Hexagon Announces the Impact of a Slowdown in China and Related Restructuring Program

NACKA STRAND, Sweden, July 5, 2019 — (PRNewswire) — Having experienced favorable growth in China over recent quarters, Hexagon has seen a much weaker than expected development in June. The main reason for the slowdown has been the impact of increased geopolitical uncertainties on global trade, especially within the electronics business of the Manufacturing Intelligence division in China. Demand in the other markets and divisions has remained broadly in line with what has been previously communicated.

Preliminary reporting indicates revenue of approximately 975 MEUR in Q2 2019, corresponding to organic growth of -1 per cent for the group (FX 2 per cent, structure 3 per cent and recorded 4 per cent) and with organic growth of 3 per cent for GES and -5 per cent for IES. EBIT1 (operating earnings excluding non-recurring items) for the group is expected to be approximately 237 MEUR (Q2 2018: 228 MEUR).

Hexagon has taken proactive restructuring actions to ensure the company remains on track to meet its 2021 financial targets. Overall, Hexagon has taken a one-off charge of 44 MEUR during Q2 2019 to reduce its global workforce by approximately 700 employees, which is expected to result in annualised cost savings of 51 MEUR by the end of 2020.

Hexagon will release its Interim Report for the second quarter 2019 on Friday 26 July at 08:00 CET. As always, a combined telephone conference and live webcast (in English) concerning the report will be presented by President and CEO Ola Rollén on the same day at 10:00 CET.

For further information, please contact:

Daniel Johansson, Investor Relations, Hexagon AB, +46-8-601-26-27, ir@hexagon.com

This information is information that Hexagon AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CET on 5 July 2019.

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/hexagon/r/hexagon-announces-the-impact-of-a-slowdown-in-china-and-related-restructuring-program,c2857763

The following files are available for download:

Cision View original content: http://www.prnewswire.com/news-releases/hexagon-announces-the-impact-of-a-slowdown-in-china-and-related-restructuring-program-300880261.html

SOURCE Hexagon

Contact:
Company Name: Hexagon
Financial data for Hexagon




Review Article Be the first to review this article
GeoCortex: Learn How >>


Featured Video
GIS Corporate Newsletter
rss feed
Jobs
Geographic Information Systems Technician for County of San Diego at San Diego, California
Mid-Level Mechanical Engineer in Process Piping for Gordon Prill, Inc at Santee, California
Construction Management for Huitt-Zollars, Inc at Fort Worth, Texas
BIM Consultant-Architecture for Microdesk at Boston, Massachusetts
Product Engineer (Midlevel) for Clarus at Fort Worth, Texas
Sr. Product Design Engineer for Clarus at Fort Worth, Texas
Upcoming Events
Future of Mining Americas 2019 at Aldgate Tower, 2 Leman Street 2 Leman Street London United Kingdom - Oct 21 - 22, 2019
URISA GIS Leadership Academy at Phoenix AZ - Oct 21 - 25, 2019
SGEM Florence 2019 at Palazzo Borghese, Via Ghibellina 110, 50122 Florence, Italy Florence Italy - Oct 22 - 25, 2019
University of Denver GIS Masters Degree Online
Bentley: Livestream from Singapore
UAV Expo2019 -Register   & save



Internet Business Systems © 2019 Internet Business Systems, Inc.
25 North 14th Steet, Suite 710, San Jose, CA 95112
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering EDACafe - Electronic Design Automation TechJobsCafe - Technical Jobs and Resumes  MCADCafe - Mechanical Design and Engineering ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise