Interim Report Q2, April - June 2022
• Net sales amounted to SEK 87.1 (64.6) million, an increase of 35.0 percent compared to the same period last year. In local currencies growth was 26.2 percent.
• EBIT amounted to SEK 2.7 (-1.9) million, with an EBIT margin of 3.1 (-2.9) percent.
• Profit after tax amounted to SEK 2.7 (-2.9) million.
• Earnings per share before/after dilution were SEK 0.15 (-0.16).
• Cash flow from operating activities declined to SEK 1.0 (1.1) million.
Generally good underlying demand and a large percentage of successful business deals bodes well for continuing sales growth. Sales for the second quarter of 2022 were the highest in the Company’s history, amounting to SEK 87.1 (64.6) million, and corresponding to growth of 35 percent. EBIT landed at SEK 2.7 (-1.9) million. Hence, sales for the first half year amounted to SEK 162.7 (134.9) million - the best sales result for the January-June period ever.
The increase in sales is stable and broad: stable in that we see an increase in growth for the third consecutive quarter; broad in that we see strong growth in all regions. Growth for the quarter and the whole interim period is excellent within training and services. This indicates clearly how important investment in MSAB’s products is for our customers. Growth consists of both increased investment from existing customers and several new customers that MSAB has started cooperating with. We will continue our long-term efforts so we can maintain the positive momentum that we have succeeded in building up over the last several years.
Other expenses increased as a direct consequence of increased activity in the form of travel, exhibitions and other activities that drive sales. This level of expense is on par with the same period in 2019, which was the Company’s last quarter before the pandemic struck, the difference being that we have a significantly higher level of sales and a better profit this year. My assessment is that other expenses for the upcoming half year will be relatively close to what we had during the first half year. Normally, there is a significantly higher level of sales during the second half of the year, and we see no indication that this year should be different.
At the end of May, the European Academy of Forensic Science (EAFS) opened the largest conference on forensic labs in Europe. For one week, Sweden and the Swedish National Forensic Center (NFC) hosted the largest conference since 1997 with MSAB as the primary sponsor. The conference was a success for MSAB, the NFC and Sweden. Visitors included decision-makers and influencers, and many of the fora and meetings MSAB conducted were about how MSAB, together with the NFC and other actors, can strengthen and help law enforcement agencies streamline their work and secure legal processes when working with digital evidence.
That MSAB is more than ”just” a product supplier to law enforcement agencies world-wide is clear. More and more, our business is about delivering complete solutions, and we have become a supplier of comprehensive, critical infrastructure to our customers.
Stockholm, July 2022
Joel Bollö, Chief Executive Officer
The information in this report is such that MSAB, Corporate ID number 556244-3050, is required to disclose in accordance with the EU’s Market Abuse Regulation. The information in this report was submitted for publication on July 22, 2022, at 08:00 CEST.
For further information, please contact:
Joel Bollö, CEO MSAB, email@example.com, +46 8 739 02 70