Netgem Reports 2011 Profit of €10.7M
2011 Results and Outlook
Netgem’s current operating profit for 2011 was €12.6 million with revenues of €84.7 million, equivalent to a margin of 14.9%.
The Group’s gross margin remained stable at 38.2% of revenue and amounted to €32.4 million for the year.
Operating expenses decreased by 6% to €19.8 million in 2011, as compared to €20.9 million for 2010, including a year on year 53% increase in R&D effort.
Netgem has posted a 2011 net profit of €10.7 million, including €1.5 million from a one-off gain and €3.4 million in tax expenses. The Group’s net cash position amounted to €50.0 million at year end.
Since the start of its share-buyback programme at the end of 2011, the Group has bought back 965,978 of its own shares, equivalent to 2.6% of its capital. Early 2012, 491,000 of those shares were used for the vesting of free shares granted in 2010.
As previously announced, in early 2012 Netgem’s business was still impacted by a shortage of hard disk drives as a result of last year’s flooding in Thailand and the Group expects its first quarter revenue for 2012 to amount to €18 million. The availability and pricing of hard disk drives are now coming back to normal.