What They Say
Barco reported its results for Q1 and saw orders up 8% to €247 million and an order book up 51% on this time last year. Sales revenue was up 20% on last year at €206.3 million.
Barco said that it has agreed to buy the stakes held by Appotronics and CITICPE in Cinionic, increasing Barco’s ownership interest to 80% of the joint venture. Appotronics will remain a strategic partner for Cinionic with the distribution agreement in place. In 2017 Barco announced the formation of Cinionic, a strategic joint venture with China Film Co. Ltd (“CFG”), Appotronics and CITICPE in which Barco had a 55% ownership interest, Appotronics and CFG each had a 20% ownership interest and CITICPE had a 5% ownership interest.
Management confirmed its 1H outlook, assuming no further deterioration of the supply chain constraints, with sales expected to increase approximately 20% compared to 1H21. EBITDA margin is expected to be higher than the full year 2021 EBITDA margin.
What We Think
Appotronics is the key developer of laser phosphor technology. It’s not clear from the release who initiated the disposal of the Cinionic stake.
Separately, Cinionioc put out a press release saying that AMC would be upgrading to Cinionic laser projectors at 3,500 auditoriums in the US by 2026. Cinionic has already installed 30,000 units since 2014 in the US. (BR)
