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EMS firm HANZA Holding AB has reported profitable growth, with significant improvement in earnings and additional new customer projects, for the first quarter of 2016. Net sales increased by 27% to SEK 338.6 million for the first three months of the year. Excluding acquired and divested operations, the growth was 9%.
Operating profit from the operational business areas amounted to SEK 14.5 million, while profit after tax amounted to SEK 5.4 million.
“Our acceleration program ‘Frontrunner’, which we introduced at the beginning of 2015 continues to give results. We now see the fifth consecutive quarter of increasing profitability and for the first quarter 2016 we reached an operating margin of 3.7%,” said Erik Stenfors, HANZA’s CEO. “Furthermore, the capital structure is continuously improving and the equity ratio increased to 34%, compared with 23% at the end of the first quarter of 2015.
“At the beginning of 2016, we delivered yet another MIGTM analysis, which led to a contract where we will implement a customized optimization of the customer’s manufacturing process. For HANZA it will result in annual manufacturing exceeding SEK 30 million, starting in the second quarter of 2016. We expect to receive further MIGTM projects during 2016.”
Stenfors adds, “We will continue to develop HANZA focusing on profitable growth and reduced debt in 2016. This means, among other things, continued efforts to develop our manufacturing clusters and to complete the synergies following the acquisition of Metalliset.”