Interim report January–March 2020


  • Net sales increased by 8% to SEK 483.1 million (445.9). The increase is primarily a result of the acquisition of Flatfield. In USD, net sales increased 3%.
  • Order intake increased 27% to SEK 563.4 million (442.1). Approximately one third is from acquisitions. In USD, order intake increased 21%.
  • EBITA decreased to SEK 37.9 million (40.6), representing an EBITA margin of 7.8% (9.1). SEK 5.8 million was charged to EBITA relating to transaction costs for Flatfield. Excluding transaction costs, EBITA amounted to SEK 43.7 million, corresponding to an EBITA margin of 9.0%.
  • Operating profit was SEK 37.0 million (39.4). Operating margin was 7.7% (8.8).
  • Profit after tax amounted to SEK 40.4 million (34.7).
  • Earnings per share was SEK 2.40 (2.06).


  • On 12 March, 100% of the shares were acquired in Flatfield Group in Tiel, the Netherlands. In conjunction with the acquisition, a new bank loan of SEK 132.5 million was raised and the overdraft facility was extended by SEK 50 million.
  • On 3 April, it was announced that Peter Kruk had been chosen to replace Hans Ståhl as President and CEO. Peter Kruk will take up his new duties by the beginning of October at the latest.
  • On 8 April, the preliminary earnings for the first quarter were published and the Board of Directors withdrew its proposal for a dividend. The Annual General Meeting was postponed until 5 June 2020.
  • On 24 April, 100% of shares were acquired in Bare Board Group in Largo, USA. In conjunction with the acquisition, an additional bank loan of SEK 132.5 million was raised and the overdraft facility was extended by another SEK 50 million.
  • On 24 April, the completion of a directed share issue was announced of 1,850,000 shares at SEK 155/share.
  • Following the acquisitions, share issue and additional credit facilities, NCAB’s disposable cash and cash equivalents increased SEK 330 million to just over SEK 500 million.
  • The outbreak of coronavirus in China was at first a supply problem but as the pandemic spread throughout the world it became a demand problem. The impact on NCAB during the quarter was small, but the coming quarters will most probably be weaker.
Key performance Jan-Mar      Full-year 
2020 2019 LTM  2019
Order intake, SEK million 563.4 442.1 27.4 1 939.7 1 818.3
Order intake, USD million 58.3 48.0 21.4 202.4 192.2
Net sales, SEK million 483.1 445.9 8.3 1 818.3 1 781.2
Net sales, USD million 50.0 48.8 2.5 190.3 189.1
Gross margin, % 31.1 31.5 31.6 31.7
EBITA, SEK million 37.9 40.6 -6.7 162.6 165.4
EBITA margin, % 7.8 9.1 8.9 9.3
Operating profit, SEK million 37.0 39.4 -6.1 159.3 161.7
Operating margin, % 7.7 8.8 8.8 9.1
Profit after tax, SEK million 40.4 34.7 16.5 134.1 128.4
Earnings per share, SEK 2.40 2.06 16.3 7.96 7.61
Cash flow from operating activities, SEK million 2.6 14.8 -82.6 140.8 153.0
Return on capital employed, % 26.9 41.6
Return on equity, % 36.8 39.8
USD/SEK – average 9.67 9.17 9.58 9.46
EUR/SEK – average 10.66 10.42 10.64 10.58

We are looking to the future, despite challenging times
The quarter started with a strong January. The subsequent outbreak of coronavirus in China led to delivery problems, though these did not have substantial implications. Instead, many customers increased order volumes. At the end of March, our suppliers’ factories in China were operating at about 80 per cent capacity and had restarted deliveries.

Demand for PCBs remained strong during the quarter in the Nordic region, the USA and Asia, but was weaker in Southern Europe. Total order intake for the first quarter amounted to SEK 563 million, a 27 per cent improvement on the preceding year. One third of the increase was attributable to the acquisition of Flatfield in the Netherlands. Other improvements are largely because many customers have placed orders earlier than previously, to cover for uncertainties surrounding the delivery capacity from China. This resulted in a larger backlog of orders spread over a longer period than normally.

Given the circumstances, the first quarter was stable for NCAB, which we reported in our preliminary earnings on 8 April. Net sales amounted to SEK 483 million, which is an 8 per cent improvement year-on-year. This increase comes from acquisitions.

Both gross margins and EBITA margins are stable. Earnings in the form of EBITA adjusted for acquisition costs have even risen by 8 per cent to SEK 43.7 million.

We are pleased to have completed two acquisitions during the first few months of 2020: Flatfield in the Netherlands in March and Bare Board Group (BBG) in the USA in April. Flatfield was consolidated on 1 March and BBG on 1 May. It is important to conduct these acquisitions and to continue growing, particularly in times such as these when we can clearly increase our added value for customers and suppliers. Except for new customers these acquisitions also makes our buying leverage stronger and we also get new suppliers in Taiwan. We are also proud of the successful completion of the directed share issue of SEK 287 million before issuance costs to several long-term institutional investors. We also increased our credit facilities, and after these measures had available liquidity of just over SEK 500 million after the end of the quarter. This gives us a strong financial position and greater financial flexibility. In exception times such as these, it means we will be able to grasp business opportunities that arise in the market and act swiftly. Such business opportunities may be acquisitions and investments in customer relationships. We will remain disciplined in our investments and use the financial flexibility within the framework of our existing business model.

Demand for PCBs remains favorable. However, there are substantial differences between sectors. Our customers who supply the automotive industry have noted a clear slowdown while the MedTech industry has seen a sharp increase in demand. There is naturally a significant degree of uncertainty given the general slowdown in the global economy during this pandemic. The next quarters will most probably be weaker, and we have therefore begun to implement cost-cutting measures.

Our business model, entailing that we do not own factories, is a winning concept, particularly in times such as these.

Hans Ståhl
CEO and President, NCAB Group AB

This is a translation of the original Swedish interim report. In the event of difference between the English translation and the Swedish original, the Swedish interim report shall prevail.

For further information, please contact:
Anders Forsén, CFO +46 8 4030 0051
Gunilla Öhman, IR Manager, +46 70 763 81 25

This interim report has not been reviewed by the company’s auditor.
NCAB Group AB (publ)
Tel: +46 8 4030 0000
Mariehällsvägen 37 A, SE-168 65 Bromma, Sweden

NCAB will hold a web-cast telephone conference on 8 May 2020 at 10:00 a.m. CEST, when CEO Hans Stahl and CFO Anders Forsén will present the report. The presentation will be followed by a Q&A session. The presentation will be held in English and can be followed on the web or over the phone. To participate in the conference call, call the following numbers: from Sweden: +46850558352, the UK: +443333009030 and the USA: +18335268395. The presentation and conference can also be followed from the following link:
Annual General Meeting 5 June 2020, 1:00 p.m.
Interim report second quarter 24 July 2020
Interim report third quarter 10 November 2020
Year-end report 2020  23 February 2021

About NCAB Group
NCAB is a worldwide leading supplier of printed circuit boards, listed on NASDAQ Stockholm. NCAB offers PCBs for demanding customers, on time with zero defects, produced sustainably at the lowest total cost. NCAB was founded in 1993. Since its foundation, the operations have been characterized by an entrepreneurial and cost-efficient culture and have showed strong growth and good profitability over time. Today, NCAB has a local presence in 17 countries in Europe, Asia and North America and customers in approximately 45 countries worldwide. Revenues in 2019 amounted to SEK 1,781 million. Organic growth and acquisitions are part of NCAB’s strategy. For more information about NCAB Group, please visit us at