Defence and Security Company Saab Releases the Interim Report for January-June
2010
STOCKHOLM–(Business Wire)–
Saab (STO:SAABB):
Results January – June 2010:
* Order bookings amounted to MSEK 10,516 (8,096) and the order backlog at the
end of the period amounted to SEK 38.9 billion (42.4 billion)
* Sales decreased by 3 percent to MSEK 11,377 (11,695), also adjusted for
exchange rate effects
* Gross income amounted to MSEK 2,712 (3,037), corresponding to a gross margin
of 23.8 percent (26.0). Adjusted for non-recurring items, the gross margin was
24.4 percent (25.3)
* Operating income was MSEK 402 (622), corresponding to an operating margin of
3.5 percent (5.3). Adjusted for non-recurring items, the operating margin was
4.5 percent (4.9). Recurring figures included charges of MSEK 290, mainly
related to a terminated contract in Security and Defence Solutions
* Net income was MSEK 246 (265), with earnings per share after dilution of SEK
2.25 (2.46)
* Operating cash flow amounted to MSEK 2,233 (-243) • The outlook for 2010 has
changed
Changed outlook for 2010:
We remain cautious regarding order intake and foresee sales and profitability at
about the same level as 2009. Our long-term financial targets remain.
Previous outlook: We remain cautious regarding order intake and foresee sales on
the same level as 2009. Due to the effect of continued business improvement
activities we expect profitability to increase. Our long-term financial targets
remain.
Financial highlights
MSEK Jan-Jun Jan-Jun Change, Apr-Jun Apr-Jun Jan-Dec
2010 2009 % 2010 2009 2009
Order bookings 10,516 8,096 30 5,038 3,995 18,428
Order backlog 38,859 42,414 -8 -695** -1,744** 39,389
Sales 11,377 11,695 -3 5,993 6,283 24,647
Operating income (EBIT) 402 622 -35 276 472 1,374
Operating margin, % 3.5 5.3 4.6 7.5 5.6
Adjusted operating margin, * % 4.5 4.9 5.7 6.7 5.4
Net income 246 265 -7 174 292 699
Earnings per share before dilution, SEK 2.33 2.51 1.68 2.75 6.45
Earnings per share after dilution, SEK 2.25 2.46 1.62 2.69 6.28
Return on equity,*** % 6.5 -5.3 7.0
Operating cash flow 2,233 -243 – 2,306 213 1,447
Operating cash flow per share after dilution, SEK 20.46 -2.23 21.13 1.95 13.26
* Adjusted for non-recurring items impacting operating income, for more information see page 4 -110 50 -68 50 50
** Refers to quarterly change
*** The return on equity is measured over a rolling 12-month period
Statement by the president and CEO:
“Order bookings increased for several of our business areas during the first
half-year, even though we still see some delays in customer decision making
processes. Sales were at the expected level and the operating cash flow was
strong as a result of our business activities being delivered according to plan.
Profitability was negatively impacted by a terminated contract in our civil
security business and lower capacity utilization pending larger orders. As a
consequence, we change our outlook for 2010. Previously we estimated
profitability to increase compared to 2009, whereas now the profitability is
expected to remain at about the same level as in 2009.
Our strategy, focusing on value creation by delivering on our strategic
priorities to increase our market focus, create a more focused portfolio and
more efficient operations, remain firm,” says President and CEO Åke Svensson.
Press and analysts meeting
Press and analysts are invited to a presentation of the Interim Report by CEO
Åke Svensson and CFO Lars Granlöf. The meeting is held in Stockholm at World
Trade Center conference center, 4th floor, entrance from Klarabergsviadukten 70
or Kungsbron 1, friday, 23 July, 10.00 am C.E.T
Live webcast
If you are unable to attend in person, please visit
http://www.saabgroup.com/en/InvestorRelations where a live webcast will be
available together with the presentation material. All viewers will be able to
post questions to the presenters. The webcast will also be available at Saab`s
website afterwards.
For streaming and broadcast-standard video, please visit
www.thenewsmarket.com/saab. If you are a first-time user, please take a moment
to register. In case you have any questions, please e-mail
journalisthelp@thenewsmarket.com.
The information is that which Saab AB is required to declare by the Securities
Business Act and/or the Financial instruments Trading Act. The information was
submitted for publication on July 23 at 07.30.
Saab serves the global market with world-leading products, services and
solutions ranging from military defence to civil security. Saab has operations
and employees on all continents and constantly develops, adopts and improves new
technology to meet customers` changing needs.
This information was brought to you by Cision http://www.cisionwire.com
For further information, please contact:
Saab Press Centre, 46 (0)734 180 018
Saab Investor Relations, Ann-Sofi Jönsson, 46 (0)734 187 214
presscentre@saabgroup.com
www.saabgroup.com
Copyright Business Wire 2010