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HMS Networks

Quarterly Report Apr 24, 2015

2921_10-q_2015-04-24_094e8b9e-3239-4dad-a6c5-c394e6a06aec.pdf

Quarterly Report

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hms networks

INTERIM REPORT 2015 JANUARY - MARCH

Last twelve months

  • ¡ Net sales for the last twelve months amounted to 620 MSEK (533) – a 9 % increase in local currencies
  • ¡ Operating profit for the last twelve months was 108 MSEK (94) – a 17 % (18) operating margin
  • ¡ Order intake for the twelve-month period was 637 MSEK (544)
  • ¡ Cash flow from operating activities for the twelve-month period amounted to 92 MSEK (83)
  • ¡ Profit after tax for the last twelve months amounted to 71 MSEK (68) and earnings per share was 6.26 SEK (5.99)

First quarter

  • ¡ Net sales for the first quarter increased by 22 % to 170 MSEK (139) corresponding to a 10 % increase in local currencies
  • ¡ Operating profit was 32 MSEK (22) corresponding to a 19 % (16) operating margin
  • ¡ Order intake for the first quarter was 174 MSEK (148)

Comment from the CEO

The positive development during the latter part of 2014 continued into the first quarter of 2015. We can see a slightly improved situation in the global economy together with a large interest in our technology related to the trend "Industrial Internet of Things" (IIoT). The weakened Swedish currency especially in relation to the U.S. dollar has a positive effect but even adjusted for currency effects, we can report a double digit percentual sales growth. We are happy to report net sales of 170 MSEK and an order intake of 174 MSEK – both record levels for HMS.

Despite a decrease in activated development expenses and an increased impact from amortization on intangible assets, a solid gross margin together with a conservative cost increase gives us a 48 % improvement to 32 MSEK on the EBIT level for the first quarter.

The German and the Japanese markets continue to show solid progress. For the U.S.A. we see a more mixed picture. We have a tailwind from a strong U.S. currency but adjusted for this, we have experienced some delays related to orders. Our increased focus on the Nordic market during the recent years is paying off and the growth on the Scandinavian market was very strong during the first quarter.

Our investments in the area of wireless communication, which was initiated through an acquisition of a product line of wireless industrial gateways last year, also show very good development.

For our growth area Netbiter, we can see a 50 % sales increase during the first quarter. Still, we expect that this part of our business has the potential to perform even better going forward.

Our focus is to drive growth within our three main product brands Anybus, Netbiter and IXXAT. We continue our efforts to balance our long term growth strategy with a conscious view on expenses. In the long term, we consider the market for industrial communication and remote management to be interesting growth areas and we continue to focus around our motto

"Connecting Devices."

"Last years investments in the Nordic market has resulted in a very good growth during the first quarter this year"

Staffan Dahlström, CEO, HMS Networks AB

Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2
Quarterly data 2015 2014 2014 2014 2014 2013 2013 2013
Net sales (SEK m) 170 156 152 141 139 126 140 128
Order intake (SEK m) 174 162 148 153 148 132 125 140
Operating profit (SEK m) 32 18 37 21 22 13 32 27
Gross margin (%) 62.4 62.0 63.0 61.9 62.1 63.7 63.4 62.2
Operating margin (%) 18.7 11.5 24.4 14.8 15.5 10.7 23.0 21.3
Return on capital (%) 20.4 8.8 26.0 14.3 14.9 10.3 26.4 23.4
Earnings per share (SEK) 1.95 0.81 2.28 1.22 1.27 0.84 2.07 1.80
Equity per share (SEK) 39.18 37.43 36.19 33.95 34.75 33.44 32.30 30.41
Cash flow for operating activities per share (SEK) 0.72 2.43 2.56 2.57 0.81 2.18 2.81 1.40

Net sales

Net sales for the last twelve months amounted to 620 MSEK (533) corresponding to a 16 % increase. In total, the depreciation of the Swedish currency in relation to the major HMS currencies had a positive effect on net sales by 40 MSEK compared to the previous twelvemonth period.

Net sales for the first quarter 2015 was 170 MSEK (139), corresponding to a 22 % increase compared to the same quarter during the previous year. Adjusted for 17 MSEK in currency effects, the increase amounted to 10 %. Order intake for the first quarter increased by 26 MSEK to 174 MSEK (148), of which 169 MSEK (133) is expected to be delivered during the next twelve months.

