Nine-month interim report 2012/2013: Sectra increases order bookings and improves earnings

The IT and medical technology company Sectra (http://www.sectra.com) (STO: SECT
B) reported a strong third quarter of the 2012/2013 fiscal year, compared with
the year-earlier period. Order bookings rose 77% to SEK 232.9 million (131.5).
Net sales increased 4% to SEK 205.2 million (196.1) and operating profit was up
290% to SEK 21.1 million (5.4). The results correspond to an operating margin of
10.3% (2.8).
“Our positive earnings trend is primarily the result of our Medical Systems
business area reducing the share of hardware sales to the benefit of increased
sales of software licenses and services, which contributed to a higher operating
margin. Accordingly, on a rolling 12-month basis, we achieved an operating
margin of 11.8%,” says Torbjörn Kronander, President and CEO of Sectra AB.

For the nine-month period, Sectra’s net sales rose 2% to SEK 568.9 million
(554.6) and the operating profit increased 52% to SEK 48.2 million (31.7). The
result corresponds to an operating margin of 8.5% (5.7). The exchange and
interest-rate trend had a negative impact on the Group’s net financial items,
and profit before tax was SEK 45.4 million (52.6), corresponding to a profit
margin of 8.0% (9.5). The comparisons relate to the result in the year-earlier
period, excluding a nonrecurring item attributable to the divestment of the
MicroDose business.

Despite the continued weak growth in the global economy, and Europe in
particular, Sectra’s order bookings for the nine-month period rose 10% to SEK
566.1 million.

“While we have received several strategic orders in recent months, the
fluctuations between the quarters are major. In the preceding fiscal year, we
ended the year with an exceptionally strong fourth quarter, but in the current
year we expect to close on a more normal note,” says Torbjörn Kronander.

Sectra’s growth strategy primarily involves expanding in the markets in which
the company already has an established position, such as northern Europe and
North America, and through business partners in specially selected growth
markets.

After the third quarter, Sectra signed a multi-year agreement with the UK-based
care consortium Salisbury, Wight and South Hampshire Domain NHS Trust.. The
order pertains to a region-wide IT solution for the effective management and
communication of medical images.

The information in this press release is such that Sectra AB (publ) is obligated
to disclose in compliance with the Swedish Securities and Clearing Operations
Act. The information was submitted for publication on March 5, 2013, at 8:00
a.m. (CET).
For further information, please contact:
Dr. Torbjörn Kronander, CEO and President, Sectra  AB, +46 (0) 705 23 52 27
Press photos: http://flickr.com/photos/sectramedicalsystems
About the Sectra Group
Sectra was founded in 1978 and has its roots in Linköping University in Sweden.
The company’s business operation includes cutting-edge products and services
within the niche segments of medical IT and secure communication. Sectra has
offices in 12 countries and operates through partners worldwide. Sales in the
2011/2012 fiscal year totaled SEK 823 million. The Sectra share is quoted on the
NASDAQ OMX Stockholm exchange. For more information, visit www.sectra.com.