NORBIT – Results for the second quarter of 2024
Trondheim, 15 August 2024: In the second quarter, NORBIT recorded revenues of NOK 418.9 million, supported by strong growth in both the Oceans and the Product Innovation & Realization segments. The EBIT result was NOK 101.8 million, representing a margin of 24 per cent.
“We delivered strong operational and financial performance in the second quarter. In the quarter, we also reached important strategic milestones as demonstrated by the acquisition of Innomar, representing an attractive strategic fit and diversification of the Oceans segment,” says Per Jørgen Weisethaunet, CEO of NORBIT.
“The fact that a leading player like Toll4Europe has chosen to award NORBIT a first order worth NOK 160 million for the delivery of GNSS On-Board Units is truly exciting. This is a completely new product that we are currently developing. The first order, received in the second quarter, is scheduled for delivery in the second and third quarter next year from our factory in Røros. The product, a new GNSS On-Board Unit, contributes to efficient tolling solutions for trucks across borders in Europe. This is fully in line with our strategy to expand both our customer base and product offerings”, adds Weisethaunet.
- The Oceans segment reported all-time high revenues of NOK 195.5 million, representing an increase of 28 per cent from NOK 152.2 million in the second quarter of 2023. The increase was primarily explained by strong sonar sales in Europe. The EBIT margin for the segment was 41 per cent.
- The Connectivity segment reported revenues of NOK 101.4 million, compared with NOK 171.8 million in the corresponding quarter of 2023, when Connectivity delivered on a significant contract for On-Board Units. The EBIT margin for Connectivity was 20 per cent in the quarter.
- The Product Innovation & Realization (PIR) segment reported revenues of NOK 134.5 million, up from NOK 101.6 million in the corresponding quarter of 2023. The 32 per cent revenue increase was driven by strong growth from industrial clients within contract manufacturing. The EBIT margin was 13 per cent, a marked improvement from the prior quarter following normalisation of the gross margin.
“The result of this quarter is another testament to the robustness of our diversified business model, with uncorrelated business units,” says Weisethaunet.
On 12 July, NORBIT completed the acquisition of 100 per cent of the shares in the German technology company Innomar Technologie GmbH, a market leader within sub-bottom profilers in the maritime industry.
In the third quarter, Oceans is expected to deliver growth compared to the corresponding period of 2023, excluding the effect of the Innomar acquisition. Connectivity’s revenues for the coming quarter are expected to be in the range of NOK 120 – 130 million. For PIR, the activity level is expected to remain strong, with revenues anticipated to be between NOK 120 – 130 million.
The guidance for the year is reiterated, to deliver revenues of NOK 1.7 – 1.8 billion and an EBIT margin in line with the level reported in 2023. Based on the current outlook for the second half of the year, revenues are forecasted to end up in the lower end of the range, with growth expected to be strongest for the Oceans and PIR segments relative to 2023 (excluding contribution from the Innomar acquisition).
Attached is the report for the first half-year and the presentation material.
CEO Per Jørgen Weisethaunet and CFO Per Kristian Reppe will present the results at 09:00 am CEST. The presentation will be hosted by Arctic Securities via a live webcast. Please use the following link to register for the webcast: https://my.demio.com/ref/9QcqRDuwEbyx4Wgf
For further queries, please contact:
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 applications, 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. The Oceans segment delivers tailored technology solutions to global maritime markets. The Connectivity segment provides wireless solutions for identification, monitoring and tracking. The Product Innovation & Realization segment offers R&D services, proprietary products, and contract manufacturing to key customers. NORBIT is headquartered in Trondheim with manufacturing in Europe and North America, has around 500 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, 15 August 2024 at 07.00 CEST.
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