SFS has reported a positive sales dynamic in the second half of the year despite experiencing a drop in demand in the first half due to the Covid-19 pandemic.
The company reports that the demand in several markets and regions has been recovering more quickly than expected since August. This has improved production capacity utilization, which has had a positive effect on the company's operating results.
Based on the most current information available, SFS expects its operating results for the second half of the year to be significantly better than previously projected. The course of business thereafter remains subject to considerable uncertainty due to the COVID-19 pandemic.
In addition, business activity in various markets has displayed a sustained positive trend since the summer months. This development has continued into the final quarter of the year.
Automotive-related business areas that had been heavily impacted during the first half have shown a particularly strong recovery. In the electronics industry, SFS benefited from successful product ramp-ups at key customers.
The significant improvement in demand has improved production capacity utilization, which has had a positive effect on the company's operating results.
Based on the latest available data, SFS expects sales for the 2020 financial year to range between CHF 1.63 to 1.68 billion. Operating profit (EBIT) for the full year is forecast to range between CHF 180 million and CHF 200 million. Sales and operating profit for the 2020 financial year are thus expected to be lower compared to the previous financial year, but better than initially projected during the release of half-year results.
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