Hexagon Composites ASA: Results for the first quarter 2016

12.05.2016  Stock Exchange Release

In the first quarter 2016 Hexagon Composites generated NOK 291.6 (401.6) million in operating income and made an operating profit before depreciation (EBITDA) of NOK 18.6 (52.9) million. Operating profit (EBIT) was NOK 3.2 (39.5) million and profit/loss before tax came to NOK -2.6 (53.3) million.

Operating results in the first quarter were impacted positively by a 17% growth in revenues within the Low-Pressure Cylinders segment versus the same period last year. However weak sales volumes for Mobile PipelineTM solutions has hampered overall profitability for the Group, within the High-Pressure Cylinders segment. The cost initiatives executed in 2015 are being realized in 2016.

Key developments:

  • Profitability impacted by weak Mobile PipelineTM sales.
  • Solid growth in Low-Pressure Cylinders.
  • The Group received NOK 667 million from a private placement of new shares and entered a strategic cooperation agreement with Mitsui & Co., Ltd.
  • Awarded extension of long-term agreement with New Flyer Industries for the North American transit bus market.
  • Acquisition of 67 % of a Brazilian entity to pursue fuel systems opportunities for transit buses and heavy-duty trucks in South America and Africa.
  • Awarded a significant Mobile PipelineTM order for distribution of biomethane in the UK. 
  • Commenced a business viability study of a proposed joint venture with Mitsui & Co. and Toray Industries, to manufacture and sell high-pressure cylinders for hydrogen vehicles in Japan.

 

For more information:
Jon Erik Engeset, CEO, Hexagon Composites ASA
Telephone: +47 916 30 550 | jon.erik.engeset@hexagon.no 

David Bandele, CFO, Hexagon Composites ASA
Telephone: +47 920 91 483 | david.bandele@hexagon.no 

Solveig D Saether, Communication Manager, Hexagon Composites ASA
Telephone: +47 906 34 977 | solveig.saether@hexagon.no

 

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.


Attachment:
HEX Q1 2016 Report
HEX Q1 2016 Presentation
STOCK EXCHANGE RELEASES