Sunday, 01 August 2021 01:26 GMT

Fingerprint Cards AB (publ): Interim Report January June 2021


( MENAFN - GlobeNewsWire - Nasdaq) English Swedish

Highlights of the quarter

  • Sales increase in constant currency terms of 18.3 percent, despite the production disruption in Vietnam announced earlier
  • Two design wins from a top-tier global PC manufacturer
  • BBVA Mexico announced the launch of Mexico's first biometric payment card, using technology from Fingerprints
  • For the third quarter of 2021, Fingerprints expects Group revenue to be in the range of SEK 330-370 million, based on the exchange rate SEK/USD 8.50

Second quarter of 20 2 1

  • Revenues amounted to SEK 290.2 M (282.3)
  • The gross margin was 27.7 percent (21.5)
  • EBITDA totaled SEK 9.4 M (6.7)
  • The operating result was negative SEK 24.0 M (neg: 16.7)
  • Earnings per share before dilution were negative SEK 0.08 (neg: 0.07)
  • Cash flow from operating activities amounted to SEK 50.3 M (81.3)

January-June 20 21

  • Revenues amounted to SEK 644.9 M (592.3)
  • The gross margin was 28.3 percent (22.7)
  • EBITDA totaled SEK 26.7 M (18.3)
  • The operating result was negative SEK 22.3 M (neg: 34.4)
  • Earnings per share before dilution were negative SEK 0.06 (neg: 0.08)
  • Cash flow from operating activities amounted to SEK 86.6 M (43.5)


CEO 's comments

As we announced on June 3, Vietnamese authorities temporarily shut down an industrial complex in which one of Fingerprints' suppliers has its production facilities due to a COVID-19 outbreak. A successive restart of the production plant commenced during the second half of June, but nonetheless, this loss of production had a negative impact on our sales during the quarter. Despite this, we increased our sales by 18 percent in constant currency terms compared with the corresponding period of 2020, and we assess that the sales lost in the second quarter will be recouped in the coming quarters. Demand for Fingerprints' products and solutions is healthy and we anticipate that production capacity at our Vietnamese supplier will be fully restored during the third quarter, while we have also secured additional capacity with other suppliers. The important work of broadening our supplier base continues with undiminished effort.

We are seeing a positive trend in the underlying market for our products. External industry analysts expect the global smartphone market to expand by 6-9 percent during 2021, while the proportion of mobiles with fingerprint sensors continues to grow. Capacitive fingerprint sensors, for which Fingerprints is the world leader, remain by far the most common biometric modality in smartphones. Our strong position is based on renowned high product quality, security and biometric performance. We are continuously advancing the development of our product portfolio, and the most recent generation's thin side-mounted sensors from Fingerprints have established a new highest standard in the market. 2020 was an unusually strong year for the PC industry, a consequence of a significant increase in the scope of studying and working remotely due to the pandemic. The industry continued to expand in 2021, and the view among industry analysts is that the PC market will establish itself on a significantly higher level than before the pandemic. Computers equipped with fingerprint sensors are becoming increasingly commonplace and with our new biometric solution for PCs, we have also assumed a leading position in this market. During the second quarter, we announced that we had gained another customer, which entails that two of the world's largest three PC manufacturers are now using our technology.

Fingerprints has a world-leading position in biometrics for payments. Our technology is used in all of the commercial launches of biometric payment cards announced to date: Cornèrbank in Switzerland, BNP Paribas and Crédit Agricole in France, as well as BBVA in Mexico. During the second quarter, we announced that Fingerprints and STMicroelectronics have entered a commercial agreement (MoU) to bring STPayBio to the market, a jointly developed platform for the next generation of biometric payment cards. In-mid-July, we announced that we have secured an additional volume order for approximately 250,000 units of T-Shape® sensor modules from one of the world's top three card manufacturers. This indicates that the market roll-out of biometric payment cards in the world will continue and accelerate.

After the close of the quarter, the Board decided to initiate a review of strategic alternatives for Fingerprints with the purpose of evaluating and creating the best route to crystalize value for shareholders. The alternatives reviewed range from acquisitions, to spin-offs, sales and new listings.

Christian Fredrikson, President and CEO


On July 16 at 14:00 CEST, Fingerprints' CEO Christian Fredrikson will present the report together with CFO Per Sundqvist in a combined webcast and telephone conference. The presentation will be held in English.

The report will be available at fingerprints.com

The webcast and the presentation material can be accessed through

For analysts and media: The telephone conference dial-in is +44 (0) 2071 928000 (international participants) or 08-506 921 80 (Swedish participants). Please state conference ID 5199830.

F or information, please contact :
Christian Fredrikson, CEO
Per Sundqvist, CFO
Stefan Pettersson, Head of Investor Relations:
+46(0)10-172 00 10

Press:
+46(0)10-172 00 20

This is the type of information that Fingerprint Cards AB is obligated to disclose pursuant to the EU's Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, on July 16, 2021 at 08:00 a.m. CEST.
About Fingerprints
Fingerprint Cards AB (Fingerprints) – the world's leading biometrics company, with its roots in Sweden.
We believe in a secure and seamless universe, where you are the key to everything. Our solutions are found in hundreds of millions of devices and applications, and are used billions of times every day, providing safe and convenient identification and authentication with a human touch. For more information visit our website , read our blog , and follow us on Twitter . Fingerprints is listed on Nasdaq Stockholm (FING B).

 

Attachment

  • Interim report Q2 2021

Attachments Interim report Q2 2021...

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