Oslo, 29. october 2015: As in the first two quarters
of this year, good improvements were seen in the third
quarter in the profitability of Itera's consulting
activities in Norway and Denmark. Weaker figures were
generated by Itera's consulting activities in Sweden.
The Norwegian operating activities shows growth and a
solid operating margin due to long-term and targeted
The Group reports operating revenue of NOK 94.0
million (96.0) for the third quarter of 2015.
The Group's operating costs totalled NOK 89.5 million
(93.4) in the third quarter of 2015, representing a
decrease of 4% relative to the same period last year.
The operating result before depreciation (EBITDA) for
the third quarter of 2015 was a profit of NOK 9.3
million (a profit of NOK 7.7 million in Q3 2014).
The operating result before non-recurring items (EBIT)
was a profit of NOK 4.5 million (a profit of NOK 2.6
million in Q3 2014).
Itera's cash flow from operations in the third quarter
of 2015 was NOK 5.3 million (-3.2). There were changes
to working capital which, in conjunction with the
improvement in profit, led to an improvement in cash
flow from operations relative to the third quarter of
The revenue from Itera's 30 largest customers grew by
2% in the third quarter of 2015 and accounted for 70%
of the Group's operating revenue, up from 68% in the
third quarter of 2014.
- We have had a long-term and determined focus over a
long period in order to improve profitability, and are
satisfied to see results. We have well-defined plans
ahead to ensure that the positive trend remains stable
where it today is good, and to turn around the trend
in Sweden, says Arne Mjøs, CEO of Itera.
Agreements were signed with customers such as
Storebrand Livsforsikring, Eika, KLP, Santander, the
Norwegian Defence Estates Agency, PRA Group,
Norconsult, Lovisenberg Diakonale Sykehus, If, the
Norwegian Agriculture Agency, OBOS Forsikring and VPS.
A high proportion of these agreements are extensions
or expansions of existing commitments. This is in line
with the company's strategy, which is to develop long-
lasting relationships with customers that have the
potential to purchase the whole range of services
offered by Itera.
The Group's headcount at the end of the third quarter
of 2015 was 401 as compared to 429 at the end of the
same quarter in 2014. This represents a decrease of
12%. Some of the reduction is due to the closure of an
unprofitable department in Itera's IT hosting
activities in Norway as previously announced, and the
nearshore ratio has also been somewhat lower.
The proportion of Itera's capacity that is located
nearshore (its nearshore ratio) was 31% (33%) at the
end of the third quarter. The Group's development
centre in Bratislava provides flexibility with regard
to meeting the target of achieving a nearshore ratio
of 50% in the future.
Arne Mjøs, CEO
+47 905 23 172
Bent Hammer, CFO
+47 982 15 497