Lectra well-positioned for a bright future: Company Annual Report 2015

Lectra Annual Report

Lectra – the French CAD-CAM specialist for soft material industries – has released its Annual Report for the year 2015. Terming the year 2015 as one of Lectra’s best performances, Andre Harrari, Chairman of Board of Directors, Lectra avers, “Macroeconomic and geopolitical conditions turned out tougher than expected, due to unforeseen events. Thus although we fell short of our ambitions by a margin, our financial results are excellent and in fact the best in Lectra’s history.” Lectra’s revenues rose by 13 per cent to US $ 268.20 million, income from operations by 61% to US $ 26.38 million and net income by 63 per cent to US $ 26.38 million. Lectra’s balance sheet is today stronger than ever, reckons Andre and with good reason as he goes on to share that Lectra is now debt free and the company’s net cash is up 38 per cent to US $ 66.85 million, while shareholders’ equity in the company has risen by 20 per cent to US $ 127.39 million.

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“Orders for new systems for apparel manufacturing technology rose by 9 per cent. Investments in this sector were held back by European manufacturers’ hesitancy in the wake of the euro’s steep fall against the Chinese Yuan and its impact on their subcontracting chain,” informsDaniel Harrari, CEO, Lectra. However, Daniel is certain that after a period of transition and stabilization, which may continue for an unknown length of time, China should account, alone, for around a third of growth potential of business activity in the medium term, as forecast. “Lectra’s value proposition is ideally suited to the Chinese Government’s new Made in China 2025 plan to develop the country’s high value-added industrial capabilities,” he is quoted in the report.

In the Annual Report, Andre shares that Lectra’s position remains unchanged since the launch of its roadmap for 2013-2016 which means the company will refrain from any share buyback plan and will preserve its cash to finance future targeted acquisitions which could take place from 2017 onwards.

 
[SOURCE :-apparelresources]