Robust growth for Sensys

Orders from the Swedish Transport Administration (STA -Trafikverket) have contributed to Sensys Traffic’s net sales in the second quarter of 2014, which rose by 127 per cent. This robust growth was primarily fuelled by speed measurement system deliveries to the Swedish automatic safety control (ATC) stations. The orders, for monitoring systems, roadside cabinets and spare parts for speed enforcement enabled the company to deliver an operating profit of US$970,000. The company’s gross margin for the quart
August 21, 2014 Read time: 2 mins

Orders from the Swedish Transport Administration (STA -6301 Trafikverket) have contributed to 569 Sensys Traffic’s net sales in the second quarter of 2014, which rose by 127 per cent.

This robust growth was primarily fuelled by speed measurement system deliveries to the Swedish automatic safety control (ATC) stations. The orders, for monitoring systems, roadside cabinets and spare parts for speed enforcement enabled the company to deliver an operating profit of US$970,000. The company’s gross margin for the quarter was affected negatively by costs relating to the structuring of its service and maintenance organisation in Sweden, but the new operation produced a positive cash flow during the second quarter.

According to Johan Frilund, Sensys Traffic CEO, the Swedish project is a significant reference project in Sensys’ international marketing. He says, “Sensys’ ability and capacity to supply large volume projects is reflected in the fact that we have succeeded in keeping to a challenging deployment plan for systems for the Swedish ATC stations. We have delivered at a faster pace than planned and we have already exceeded the agreed minimum order value of US$15.9 million. In addition to the installation and commissioning of exchange systems, we also¬ maintain existing ATC stations.”

He feels the international traffic safety market is showing positive development. The company is continuing to market to new and existing customers both in the Middle East and the US, as well as in Europe and Asia.

Sensys has also received orders for the railway market; the Finnish Transport Agency placed a new order worth US$1.3 million in the second quarter of the year for additional systems for pantographs on trains (APMS). Sensys’ strategy is to build confidence via initial pilot tests and they believe that this order has a positive impact on the level of orders in the countries in which it operate.

“Our strategy of focusing on long-term volume markets remains in place. We have competitive products, good customer¬ relationships and a stable financial situation, all of which stand us in good stead for the future,” says Frilund.

Enforcement

For more information on companies in this article

Related Content

  • Q-Free tolling contract wins
    December 3, 2012
    Q-Free is to supply the Swedish Transport Administration, Trafikverket, with further equipment for the Gothenburg congestion charging project. Q-Free says the value of the contract has now been increased by US$5.32 million for delivery of additional charging stations, related equipment and services for two years. Across the world, in Brazil, Q-Free has received a second frame agreement to supply tolling tags to Centro Gestao Meios de Pagto (CGMP), Brazil’s Centro tag distributor, valued at US$12, with a gua
    Read More
  • Sensys wins additional order from Malta
    August 15, 2014
    Sensys Traffic has received an additional order from Malta, valued at around US$109,000, for speed monitoring systems to be delivered during 2014. In 2013 Sensys received an order from long-term customer in Malta comprising delivery and system and support services. The payment model consisted of a three-year leasing arrangement, combined with support. The latest order follows the same business model.
    Read More
  • Sensys signs framework agreement with Washington DC
    October 18, 2012
    Sensys America, US partner of Swedish supplier of enforcement systems, Sensys Traffic, has signed a framework agreement to provide traffic safety systems for speed and red light enforcement to Washington DC. Washington DC will place orders through the framework agreement, although Sensys is unable to speculate on the size and timeframe of potential deliveries within the contract.
    Read More
  • Q-Free Gothenburg congestion charging contract extended
    February 12, 2014
    Q-Free has received an extension order from the Swedish Transport Administration, Trafikverket, for service and maintenance on the Gothenburg congestion charging system. The order, valued at US$1.8 million, is the first extension of the two-year contract for road side equipment, infrastructure and service and maintenance awarded in 2012, and is due for delivery in 2015. Q-Free CEO Thomas Falck comments, “This is a confirmation of the long standing relationship between Q-Free and Trafikverket. For Q-Fr
    Read More

Highlighted Content