"We are working on significant contracts and opportunities, especially in our defence segments. Meanwhile, our offshore and oil and gas segments are characterised by the low level of investment in this industry. Altogether we’ve had a quarter with high activity, but weaker margins compared with Q3 2014", says Walter Qvam, CEO of KONGSBERG.
"We are continuing to invest heavily in the development of new products and services. For example, during the quarter, we entered into contracts for the delivery of autonomous underwater vehicles and remote towers for Norwegian airports, two very exciting product areas that both have huge international potential", says Qvam.
Kongsberg Defence Systems' delivery programmes are on schedule, and Q3 operating revenues aggregated MNOK 908, on a par with Q3 2014. The business area's YTD operating revenues in 2015 were at the same level as in 2014 and the EBITDA margin was 1.5 percentage points higher than at the same date last year.
"A solid quarter with a good EBITDA margin. High marketing activities are directed at potential large international programmes", says Qvam.
Kongsberg Maritime booked new orders valued at MNOK 2,385. The new orders are diverse and come from a number of segments – offshore, merchant marine, subsea technology, research and fisheries. The weaker EBITDA margin during the quarter reflects more increased efforts in product development and changes in the project mix.
"There has been a good order intake in Kongsberg Maritime also in the third quarter, and underlying operations remain at about the same level as in the first two quarters of 2015. However, we expect the offshore and the oil and gas markets to continue to be demanding going forward. As previously announced, Kongsberg Maritime is adapting its capacity to meet this", says Qvam.
Kongsberg Protech Systems' revenues are at the same level as in preceding quarters. The business area's marketing activities in respect of several potential large-scale programmes have been further intensified in Q3. The Group's smallest business area, Kongsberg Oil & Gas Technologies, is still experiencing an extremely challenging market for its niche products, and is working continuously to adapt to this market situation.
For further information, please contact:
- Ronny Lie , Communications Director Mob: +47 916 10 798
- Jan Erik Hoff , Vice President, Investor Relations & Reporting Mob: +47 991 11 916