Knocking Down the Bone Pile: Revamp Your Components with BGA Reballing
SMT Perspectives & Prospects: Artificial Intelligence Part 6: Data Module 1
Standard of Excellence: Overcoming Service Failures—The Art of the Apology
Incap Posts Strong Revenue Growth for H1 2018
August 15, 2018 | IncapEstimated reading time: 10 minutes
Key Figures in January-June 2018
- Incap Group's revenue in January-June 2018 increased by 13% on corresponding period last year and amounted to EUR 27.0 million (1-6/2017: EUR 23.8 million).
- The Group's operating profit (EBIT) increased on corresponding period by 37% and amounted to EUR 3.1 million, being 11% out of revenue (EUR 2.3 million or 10% out of revenue).
- Net profit for the report period improved year-on-year and amounted to EUR 2.1 million (EUR 1.6 million).
- The company updates its guidance and estimates that the Group's full-year revenue and operating profit (EBIT) in 2018 are higher than in 2017, provided that there are no major changes in exchange rates or in material availability. In 2017 the full-year revenue was EUR 48.5 million and the operating profit (EBIT) EUR 4.5 million.
Key Figures in April-June 2018
- The revenue of the second quarter amounted to EUR 14.5 million, showing an increase of 13% compared with the corresponding period last year (4-6/2017: EUR 12.8 million) and up 16% compared with the first quarter of the year (1-3/2018: EUR 12.5 million).
- Operating profit (EBIT) for the second quarter was EUR 1.9 million, i.e. approximately 50% higher than in the corresponding period last year (4-6/2017: EUR 1.3 million) and approximately 67% higher than in the first quarter (1-3/2018: EUR 1.1 million).
Incap Group's interim CEO Otto Pukk:
"Our business performance was strong during the first half of the year and especially the second quarter was excellent both as to revenue and operating profit.
The growth of revenue was mainly attributed to the increased demand of our established customers. We also proceeded in the new customer acquisition and expect that the introduction of new products will reflect in the revenue as from the end of the year.
We are especially delighted of the good profitability. Thanks to our streamlined operational model we have succeeded in keeping the overhead costs low. When developing our operations we continue to focus on functions, which bring the highest added value to our customers.
The performance of our Indian factory continued strong. Expansion of the premises is in use and a new SMT assembly line will be in place during the second half of the year, enabling further increase of production volumes in the factory.
The business of the factory in Estonia showed a stable performance and the factory has updated its capability to produce medical devices in accordance with the latest ISO 13485/2016 certificate. The capacity and flexibility of the new production line has been increased by supplementary minor investments.
Current problems in the availability of components in electronics manufacturing services business have escalated during the first half of the year. We have prepared for the shortage of components by increasing our inventory moderately and we work closely with our suppliers in order to secure deliveries to our customers as agreed.
All in all, we are happy with the development during the first half of the year and trust that the positive trend will continue during the rest of the year. General outlook in the electronics contract manufacturing is good and we have a firm belief in our competitive edge in this market also in future, based on our efficient operational model."
Incap Group's Revenue and Earnings in January-June 2018
Revenue for January-June amounted to EUR 27.0 million, showing an increase of 13% year-on-year (1-6/2017: EUR 23.8 million) and being 9% higher than in the latter half of the year 2017 (7-12/2017: EUR 24.8 million). The revenue growth was caused by the increased manufacturing volumes in the Indian factory for long-term established customers.
The operating profit (EBIT) for January-June amounted to EUR 3.1 million, improving by 37% when compared with the corresponding period last year (EUR 2.3 million) and the second half of 2017 (EUR 2.3 million). The operating profit margin for the report period amounted to 11% (10%), which is generally considered to be a good level in the business of electronics manufacturing services.
Weakening of the Indian Rupee in relation to Euro lowered the revenue by approximately EUR 1.5 million and the operating profit by approximately EUR 0.2 million.
Personnel expenses in the report period increased in line with the growing business volumes and amounted to approximately EUR 2.4 million (EUR 2.0 million). The value of inventories increased to EUR 9.2 million based on the growth of business volumes and the preparation for shortage in components (EUR 8.0 million).
Net financial expenses amounted to EUR 0.3 million (EUR 0.3 million) and depreciation to EUR 0.2 million (EUR 0.2 million).
Net profit for the period was EUR 2.1 million (EUR 1.6 million). Earnings per share were EUR 0.48 (EUR 0.36).
Page 1 of 3
Share on:
Testimonial
"Advertising in PCB007 Magazine has been a great way to showcase our bare board testers to the right audience. The I-Connect007 team makes the process smooth and professional. We’re proud to be featured in such a trusted publication."
Klaus Koziol - atgSuggested Items
Firefly Aerospace Announces Strategic Acquisition of SciTec to Advance National Security Capabilities
10/07/2025 | Firefly AerospaceFirefly Aerospace, a market leading space and defense technology company, has entered into a definitive agreement to acquire SciTec, Inc., a leader in advanced national security technologies, for approximately $855 million through a combination of $300 million in cash and $555 million in Firefly shares issued to SciTec owners at a price of $50 per share.
High-Tech Hill Technology Park Opens: Four New Factories Launched
09/26/2025 | TeltonikaThe ambitious vision announced in late 2020 to build a world-class technology park in Liepkalnis, Vilnius, has become a reality. AGP Investments, led by entrepreneur Arvydas Paukštys, together with high-tech leaders Teltonika and TLT, today inaugurated four new factories at the Vilnius High-Tech Hill Technology Park.
U.S. Manufacturing Jobs Decline Amid Tariffs and Immigration Crackdown
09/17/2025 | I-Connect007 Editorial TeamManufacturers in the U.S. are cutting jobs even as President Donald Trump pushes policies he says will revitalize the industry. Employers shed 12,000 manufacturing jobs in August, while payrolls in the sector have fallen by 42,000 since April, according to a new analysis from the Center for American Progress (CAP) based on government labor data.
Defense Speak Interpreted: If CHIPS Cuts Back, What Happens to Electronics Packaging Funds?
09/02/2025 | Dennis Fritz -- Column: Defense Speak InterpretedIn my May column, I examined the topic of the CHIPS Act and its current status as a U.S. government program. I found that CHIPS activities continue, but some corporations have delayed or canceled them because of budget cuts or corporation-specific problems. However, CHIPS integrated circuits—mostly administered by the Department of Commerce—don’t fully drive the electronics interconnection activity being funded by the government. Let’s cover the progress/status of other programs:
Ecolab to Acquire Ovivo’s Electronics Ultra-Pure Water Business
08/15/2025 | EcolabEcolab Inc. has entered into a definitive agreement to acquire Ovivo’s Electronics business, a leading and fast-growing global provider of breakthrough ultra-pure water technologies for semiconductor manufacturing.