Research and Development
Bittium continued to make significant investments to develop its own products and product platforms. In January-December 2021, the R&D investments were EUR 19.8 million (EUR 22.8 million), representing 22.8 percent of the net sales (29.1 percent).
The R&D investments focused mainly on developing tactical communication system and its products for the defense industry, developing different types of special terminal products for authorities and their related security software, as well as developing medical technology products. During 2021, the focus of investments has gradually shifted from tactical communications to the development of new medical technology products.
The capitalized R&D investments are related to the investments in developing the software defined radio based tactical radios, Bittium Tough SRD™ product family, further development of tactical communication networks, and development of medical technology products.
| R&D investments, MEUR | 1-12/2021 | 1-12/2020 |
| Total R&D investments | 19.8 | 22.8 |
| Capitalized R&D investments | -7.0 | -13.6 |
| Depreciations and impairment of R&D investments | 5.5 | 6.1 |
| Cost impact on income statement | 18.3 | 15.4 |
| R&D investments, % of net sales | 22.8 | 29.1% |
| Capitalized R&D investments in balance sheet, MEUR | 1-12/2021 | 1-12/2020 |
| Balance sheet value in the beginning of the period | 46.6 | 39.1 |
| Additions during the period | 7.0 | 13.6 |
| Depreciations and impairment of R&D investments | -5.5 | -6.1 |
| Balance sheet value at the end of the period | 48.1 | 46.6 |