Combitech's half-year report for January–June 2015

Combitech, the technology consultancy company and an independent subsidiary within the defence and security group Saab AB, increased its sales and operating margin in the first half of 2015. In the second quarter the company acquired the operations of SecureCom.

Highlights of the second quarter of 2015:

On 1 May Combitech acquired the operations of SecureCom, a consulting firm with industry-leading expertise in card payments for the banking and finance sector. SecureCom’s leading expertise and Nordic customer base in the banking and finance industry fits in well with Combitech’s strategic ambitions to expand its operations in Cyber Security.
Combitech has launched a new network monitoring service called Managed Security Services (MSS), offering our customers real-time monitoring and analytical services round the clock. The operation strengthens our Cyber Security offering, and contracts with new customers were signed in the second quarter.
Several framework agreements have been concluded, notably with European Spallation Source (ESS) in Lund and the Stockholm County Administrative Board.
Combitech has received several contracts in the Internet of Things field, including a contract for a cloud solution for the Lund-based firm Serstech, which produces handheld instruments for identification of drugs and other chemical substances.
Sales in the first half of 2015 were SEK 826 million, which is an increase of 3 per cent compared with the same period in 2014. The number of employees has declined slightly since year-end, to 1,450.
- The positive trend from the first quarter has continued into the second, with further improvements to utilisation and profitability, especially in Sweden, said Hans Torin, Acting CEO of Combitech.

KEY FIGURES, JANUARY-JUNE 2015:

Order situation

The order intake in the first six months was SEK 858 million, an increase of 8 per cent year on year. The order intake remains stable.

Sales revenues

Sales revenues were SEK 862 million, an increase of 3 per cent compared with the same period in 2014. The increase in sales is predominantly organic. The portion of sales outside the Saab Group was 60 per cent.

Earnings and margin

The operating profit (EBIT) was SEK 54 million, compared with SEK 49 million in the same period last year. The operating margin was 6.3 per cent (5.8 per cent in 2014). The improved operating margin is chiefly due to increased utilisation rate.

Operating cash flow

Operating cash flow was SEK 69 million, which is significantly higher than in the year-before period (SEK 35 million). The difference between the years is due to improved profitability as well as reduced capital tied up in trade receivables.

For more information
Charlotte Magnusson, Head of Communication, Combitech
Phone: +46 734 184 143, E-mail: charlotte.magnusson@combitech.se

Ann-Sofi Jönsson, IR Manager, Saab AB
Phone: +46 8-463 02 14, e-mail: ann-sofi.jonsson@saabgroup.com

About Combitech
Combitech is a Nordic technology consultancy firm with more than 1,450 employees in Sweden, Norway and Finland. It is an independent company in the Saab AB defence and security group. For more information, please visit www.combitech.se.