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Neways Posts Rise in Q3 Revenue Driven by Improved Market Sector Spread
December 3, 2015 | NewaysEstimated reading time: 1 minute
Neways Electronics International N.V. booked turnover of EUR 96.5 million in the third quarter of 2015, an increase of 7% compared to the same period of last year (EUR 89.9 million). This increase was largely due to a recovery in demand from clients in the semiconductor and automotive sector.
Compared to the first half year the revenue stabilizes in the third quarter of 2015. This is partly due to the decrease in the predictability of customers, whereby customers from different market sectors conduct a more tightening inventory policy towards the end of the year.
Outlook
In recent months, Neways has started the implementation of its group-wide improvement programme ‘Up to the next level’, which will further reinforce Neways’ positioning as a one-stop provider in the Electronic Manufacturing Services (EMS) market. We expect that the results of the improvement programme will be visible next year. Based on an analysis of those results, we will assess which potential improvements and efficiency measures we can realise for each operating company.
Given the continued integration of the BuS Group and the resultant improved spread across market sectors, Neways is now in a better position to respond effectively to fluctuations in demand.
Based on our current information and assuming no major inventory corrections will take place at our customers in the coming months, it is expected that sales will stabilize in the second half of 2015 compared to the first half year.
Neways will publish its 2015 full year results on 23 February 2016 before the opening of the stock exchange.
About Neways
Neways Electronics International N.V. (Neways) is an international company active in the EMS (Electronic Manufacturing Services) market. Neways offers its clients custom-made solutions for the complete product life cycle (from product development to after-sales service) of both electronic components and complete (box-built) electronic control systems. Neways operates in a niche of the EMS market and focuses primarily on small to medium-sized specialist series, in which quality, flexibility and time-to-market play a crucial role. Neways products are used in sectors such as the semi-conductor, medical, automotive, telecom and defence industries. Neways has operating companies in the Netherlands, Germany, the Czech Republic, Slovakia and China, with a total of 2,611 employees at year-end 2014. Neways recorded net turnover of € 309 million In 2014. Neways is listed on Euronext Amsterdam (symbol: NEWAY).
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