Nolato first three months of 2007: Strong growth at Nolato Medical

In today’s three-month interim report for 2007, Nolato reported strong growth in the Nolato Medical business area. Sales were up 129 percent including acquisitions.

“We had good sales at Nolato Medical,” noted Georg Brunstam, who is President and CEO of Nolato. “We’ve also recently completed two important acquisitions in medical technology, which is fully in line with our strategy to grow in the medical field: Medical Rubber on November 1 last year and Cerbo Group on March 5 this year. Both acquisitions performed well and in line with expectations.”

Sales for the Group totaled SEK 560 M (594), and EBITA excluding non-recurring items was SEK 38 M (51). Income after financial items was SEK 27 M (47), net income was SEK 20 M (37) and earnings per share totaled SEK 0.76 (1.41). Adjusted earnings per share, excluding non-recurring items and amortization of intangible assets from company acquisitions, totaled SEK 0.99 (1.41). Cash flow after investments was SEK 23 M (48), excluding acquisitions.

“Volumes at Nolato Telecom were weak,” Mr. Brunstam said. “Low capacity utilization and remaining costs for resources that are necessary for future projects resulted in low earnings. We also saw stronger seasonal variation than earlier, with a weak first half of the year.”

“However, in the first quarter we took on a number of major systems projects for mobile phone customers. These projects have production start in the second half of the year and early next year.

“Nolato Industrial reported increased sales and improved earnings. Volumes were good for most of our units. High capacity utilization and the contribution from a small-scale acquisition combined to improve earnings in this area.”