Boule Diagnostics AB (publ) Year-end report 2016
Continued sales success
Quarter October-December 2016
Net sales amounted to SEK 105.8 million (88.4), up 19.7 percent. Adjusted for the change in the USD and EUR exchange rates, this corresponds to an increase of 14.4 percent.
Cash flow from operating activities amounted to SEK 11.9 million (12.4).
Operating profit was SEK 1.3 million (0.6).
Net profit amounted to SEK 1.5 million (1.3).
The figures include reserves totaling SEK 7.4 million for social costs for the employee share option program and costs in association with the change of CEO.
Earnings per share before dilution amounted to SEK 0.31 (0.28), and after dilution to SEK 0.30 (0.27).
Interim period January–December 2016
Net sales amounted to SEK 400.7 million (331.4), up 20.9 percent. Adjusted for the change in the USD and EUR exchange rates, this corresponds to an increase of 19.7 percent.
Cash flow from operating activities amounted to SEK 19.9 million (22.3).
Operating profit was SEK 47.1 million (21.6).
Net profit amounted to SEK 36.0 million (15.4).
The figures include reserves totaling SEK 9.9 million for social costs for the employee share option program and costs in association with the change of CEO.
Earnings per share before dilution amounted to SEK 7.65 (3.26), and after dilution to SEK 7.45 (3.23).
The Board of Directors proposes a dividend of SEK 1.40 per share for 2016 (0.60).
Significant events during the quarter
Tender won in Kenya
Boule won a tender in Kenya for a total of 70 hematology systems. They are being purchased by the Red Cross that will install the systems in 35 public hospitals in Kenya.
Significant events after the quarter
Tender won in India
Boule has won yet another public tender in India for a total of 100 Medonic systems. The systems will be shipped in the first quarter 2017. The Medonic systems will be installed at blood banks in the Uttar Pradesh region.
New CEO and Group President
Ernst Westman has reached agreement with the board to leave his post as CEO and President of the Group after 23 years’ service. The board has named Fredrik Dalborg new CEO and Group President starting 3 April 2017. He joins from Terumo BCT.
New financial targets and dividend policy
The Boule board has resolved to revise the company’s financial targets and to amend the dividend policy. For further information on this, see page 12 in the year-end report.
Comments from CEO Ernst Westman
”We concluded the end of the last quarter of 2016 with record sales of instrument units, which are the very driving engine of our business model. Altogether, we sold more than 1,000 instruments. Total sales for the period October-December amounted to SEK 105.8 million (88.4) which expressed in local currencies is an increase of 14.4 % compared to the same period in 2015. Sales for the full year amounted to SEK 400.7 million (331.4) an increase of 19.7% expressed in local currency.
Operating profit for the fourth quarter 2016 amounted to SEK 1.3 million. The operating profit includes reserves totaling SEK 7.4 million, of which SEK 3.6 million are primarily reserves for the social costs of the company’s employee share option program as a consequence of the sharp rise in the share price in 2016 and the rest are reserves for costs stipulated in the agreement between the undersigned and the company. Operating profit for the full year amounted to SEK 47.1 million which equates to an operating margin of 11.8 % compared to 6.5 % for 2015 and is our best performance to date.
One general trend we have seen during the year is that we are increasingly winning public procurements. Our products are becoming ever more competitive as demand for high quality hematology products rises. For instance, we won major tenders in India and Mexico earlier in the year and in the fourth quarter, we won two large tenders for the Red Cross in Kenya and the Ministry of Defence and Ministry of Health in Egypt.
On a final note, I wish to extend a warm hand in greeting my successor as CEO at Boule to Fredrik Dalborg, who will take over the reins on 3 April this year. I am proud and grateful as CEO, to have been part of building up the company into the international and growth-focused business and Swedish export success that Boule is today.”
For more information, please contact: Ernst Westman, President and CEO, Boule Diagnostics AB, phone +46 708-60 88 63
About Boule Diagnostics AB (publ) Boule Diagnostics AB is a rapidly growing diagnostics company that develops, manufactures and markets systems and consumables for hematology diagnostics. The company is primarily oriented to small and medium sized hospitals, clinics and laboratories and to diagnostics companies within both human and veterinary hematology. The company operates via subsidiary companies in Sweden, USA and China. Boule Diagnostics shares have been listed on the Nasdaq Stockholm Exchange since 2011. http://www.boule.se
This information is information that Boule Diagnostics AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 08:45 am CET on February 16, 2017.