SEZ Group reports successful half-year 2006 results
In the first six months of business year 2006, the SEZ Group significantly increased all relevant key figures, compared to the same period in the prior year, due to an excellent second quarter.
In the second quarter of 2006, SEZ Group raised consolidated net sales to CHF 99.3 million and achieved a gross profit of CHF 39.9 million, compared to CHF 24.6 million in the prior quarter. Reduced manufacturing costs combined with a favorable product mix have driven significant profit improvements. As a result, gross profit margin increased from 35.7 percent to 40.2 percent. Operating income (EBIT) improved from CHF 0.7 million in the first quarter to CHF 9.4 million in the second quarter, corresponding to an EBIT margin of 9.5 percent. Also, in the second quarter of 2006, net profits climbed from CHF 1.5 million to CHF 7.3 million, or 7.3 percent of net sales.
In the first six months of 2006, cumulative consolidated net sales reached CHF 168.2 million, thereof 7 percent accounted for service, customer training and sales in the spare parts area.
Sales of 300-mm equipment accounted for more than 80 percent of equipment sales, with the Da Vinci product line accounting for nearly 65 percent of equipment sales. Operating income (EBIT) increased by 62.2 percent to CHF 10.1 million and EBIT-margin improved from 4.0 percent to 6.0 percent. Consolidated net profit grew by 41.4 percent to CHF 8.8 million, or CHF 0.53 per share, and net profit margin rose from 4.0 percent to 5.3 percent. Compared to the same period last year, order intake improved by 47.8 percent to CHF 196.0 million, while in the second quarter, orders surpassed CHF 100 million for the first time. Mid-year order backlog stood at CHF 86.2 million. Orders from foundries and, increasingly, memory chipmakers had a positive impact on order development.
SEZ made great strides in developing solutions in the front-end-of-line (FEOL) manufacturing sector—a key growth market for SEZ—including critical-clean processing and, particularly, photoresist stripping applications.
Following a strong second quarter 2006, SEZ is forecasting results at similar levels for the third quarter. For the full-year 2006, the Group expects net sales to increase by roughly 15 percent to approximately CHF 360 million, with improved profitability, compared to the first half-year.
Key Figures after Six Months (unaudited)
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Quarterly Key Figures (unaudited)
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Average exchange rates for January – June 2006:
EUR/CHF 1.56292; USD/CHF 1.27051
