Interim Report January-June 2014
Published: 18 July, 2014
Strong development in Sweden
Continued growth in the public sector
Increased profit and margin for first six months
Demand has been on par with earlier quarters, and shows some differences between different geographic areas and offerings. In Sweden and Norway, demand has been stable in 2014. The Finnish market however remains weak, with price pressures and tough competition.
Result, net sales and margin for the first six months of 2014 increased slightly compared with the corresponding period last year. The results of the second quarter were slightly weaker than compared with 2013 and affected by fewer available working hours in the quarter and a challenging market in Finland.
The actions of the past few years in Sweden, mainly in Gothenburg and Malmö, have during 2014 showed very positive results.
Our growing operations in design, web and portal solutions have gained market shares. In this field, we are now competing with out-and-out communications agencies. We have competence in both technology and communication, making us an attractive supplier for the market and information departments of our clients.
We have invested in our offerings in management consulting successfully. Current operational development is closely linked to technology. It is our ability to combine these competencies sets us apart from traditional consultancy firms.
Our method of investing in operations showing a positive trend, combined with quickly taking action when demand is weak, is an efficient way of strengthening Knowit.
Actions in Finland
The challenge remains, as formerly, mainly in Finland, where the market is still weak. In 2014, a loss of just over four million SEK charged the group. The actions we have taken is among others to replaced parts of the management, tackled redundancies, been active in our sales and developed our competence in some areas. We are also working hard to increase our client base and it is gratifying that we have gained a few important deals in the public sector, for example the health care district of Helsinki and Nyland.
A strong employer brand
In Universum’s survey among IT students in Finland, Norway and Sweden regarding the Nordic regions most popular employers, Knowit was ranked among the most attractive companies. Knowit is known as a good workplace, giving each employee good developmental possibilities, in an environment characterized by high competence and stimulating assignments.
We have specialists in IT, specialists in design and digital offering services in digital marketing and web solutions, and management consultants. We have a unique culture in which people and companies develop and quickly adapt to change. This, together with a strong position on our important markets, Sweden and Norway, makes me convinced that Knowit’s success will continue.
CEO and President
Read the Interim Report.