Hexagon expects growth to pick up in a lucrative market
Measurement technology and software firm Hexagon saw second-quarter earnings in line with forecasts last week. The company reported last Thursday, and said that it expects growth to pick up in the second half of the year. Like-for-like sales growth was 3% from the year-ago quarter, and quarterly operating profit rose to €208 million – both roughly in line with analysts’ expectations.
While there were few big surprises in the quarter, Hexagon remains well positioned to capitalize on what may become and increasingly lucrative market: 3D scanning.
Hexagon’s share price has increased by 23% so far this year
SOURCE: Yahoo Finance
A new report from MarketsandMarkets has forecast that the 3D scanner market could be worth as much as $5.9 billion by 2023. At the moment, it’s worth $3.76 billion, and the report predicts a compound annual growth rate of 7.8% over the coming years. The drivers of growth in this market are an increasing need to capture large volumes of 3D data for modeling and analysis, rising focus on quality control, and growing awareness about advanced medical treatments that could benefit from, or be enabled by, 3D scanning technology.
Hexagon is an early market leader in the software component of 3D scanning. It’s particularly a force in the architecture and construction applications of 3D technology. Can it capitalize on this position in the next five and a half years?
Dominion holds Hexagon in its Global Trends Managed Fund.
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