NOTE continued to perform strongly in Q2 and the Windsor plant reopened
At the end of March, and in line with UK government decisions to restrict all non-essential travel and industrial activities, the Windsor plant was temporarily shut down. The Windsor plant accounts for some 10% of NOTE's total sales. The closure is subject to the UK authorities' support measures, which include full compensation for the wage costs of furloughed staff. Based on the local authorities' instructions, NOTE has taken the necessary steps to reopen the plant for production. Capacity utilisation at the Windsor plant is expected to gradually increase in May-June. As previously announced, the temporary closure of the Windsor plant is expected to result in a production loss of some SEK 20 million in Q2.
NOTE's business is progressing very strongly, with all plants in Europe and China now operational. Demand in the second quarter remains high from customers in the medtech segment and other segments. The supply of electronic components remains relatively good. Given the strong order situation, with many new projects in the ramp-up phase, there are good prospects that sales in the second quarter will amount to about SEK 500 million, which corresponds to growth well in excess of 10%. Both the operating profit and the operating margin are expected to strengthen during the second quarter.
”NOTE has recently won the confidence of many customers, and achieved organic growth of some 151,000,000 SEK last year. In the first four months of the year, growth was 171,000,000 SEK, which is well above our sales target. We have many customers in the growth phase, which contributes to our strong growth and earnings performance in the first half-year.”, says Johannes Lind-Widestam, President and CEO.
For further information, please contact:
Johannes Lind-Widestam, President and CEO, tel. 070-541 72 22
Henrik Nygren, Chief Financial Officer, tel. 070-977 06 86
About NOTE
NOTE is one of northern Europe's leading partners for electronics manufacturing. NOTE manufactures printed circuit boards (PCBA), sub-assemblies and complete products (box build). Its customer offering covers the whole product lifecycle, from design to after-sales. NOTE is established in Sweden, Finland, the UK, Estonia, Bulgaria and China. Sales in the last 12 months were SEK 3,687 million and the group has some 1,400 employees. NOTE is listed on Nasdaq Stockholm. For more information, please visit www.note.eu.
This information is information that NOTE AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of Johannes Lind-Widestam, at 08:30 CET on 18 September 2020.