The total income in the first half year of 2020 is impacted by the COVID-19 pandemic and ended up at EUR 5.4 million which is 16 % below the figure for the first half year of 2019. It is also about 20% below the expectations for the first half year as budgeted in the fourth quarter of 2019.
The second quarter of 2020 was significantly impacted by the uncertainty in the market due to COVID-19 with reduced short-term demand from our customers. No projects have been cancelled or lost, but RoodMicrotec sees a high level of caution and postponement of deliveries to later stages.
The net result for the first half year of 2020 was EUR -0.7 million which is EUR 0.4 million below the first half year of 2019, excluding one-time effects that were included in the 2019 result. The lower cost of raw materials together with good cost control have reduced the overall costs in the first half year of 2020. The main cost savings are done through short-time work in the German locations. This enables RoodMicrotec to keep the personnel in the company through these difficult times and therefore being well prepared for the expected upswing.
The cash flow from operating activities for the first half year of 2020 was positive at EUR 0.8 million and the net cash flow was EUR -0.2 million due to investments in a new test machine in early 2020. The new V93k test system from Advantest has been running at a very high utilization level from the first day so even in these difficult times it was important to do this invest to be able to serve the customers.
“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”, says Martin Sallenhag, CEO of RoodMicrotec.