BRUSSELS, March 8 (Reuters) - Belgian graphics group Agfa on Wednesday said it would focus on increasing sales after exceeding its profit margin target for 2016 thanks largely to the performance of its healthcare division.
The group, which sold its well-known photo business in 2004, has spent years adapting to a shift from analogue to digital products in both its printing and healthcare units while also reducing its debt pile.
At the end of 2016, Agfa said its core profit (EBITDA) margin stood at 10.4 percent, above its 10 percent target and up from 9.1 percent in 2015, and had turned its debt into a net cash position of 18 million euros ($19.0 million).
In 2012, Agfa’s net debt level was 291 million euros.
While revenue was 4.1 percent lower in 2016, Agfa said it had launched several initiatives to boost the top line.
“With these projects, we will aim at limiting the decline of our traditional businesses and at boosting the success of our growth engines,” CEO Christian Reinaudo said in a statement.
Agfa added it expected to keep its profit margin near 10 percent or above in 2017. ($1 = 0.9463 euros) (Reporting by Robert-Jan Bartunek; editing by Philip Blenkinsop)