Johnson Electric experiences Business and Unaudited Financial Information for the Third Quarter of Financial Year 2020/21 | Arabian Post

HONG KONG SAR – Media OutReach – 14 January 2021 – This information launch is made by Johnson Electric Holdings Limited (“Johnson Electric” or the “Company” and along with its subsidiaries, the “Group”) for the enterprise operations and chosen unaudited monetary data of the Group for the three months and the 9 months ended 31 December 2020.

The Board of Directors (the “Board”) of the Company considers the publication of quarterly gross sales efficiency updates to be in step with worldwide company disclosure finest apply. The goal of this information launch is to offer transparency and to make sure that traders and potential traders obtain equal entry to the identical data on the similar time.

The Group’s gross sales for the quarter ended 31 December 2020 have been US$912 million in comparison with US$773 million for a similar quarter in 2019, a rise of 18%. Excluding foreign money actions, gross sales elevated by 15% to US$887 million. Foreign change charge actions had a constructive impact of US$25 million on the Group’s gross sales for the quarter ended 31 December 2020. This was primarily as a result of affect of the stronger common change charges for the Euro and Chinese Renminbi towards the US Dollar, in comparison with the identical quarter in 2019.

The restoration in gross sales skilled within the second quarter gathered momentum within the third quarter, partially mitigating the deep pandemic-driven decline skilled within the first quarter of the monetary yr. Overall, the Group recorded gross sales of US$2,242 million for the 9 months ended 31 December 2020, in comparison with US$2,338 million for a similar interval in 2019, a lower of 4%. Excluding foreign money actions, gross sales for the 9 months ended 31 December 2020 decreased by 5%.

Sales of Automotive Products Group (“APG”)

APG’s gross sales for the quarter ended 31 December 2020 elevated by US$107 million or 17% in comparison with the identical quarter in 2019.  Excluding foreign money results, APG’s gross sales elevated by US$84 million or 13% within the quarter.

APG’s gross sales outperformed in comparison with automotive business manufacturing volumes, in all areas, in each the 9 months and the quarter ended 31 December 2020. Although the COVID-19 pandemic sharply diminished APG’s gross sales in April and May 2020, notably in Europe and the Americas, the Group subsequently skilled a major restoration in demand. The gross sales adjustments by area, excluding foreign money results, have been as follows:

Johnson Electric’s revolutionary expertise and product portfolio stays properly positioned to fulfill rising demand for the electrification of important automotive features to extend powertrain effectivity, cut back car weight, enhance security, reliability and improve consolation.

Sales of Industry Products Group (“IPG”)

IPG’s gross sales for the quarter ended 31 December 2020 elevated by US$32 million or 21% in comparison with the identical quarter in 2019. Excluding foreign money results, IPG’s gross sales elevated by US$29 million or 20% for the quarter.

IPG’s enterprise and monetary efficiency benefited considerably from adjustments in shopper behaviour and expenditure in response to the COVID-19 pandemic. As shoppers in lots of nations have been required to spend extra time at residence, the division skilled sturdy demand for merchandise for meals and beverage, flooring care, residence workplace printer, garden and backyard, window automation, energy software, sanitation and air flow purposes. The medical phase additionally skilled sturdy progress, pushed by the long-term crucial to scale back the labour depth of hospital procedures.

These constructive demand dynamics have been partly offset by the COVID-19 pandemic’s adversarial affect on some particular prospects and market segments. In Europe and the Americas, gross sales to many small and medium enterprises decreased as shoppers switched to buying by the net gross sales channels of bigger rivals. Commercial printers, metering, versatile printed merchandise and switches segments have been additionally slower than typical.

On a regional foundation, IPG skilled the best gross sales progress in Asia due largely to the fast restoration of China’s industrial sector and powerful international demand for the nation’s manufactured items. In Europe and the Americas, the trail to restoration in some segments has taken considerably longer and within the US, particularly, IPG’s gross sales have been hampered by delays from port congestion in addition to land and rail logistical bottlenecks. The gross sales adjustments by area, excluding foreign money results, have been as follows:

Chairman’s Comments on Sales Performance and Outlook

Concerning the quarter ended 31 December 2020 gross sales efficiency, the Chairman and Chief Executive, Dr. Patrick Shui-Chung Wang, mentioned, “The strong recovery in demand that we experienced during the second quarter continued in the third quarter — with sales levels in both APG and IPG running well ahead of the third quarter in the prior year.  Although there remains some uncertainty as to how the upsurge in COVID-19 in many Western countries could impact business activity and consumer confidence, the Group is presently on track to deliver full-year total sales close to the level achieved in the prior financial year.  This would represent a very satisfactory achievement given the fact that such a large portion of Johnson Electric’s operations was either shutdown or significantly constrained during the first two months of the current financial year.”

Cautionary Statement

Shareholders and potential traders within the Company are reminded that the knowledge supplied on this information launch, together with data associated to the anticipated outlook for the total yr, is predicated on the Group’s unaudited inside information and administration accounts. This data has not been reviewed or audited by the Company’s auditors.

Shareholders and potential traders ought to train warning when dealing or investing within the shares of the Company.

About Johnson Electric Group

The Johnson Electric Group is a worldwide chief in electrical motors, actuators, movement subsystems and associated electro-mechanical elements. It serves a broad vary of industries together with Automotive, Smart Metering, Medical Devices, Business Equipment, Home Automation, Ventilation, White Goods, Power Tools, and Lawn & Garden Equipment. The Group is headquartered in Hong Kong and employs over 35,000 people in 23 nations worldwide. Johnson Electric Holdings Limited is listed on The Stock Exchange of Hong Kong Limited (Stock Code: 179). For additional data, please go to: www.johnsonelectric.com.