SAF Tehnika

Earnings Release • Feb 5, 2014

SAF Tehnika Consolidated Interim Report for Q2 and 6 months of financial year 2013/2014 (1st July 2013 – 31 December 2013)

The SAF Tehnika Group’s consolidated non-audited net sales for the second quarter of financial year 2013/14 were 1.99 million LVL (2.84 million EUR), decreasing by 25.8% compared to the second quarter of the previous financial year and being by 17% lower than sales in the previous quarter – Q1 of FY 2013/2014. The sales were substantially lower than planned as deliveries of several large orders were postponed to year 2014.

The Group’s consolidated non-audited net sales for the 6 months of the financial year 2013/14 were 4.4 million LVL (6.25 million EUR) representing a year-on-year decrease of 5%. The main reasons for the decrease were: weakness in AsiaPasific, Africa, MiddleEast, where sales of the first 6 months of this financial year were 1.04 million LVL (1.48million EUR) or 13% lower than in the first half of FY 2012/13, and slowing sales in Americas – a decrease of 11%, while Europe, CIS showed 10% growth over the year due to more intensive sales endeavors.

The consolidated net loss of the Group for the second quarter of 2013/14 financial year was -251 thousand LVL (-357 thousand EUR), which is by 81 thousand LVL (115 thousand EUR) larger loss compared with the same quarter in the previous financial year. The consolidated net loss of the Group for the 6 months of 2013/14 financial year was -160 thousand LVL (-227 thousand EUR).

The Group is financially stable. The Group’s main tasks stays unchanged – development of the Integra product line and working on specific niche products and solutions with the goal to satisfy ever increasing demand for efficient, qualitative, price attractive, high capacity data transmission products in the wide frequency range. The Group has set tasks to strengthen sales team, enlarge customer base in a strategic markets and regain higher sales and profitability. Meanwhile the further company’s sales results largely depend on external factors such as availability of production components and financing allocation in customer’s organization, therefore the Board of the Group would like to avoid being specific in predictions of  sales and financial result projections.

Additional information:

Aira Loite 

COO, Member of the Board 

+371 67 046 833 

Aira.Loite@saftehnika.com