Maytronics sales of pool-cleaning robots soar in 2006
It cut corners and costs, is developing new products and netted NIS 45 million last year
Maytronics (TASE: MTRN) makes robots that clean swimming pools, and evidently its products were much in demand last year. The results the company filed today show just why its stock leaped 160% in 2006. (However, this year its stock retreated 21%, reducing its market cap to NIS 672 million.)
Net profit for the year 2006 jumped 62% to NIS 45 million.
Sales barely inched up in 2005, but jumped 35% last year to NIS 208 million, thanks to which the company presented a 54% upswing in hp to NIS 86.5 million, or 78% of turnover.
Operating income was NIS 50 million for the year 2006.
Several factors underlay the upswing in the company's fortunes last year, one being much higher sales in Europe, and a growing market share in the United States. Also, Maytronics launched new products, and widened its range of products for medium-sized public swimming pools.
The company explains in its financial statement that greater operating efficiency and a drop in the price of robot components helped it improve its profit margins last year.
Most of its sales, 84%, were to the private sector (personal pools at homes) and the rest to public pools.
R&D spending increased 19% in 2006 to NIS 6.1 million, Maytronics said.
It added that it is developing a new robot for public pools, that should be available from the second half of 2007.