Operating profit

Operating profit amounted to 108 MSEK (94) for the last twelve months, equivalent to an operating margin of 17 % (18). Currency effects had a positive impact on the operating result with 16 MSEK compared to the previous twelve-month period.

The operating profit for the first quarter 2015 amounted to 32 MSEK (22) – a 19% (16) operating margin. Changes in exchange rates had an 8 MSEK positive impact compared to the same period the previous year.

The graph shows turnover per quarter on the bars referring to the scale on the left axis. The line shows turnover for the latest 12 month period referring to the scale on the axis to the right.

The graph shows operating result per quarter in the bars referring to the scale on the left axis. The line shows operating result for the last 12 month period referring to the scale on the axis to the right.

Equity

The Group's equity amounted to 442 MSEK (392). The total number of shares at the end of the year was 11,322,400. The Group's equity/assets ratio amounted to 53 % (50). In connection with the share saving program initiated during 2013 the Company has acquired 31 000 of shares in HMS Networks AB up until March 31, 2015.

Tax

The tax charge for the first quarter was 7 MSEK (4). The tax charge for the current period has been calculated on the basis of the tax situation applying to the Group at present and the profit development of the reporting entities belonging to the Group.

Change in Group Equity
(SEK 000s) Mar 31 2015 Mar 31 2014 Dec 31 2014
Balance at 1 January 422,599 377,557 377,557
Total comprehensive income for the period 19,278 14,578 69,209
Share related-payment 481 252 1,238
Dividends 0 0 -25,405
Closing balance 442,357 392,387 422,599

Currency effects

Assets and liabilities in foreign currencies are revaluated at closing date. Currency hedging contracts are revaluated at the date of closing and are also affecting the result on the date of expiration. Changes in book value due to revaluation of operating balance sheet items and currency hedging contracts are disclosed as other operating income and other operating expenses. Changes in book value related to net-investments are disclosed under the Company statement of comprehensive income. Changes in book value related to assets in foreign currencies i.e. liquid funds, are disclosed as financial income and expenses.

Net sales and expenses are affected by changes in exchange rates. This will have an impact on income and costs. Net sales for the quarter consist of 62 % in EURO, 26 % in USD, 6 % in Japanese Yen and 6 % in SEK and other currencies. Cost of goods sold consists of 70 % in EURO, 20 % in USD and 1 % in Japanese Yen. Operating expenses consists of 38 % in EURO, 10 % in USD, 3 % in Japanese Yen and 49 % of SEK and other currencies.

The Group applies a policy for currency hedging described in the annual report.

Cash flow, investments and financial position

Cash flow from operating activities during the first quarter amounted to 8 MSEK (9).

The investments in tangible assets for the first quarter amounted 1 MSEK (1). Investments in intangible assets for the year totalled 4 MSEK (7) and comprise to a material part capitalization of expenses related to technology platforms. As several new technology platforms recently were completed a comparably smaller part of the Groups development expenses was capitalized during the period. Amortization on capitalized development costs amounted to 4 MSEK (3) during the quarter.

The acquisition of IXXAT in February 2013 has generated a 255 MSEK overvalue before tax for the group of which 144 MSEK is allocated to technology platforms, customers and brand name included in the acquisition. Annual amortization on acquired overvalues amounts to approximately 7 MSEK. During the first quarter 2015 amortization on the purchase price allocated to assets acquired was 2 MSEK (2) in the income statement.

To balance the Group´s currency exposure a 32 MEUR loan was used to finance the acquisition made in the first quarter 2013. At the end of the first quarter 2015 the loan amounted to 24 MEUR. The loan is amortized by approximately 37 MSEK annually. In total 9 MSEK (9) was amortized during the first quarter.

At the end of the period the cash equivalents amounted to 13 MSEK (19) and unutilized credit facilities to 30 MSEK. The Group's net debt amounted to 217 MSEK (243).

The parent company

The Parent Company's operations are primarily focused on Groupwide management and financing. Apart from the Group's CEO, the Parent Company has no employees. The operating profit for the first quarter 2015 amounted to 0 MSEK (0). Cash and cash equivalents amounted to 0.2 MSEK (0.9) and borrowing amounted to 0 MSEK (0).

