August 13, 2014 - Revenues were in line with second quarter last year.
Effects of a business model change on certain products as well as modest
demand in the desktop do-it-yourself market offset an increase in data
center revenues. Overall gross margin improved by 3.5 percentage points,
reflecting the change in business model, a proactive approach to
optimizing the offered product mix, and cost savings achieved with
certain component suppliers. Asetek delivered on its largest single
RackCDUT order to date, as products worth $350,000 were shipped to an
OEM customer for installation in a U.S. Federal Data Center.
"The RackCDU order that came in during the quarter was a good
opportunity for us to test and prove our volume manufacturing capability
for data center products. The experience, together with the new U.S.
patent allowance for the RackCDU, gives us confidence in the continued
design-in efforts with OEMs and system integrators," says André Eriksen
CEO of Asetek. "The desktop segment secured an important design win in
the workstation market. Looking forward, those achievements outweigh the
softened DIY market demand, which we believe will recover in the third
quarter."
Revenues came in at $5.4 million, marginally up from $5.3 million in the
second quarter 2013. Operating profits from the desktop segment were
$0.7 million, down from $1.1 million in the same period last year and
explained in part by the modest decrease in revenues but primarily
explained by a temporary increase in R&D expenditures in finalizing the
design of a next generation product. Operating losses from the
datacenter segment were $1.3 million, an improvement from $2.0 million
in the second quarter 2013 and a result of higher revenues. Data center
spending reflects continued investments in development and marketing in
the segment. Asetek shipped 109,000 patented sealed liquid cooling units
in the second quarter.
Asetek will give a presentation today at 08:30 CEST which can be
followed through a webcast or a conference call. CEO André Eriksen and
CFO Peter Dam Madsen will represent the company.
The webcast can be accessed on http://www.media-server.com/m/p/nzs24i93.
The conference call details are:
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|Norway |+47 2316 2787 |
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|Denmark |+45 38 48 75 13 |
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|United Kingdom |+44(0)20 3427 1915|
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|United States of America|+1 646 254 3365 |
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|Confirmation Code: |9306328 |
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Q&A: The conference call lines will be opened for participants to ask
questions at the end of the presentation.
For further information, please contact:
Andre S. Eriksen, Chief Executive Officer
Mobile: +1 408 398 7437, e-mail: ceo@asetek.com
Peter Madsen, Chief Financial Officer
Mobile: +1 408 813 4147, e-mail: investor.relations@asetek.com