Sales up 8.3% at Stemmer Imaging, as no-deal Brexit plans made
Stemmer Imaging has published earnings for the 2018/2019 financial year, along with an advisory note to its customers about the company’s preparations in light of the risk of a no-deal exit of Britain from the EU.
Stemmer Imaging’s revenue increased by 8.3 per cent to €109.0m in the period from 1 July 2018 to 30 June 2019.
The company said the growth is thanks to regional diversification and growth into new end markets such as sports and entertainment, and medical.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) fell from €10.6m in the previous year to €10.0m.
‘Business performance was satisfactory in light of the challenging market environment,’ said Arne Dehn, CEO of Stemmer Imaging.
The company is expecting potential disruption in the event of a no-deal Brexit on 31 October. In a statement, the firm said it was taking steps with its logistics partners to minimise delay and that, with the company’s strong financial position, it is able to hold increased stock.
The statement added: ‘On analysis, with so many products, over 24,000 in fact, and many customers purchasing specialised variants of products it is impossible for us to guarantee availability of all products without our customers’ help.’
Stemmer Imaging will try and import as many firm orders as possible into the UK before Brexit with scheduled deliveries in November free of charge.
It is asking customers to make orders as early as possible so that non-stock items can be imported before the deadline on 31 October.
Stemmer Imaging recommends placing orders with increased lead-time in December and January so the company can accommodate potential import delays.
The company acquired the French firm Elvitec in July 2018, along with investing in the Austrian software firm Perception Park in October 2018 and buying the Spanish company Infaimon in May 2019. It has also established a subsidiary in Bologna, Italy, making it present in all major European markets.
Incoming orders rose by 5.6 per cent to €112.9m in the fiscal year 2018/2019.
The company plans to switch to a financial year corresponding to the calendar year in 2020. Therefore, for the short 2019 financial year, the management board expects revenue ranging between €59.0m and €65.0m.
In the first half of 2018/2019, the company generated revenue of €50.7m.