ATS second quarter revenue growth slowed by strengthening Canadian dollar – Currency Commentary
By Robb M. Stewart
ATS Automation Tooling Systems Inc. said that fluctuations in the Canadian dollar against other currencies had a mixed effect on its performance, reducing revenues in the last quarter but strengthening the value of its backlog in the first half of the year. ‘exercise.
The automation solutions provider on Wednesday reported revenue of C $ 522.1 million (US $ 420.7 million) for the quarter ended September 26, up 56% from 335, 5 million Canadian dollars a year earlier. Earnings for the period increased to C $ 0.41 per share, or C $ 0.53 million on an adjusted basis, from C $ 0.13 per share last year.
ATS said the exchange negatively affected revenue by C $ 13.7 million, or 4.1%, mainly reflecting the strengthening of the Canadian dollar against the US dollar and the euro.
It said its order backlog was around C $ 1.3 billion as of September 26, up 36% from a year earlier thanks largely to higher orders in all end markets and the order book of acquired companies. Changes in exchange rates had a positive impact on the conversion of the order book of foreign subsidiaries by approximately 2.4% during the first six months of the year, mainly reflecting the weakening of the Canadian dollar against the US dollar and euro, ATS said.
Write to Robb M. Stewart at [email protected]