Important events

  • ¡ HMS Netbiter EC 300-series is certified for use in the Schneider Electric Colaborative Automation Partner Program
  • ¡ AAEON choose IXXAT INpact Real-Time Ethernet PC-Interface for a strategic cooperation
  • ¡ IXXAT safety products receives TÜV certification

Outlook

The HMS Group's long term growth is supported by a continued inflow of design-wins, a broader product offering especially within the Gateway product family and Remote Management, supplementary technology platforms from IXXAT, a stronger customer focus and an expansion of the HMS sales channels according to the existing strategy.

At present, the global market for HMS products is viewed as fluctuating with cautiously positive undertones. The effect on the market for HMS product offer and currency effects are difficult to predict but HMS overall goals are unchanged: A long term average growth of 20 % per year and an operating margin above 20 %.

The HMS Networks AB share

HMS Networks AB (publ) is listed on the Nasdaq OMX Stockholm Mid Cap list, in the Information Technology Sector. The total number of shares amounted to 11,322,400 whereof 31 000 shares are held by the Company.

Share Savings Program

The Company has three share saving programs.

PROGRAM 1

In accordance with the decision of the Annual General Meeting 2012, all permanently employees of the HMS Group were offered to save in HMS shares in a share saving program during 2013. Of the total number of employees 60 % choose to participate in the program. The total number of shares purchased in this program was 24,939. In connection to the share saving programs HMS purchased 31,000 own shares to fulfil the requirement of future matching and performance shares.

PROGRAM 2

In accordance with the decision of the Annual General Meeting 2013, all permanently employees of the HMS Group have been offered to participate in a share savings program. The application period took place during the month of December and about 51 % of the employees have chosen to participate. The total number of shares purchased in this program was 20,049.

PROGRAM 3

In accordance with the decision of the Annual General Meeting 2014, all permanently employees of the HMS Group have been offered to participate in a share saving program. The registration period for this program continued during December of 2014 and 47 % of the total number of employees decided to participate. For program 3 saving in HMS shares will take place during 2015.

Dividend

The Board of Directors proposes a dividend to the amount of SEK 2.50 (2.25).

The HMS policy for dividend stipulates: The objective of the Board of Director´s is to propose a dividend of approximately 50 % of the profit after tax subject to the Company having a financial position allowing for freedom to action.

Annual General Meeting

The Annual General Meeting will be held at the Company's head office on Tuesday April 28, 2015 at 10.30 am.

Short about the company

Strategies

GROWTH STRATEGY – HMS's main focus is on organic growth. Expansion on existing markets will be through improved and extended product ranges, new technology, high level of service and new sales channels. A certain degree of growth can be through the selective acquisition of businesses that will be a valuable complement to the company's organic growth strategy.

DEVELOPMENT STRATEGY – The Company's core expertise is made up of an extensive understanding of industrial network communication. Based on this competence in combination with an extensive network of customers, suppliers and external partners the existing and new product offers and solutions are developed for the best possible customer benefits.

PRODUCT STRATEGY — HMS markets four product lines, which to a certain degree are based on a common technical platform:

  • ¡ Anybus Embedded Embedded network interface cards
  • ¡ Anybus Gateways Communication translators between different networks and for wireless communication
  • ¡ IXXAT Communication platforms for industrial machines and equipment
  • ¡ Netbiter Remote Management Remote monitoring and controlling of industrial devices

PRODUKTION STRATEGY – HMS maintains an in-house lowvolume production of Anybus products in Halmstad. Volume production takes place in close partnership with subcontractors in Europe and Asia in order to achieve flexible costs and to make use of economies of scale.

MARKETING STRATEGY – The Anybus network interface cards are marketed and sold to players in industrial and infrastructure automation and Anybus Gateways to system integrators, machine manufacturers and end-users in industrial and infrastructure automation. IXXAT communication platforms are marketed and sold to machine builders of industrial applications, medical equipment and the automotive industry. Netbiter products are marketed and sold to a wide range of customers, from device manufacturers to owners of installations in need of remote management.

SALES STRATEGY – Sales take place via the company's sales offices on defined key markets in 10 countries. Sales on the company's other markets, in some 50 countries, takes place via agents/ distributors.

Business model

HMS has designed its business models to fit each market and product line. For the Embedded market, most business is via framework agreements (i.e. design-wins). The sales cycle is relatively long and the design phase is performed in close cooperation with the customer. After that, there is steady revenue over a long period of time. For Gateways and Remote Management, the business model is more traditional, with a short business cycle and manufacturing based on customer orders. IXXAT uses a mix of the above mentioned business models.

