Barco’s Revenues Rise 16.1% in 2011

Posted by Joe Zaller
Feb 09 2012

Barco announced that its revenue for the full year 2011 was €1.04Bn, an increase of 16.1% versus the full year 2010.   The company said all parts of the businesses with the exception of defense, air traffic control and the ventures as a group, grew during the year.

Order intake in 2011 was €1.09Bn, an increase of 10.7% versus last year.  The company said that BRIC countries together with Mexico, Japan, South-East Asia and Central Europe were among the best areas for growth in incoming orders.

The company’s net income for 2011 was €75.8m, up 74% versus 2010.

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On a geographic basis:

  • Revenue from the Europe, Middle East, Africa and Latin America (EMEALA) region was €444m, or 43.7% of total revenue.  EMEALA revenue grew 18.8% during 2011.

 

  • Revenue in North America contributed was €4347, or 33.3% of total revenue.  Sales in North America were up 8.6% versus 2010.

 

  • Sales in the Asia-Pacific region were €239.4m, or 23% of total revenue.  APAC revenue increased by 23% versus 2010.

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On a segment basis:

  • The Entertainment Division contributed €432.1m, an increase of 31.1% versus the previous year, driven by strength in the events market.  Barco also said that its renewed focus on the corporate AV segment has been “remarkably successful.”  The company said its entertainment business grew than 30% growth in the EMEALA region, almost 20% in North America and close to 50% in the APAC region. EBITDA in the Entertainment Division grew 6% to €63.8m, but EBITDA margins in the division dropped 3.5% due to substantial investment in R&D.

 

  • Sales in the Healthcare Division grew 10% to €192.5m, thanks to robust sales in both established markets as well as newer segments such surgical displays, dental imaging, and digital pathology. Barco said its Healthcare Division grew in all territories, with APAC growing 20% year-over-year.  Healthcare EBITDA for 2011 was €33.1m, up 16.4% versus last year.  Healthcare EBITDA margin increased from 16.2% to 17.2%.

 

  • Sales in the Control Rooms & Simulation division increased 16.1% to €214.3 in 2011, with the Europe and APAC regions each growing about 20%. Revenue for Simulation increased in the EMEALA and APAC regions but decreased in North America.  2011 EBITDA for the division €16.2m, up 9% versus last year, but EBITDA margin dropped from 8% to 7.5%.

 

  • Sales in the Defense and Aerospace division declined 1.7% to €115.8, despite a strong performance at the end of the year.  The EMEALA region grew its top line by 5.9%. The other two regions experienced negative growth Division EBITDA dropped 15% to €11.7m.

 

  • Revenue on the Ventures division was €88.2m, a decline of 4.2% versus the previous year, due primarily to weak sales in the APAC region.  EBITDA for the division was €5.5m versus and EBITDA loss of €17.5m last year.

 

Company president & CEO Eric van Zele said: “We are very pleased to see that Barco passed the ambitious billion euro mark. We progressed on many fronts and delivered on our promises for sustainable and profitable growth. Overall sales grew 16.1% year-on-year with Entertainment growing at 31.1%, Healthcare at 10% and Control Rooms & Simulation at 16.1%. Despite a very challenging macro-economic environment we not only succeeded in turning Barco around but also established global leadership positions in all of our core businesses. With EBIT margins moving up from 5.0% in 2010 to 7.5% in 2011 we further delivered on our promises related to profitability while our free cash generation of €81.2m illustrates good management of our working capital. End of December 2011 the net financial cash position of Barco stood at €61.1m compared to €8.9m a year earlier.”

 

 

Outlook for 2012

Barco issued the following statement about the coming year:

“With an eye on the future and realizing that the current economic environment is still very uncertain management believes that Barco’s momentum for profitable growth will be sustainable as the company continues to sharpen its focus on its core businesses and pursue alternative options for some other activities.”

 

 

 

Related Content:

Press Release:  Strong growth pushes Barco beyond 1 billion euro in sale

Barco FY 2011 Presentation to Equity Analysts

Previous Year: Digital Cinema, Medical Imaging Drive 40 Percent 2010 Revenue Increase at Barco

 

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