Copenhagen, 2012-05-03 08:00 CEST (GLOBE NEWSWIRE) -- In the first quarter of 2012, GN Store Nord continued to deliver solid topline growth as well as a significant year over year increase in EBITA. GN Store Nord delivered revenue growth of 14% and organic growth of 9% leading to consolidated revenue of DKK 1,478 million in the first quarter. Consolidated EBITA were up by 35% from DKK 122 million in Q1 2011 to DKK 165 million in Q1 2012 (excluding non-recurring costs in both quarters).
The ReSound Alera™ family, which is based on the unique use of the 2.4 GHz wireless technology, continued to demonstrate its strength in the marketplace. In combination with the recently upgraded product offering from GN Otometrics, this provided strong organic growth for GN ReSound of 6% in Q1 2012 - well above the general market growth. The Q1 2012 EBITA was DKK 92 million (excluding non-recurring SMART costs of DKK 15 million), up 19% from DKK 77 million in Q1 2011 (excluding a DKK 25 million duty/tax related provision).
At the AudiologyNOW! 2012 conference, GN ReSound announced the launch of the new product family ReSound Vea™ which is targeting the basic and budget segments in order to strengthen our competitive position in these segments.
GN ReSound's SMART program is progressing as planned and the targeted DKK 50 million EBITA improvement in 2012 and the DKK 190-240 million target for 2013 both compared to 2011 are confirmed.
GN Netcom delivered organic growth of 16% driven by solid growth rates in CC&O and outstanding growth rates in Mobile. The strong performance is primarily a result of continued growth in demand for Unified Communications (UC) headsets coupled with significant growth for Mobile in APAC and EMEA. In Q1 2012, GN Netcom's EBITA came in at DKK 86 million - a 54% improvement compared to Q1 2011, reflecting the attractive operational leverage of the business.
GN Store Nord confirms the guidance for the full year as announced in the Annual Report 2011.
Quarterly highlights:
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GN's revenue was DKK 1,478 million compared to DKK 1,298 million in Q1 2011 corresponding to 14% overall growth and 9% organic growth. Compared to Q1 2011, acquired activities added close to 2% to revenue.
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Group EBITA was DKK 165 million (excluding non-recurring SMART costs of DKK 15 million), up 35% from DKK 122 million in Q1 2011 (excluding a DKK 25 million duty/tax related provision).
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GN ReSound revenue was DKK 914 million and organic growth was 6%. EBITA ended at DKK 92 million (excluding non-recurring SMART costs of DKK 15 million), up 19% from DKK 77 million in Q1 2011 (excluding a DKK 25 million duty/tax related provision).
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GN Netcom revenue was DKK 564 million reflecting organic growth of 16%, and EBITA ended at DKK 86 million, significantly up from DKK 56 million in the same period last year.
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GN ReSound's SMART program is progressing as planned and the target is confirmed - EBITA improvement of DKK 190-240 million in 2013 compared to 2011.
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Acknowledging the importance of the legal case against the German Federal Cartel Office, the District Court of Bonn has referred the case to the District Court of Cologne and the court's chamber for cartel law matters. The District Court of Bonn has furthermore qualified the case as a precedent.
- In early Q1 2012, GN received around DKK 3,060 million from TPSA in connection with the conclusion of the 10-year long dispute. Subsequently, GN initiated a DKK 1.3 billion share buyback program. During Q1, treasury shares amounting to DKK 513 million were acquired as part of this program.
Quotes from the Executive Management:
Lars Viksmoen, CEO of GN ReSound, says: “We had a great first quarter, with very strong topline growth which again underpins the value ReSound Alera™ continues to deliver to customers around the world. During the first quarter we continued to gain market share and thereby further strengthened our market position.”
Mogens Elsberg, CEO of GN Netcom, says: “We are truly pleased with the results of the first quarter delivering double-digit organic growth and continued improvement in the EBITA margin. The UC growth continues to be substantial and drive strong underlying sales growth while Mobile has had their strongest first quarter ever with outstanding growth and positive EBITA.”
For further information, please contact:
Mikkel Danvold
VP, IR & Communications
GN Store Nord A/S
Tel: +45 45 75 02 71