Accounting policies

This report has been prepared in accordance with International Financial Reporting Standards (IFRS) and IAS 34, for Interim Reporting. Amendments to existing standards, new interpretations and new standards that came into effect as of January 1, 2015 did not affect the Groups reporting as of March 31, 2015.

HMS continues to apply the same accounting principles and valuation methods as those described in the most recent Annual Report. The parent company report is prepared in accordance with RFR 2, accounting for legal entities, and the Swedish Annual Accounts Act and accounting principles and the valuation methods as those described in the most recent Annual Report.

Risk management

The HMS Group is exposed to business and financial risks through its operations. These risks have been described at length in the Company's annual report 2013. In addition to the risks described in these documents, no additional significant risks have been identified.

Reporting occasions

  • ¡ Annual General meeting will be held at 10.30 am on April 28, 2015
  • ¡ Half year report will be presented on July 23, 2015
  • ¡ Interim report for the 3rd quarter will be presented on October 28, 2015
  • ¡ 2015 annual report will be presented on February 5, 2016

Halmstad April 23, 2015

Staffan Dahlström Chief Executive Officer

This interim report has not been reviewed by the Company's auditor.

Further information can be obtained from: CEO Staffan Dahlström, telephone +46 (0) 35-17 29 01 or CFO Gunnar Högberg, telephone +46 (0) 35-17 29 95

This information is such that HMS Networks AB (publ) is required to disclose in accordance with the Swedish Financial Instruments Trading Act and/or the Swedish Securities Market Act. The information was submitted for publication at 07.50 CET on April 24, 2015.

Financial accounts

Q1
2015
Q1
2014
Q1-Q4
2014
1404-1503
12 months
Net increase in revenue (%) 22.4 29.8 17.6 16.4
Gross margin (%) 62.4 62.1 62.3 62.3
Operating margin EBIT (%) 18.7 15.5 16.6 17.4
EBITDA (SEK t) 39,860 27,758 125,955 138,056
EBITDA (%) 23.4 20.0 21.4 22.3
Return on capital empolyed (%) 4.8 3.3 15.0 16.3
Return on total equity (%) 20.4 14.9 15.8 17.0
Working capital in relation to sales (%)* 8.3 8.8 6.1 8.3
Capital turnover rate 0.82 0.71 0.74 0.76
Debt/equity ratio 0.49 0.62 0.54 0.49
Equity/assets ratio (%) 53.0 49.7 50.8 53.0
Capital expenditure in property, plant and equipm (SEK 000s) 1,033 1,072 6,037 5,997
Capital expenditure in intagible fixed assets (SEK 000s) 4,283 6,804 31,773 29,252
Depreciation of property, plant and equipment (SEK 000s) -1,987 -1,808 -7,453 -7,631
Amortisation of intangible fixed assetes (SEK 000s) -5,989 -4,424 -20,920 -22,485
Number of employees (average) 354 353 352 353
Revenue per employees (SEK m)* 1.8 1.5 1.7 1.8
Equity per share, SEK 39.18 34.75 35.43 36.96
Cash flow from operations per share, SEK 0.72 0.81 8.26 8.17
Total number of share, average, thousands 11,322 11,322 11,322 11,322
Holding of own shares, average, thousands 31 31 31 31
Total outstanding shares, average, thousands 11,291 11,291 11,291 11,291

* The key ratio has been translated into 12 months rolling value when applicable.

Income statements

(SEK 000s) Q1
2015
Q1
2014
Q1-Q4
2014
1404-1503
12 months
Revenue 170,251 139,127 589,212 620,336
Cost of goods and services sold -64,083 -52,758 -222,366 -233,691
Gross profit 106,168 86,369 366,846 386,645
Sales and marketing costs -38,112 -30,889 -138,766 -145,988
Administrative expenses -14,920 -11,859 -53,750 -56,811
Research and development costs -23,477 -23,416 -85,052 -85,112
Other operating income 4,757 1,321 9,809 13,245
Other costs -2,533 0 -1,506 -4,038
Operating profit 31,884 21,527 97,582 107,940
Financial income 0 0 37 37
Financial costs -2,478 -2,915 -11,809 -11,371
Profit before tax 29,406 18,611 85,811 96,606
Tax -7,352 -4,281 -22,713 -25,783
Profit for the period 22,055 14,331 63,098 70,822
Basic earnings per share, SEK 1.95 1.27 5.59 6.26

