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NKT A/S Q1 2020: Improved financial results driven by the power cable business

Written by Customer Service on . Posted in Public Companies.

Company Announcement13 May 2020
Announcement No. 7NKT A/S Q1 2020: Improved financial results driven by the power cable businessNKT CEO Alexander Kara says:
– I am satisfied to see revenue and earnings increase in Q1 2020 based on positive development in all three business lines. I am also very pleased that in May we booked our largest high-voltage DC order ever, getting a major part of the
SuedOstLink project which underlines our position as a key partner in the green transformation of Germany. NKT Photonics recorded lower revenue and earnings in Q1 2020 as performance was negatively impacted by the coronavirus pandemic.Q1 2020 financial highlights:*std. metal prices2020 financial outlook
The financial outlook for NKT is unchanged from Company Announcement No. 6 of 5 May 2020. The revenue (std. metal prices) is still expected to be approx. 1.0–1.1bn. The operational EBITDA is still expected to be approx. EUR 40–60m.NKT Q1 2020: Increased revenue and earnings driven by all three business lines
 NKT generated revenue (in std. metal prices) of EUR 240.3m in Q1 2020, equal to organic growth of 19%. The revenue measured in market prices was EUR 318.4m. The increased revenue combined with improved production output and satisfactory cost focus improved operational EBITDA to EUR 10.2m. The increased revenue and earnings compared to Q1 2019 was driven by all three business lines. The coronavirus pandemic had only limited impact on the financial performance in the quarter.NKT Photonics Q1 2020: Performance negatively impacted by coronavirus pandemic
 NKT Photonics generated revenue of EUR 12.7m in Q1 2020, corresponding to organic growth of -13%, and EBITDA amounted to EUR -1.8m. While Q1 traditionally generates the lowest revenue, the financial development was still below expectations. The softening in performance compared to Q1 2019 was driven by the Industrial segment, where sales have been negatively impacted by a number of orders being postponed due to restrictions and uncertainty following the coronavirus outbreak.
None of the impacted orders were cancelled.Due to the market uncertainties driven by the coronavirus pandemic, the strategic review of NKT Photonics is not expected to be concluded in the near future.Teleconference
NKT A/S hosts a teleconference for investors and financial analysts at 09:00 am CET on 13 May 2020. It can be accessed at investors.nkt.com. The presentation for the call will be available before the teleconference. To attend, please dial in from (confirmation code: 1789072):
DK +45 32 72 04 17
UK +44 (0) 207 192 8338     
US +1 646 741 3167AttachmentNKT_Interim_Report_Q1_2020_200513

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