Interim Report May - January 2008/09

Interim Report May - January 2008/09

Stockholm Sweden — Wednesday, March 4, 2009

  • Order bookings rose 17* percent. Order backlog at an all time high level of SEK 6,755 M.
  • Net sales amounted to SEK 4,156 M, an increase by 20* percent.
  • Operating profit rose 16 percent to SEK 309 M (267).
  • Profit after taxes amounted to SEK 184 M (174).
  • Earnings per share after dilution were SEK 2.03 (1.91).
  • Cash flow from operating activities was negative SEK 93 M (pos.89).
  • For the full year 2008/09, Elekta reiterates the outlook of a net sales growth of more than 15 percent in local currency and operating profit growth of 20-25 percent.


* Compared to the same period last fiscal year at unchanged exchange rates.


President and CEO Tomas Puusepp comments

Elekta continues to strengthen its market position. Demand for our technology and clinical solutions remains strong and the interest in our recent product launches, Leksell Gamma Knife® Perfexion™, Elekta Axesse™ and Elekta VMAT continues to be high.

I am pleased with the global presence we have reached and the fact that our systems and solutions are used in over 5,000 hospitals. A broad and large customer base makes Elekta less vulnerable to certain market shifts and provides an excellent platform for our after sales business.

Order bookings on a rolling twelve-months basis increased by 27 percent. From the beginning of this fiscal year, the order backlog increased by 33 percent, reflecting solid business growth as well as favorable currency movements.

During the third quarter we experienced lower order intake in the US market as the sales cycle has increased. The reimbursement rules that took effect in January support further investments in advanced cancer care, especially in IMRT where Elekta has an excellent market position. Furthermore, I am proud that the oncology department at the well-respected University of Texas M. D. Anderson Cancer Center has acquired Leksell Gamma Knife® Per-fexion™, which shows the importance of this technology also in radiation therapy.

We are expanding geographically into new markets. Starting our own office in Latin America has already shown to be a successful investment. An important factor for growth in emerging markets is our highly competitive linear accelerator Elekta Compact™. As anticipated we received approval in January from the Chinese State Food and Drug Administration (SFDA) to sell Elekta Compact in China.

Operating profit for the first nine months increased by 16 percent compared with the previous year. The strong improvement of operating profit in the third quarter was an effect of increased sales and positive currency development. Cash flow is still weak, mainly as an effect of a relatively high level of working capital. We remain focused on working capital management and expect our net debt to equity ratio to be reduced from 0.8 to the targeted level 0.5 at the end of the fiscal year.

Currency markets continue to be highly volatile. In line with our hedging policy, we have increased our hedge levels for next fiscal year and are currently hedged at approximately 60 percent. The substantial positive impact of currency movements will mainly be recognized during next fiscal year.

The economic slowdown has so far had a limited effect on investments in cancer care. We do expect lower growth in the US market. However, substantial capacity shortage prevails in large parts of the world. In some countries public health care investments are considered to be a fruitful way to stimulate the economy. Also, as the largest supplier of oncology soft-ware we provide treatment tools for efficiency gains in all our markets.

For the full fiscal year 2008/09 we reiterate our earlier outlook of a net sales growth of more than 15 percent in local currency and a growth in operating profit of 20-25 percent.

Tomas Puusepp
President and CEO

 

For further information, please contact:

Tomas Puusepp, President and CEO, Elekta AB (publ)
Tel: +46 8 587 25 520, e-mail: tomas.puusepp@elekta.com

Håkan Bergström, CFO, Elekta AB (publ)
Tel: +46 8 587 25 547, e-mail: hakan.bergstrom@elekta.com

Lena Schattauer, Investor Relations, Elekta AB (publ)
Tel: +46 8 587 25 722, +46 70 595 51 00, e-mail: lena.schattauer@elekta.com

About Elekta

Elekta is a human care company pioneering significant innovations and clinical solutions for treating cancer and brain disorders. The company develops sophisticated state of the art tools and treatment planning systems for radiation therapy and radiosurgery, as well as workflow enhancing software systems across the spectrum of cancer care.

Stretching the boundaries of science and technology, providing intelligent and resource-efficient solutions that offer confidence to both healthcare providers and patients, Elekta aims to improve, prolong and even save patient lives, making the future possible today.

Today, Elekta solutions in oncology and neurosurgery are used in over 5,000 hospitals globally, and every day more than 100,000 patients receive diagnosis, treatment or follow-up with the help of a solution from the Elekta Group.

Elekta employs around 2,500 employees globally. The corporate headquarter is located in Stockholm, Sweden, and the company is listed on the Nordic Exchange under the ticker EKTAb. For more information about Elekta, please visit www.elekta.com.


This information was brought to you by Cision http://www.cisionwire.com
http://www.cisionwire.com/elekta/interim-report-may---january-2008-09

The following files are available for download:


Interim report May-January 2008/09

 

###

About Elekta

Elekta is a human care company pioneering significant innovations and clinical solutions for treating cancer and brain disorders. The company develops sophisticated, state-of-the-art tools and treatment planning systems for radiation therapy and radiosurgery, as well as workflow enhancing software systems across the spectrum of cancer care.

Elekta is a human care company pioneering significant innovations and clinical solutions for treating cancer and brain disorders. The company develops sophisticated, state-of-the-art tools and treatment planning systems for radiation therapy and radiosurgery, as well as workflow enhancing software systems across the spectrum of cancer care.

Stretching the boundaries of science and technology, providing intelligent and resource-efficient solutions that offer confidence to both healthcare providers and patients, Elekta aims to improve, prolong and even save patient lives, making the future possible today.

Today, Elekta solutions in oncology and neurosurgery are used in over 5,000 hospitals globally, and every day more than 100,000 patients receive diagnosis, treatment or follow-up with the help of a solution from the Elekta Group.

Elekta employs around 2,500 employees globally. The corporate headquarter is located in Stockholm, Sweden, and the company is listed on the Nordic Exchange under the ticker EKTAb.

Visit Elekta - www.elekta.com

Press Releases

For further information, please contact

Stina Thorman, Vice President Corporate Communications, Elekta AB
Tel: +46 8 587 254 37
Email: stina.thorman@elekta.com
Time zone: CET: Central European

Michelle Lee, Director, Global Public Relations and Brand Management, Elekta
Tel: +1 770-670-2447
Email: michelle.lee@elekta.com
Time zone: EDT: Eastern Daylight Time