Another Quarter of Record Earnings for Combitech
Published 21 July 2021
The Nordic solution and consulting partner Combitech is issuing its quarterly report for April-June 2021. The report shows a sharp increase in profit in the first six months of the year, compared to the corresponding period last year. Order intake remains high and both sales and operating margin are increasing. This means Combitech continues to have a great need for recruitment.
"We have another strong quarter behind us," says Jessica Öberg, who took over as CEO of Combitech on 1 July this year. "Operating profit for the first six months has increased by 36 %. With this positive development, we continue to have a great need to recruit in all our localities, despite welcoming 230 new employees at the beginning of July."
The considerable societal focus on security and the restoration of Sweden's national defence, combined with continuing strong demand from industrial companies looking to take the next step in Industry 4.0, have contributed to the increased sales and high earnings.
KEY EVENTS APRIL-JUNE 2021
During the period, Combitech signed an agreement with the Swedish Civil Contingencies Agency (MSB) regarding Consultancy Support for operators within collaboration and management in the event of societal disruption.
Combitech has signed a cooperation agreement with BAE Systems Hägglunds. The agreement, which is valid for 10 years, means that Combitech will be an exclusive partner in areas such as digital transformation and model-based development. Employees of BAE Systems Hägglunds will also have opportunities to work in assignments at Combitech in order to further develop their skills and competencies.
Combitech has been awarded funding from Microsoft's global initiative 'AI for Earth' to support Combitech's work with the Swedish Forest Agency. The aim of the initiative is to further develop an AI solution to detect infestations of pests early on and to make the technology available to other businesses.
Combitech has initiated a new collaboration with the US software company iBASEt, which, among other things, provides system solutions for production and maintenance such as the Manufacturing Execution System (MES).
Combitech's commitments in cyber security have increased, including several new agreements regarding Security Operations Centre (SOC).
During the second quarter of 2021, Combitech signed several new agreements in public sector operations, primarily in IT services and information security.
During the period, Combitech's commitments in national defence, both civilian and military, have increased.
Key figures, January-June 2021
Order intake in the first six months amounted to SEK 1477 million, which is in line with the first half of 2020 (SEK 1,493 million).
Sales revenues amounted to SEK 1440 million, an increase of 8.4 percent compared to the same period in 2020 (SEK 1,329 million).
Profit/loss and margin
Operating profit (EBIT) was at SEK 137 million, representing an increase of 35.6% on the figure for the same period last year (SEK 101 million). The operating margin amounted to 9.5 percent, compared to 7.6 percent in 2020.
Operating cash flow
The operating cash flow was SEK 135 million, compared with SEK 482 million in the first six months of 2020. The large cash flow in the first half of 2020 was affected by a temporary payment deferral from the State totalling SEK 230 million (due to Covid-19.)
Åsa Scherling, Head of Communications and Marketing at Combitech
Tel.: +46 (0)73 418 7798, Email: asa.scherling@combitech.com
Merton Kaplan, IR manager, Saab AB
Tel.: +46 (0)73 418 2071, email: merton.kaplan@saabgroup.com
About Combitech
Combitech is a Nordic solution and consulting partner with services in areas such as digital transformation, cybersecurity and civil and military defence. We have 2,100 employees helping companies, industries and the public sector to benefit from technology and digitalisation for a sustainable and secure society. In short: technology with a purpose! Read more at www.combitech.se
Combitech is an independent company within the defence and security group Saab.
Adam Fagerström
Acting Head of Communication & Marketing