Efore sees sales growth, eyes data centers market

HELSINKI, Dec 15 (Reuters) - Finnish technology firm Efore (EFO1V.HE) expects to return to growth path this fiscal year, helped by network buildups in China and India, its Chief Executive said on Monday.

"There is realistic growth potential already this year," Reijo Maihaniemi told Reuters in an interview. "The first and maybe also the second quarter are still a bit anaemic."

The company, which makes power supplies to companies like Nokia Siemens Networks [NSN.UL] and Ericsson (ERICb.ST), last week forecast profits to rise next year, but did not issue a sales outlook, after reporting a 2 percent revenue fall for fiscal year ending in October.

"Our position is good on China-India axis, where investments are continuing. We are a Chinese company, when looked at headcount," Maihaniemi said.

Efore, which competes with large conglomerates Emerson Electric Co (EMR.N) and Delta Electronics Inc (2308.TW), hopes to win new business from data centers power deals. Maihaniemi said the target market for Efore's new Opus product line, which supplements battery back-up, is worth 1.5 billion euros ($2 billion) annually in Europe alone.

"I would expect datacenters use old technologies when they are expanding, but when new centers are built we will be one of the options," Maihaniemi said.

He said current power supplies for data centers pass through only 70-80 percent of power, while new technologies from Efore and Emerson reach efficiency levels of 98 percent or more.

Maihaniemi said the company, which has previously been active at looking for consolidation options, was focusing on organic growth.

"There are more companies for sale but they are in pretty bad condition," he said. Maihaniemi said the company was not looking to increase its services focus -- 28 percent of its last quarter revenue came from services.

"I think its on a pretty good, right level, we have no plans to grow it much, our aim is to focus on growing through our own R&D and products," he said.

(Reporting by Tarmo Virki)

((tarmo.virki@reuters.com, +358-9-680 50 235, Reuters messaging: tarmo.virki.reuters.com@reuters.net))

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