TOMRA: Third Quarter 2014 Results Announcement
All time high order intake and all time high order backlog
Order intake during third quarter 2014 in Tomra Sorting totalled 550 MNOK, up from 403 MNOK during same quarter last year, ending the quarter with an all-time high order backlog of 672 MNOK.
Revenues in the third quarter 2014 amounted to 1,236 MNOK compared to 1,231 MNOK in third quarter last year. Revenues in TOMRA Collection decreased by 2% (down 5% currency adjusted), while revenues in TOMRA Sorting were up 5% (up 2% currency adjusted).
Gross margin was 43% in the quarter, up from 42% in the corresponding period last year, with stable margins in both business areas.
EBITA was 210 MNOK in third quarter 2014 versus 217 MNOK in the third quarter 2013.
Cash flow from operations in third quarter 2014 equaled 236 MNOK, up from 202 MNOK in third quarter 2013.
Tomra Collection Solutions
The business area reported a decline in revenue of 2% in third quarter 2014, compared to same period last year. After adjustment for currency changes, revenues were down 5%.
Gross margin was stable at 42%. EBITA was MNOK 151, down from 161 MNOK.
TOMRA will start a process to divest TOMRA Compaction (Orwak). The actual synergies between compaction and reverse vending have proven to be insignificant. Moreover, TOMRA’s former strategy of providing recycling technology equipment has changed into creating sensor-based solutions for optimal resource productivity. Selling compaction equipment does not fill a natural role in this strategy.
Tomra Sorting Solutions
Strong order intake leads to an all-time high order backlog at the end of the quarter.
Revenues in the quarter increased by 5% compared to same quarter in 2013. Adjusted for currency effects, revenues were up 2%. Gross margin was stable at 44%. EBITA increased from 62 MNOK in third quarter 2014 to 66 MNOK in third quarter 2014.
“After three quarters with lower order intake in 2013, we have now experienced four consecutive quarters with significantly better order intake in Tomra Sorting. Revenues and profit is consequently expected to improve in fourth quarter 2014”, comments Stefan Ranstrand (President and CEO).
Asker, 17 October 2014
TOMRA Systems ASA
For questions, please contact:
Deputy CEO/CFO Espen Gundersen: +47 66 79 92 42 / +47 97 68 73 01
Webcast link: http://presenter.qbrick.com/?pguid=ac24a7c1-2fbf-4fe2-81dd-66d98c03f974
We will open up for Q&A after the presentation and the recorded webcast will be made available on our webpage www.tomra.com after broadcast is concluded.
TOMRA was founded on an innovation in 1972 that began with design, manufacturing and sale of reverse vending machines (RVMs) for automated collection of used beverage containers. Today TOMRA has ~170,000 installations in over 80 markets worldwide and had total revenues of ~4.6 billion NOK in 2013. The Group employs ~2,500 globally, and is publicly listed on the Oslo Stock Exchange. (OSE: TOM) The TOMRA Group continues to innovate and provide cutting-edge solutions for optimal resource productivity within two main business areas: Collection Solutions (reverse vending, material recovery and compaction) and Sorting Solutions (recycling, mining and food sorting). For further information about TOMRA, please see www.tomra.com