· Order bookings increased 14* percent to SEK 12,117 M (10,815).
· Net sales increased 16* percent to SEK 10,339 M (9,048).
· Operating result amounted to SEK 2,058 M (1,837) excluding non-recurring items of SEK -46 M (12).
· Net income amounted to SEK 1,351 M (1,228). Earnings per share amounted to SEK 3.52 (3.26) before dilution and SEK 3.52 (3.23) after dilution.
· Cash flow after continuous investments was SEK 1,292 M (503).
· On March 1, Elekta launched Versa HD™ - a new revolutionary linear accelerator system designed to significantly improve cancer care for patients. Since the launch, 30 Versa HD systems have been sold.
· For 2012/13, the Board of Directors proposes an ordinary dividend of SEK 1.50 (1.25) per share, corresponding to approximately SEK 572 M and 43 percent of net profit. In addition, the Board proposes a three-year program with extraordinary dividend to the shareholders amounting to SEK 0.50 per share and year.
· In fiscal year 2013/14 net sales are expected to grow by more than 10 percent in local currency. The majority of the growth is expected to come from emerging markets.
· Investments in product development will increase by more than 20 percent and EBITA is expected to grow by approximately 10 percent in local currency. Compared with the 2012/13 fiscal year, exchange-rate fluctuations are expected to have a negative impact of about 3 percentage points on the EBITA growth.
* Compared to last fiscal year based on constant exchange rates.
President and CEO comments
I am very pleased and extremely proud of Elekta’s performance in the 2012/13 fiscal year. We surpassed all financial objectives. Order bookings for the fourth quarter rose 15* percent and the full-year increase was 14* percent. Our assessment is that we will continue to grow faster than the market in general.
Elekta’s performance in the Asia Pacific region was excellent and we strengthened our position as the market leader. Several countries in the region have taken a major step forward in the structural and long-term expansion of cancer care.
Order bookings in Europe were strong and entirely in line with our expectations. The demand scenario is favorable in most parts of Europe where Elekta continues to offer solutions for qualitative and cost-efficient cancer care for growing numbers of patients. It was also gratifying to note stronger sales in the Middle East during the fourth quarter.
In North America, Elekta’s sales activities gradually strengthened during the latter part of the fiscal year and Elekta’s order bookings and sales were strong in the fourth quarter. However, the general market in the US has been affected by uncertainty regarding reimbursement levels for radiation
therapy and the outcome of health care reform.
We launched the new linear accelerator, Versa HDTM, during the fourth quarter. This system has a unique combination of high dose rates, good resolution, speed and low radiation leakage, all key elements for improving cancer care. Since the launch we have sold 30 systems and the first patients have already undergone treatment using Versa HDTM.
The fourth quarter broke all records in terms of deliveries and net sales grew with 25* percent. For the full-year, growth of net sales was 16* percent. Operating result rose 17* percent for the full year. This increase is related to the higher sales volumes. Exchange-rate effects impacted growth in operating profit by 5 percentage points.
Elekta sees considerable potential for continued growth, primarily through expansion in emerging markets, but also by strengthening our position in established markets. As we look forward to the coming year, we predict that the favorable market demand, in general, will continue. We also expect to see a strong performance in emerging markets.
We are the pioneer and inventor within several areas of modern cancer care and treatment of neurological disorders. This includes stereotactic radiosurgery, stereotactic radiotherapy, image guided radiotherapy and brachytherapy. To further strengthen our leadership we will increase our investments in research and development, for the coming year by more than 20 percent. We have an extensive product development program focusing on, for instance, integrated software solutions, brachytherapy and image guided radiation therapy. The project which aims to enable treatment combined with advanced magnetic resonance imaging (MRI) is progressing well. Together with the members of the research consortium we look forward to intensify this effort.
Cash flow after continuous investments was strong and amounted to SEK 1,292 M (503) for the year. We achieved a cash conversion of 76 percent, which is well above our target for the year.
Elekta has reached a leading market position, good cash generation and a strong balance sheet. Based on that, the Board proposes to increase the ordinary dividend to SEK 1.50 (1.25) per share. In addition, the Board proposes a three-year program with extraordinary dividend to the shareholders amounting to SEK 0.50 per share and year.
In fiscal year 2013/14 net sales are expected to grow by more than 10 percent in local currency. The majority of the growth is expected to come from emerging markets.
Investments in product development will increase by more than 20 percent and EBITA is expected to grow by approximately 10 percent in local currency. Compared with the 2012/13 fiscal year, exchange-rate fluctuations are expected to have a negative impact of about 3 percentage points on the EBITA growth.
President and CEO
* Compared to last fiscal year based on constant exchange rates. Operating result excluding non-recurring items.
Elekta will host a telephone conference at 10:00 – 11:00 CET on June 5, with President and CEO Tomas Puusepp and CFO Håkan Bergström.
To take part in the conference call, please dial in about 5-10 minutes in advance and use the access code 931950.
Swedish dial-in number: +46 (0)8 5052 0110, UK dial-in number: +44 (0)20 7162 0077, US dial-in number: + 1 334 323 6201.
The telephone conference will also be broadcasted over the internet (listen only). Please use the link: