Loomis during the first quarter: Increased operating margin, significantly improved cash flow

Loomis operating income (EBITA)(1) for the first quarter 2010 amounted to MSEK 181 including ex-change rate effects of MSEK- 22, compared with MSEK 185 for the equivalent period in 2009. Operat-ing margin increased to 6.5 (5.8) percent. Revenue amounted to MSEK 2,771 (3,187) during the first quarter. Organic growth was –3 (-1) per-cent. Income before tax for the first quarter of 2010 amounted to MSEK 149 (150) and income after tax amounted to MSEK 104 (105). Cash flow from operating activities in the first quarter amounted to MSEK 159 (95) equivalent to 88 (51) percent of operating income (EBITA). Earnings per share before dilution were SEK 1.43 (1.44), and Earnings per share after dilution were SEK 1.38 (1.44). -That the operating margin, which is our most important financial key ratio, increased to 6.5 percent from 5.8 percent, as a consequence of a significantly more balanced cost base compared with one year ago. The significant improvement in cash flow to 88 (51) percent of operating income is attribut-able to the improved balance between payments and seasonal variations in revenue, states Loomis President and CEO, Lars Blecko. -As we are well on the way to achieving a balance between expenses and the scope of operations, I am of the opinion that we have good premises for meeting our most important short-term financial goal for 2010, an operating margin of 8 percent, states Lars Blecko. 1) Earnings Before Interest, Taxes and Amortization of acquisition-related intangible fixed assets.