LPKF confirms record incoming orders
Specialist mechanical engineering company LPKF has announced record figures for both incoming orders and orders on hand in the first six months of the current year. In contrast, revenue and earnings remain down on previous year's figures.
Revenue in the first six months of the year was EUR 45.6 million; falling 35% short of the unusually high prior-year figure (EUR 69.9 million). At EUR 1.6 million, earnings before interest and taxes (EBIT) were also lower than the previous year's figure of EUR 15.0 million. The EBIT margin was 3.5%.
The volume of incoming orders, however, continued to increase in the second quarter, reaching EUR 79.7 million after six months. This represents an increase of 41% year on year and a book-to-bill ratio of 1.7. Against this backdrop, the Management Board once again confirms its full-year guidance for the LPKF Group: the Management Board expects the Group to generate revenue of EUR 132 million to EUR 140 million for 2014, assuming stable performance by the global economy. The EBIT margin should be between 15% and 17% in 2014.
"In contrast to the previous year, in 2014 it was only during the first half-year that we received significant orders which are necessary to reach our targets. This naturally makes it much more of a challenge to meet our own revenue and earnings targets by the end of the year. However, given the high volume of incoming orders, this should still be possible," said Dr. Ingo Bretthauer, CEO of LPKF AG.
Orders on hand in the entire Group rose by just under 150% in the first six months, reaching a new record high of EUR 51.8 million. Business with laser direct structuring (LDS) and solar cell structuring systems has been particularly strong in the first half-year.
