Neways records rising margins and more profit; strongly positioned for 2022 with well-filled order book
Son, 25 February 2022 – 07:00 – Neways Electronics International N.V. (Euronext: NEWAY) (‘Neways’), today announces the results for the financial year ending on 31 December 2021.
Net turnover of € 469.5 million, 1.9% lower than in 2020, largely due to the rationalization of less profitable customers. Growth with existing clients was dampened by continued material shortages and supply chain disruptions;
Order intake up by 47.4% to € 613.5 million in 2021; order portfolio increases to € 364.3 million at year-end 2021, a rise of 61.9% compared with year-end 2020, driven by a recovery in Automotive, increasing demand in Medical and continued growth in demand in Semiconductor;
Gross margin as a percentage of turnover increases to 39.2% from 36.7%, driven by Neways’ focus on profitable turnover and positive mix effects;
Normalised EBITDA rises by 26.7% to € 27.5 million in 2021, primarily driven by improvement in gross margin;
Normalised operating result increases by 86.1 % to € 14.7 million;
Net result recovers strongly and rises to € 8.7 million (€ 0.71 per share), compared to a net loss of € 3.9 million in 2020;
Net cash flow comes in at a negative € 33.4 million, among other things, due to higher working capital utilisation, one-off cash-out effects related to the reorganisation in Germany and the integration of two operating companies in the Netherlands, plus the payment of deferred taxes;
Neways is strongly positioned for further growth in 2022. The order book is well filled, market developments are positive and the demand for System Innovator solutions is gaining traction among our clients. Continued supply chain disruptions, high energy costs and rising inflation could have a dampening effect on turnover and profit growth in 2022.