Strong closing of eventful year

KONGSBERG deliver a solid quarter across all business areas, with an EBITDA margin of 19.5 % for Kongsberg Defence & Aerospace and a strong order intake of MNOK 1,853 in Kongsberg Maritime

KONGSBERG deliver a solid quarter across all business areas, with an EBITDA margin of 19.5 % for Kongsberg Defence & Aerospace (KDA) and a strong order intake of MNOK 1,853 in Kongsberg Maritime (KM).

Key financial figures

Q4

2018

“I am very satisfied with the development in all areas of the business in Q4. KDA has reached key milestones and delivered solid project execution, explaining the very strong margin. KM has succeeded in focusing on ongoing deliveries while preparing for the integration of Rolls- Royce Commercial Marine (RRCM). KDI had a challenging start to the year with a weak order intake. This increased in the second half year, and the area enter 2019 with an order backlog 38 % higher than at the same time last year”, says Håøy.

KONGSBERG carried out a successful rights issue related to the acquisition of RRCM, and has entered into an agreement for the acquisition of Aerospace Industrial Maintenance Norway AS (AIM).

“Both acquisitions are very important for the realisation of our strategy, and I am satisfied that the processes are on schedule. It is a huge vote of confidence that the government and a significant number of the shareholders choose to subscribe in the rights issue when we ask for support on the acquisition of RRCM. Also, with the acquisition of AIM we take a considerable step towards becoming an even stronger maintenance partner for the Norwegian Armed Forces’ operative needs. This in turn creates new opportunities, among other within European F-35 maintenance”, says President and Chief Executive Officer, Geir Håøy.

KONGSBERG strengthens position within maritime industry

Kongsberg Maritime operating revenues totalled MNOK 2,014 in Q4, which is 8.7 % higher than the same quarter last year. EBITDA was MNOK 140, affected by MNOK 85 in integration costs related to RRCM.

“KM delivers good underlying results, consolidating its position as a preferred supplier of complete integrated solutions. The order intake is good, despite continued challenges in some markets. We are seeing the results of previous cost measures. The RRCM acquisition will make us an even stronger player in the global maritime market”, says Håøy.

KM has significantly improved its order intake, with an increase of more than MNOK 1,500 in 2018 compared to the previous year. The subsea division had a record year in 2018 with orders totalling more than MNOK 3,000, including orders for 11 HUGIN Autonomous Underwater Vehicles (AUV).

Building a leading Nordic alliance for defence maintenance

Kongsberg Defence & Aerospace delivered solid project execution in the quarter. Operating revenues were MNOK 1,898, 12.8 % higher than the same quarter last year.

“The major missile and air defence projects in Malaysia and Lithuania are up and running, increasing the activity. Protech Systems has received important orders for the CROWS programme (Common Remotely Operated Weapon Stations). The increasing delivery rate for the F-35 programme also influences the results. At the same time, the organisation is working hard to secure new, major contracts”, says Håøy.

Kongsberg Defence & Aerospace was chosen as the supplier for the American 'Over The Horizon Programme' in 2018. In addition, the business area was announced as the preferred supplier to Qatar, both for the air defence system NASAMS (Norwegian Advanced Surface-to-Air Missile System) and an extensive vehicle programme.

“This is without doubt of great importance to us and our about 1,500 Norwegian sub-suppliers. We prove once again that we are playing in the international top league”, says Håøy.

Good 2019 momentum

KONGSBERG started 2018 with an ambition to enable growth, increase order intake and secure a continued healthy cost development. The company has established key positions within both the civil and defence sectors, in recent years. New positions were taken in 2018.

“We are delivering on our goals. The order intake is up for the year by MNOK 3,144, we deliver on projects and have control of costs. The strong positions that we have taken give KONGSBERG excellent momentum as we head into 2019. This year will be about delivering what we have promised to our customers in all areas, while executing the largest integration in the corporation’s history, and securing new, major defence contracts”, says Håøy.

Further information

For further information, please contact:


Copyright Kongsberg Maritime AS 2007

Home