Overall, orders for the first six months of the year were up 13% (+16% for new software licenses, and +12% for CAD/CAM equipment).
Revenues Lag Due to the Progressive Ramping Up of Production of the New Generation of Cutting Solutions: The progressive ramping up of manufacturing facilities for the new generation of cutting systems continued in the second quarter, although not sufficiently to absorb the accumulated backlog. This accounts for the temporary lengthening of lead times between booking of an order for CAM equipment and billing since the beginning of the year.
As a result of these lead times, Q2 revenues for new systems (EUR 28.5 million) were down 7% relative to Q2 2006. Recurring revenues (EUR 26.1 million) were up 8%. Aggregate revenues (EUR 54.6 million) were slightly down (-1%). Income from operations (EUR 3.5 million) improved sharply relative to the Q1 2007 loss on operations of - EUR 0.1 million, but was down EUR 1.3 million (-25%) relative to Q2 2006.
First-half Performance Better than Expected Overall: First-half revenues (EUR 104.2 million) were unchanged relative to first-half 2006, with revenues from new systems down 6% at EUR 52.6 million, and recurring revenues rising 7% to EUR 51.6 million.
Income from operations (EUR 3.4 million) was down EUR 2.9 million, like-for-like. The main reason for this decline stemmed from the lead times between orders for new systems booked in the semester and billings, and from the aggregate cost of Lectra World 2007 (EUR 1.6 million) which was fully expensed in the period.
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
