0.2) million.
January-June 2007 Cencorp's net sales amounted to EUR 7.9 (12.8) million. Operating profit was EUR -1.7 (-1.1) million. The Group's net financial items for the review period were EUR -0.6 (-0.5) million. Profit before taxes totalled EUR -2.3 (-1.6) million. The net profit for the period was EUR -2.3 (-1.6) million. Measures launched in the previous financial year to improve business efficiency affect as planned and the group's fixed costs were EUR 1.8 million less than in the previous year. Cencorp Corporation's net sales came from one business segment: the automation and testing business. The laser business, which has been moved to Cencorp Corporation's subsidiary Singulase Corporation, did not generate any revenue in the review period, as the company still concentrated on product development. Product development has been delayed by more than one year due to factors outside the Group's control. The operating loss of the automation and testing business amounted to EUR -1.5 (-1.0) million, while earnings before taxes stood at EUR -2.2 (-1.5) million and the net loss for the period at EUR -2.2 (-1.5) million. Singulase Corporation recorded an operating profit, profit before taxes and net loss for the period of EUR -0.1 (-0.1) million. The sales in the second quarter were emphasized quite evenly to all product groups. The prevailing boom in the metal industry in Finland caused challenges in purchasing components and machining parts. Thus, there were delays in deliveries of some customer projects and decrease in the margins.