BALLERUP, DENMARK — The GN Group posted another strong quarter, delivering 16% organic revenue growth in Q2 2019 compared with Q2 2018, according to the company’s Interim Report Q2 2019.
GN Interim Report Q2 2019 Highlights
- GN delivered 16% organic revenue growth in Q2 2019. Revenue growth was 19% including around 3% impact from the development in foreign exchange rates
- Earnings Per Share (EPS) increased 9% compared to Q2 2018 and reached DKK 2.29
- Strong cash conversion of 90% in Q2 2019
- The financial guidance for 2019 – upgraded on August 21, 2019 – is confirmed
GN Hearing
- GN Hearing delivered a strong 8% organic revenue growth in Q2 2019 driven by the continued strong performance by ReSound LiNX Quattro. Revenue growth was 11% including around 2% impact from the development in foreign exchange rates
- EBITA increased 8% to DKK 299 million ($44.5M USD) in Q2 2019. The EBITA margin reached 18.9%, slightly lower than Q2 2018 as a result of “an adverse development in foreign exchange rates and ongoing infrastructure investments”.
“Our continued strong momentum in Q2 2019 demonstrates that GN Hearing delivers the kind of user-friendly and innovative solutions that meet the true needs of people with hearing loss across the globe. With 8% organic revenue growth the groundbreaking technology developed for ReSound LiNX Quattro continues to be well received in the market.”
–Jakob Gudbrand, CEO of GN Hearing
GN Audio
- GN Audio delivered a very strong 26% organic revenue growth in Q2 2019. Revenue growth was 30%, including around 3% impact from the development in foreign exchange rates and around 1% impact from M&A
- EBITA increased 29% to DKK 268 million ($40M USD) in Q2 2019, including transaction related costs of DKK (7) million associated with the acquisition of Altia Systems. The reported EBITA margin of 18.3% reflects continuous leverage in the business off-set by an adverse development in foreign exchange rates and investments in future growth opportunities
- Free cash flow excl. M&A was DKK 232 million in Q2 2019, translating into a cash conversion of 87%
- GN Audio upgraded the full year guidance on August 21, 2019
“With 26% organic revenue growth in Q2, GN Audio continued to take market share. Our continued focus on constantly launching highly relevant, innovative and market leading products backed by flawless marketing and sales execution has once again proven successful in both the professional and the consumer segment. We are looking forward to utilize this well-oiled engine to support businesses’ productivity further with our newly launched Jabra PanaCast for modern video collaboration.”
–René Svendsen-Tune, CEO of GN Audio
Source: GN Store Nord A/S
