Neways Electronics International N.V. (Euronext: NEWAY) (“Neways” or the “Company”), today announces its results for the financial year ending on 31 December 2018.
Net turnover of € 506,8 million, an increase of 15.5% due to strong demand, primarily in the semiconductor and automotive sectors
Order book rises 15.3% to above the € 300 million mark, increases in all market sectors
Normalised operating result increases by 43.8% to € 22.0 million as a result of higher activity levels and increased scalability
Net result up 45.5% at € 14.4 million; dividend proposal 37.1% higher at € 0.48 per share
MESSAGE FROM THE CEO
Huub van der Vrande: “Last year was a record year for us, both in terms of turnover and profit. We passed the turnover mark of € 500 million. We are seeing a continued rise in the demand for more complex box-build systems and that our positioning as a product life-cycle partner is gaining traction. However, the high demand from clients in combination with the scarcity of components is putting pressure on our organisation and creating extra challenges. We had to do more to serve our clients and get our orders delivered. This led to extra costs and higher use of capital. At the same time, this also showed that there is a good deal of room for improvement.
Despite these additional challenges, we managed to further improve our effectiveness and responsiveness. Our organisation is again more professional and more robust than a year ago. As a result, we work more efficiently and we are more aware of the risks that go hand in hand with the larger and more complex projects Neways is involved in. To facilitate our continued growth with our clients, we have expanded our production capacity in Germany and China.
Our order book was well filled at year-end 2018. On the basis of our order book and the potential to improve within the group, we are anticipating a good start to 2019. And barring unforeseen macro-economic developments, we expect to record higher turnover and a higher operating result for the full year.”
On the basis of the strong improvement in our result, in combination with the positive expectations for 2019, at the upcoming General Meeting of Shareholders we will submit a proposal to raise the dividend to € 0.48 per share.