MUNICH; Germany In the third quarter of its financial year, component vendor Epcos AG could improve sales and earnings figures. Order entry was stable.
In the third quarter, revenues reached 330 million (about $450 million), 10 percent more than in the comparable quarter a year ago. Operative earnings were up 40 percent to 21.1 million while net profit rose 23.7 percent to 17.2 million. Order entry was slightly up to 357 million.
Quarter-over-quarter, however, the picture was not quite as rosy. Sales for the two biggest business segments, capacitors and inductors as well as ceramic components, rose 2 respective 3 percent against the second quarter. Surface wave components declined 8 percent; thus total sales in the third quarter declined slightly against Q2.
While order entry at the first look seems to be stable, there were significant displacement tendencies among customer groups. While consumer electronics manufacturers orders declined significantly, orders from the telecommunications equipment and automotive industry climbed. Except consumer electronics, order entry was strong from Asian customers while orders from Europe (except Germany) and Northern America declined. German customers orders came in at the same level as in the third quarter last year, the company said.
For the fourth quarter, the company expects continued growth with consumer electronics due to seasonal factors performing above average. Also, 3G handsets should contribute significantly to the growth.
For the entire financial year, Epcos dangles a 10 percent hike in sales and a 70 percent improvement in Ebit figures.