STOCKHOLM, Sweden, June 18, 2003 (PRIMEZONE) -- Elekta AB (Other OTC:EKTAF):
- Report on operations for the fiscal year ended April 30, 2003
- Operating profit improved sharply by SEK 116 M, corresponding to 56 percent, amounting to SEK 323 M (207). The operating margin improved to 12 percent (8).
- Cash flow after investments increased by SEK 175 M and amounted to SEK 288 M (113).
- Order bookings rose 9 percent to SEK 3,186 M (2,927) and 20 percent calculated on fixed exchange rates.
- Order backlog amounted to SEK 2,411 M at April 30, 2003 (2,317), all time high.
- Net sales were up 2 percent to SEK 2,781 M (2,738) and 12 percent calculated on fixed exchange rates.
- Earnings per share after dilution improved by 57 percent to SEK 7.14 (4.56).
- The Board has decided this year to propose to the Annual General Meeting that a redemption of shares be carried out valued at approximately SEK 320 M.
- The redemption proposal is made as a result of the Board's decision to establish a dividend policy, with the goal of distributing 20 percent or more of net profit in the form of dividends, share buybacks or comparable measures.
Despite the generally weak business climate, Elekta's operating profit improved sharply. The international healthcare market is developing positively and the demand for Elekta's products and treatment methods for cancer and neurological disorders remains strong.
Among other effects, an increasingly older population combined with better diagnostic methods has resulted in the number of cancer cases increasing. Every second cancer patient needs radiation treatment. Today, Elekta is the second largest supplier in the world of equipment for radiotherapy of cancer.
Effective treatment of tumors requires more and more high-precision radiation treatment. Elekta is a leading supplier of both radiosurgery with Leksell Gamma Knife(R) and solutions for high-precision radiation treatment, such as intensity modulated radiotherapy (IMRT). This treatment method enables the radiation dose to be more precisely adapted to the tumor's three-dimensional shape and specific radiation sensitivity, without healthy tissue being damaged.
The market has rapidly accepted IMRT as a clinically and economically efficient method for improved cancer care.
As a consequence of its ongoing product development, Elekta has a leading position within image guided radiotherapy (IGRT) and is the first and only supplier with systems in operation that integrated with linear accelerators deliver complete three-dimensional, high resolution X-ray images. These systems improve the possibilities to localize both tumors and critical organs with high reliability during radiotherapy.
The market opinion is that both IMRT and IGRT could dramatically improve treatment results as well as the patient's quality of life.
The need for non-invasive radiosurgery is growing. Today, some 240 people out of every million suffer from the type of brain diseases that are suitable for radiosurgery using Leksell Gamma Knife(R). The areas of illness in which radiosurgery is rising sharply are certain metastases in the brain, and functional disorders. Radiation treatment using Leksell Gamma Knife(R) is characterized by the high quality of care provided and its cost-effectiveness, as well as being very gentle on the patient.
Elekta's most recently launched equipment for radiosurgery, Leksell Gamma Knife(R) C 1.2, has been well received on the market and customers will able to upgrade to this latest model.
Through the acquisition of Neuromag Oy earlier this year, Elekta has complemented its product portfolio with equipment for registration of nerve cell activity with the help of magneto encepholograhy (MEG). Among other applications, this technology is used to map the brain's functions and activity prior to neurosurgery and for localizing epileptic focus, the points from which epileptic attacks originate. The value of this form of examination is clinically established and the method has already been assigned its reimbursement level by authorities in the U.S.
Further information on Elekta is available at: www.elekta.com
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http://www.waymaker.net/bitonline/2003/06/18/20030618BIT00710/wkr0001.doc
The full report
http://www.waymaker.net/bitonline/2003/06/18/20030618BIT00710/wkr0002.pdf
The full report