NORBIT - Results for the first quarter of 2022
Trondheim, 13 May 2022: NORBIT reports revenues of NOK 235.2 million for the first quarter, which represents an increase of 58 per cent compared with the corresponding period in the previous year. The EBITDA more than doubled from last year and came in at NOK 43.9 million in the quarter.
"We are well on track to reach our goal of exceeding NOK 1 billion in revenue this year. All our segments are showing progress, with growth on the top line and improved profitability. Despite the first quarter usually being seasonally weak for the Oceans segment, we deliver the second highest quarterly revenues ever”, says Per Jørgen Weisethaunet, CEO of NORBIT.
The Oceans segment delivered revenues of NOK 80.8 million for the first quarter, with an EBITDA margin of 32 per cent. The revenue increased with 18 per cent compared to the same quarter in 2021. In the quarter, Oceans won a NOK 15 million contract for multiple Winghead i80 sonars and a NOK 20 million order for several Guardpoint sonars, to be delivered in the second quarter.
The Connectivity segment reported revenues of NOK 63.7 million and an EBITDA margin of 22 per cent. Revenues more than tripled compared to the first quarter last year. Strong demand for products from the subsegment Intelligent Traffic Systems (ITS) and the acquisition of iData contributed to the revenue growth. Several important contracts were won in this segment in the first quarter, including one order of NOK 30 million from Toll Collect for satellite-based toll collection and two orders for On-Board Units to a total value of NOK 40 million.
The Product Innovation & Realization (PIR) segment delivered NOK 98.8 million in revenue in the quarter, and an EBITDA margin of 12 per cent. Increased activity related to contract manufacturing accounted for most of the 47 per cent revenue growth compared to the corresponding period in 2021. During the quarter, PIR was awarded a four-year framework agreement of NOK 120 million with a European industrial company for delivery of electronic modules for electromobility charging products.
“The components market has been demanding for a long period of time. We have met this challenge with a threefold strategy. Firstly, we have built a safety stock of critical components. Secondly, we have skilled R&D engineers who are able to adapt the design to make use of alternative components. Thirdly, we have taken advantage of the flexibility and dynamics enabled by our in-house production", Weisethaunet continues.
The outlook for the second quarter is positive, where increased sales are expected in the Oceans and Connectivity segments compared with both the first quarter of the year and the second quarter of 2021. PIR benefits from the generally strong demand in contract manufacturing. This is expected to continue in the second quarter, with revenues in line with the first quarter. The guidance is supported by existing orders.
NORBIT's long-term ambition is to deliver organic revenues of more than NOK 1.5 billion and an EBITDA margin of over 25 per cent in 2024.
Attached is the report for the first quarter and the presentation material.
CEO Per Jørgen Weisethaunet and CFO Per Kristian Reppe will present the company's results today at 10:00. The presentation will be held at Pareto Securities in Dronning Mauds gate 3, Oslo. It is also possible to follow the presentation via the following link: https://invitepeople.com/events/8b99861c7a7eff63.
For more information:
Per Jørgen Weisethaunet, CEO, +47 959 62 915
Per Kristian Reppe, CFO, +47 900 33 203
About NORBIT ASA
NORBIT is a global provider of tailored technology to selected niches, solving challenges and promoting sustainability through innovative solutions, in line with its mission to Explore More. The company is structured in three business segments to address its key markets: Oceans, Connectivity and Product Innovation & Realization (PIR). The Oceans segment delivers tailored technology solutions to global maritime markets. The Connectivity segment provides wireless solutions for identification, monitoring and tracking. The PIR segment offers R&D services, proprietary products, and contract manufacturing to key customers. NORBIT is headquartered in Trondheim with manufacturing in Norway, has around 400 employees, and a worldwide sales and distribution platform.
For more information: www.norbit.com
This information counts as insider information and must be disclosed in accordance with the Market Abuse Regulation and the Norwegian Securities Trading Act §5-12.
This stock exchange announcement was published by Elise Heidenreich, Investor Relations in NORBIT ASA, 13 May 2022 at 06:30 CEST.
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