Very strong performance across all business areas
Today’s report by Nolato for the fourth quarter and year-end 2017 shows continued very strong performance.
Figures for the fourth quarter of 2017:
• Sales increased to SEK 1,926 million (1,352)
• Operating profit (EBITA) rose to SEK 230 million (130)
• The EBITA margin was 11.9% (9.6)
• Profit after tax was SEK 180 million (95)
• Earnings per share increased to SEK 6.84 (3.61)
• Cash flow after investments was SEK 157 million (SEK 135 million excl. acquisitions)
• The Board of Directors proposes an increase in the dividend to SEK 12.50 (10.50) per share
Adjusted for currency, Group sales growth for the quarter was an exceptionally strong 46%.
Integrated Solutions sales doubled to SEK 900 million (448); adjusted for currency, sales increased by an exceptionally strong 112%. Operating profit (EBITA) rose to SEK 116 million (41) and the EBITA margin to a very strong 12.9% (9.2).
“Continued very high launch volumes were delivered in the quarter for the Vaporiser Heating Products (VHP) product area,” commented Nolato President and CEO Christer Wahlquist. “It’s estimated that end-customer demand and Nolato’s delivered volumes in this area will reach an equilibrium in the second half of 2018, roughly at the level of volumes in the fourth quarter of 2017.”
Medical Solutions sales rose to SEK 511 million (463), which adjusted for currency is a strong increase of 12%. Operating profit (EBITA) was SEK 68 million (59), with an EBITA margin of 13.3% (12.7).
“Sales increased in both Medical Devices and Pharma Packaging,” said Christer Wahlquist. “Most product areas enjoyed good growth.”
Industrial Solutions sales increased to SEK 518 million (443); adjusted for currency, sales grew by a strong 17%. Operating profit (EBITA) increased to SEK 52 million (36) and the EBITA margin was 10.0% (8.1).
“Volumes have developed well across almost all product areas, particularly automotive and hygiene,” noted Christer Wahlquist.
For the full year 2017, Group sales rose by 51% to SEK 6,720 million (4,447). Operating profit (EBITA) increased to SEK 763 million (457), giving an EBITA margin of 11.4% (10.3).
Nolato’s financial position remains good and debt decreased during the year as a result of the strong earnings and positive cash flow. The equity/assets ratio was 45% (47) at year-end, with net financial liabilities of SEK 153 million (408).
The Board of Directors proposes an increase in the dividend to SEK 12.50 (10.50) per share.
The Annual General Meeting will be held on 24 April at 4 p.m. in Grevie, Sweden.
For further information, please contact:
Christer Wahlquist, President and CEO, +46 (0)705 804848
Per-Ola Holmström, CFO, +46 (0)705 763340
Nolato is a Swedish group with operations in Europe, Asia and North America. We develop and manufacture products in polymer materials such as plastic, silicone and TPE for leading customers within medical technology, pharmaceuticals, telecom, automotive, hygiene and other selected industrial sectors. Nolato’s shares are listed on Nasdaq Stockholm in the Mid Cap segment, where they are included in the Industrials sector.
This information is information that Nolato AB is obliged to publish pursuant to the EU Market Abuse Regulation. The information was issued for publication by the above contact persons on 7 February 2018 at 2.30 p.m. CET.