Statements of comprehensive income

(SEK 000s) Q1
2015
Q1
2014
Q1-Q4
2014
1404-1503
12 months
Profit for the period 22,055 14,331 63,098 70,822
Other comprehensive income
Items that may be reclassified subsequently to
income statement
Cash flow hedges -637 -132 -2,720 -3,225
Translation differences -7,257 213 18,395 10,925
Hedging of net investments 6,380 175 -13,029 -6,824
Income tax relating to components of other
comprehensive income
-1,263 -9 3,465 2,211
Other comprehensive income for the period, net of tax -2,777 247 6,111 3,087
Total comprehensive income for the period 19,278 14,578 69,209 73,909

Balance sheets

(SEK 000s) Mar 31 2015 Mar 31 2014 Dec 31 2014
ASSETS
Goodwill 396,796 390,934 400,752
Other intangible assets 251,913 241,850 257,078
Property, plant and equipment 17,588 19,451 18,520
Deferred tax assets 496 724 1,328
Other long term receivables 2,005 0 1,498
Total fixed assets 668,798 652,959 679,176
Inventories 53,974 35,449 53,953
Trade and other receivables 84,436 65,067 69,494
Other current receivables 14,794 17,635 12,089
Cash and cash equivalents 12,500 18,700 17,629
Total current assets 165,704 136,851 153,165
TOTAL ASSETS 834,502 789,810 832,341
EQUITY AND LIABILITIES
Equity 442,357 392,387 422,599
Liabilities
Non-current liabilities 190,195 215,186 204,891
Deffered income tax liabilities 64,272 65,633 65,115
Total non-current liabilities 254,467 280,819 270,006
Interest-bearing current liabilities 39,582 46,079 40,497
Trade payables 36,416 29,635 40,695
Other current liabilities 61,680 40,890 58,544
Total current liabilities 137,678 116,604 139,736
TOTAL EQUITY AND LIABILITIES 834,502 789,810 832,341

Cash flow statements

(SEK 000s) Q1
2015
Q1
2014
Q1-Q4
2014
1404-1503
12 months
Cash flow from operating activities before changes in
working capital
29,549 18,460 99,442 110,531
Cash flow from changes in working capital -21,437 -9,345 -6,187 -18,279
Cash flow from operating activities 8,112 9,115 93,255 92,252
Cash flow from investing activities -5,659 -7,876 -37,982 -35,765
Cash flow from financing activities -8,127 1,643 -54,808 -64,578
Cash flow for the period -5,674 2,882 465 -8,091
Cash and cash equivalents at beginning of the period 17,629 15,818 15,818 18,700
Translation differences in cash and cash equivalents 545 0 1,346 1,891
Cash and cash equivalents at end of period 12,500 18,700 17,629 12,500

Quarterly data

Revenue per region
(SEK 000s)
Q1
2015
Q4
2014
Q3
2014
Q2
2014
Q1
2014
Q4
2013
Q3
2013
Q2
2013
Q1
2013
Q4
2012
Q3
2012
Q2
2012
EMEA 104,580 99,014 97,567 90,601 91,628 78,378 89,455 82,481 69,182 52,971 60,049 59,169
Americas 39,999 33,123 30,157 27,519 27,291 26,359 30,592 26,439 22,480 19,686 22,687 20,813
Asia 25,672 24,181 24,592 23,330 20,207 21,021 19,920 19,285 15,553 14,608 16,408 18,920
Income statement
(SEK 000s)
Q1
2015
Q4
2014
Q3
2014
Q2
2014
Q1
2014
Q4
2013
Q3
2013
Q2
2013
Q1
2013
Q4
2012
Q3
2012
Q2
2012
Revenue 170,251 156,318 152,316 141,451 139,127 125,758 139,967 128,205 107,215 87,265 99,144 98,902
Gross profit 106,168 96,867 95,991 87,618 86,369 80,056 88,704 79,709 65,446 50,269 59,382 59,953
Gross margin 62.4% 62.0% 63.0% 61.9% 62.1% 63.7% 63.4% 62.2% 61.0% 57.6% 59.9% 60.6%
Operating profit 31,884 17,977 37,150 20,928 21,527 13,443 32,226 27,260 13,745 6,248 23,186 19,953
Operating margin 18.7% 11.5% 24.4% 14.8% 15.5% 10.7% 23.0% 21.3% 12.8% 7.2% 23.4% 20.2%
Profit before tax 29,406 15,764 33,465 17,971 18,611 12,397 30,479 26,919 11,699 7,001 23,100 20,810

Sales

Sales by geographical area for the first quarter 2015 are presented in the graph to the right.

