Pricer Improves Operating Result in Second Quarter of 2019
Pricer AB (publ) improves operating profit and operating margin in the second quarter of 2019 compared with previous periods as a result of sales growth combined with a high gross margin and positive currency effects.
Pricer, supplier of systems and solutions for in-store digitization, has maintained a high activity of small and medium-sized deliveries during the second quarter of the year. Revenues in the second quarter are estimated to amount to approximately SEK 271 million, which corresponds to a growth of 22% compared with the second quarter of 2018. Sales growth, combined with a high gross margin as a result of a favorable product and contract mix, as well as positive currency effects due to the weakening of the Swedish krona against the Euro and the US dollar, is expected to result in a significant improvement in operating profit. The operating profit for the second quarter of 2019, which has not yet been finally determined, is estimated to amount to approximately SEK 34 million corresponding to 12.5% in operating margin, compared with SEK 20.1 million for the corresponding period of last year. This corresponds to an increase in operating profit of 69%.
The order intake for the second quarter of 2019 amounted to SEK 230 million, which is considerably lower than the record high order intake of SEK 520 million reported for the second quarter of 2018, containing more than SEK 300 million from a single large customer in North America. The order backlog at the end of the second quarter of 2019 amounted to SEK 131 million, compared with SEK 445 million in the corresponding time of last year and SEK 169 million at the end of the first quarter of 2019. Like what was commented in the first quarter report, the demand and market activity for Pricer’s systems remain unchanged at a high level.
In addition to what is stated above, Pricer will not comment on the development of the business before the interim report for the second quarter is published, which will be in accordance with the financial calendar on July 18, 2019 at 13:00.
For further information, please contact:
Helena Holmgren, President and CEO, +46 (0)702 870 068
Susanne Andersson, CFO, +46 (0)730 668 904
This information is information that Pricer AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 10:00 CET on July 10, 2019.
Every care has been taken in the translation of this document. In the event of discrepancies, the Swedish original will supersede the English translation.
Pricer, founded in 1991 in Uppsala, Sweden, is the global leader in providing in-store shelf-edge digital solutions that enhance both store performance and the shopping experience. Pricer AB (publ) is quoted on the Small Cap list of Nasdaq Stockholm. For further information, please visit www.pricer.com.