Strong third quarter for Nolato

Nolato is pleased to report a strong third quarter, with increases in both sales and earnings. Sales totalled SEK 693 M (624) and operating income (EBITA) was SEK 64 M (56), representing increases of 11 percent and 14 percent respectively compared with the same period during the previous year.

“Our healthy growth has continued during the third quarter,” says Hans Porat, President and CEO of Nolato.

Nolato Medical’s sales rose by 24 percent to SEK 156 M (126), with operating income (EBITA) up 24 percent to SEK 21 M (17). The EBITA margin was 13.5 percent (13.5).

“Volumes were high in all customer areas,” continues Mr Porat. “Delivery volumes from the Hungarian unit rose steadily during the quarter, and production will begin at our new Chinese unit during the fourth quarter.”

Nolato Telecom’s sales rose by 17 percent to SEK 318 M (271), with operating income (EBITA) up 33 percent to SEK 36 M (27). The EBITA margin grew to 11.3 percent (10.0).

“Nolato Telecom’s sales consisted largely of products launched during 2008, for which volumes have shown strong growth. Product deliveries were made as planned during the quarter to a new customer, RIM, whose operations include developing and producing the BlackBerry.”

Nolato Industrial’s sales stood at SEK 219 M (233), operating income (EBITA) at SEK 16 M (17) and EBITA margin at 7.3 percent (7.3).

“A drop in demand from the automotive industry forced Nolato Industrial to make cuts in terms of both staff and costs. However, we have also received a number of orders for major new projects, including within the automotive and hygiene segments.”

The 2008 year-end report will be issued on January 29, 2009.