BUSINESS NEWS
26 Jul 07. Saft announces its sales for the second quarter and first half of
2007. John Searle, Chairman of the Management Board, commented: “Saft’s sales in Q2 continued the strong performance seen in Q1, resulting in an excellent half year growth of 10.5% (at constant exchange rates). All product lines again showed yearon-year growth. For the first half year, we estimate that approximately 3-4% of the sales growth was due to pricing, demonstrating our success in passing on the increased nickel costs. Volume growth of approximately 6-7% was above our medium term expectations. IBG was again the main contributor to this volume growth, thanks to ongoing favourable market conditions and an increasing market share in the Telecom segment. However, the weakening US$ caused an adverse currency impact of 3%, resulting in reported sales growth of 7.5% for H1. This strong first half performance allows me to again increase our full year sales guidance. In our Q1 sales release, I advised that we should be towards the top of the guidance range of € 580m – € 600m, assuming constant 2006 exchange rates (€ 1 = $ 1.26). Despite the adverse currency effect from the weakening US dollar, I now expect that we should be towards the top of this guidance range, assuming 2007 YTD exchange rates (€ 1 = $ 1.33).
20 Jul 07. Advanced Micro Devices Inc. is still losing a lot of money, but making progress in blunting a stiff attack by rival Intel Corp. Those themes emerged from the chip maker’s second-quarter financial results, which included a $600m net loss. But AMD raised revenue more than analysts expected, and reported a 38% increase in unit shipments of microprocessors from the first quarter. As a result, AMD executives asserted that it had won back market share in the market for microprocessors — the chips that act as calculating engines in computers — after several quarters of gains by Intel, which has added a series of attractive chips to its product line. Among other things, AMD has benefited by new sales to Toshiba Corp., a major factor in the fast-growing market for laptop computers. “The unit shipment growth is very impressive,” said JoAnne Feeney, an analyst at FTN Midwest Securities Corp. “Toshiba has really helped them out.” (Source: WSJ)
26 Jul 07. Elbit Buys U.K. Power-Control-Systems Firm. Elbit Systems has moved to increase its presence in the British defense aerospace and land systems markets with the acquisition of Ferranti Technologies in a deal valued at $31m.
Oldham-based Ferranti, which is privately owned, specializes in the design, manufacture and support of electronic power management and control systems. Annual sales registered at $33 million last year. Elbit President Joseph Ackerman said the move would give Elbit a presence in the aerospace and land systems sector here. The company’s priority was to build a presence in the aerospace market, he said, but then to leverage its capabilities to get into the land systems business. “If you want to develop a business relationship in country, you must have a local presence. … I believe Ferranti and its management will significantly enhance our business base in the U.K. and enable us to provide better support to our customers, while gaining better market access in the U.K. and Europe,” he said. To date, most of the company activities here have centered on the unmanned air vehicle sector where Elbit already owns engine builder UEL and a majority share in U-TacS, a joint venture set up with Thales UK to build vehicles for the British Army’s Watchkeeper tactical UAV program.
Ackerman said the latest acquisition was unrelated to its UAV activities here.
The acquisition is part of the Israeli company’s strategy to boost its presence in the European market, particularly Britain. The Elbit boss says that by next year, he expects the company’s European turnover to top $200m and account for about 20 percent of expected 2008 turnover. (Source: Defense News)
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