Embedded products reached 52 % (53) of the Group's total sales, IXXAT 19 % (23), Gateway products 20 % (19) and Remote Management amounted to 3 % (2).

All product groups are based on a common technology platform and are marketed and sold in the common sales channels. Therefore, no complete segment follow-up is reported.

Parent company income statements

(SEK 000s) Q1
2015
Q1
2014
Q1-Q4
2014
1404-1503
12 months
Revenue 2,236 2,095 8,835 8,976
Gross profit 2,236 2,095 8,835 8,976
Administrative expenses -2,236 -2,095 -8,834 -8,975
Operating profit 0 0 1 1
Interest income, dividends and similar items 0 0 0 0
Interest expense and similar income 0 0 -1 -1
Profit before tax 0 0 0 0
Tax 0 -2 -48 -47
Profit of the period 0 -2 -48 -47

Parenty company balance sheets

Tkr Mar 31 2015 Mar 31 2014 Dec 31 2014
ASSETS
Financial fixed assets 244,039 244,039 244,039
Total financial fixed assets 244,039 244,039 244,039
Other receivables 1,230 1,011 454
Cash and cash equivalents 206 896 192
Total current assets 1,436 1,907 646
TOTAL ASSETS 245,475 245,946 244,685
EQUITY AND LIABILITIES
Equity 118,477 143,931 118,477
Untaxed reserves 8 8 8
Liabilities
Trade payables 48 81 427
Liabilities to Group companies 125,073 99,640 122,888
Other current liabilities 1,868 2,285 2,885
Total current liabilities 126,990 102,007 126,200
TOTAL EQUITY AND LIABILITIES 245,475 245,946 244,685

Definitions

CAPITAL EMPLOYED

Total assets less non interest bearing current liabilities and provisions, as well as total deferred tax liabilities.

CAPITAL TURNOVER RATE

Operating income in relation to total assets.

EBIT

Operating income according to income statement excluding items affecting comparability.

EBITDA

Earnings before interest, taxes, depreciation and amortization.

EARNINGS PER SHARE

Share of the profit after tax attributable to the parent company's shareholders in relation to the average number of outstanding shares.

EARNINGS PER SHARE AFTER DILUTION

Share of the profit after tax attributable to the parent company's shareholders in relation to the average number of outstanding shares with addition for the average number of shares that are added when converting the outstanding number of convertible securities and options.

EQUITY/ASSETS RATIO

Shareholders' equity in relation to total assets.

NET DEBT

Long-term and current financial liabilities less financial assets.

NET DEBT/EQUITY RATIO

Net debt in relation to shareholders' equity.

NUMBER OF OUTSTANDING SHARES

Number of registered shares less shares bought back, which are held by the company.

OPERATING MARGIN

Operating income in relation to net sales.

RETURN ON CAPITAL EMPLOYED

Share of the profit after financial income in relation to the average capital employed.

RETURN ON SHAREHOLDERS' EQUITY

Share of profit after tax attributable to the parent company's shareholders in relation to the average shareholders' equity.

TOTAL EQUITY PER SHARE

Total equity attributable to the parent company's shareholders in relation to total outstanding shares by the end of the period.

WORKING CAPITAL

Current assets less cash equivalents and current liabilities.

HMS Industrial Networks is the leading independent supplier of products for industrial communication including remote management. HMS develops and manufactures solutions for connecting automation devices and systems to industrial networks under the Netbiter, Anybus and IXXAT brands.

Development and manufacturing take place at the headquarters in Halmstad, Sweden and in Weingarten, Germany. Local sales and support are handled by branch offices in China, Denmark, France, Germany, India, Italy, Japan, UK, and USA. HMS employs over 370 people and reported sales of 63 million EUR in 2014. HMS is listed on the NASDAQ OMX in Stockholm.

Our vision

"All industrial devices will be intelligent and networked. We shall be the market leading partner in the world of industrial communication".

Our mission

"We provide reliable, flexible and easy-to-use communication and remote management solutions to the world of industrial communication".

Our purpose

"To create long term value for our customers, employees and investors".

HMS Networks AB (publ) Org.Nr. 556661-8954 Box 4126 | 300 04 Halmstad | Sweden Tel: +46 35 172 900 Fax: +46 35 172 909 http://investors.hms.se

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