Kongsberg Gruppen with the best trading day in four years according to quarterly figures

Kongsberg Gruppen had a result of NOK 1.49 billion before tax in the second quarter of the year, up from NOK 984 million in the same period last year.

The group reports good revenue growth in all divisions in the second quarter of the year.

– We have put another solid quarter behind us. Operating income increased, and profitability was good. We are experiencing high demand for our solutions, both from civilian and defense customers, says CEO and managing director Geir Håøy.

Shortly following the opening on the Oslo Stock Exchange on Wednesday, Kongsberg Gruppen’s share price had increased by around 8 per cent since the previous closing price. In one year, the share value has more than doubled.

The share ended with an increase of 11.07 per cent when the stock exchange closed on the same day. It is the company’s best trading day since 8 May 2020, writes E24.

Increased turnover

Turnover increased from NOK 9.614 to 11.589 billion. Operating profit (EBIT) increased from NOK 1.038 to 1.448 billion.

The group had an EBITDA result of NOK 1.815 billion. according to Today’s business This is 12 percent more than the analysts expected.

New contracts

The quarterly report shows that there was high activity within air defense and missile deliveries in the 2nd quarter. In a stock market announcement, the group indicates that several new contracts were signed for the air defense system Nasams.

The first concerned an expansion and modernization of Spain’s existing air defense system, while the second was for air defense to Norway – in line with the plans presented in the Norwegian Armed Forces’ long-term plan. The group also entered into an agreement for the delivery of the Joint Strike Missile (JSM) to the US Air Force.

– The US Air Force is by far the largest buyer of F-35 combat aircraft, and their choice of JSM might become a significant revenue driver for the defense area in the years to come, says Håøy.

Missile production

In June, the group opened the missile production unit Nexus.

– The transfer to a new facility, as well as natural phasing in the contract portfolio, slows growth somewhat in the next quarter before growth picks up once more, the quarterly report states.