Second quarter 2019 Operating income for the second quarter amounted to SEK 39,029 thousand (22,882), an increase of 71 percent Net sales for the second quarter amounted to SEK 25,961 thousand (14,711), an increase of 76 percent Earnings before depreciation (EBITDA) for the second quarter amounted to SEK -6,978 thousand (-18,453) Result for the second quarter amounted to SEK -21,368 thousand (-28,712) Earnings per share amounted to SEK -0.16 (-0.26) Equity per share amounted to SEK 2.18 (2.26)
|Profit before depreciation||-6,978||-18,453||-12,903||-33,017||-57,548|
|Profit for the period||-21,368||-28,712||-42,038||-53,548||-102,971|
|Earnings per share, SEK||-0.16||-0.26||-0.32||-0.48||-0.87|
|Equity per share, SEK||2.18||2.26||2.18||2.26||2.07|
|A web-based presentation of the interim report will be held at 10:00 Thursday, August 29, 2019. Please register for the webinar via the link:https://attendee.gotowebinar.com/register/372080632638405132|
CEO Statement: Second quarter – continued strong net growth
The second quarter of 2019 was a very intensive quarter for Sivers IMA. Not least, this showed in the strong net growth of 76 percent compared to prior year. It is also gratifying that we saw robust growth in both our business areas.
The interest in our products is great and during the second quarter we put a lot of work into sales and customer support to secure new contracts and orders. Our intensified efforts gave quick results, both within 5G and fiber. I would particularly like to highlight our breakthrough agreement within 5G in China and the large follow-up order signed in July of SEK 20 million from our American Fortune 100 customer.
In May, we announced that we had sold more than twenty 5G test systems since the Mobile World Congress in February. One of these test systems has now led to a design-in agreement. In June, we continued to sell a number of evaluation kits, which gives good hope for more business within 5G.
Even in the fiber segment – CST Global – business activity was high. The follow-up order from our Fortune 100 customer shows we are doing the right things and that we can offer very large companies absolute top quality in high-tech optical semiconductors.
In the second quarter, the European counterpart to the Swedish Post and Telecom Agency, CEPT ECC, in its latest recommendation, opened the 57-71 GHz band for unlicensed 5G throughout Europe. It was very positive news for us at Sivers IMA because we have the only radio that can offer the full band. In addition, CCS – one of our largest customers in unlicensed 5G – got approved type tests to sell its products within Europe. Thanks to Sivers IMA’s award-winning 5G RFIC chip, CCS is now alone in the EU with a product that covers the entire spectrum and makes this new market open to CCS and ultimately to us.
The high demand for our products has led to a need for growth capital to be able to handle all new customers. Thanks to strong interest from institutional investors, we were in June able to make a targeted new share issue of SEK 82 million. We are particularly pleased that all our major existing institutional owners participated in the issue and that we could welcome a number of new long-term institutional owners to the company.
The money from the new share issue will be used to handle new customers and inquiries. In addition, we will invest in the development of the next generation 5G chip sets and in increased manufacturing capacity at CST Global.
Overall, in terms of sales, the second quarter was strong and showed superb growth. Through solid cost control, we also managed to significantly reduce losses without sacrificing quality or development efforts. The progress during the first half of the year shows the potential of our business and, as we are involved in many exciting customers’ projects, I look ahead with anticipation.
Anders Storm, CEO of Sivers IMA Group
For more information, please contact:
Anders Storm, CEO
Tel: +46 70 262 6390
e-mail: [email protected]
Erik Penser Bank is appointed Sivers IMA Holding AB’s Certified Advisor at Nasdaq First North.
Tel: +46 8 463 80 00
e-mail: [email protected]
This is information that Sivers IMA Holding 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 person set out above at 08:00 pm CET on August 29, 2019.
Sivers IMA Holding AB is a leading and internationally renowned supplier, publicly traded under SIVE at Nasdaq First North Stockholm. The wholly owned subsidiaries Sivers IMA and CST Global develop, manufacture and sell cutting-edge chips, components, modules and subsystems based on proprietary advanced semiconductor technology in microwave, millimeter wave and optical semiconductors. Headquarters in Stockholm, Sweden. Learn more at http://siversima.com.