Year-end Report 2019


  • Net sales increased by 4% to SEK 422.4 million (406.7). In USD, net sales were unchanged.
  • Order intake increased 1% to SEK 479.7 million (474.7). In USD, order intake decreased 5%.
  • EBITA was SEK 41.2 million (36.0), representing an EBITA margin of 9.7% (8.9). EBITA includes SEK 2.2 million in acquisition costs for Altus-PCB. IFRS 16 increased EBITA by SEK 0.6 million.
  • Operating profit was SEK 40.7 million (34.9). Operating margin was 9.6% (8.6).
  • Profit after tax amounted to SEK 31.7 million (34.7). 2018 included a positive tax adjustment.
  • Earnings per share before and after dilution was SEK 1.88 (2.06).


  • Net sales increased by 10% to SEK 1,781.2 million (1,617.0). In USD, net sales increased 2%.
  • Order intake increased 9% to SEK 1,818.3 million (1,664.5). In USD, order intake increased 1%.
  • EBITA was SEK 165.4 million (132.2), representing an EBITA margin of 9.3% (8.2). IFRS 16 increased EBITA by SEK 1.0 million and increased total assets by SEK 33.5 million.
  • Adjusted* EBITA was SEK 165.4 million (143.8), representing an adjusted* EBITA margin of 9.3% (8.9).
  • Operating profit was SEK 161.7 million (127.6). Operating margin was 9.1% (7.9).
  • Profit after tax amounted to SEK 128.4 million (104.6).
  • Earnings per share was SEK 7.61 (6.37) before dilution and SEK 7.61 (6.24) after dilution**.
  • The Board of Directors proposes a dividend for the 2019 financial year of SEK 4.75 (4.50) per share.


  • Altus-PCB in the USA was acquired in November.
  • Hans Ståhl announced his wish to retire. Recruitment is ongoing to find a new CEO.
  • NCAB came in second place as “Employer of the year” in the Annual survey of Brilliant Awards in the Services industry.
  • The outbreak of the Corona virus in China will have an adverse impact on sales and results in the first quarter.
Key performance indicators Oct-Dec Oct-Dec Jan-Dec Jan-Dec
2019 2018 % 2019 2018 %
Order intake, SEK million 479.7 474.7 1.0 1,818.3 1,664.5 9.2
Order intake, USD million 49.9 52.5 -4.9 192.2 191.1 0.6
Net sales, SEK million 422.4 406.7 3.9 1,781.2 1,617.0 10.2
Net sales, USD million 45.1 45.1 -0.0 189.1 186.0 1.7
Gross margin, % 32.4 32.7 31.7 31.3
EBITA, SEK million 41.2 36.0 14.2 165.4 132.2 25.0
EBITA margin, % 9.7 8.9 9.3 8.2
Adjusted* EBITA, SEK million 41.2 36.0 14.2 165.4 143.8 15.0
Adjusted* EBITA margin, % 9.7 8.9 9.3 8.9
Operating profit, SEK million 40.7 34.9 16.6 161.7 127.6 26.7
Operating margin, % 9.6 8.6 9.1 7.9
Profit after tax, SEK million 31.7 34.7 -8.7 128.4 104.6 22.8
Earnings per share before dilution**, SEK 1.88 2.06 -8.7 7.61 6.37 19.5
Earnings per share after dilution**, SEK 1.88 2.06 -8.7 7.61 6.24 22.1
Cash flow from operating activities, SEK million 44.9 41.0 9.4 153.0 69.9 118.8
Return on capital employed, % 41.6 44.4
Return on equity, % 39.8 51.9
USD/SEK – average 9.61 9.04 9.46 8.57
EUR/SEK – average 10.64 10.33 10.58 10.26
* Adjusted for non-recurring items of SEK 11.6 million in the January–December 2018 period. The adjustments refer to costs for the IPO and final settlement costs related to the agreement with the Russian tax authority.
** The Annual General Meeting on 14 March 2018 resolved to approve a 10:1 stock split. Earnings per share have been calculated retrospectively based on the total number shares after the stock split for each period.


Earnings and margins improve for NCAB

The fourth quarter continued in line with the third in terms of sales, while order intake was weaker. Despite a lower growth rate, I am proud that we were able to further strengthen our earnings, leading to an increase in EBITA margin to 9.7 per cent. As we do not own any factories, we are able to quickly adapt expenses and this has resulted in earnings improvements despite lower growth. We postponed certain projects and adjusted recruitments to the lower growth rate.

In terms of our segments, Nordic continued to report the strongest growth, as has been the case in earlier quarters, with the largest increase in Norway and Denmark while Sweden remains at a stable high level. Earnings and EBITA margin in the quarter were slightly weaker than last year, mostly as growth was strongest in countries with lower margins.

The quarter remained weak in Europe, particularly in the UK and Germany, where we noted some market caution, partly due to Brexit and the weaker German economy. In Europe, NCAB has an EBITA margin of 6 per cent. This lower margin is a natural consequence of being newly established in many countries and the fact that we continue to invest and build our business.

In our segment North America the market seems to have accepted the import tariffs and we noted a slight improvement in the fourth quarter. Earnings improved despite a slight drop in sales. Altus-PCB was acquired in November, a company with a yearly revenue of around SEK 40 millions, high technology and a profitable business, which will be a positive addition to our US operations.

East also noted growth, though this slowed slightly compared with earlier quarters. We have also successfully raised our margin to a healthy 13.4 per cent.

Total sales growth in the quarter was 4 per cent in SEK, while in USD we noted slightly negative growth.
Despite the economic slowdown, we are satisfied with the growth delivered in 2019 and the increase in our EBITA margin to 9.3 per cent. We are proud of acquiring two first-rate small companies, Multiprint in Denmark and Altus-PCB in the USA. Both have been properly integrated and we have already seen several synergies. We are continuing to analyse and discuss further acquisition opportunities.

The outbreak of the Corona virus in China will affect our Net sales and result negatively during at least the first quarter. The amount or implications are today difficult to judge. The factories remained closed two extra weeks after the Chinese New Year. Thereafter they have, in the middle of february started production, however with reduced capacity. This will entail delivery delays in both PCBs and other components which will affect our customers’ businesses. There might also be disturbancies in transports from China. None of our employees are infected and as a security measure our chinese employees work from home. We are working close to our customers and suppliers in order and to assure the best possible deliveries.

I would like to take this opportunity to thank all of our employees around the world for their untiring commitment to our eminent company. It is also great that we were awarded a price for this engagement!

Hans Ståhl
President and CEO, 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.