Sarine Has Third Consecutive Record Year

(IDEX Online News) – Diamond tools maker Sarine Technologies Ltd today (Thursday) announced record full-year performance in 2013, which it says was driven by accelerated penetration of its Galaxy machine as well as overall positive business sentiments.

Recurring revenue grew to more than 30 percent of group sales, which saw an improvement of 20 percent to a record $76.4 million. Gross profit increased 26 percent to $54.6 million while gross profit margin increased to 71 percent.

Net profit (before income tax expenses for prior periods) increased 28 percent from $20.8 million in 2012 to $26.5 million. Sarine said that even with the income tax expenses, it registered a 15 percent growth in net profit to $23.9 million.

For the fourth quarter, the group recorded a net profit of $4.5 million, an increase of 17 percent compared to the previous corresponding period.

During the full year, the company delivered 46 Galaxy systems, with 15 machines being delivered in the final quarter of the year. This brings the total number of installed machines to more than 140.

Looking forward, Sarine said it expects the macroeconomic environment to remain stable and for it to benefit from the ongoing positive business conditions. To meet demand, it plans to accelerate delivery of Galaxy family systems in 2014.

“The recurring income stream from our extensive installed base of Galaxy and Solaris systems has expanded significantly in full year 2013, and we foresee this trend carrying on into full year 2014,” said Sarine CEO Uzi Levami.

This year, Sarine intends to intensify marketing and sales efforts for the Sarine Light so that more significant revenue contributions from this new product can be expected from 2015. In addition to marketing efforts in the US, Hong Kong (China), Taiwan and Korea, which are already underway, Sarine is expanding its roll out to Southeast Asian markets such as Thailand, Malaysia, Indonesia and Singapore.

The company also expects the full commercial launch of the Sarine Loupe later this year, along with the Instructor 3.0, which was launched in January, as well as the upgraded version of the Advisor software and the new DiaMension Axion platform, which are scheduled for release later this year.