Q-FREE- RESULT FOR THE THIRD QUARTER 2016
Oslo, 27 October 2016
Q-Free reports all-time high order backlog of 1.5 BNOK in Q3-16 and announces program to cut 50 MNOK in costs with EBITDA impact already from next quarter.
- Revenues of 207 MNOK, down 7% from 223 MNOK in Q3-15
- EBITDA of -10 MNOK before restructuring charges of 15 MNOK vs. 22 MNOK in Q3-15, impacted by late Q3 start-up of new, large orders
- High order intake of 877 MNOK due to signing of our largest ever contracts in tolling (472 MNOK with DARS in Slovenia) and ATMS (200 MNOK with Virginia Department of Transportation in the US)
- All-time high order backlog of 1.5 BNOK compared to 700 MNOK as per end of Q3-15
- Concluded on a focused strategy with 3 global and 2 regional service lines, the security business will be divested
- Initiated a cost savings program that will deliver 50 MNOK in gross savings in 2017
- Private placement successfully completed early October, raising gross proceeds of 134 MNOK
- The financial performance in 2016 is hampered by the delay of the Slovenia and VDOT projects. We have had high costs, but booked limited revenues. Now that both contracts have been signed and we have started to execute on a cost savings program, we look forward to a much-needed revitalization of Q-Free. We have a significantly improved capital structure, an all-time high order backlog, and a clear plan for the coming years. Hence, we remain optimistic about our ability to create profitable growth in 2017, states President & CEO in Q-Free, Håkon Volldal.
Enclosures: Q3-16 report and presentation
For further information, please contact:
President & CEO, Håkon Volldal: +47 977 19 973
CFO, Roar Østbø: +47 932 45 175
Q-Free is a leading global supplier of ITS (Intelligent Transportation Systems) products and solutions. The company has approximately 460 employees, offices in 20 countries, and presence on all continents. Headquartered in Trondheim, Norway, Q-Free is listed on the Oslo Stock Exchange under the ticker QFR.