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Teleste improved at third quarter

The third-quarter orders received by Teleste Group increased by 26.2% and stood at EUR 51.1 (40.5) million, Teleste says in its interim report. Order backlog increased totaling EUR 17.4 (13.6) million.

Net sales amounted to EUR 46.5 (45.6) million. Operating profit improved and stood at EUR 3.2 (2.9) million making 6.9% (6.3%) of the net sales. Proportional material margin was slightly lower than in the period of comparison because the deliveries by the product business involved more lower-margin products.

”Particularly strong markets included the Nordic countries, the Netherlands, Poland and France. Preparations continued for the future network technology solutions with our customers. Net sales and operating profit were at par with the comparative period”, says ´Teleste CEO Jukka Rinnevaara.

However, the company does not change its outlook for the whole year.

Network capacity will continue to increase driven by the new video services provided by the operators, Teleste says. ”However, comparisons made by the operators concerning the future access network technologies could delay the launch of investments. We estimate profitability of Video and Broadband Solutions to improve over the comparative period.”

Teleste estimates profitability of Network Services to remain below the comparative period.  Net sales and operating profit for 2013 are expected to reach the 2012 level.

Teleste is an international technology company that develops and offers video and broadband technologies and related services. Its core business is video – image and data processing, transfer and management.

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