RoodMicrotec N.V. has issued an interim report and the half year results for the financial period ending 30th June 2020. The semiconductors supply services company reported the total income of EUR 5.4 million for the first half of 2020, a 16% decrease compared to the first half year of 2019.
The company says total income during the first half year was impacted by the COVID-19 pandemic. The income is also 20% less than what the company provided in the outlook for the first half of 2020 presented in its fourth quarter of 2019. The second quarter of 2020 was most impacted by the pandemic which created the uncertainty in the market, resulting to a depressive short-term demand from the customers. There was postponement of deliveries but no cancellation was seen. While the new orders diminished or the customers also postponed the orders because of uncertain situation created by the COVID-19.
The company saw a significant decline in the net results during the first half of the year. It reported net results of EUR -0.7 million with a EUR 0.4 million decrease as compared to first half of 2019. However, the decline in the cost of raw materials amid Pandemic along with cost control measures helped the company to reduce the overall costs during the first half of 2020.
However, RoodMicrotec reported a positive cash flow of EUR 0.8 million from operating activities during the first six months of 2020 while the net cash flow of EUR -0.2 million on early 2020investments it achieved in a new test machine.
RoodMicrotec CEO Martin Sallenhag said, “It has been a tough first half year of 2020 but thanks to the dedication of our employees and the good relationships with our customers and suppliers we have been able to limit the effects of COVID-19. We are well prepared for the expected up-swing even though it is impossible to know exactly when this will happen. The current cash situation and the possibility to run short-time work enables us to continue to serve our customers at an outstanding level.”