2017-02-15 08:00:04 CET
2017-02-15 08:00:04 CET
REGLAMENTUOJAMA INFORMACIJA
Raute - Financial Statement Release
Raute Corporation - Financial Statements January 1 - December 31, 2016
Lahti, Finland, 2017-02-15 08:00 CET (GLOBE NEWSWIRE) -- RAUTE CORPORATION
FINANCIAL STATEMENTS RELEASE FEBRUARY 15, 2017 AT 9:00 A.M.
RAUTE CORPORATION – FINANCIAL STATEMENTS JANUARY 1–DECEMBER 31, 2016
- The Group’s net sales amounted to EUR 113.1 million (MEUR 127.3), down 11% on
the comparison period. Order intake, at EUR 162 million (MEUR 145), increased
11%. The order book at the end of the year, EUR 106 million (MEUR 60), achieved
a new record-high level.
- Operating profit amounted to EUR 8.6 million (MEUR 8.1), up 5%. The result
before taxes was EUR 8.2 million (MEUR 8.1). Profit for the financial year was
EUR 6.7 million (MEUR 6.7).
- Undiluted earnings per share were EUR 1.60 (EUR 1.65) and diluted earnings
per share were EUR 1.59 (EUR 1.64).
- Fourth-quarter net sales amounted to EUR 36.0 million and the operating
result was EUR 4.3 million. Order intake, at EUR 42 million, was at a good
level.
- The Board of Directors will propose to the Annual General Meeting that a
dividend of EUR 1.00 (EUR 0.80) per share be paid for the financial year 2016.
- Raute’s net sales for 2017 are expected to grow and operating profit is
anticipated to improve over the year 2016.
TAPANI KIISKI PRESIDENT AND CEO: WE BROKE LAST YEAR'S ORDER INTAKE RECORD!
Following the record-breaking year 2015, some expected that 2016 would mark a
lull for Raute. To the contrary. During the past year, we achieved a new order
intake record.
Due to the relatively low order intake beginning in summer 2015 and lasting
approximately one year our order book fell, momentarily, in summer 2016 to a
fairly low level. The situation changed entirely in the summer, however, when
three major orders proceeded to the order phase and raised our order book to
record levels. Despite this, we were not quite able to reach our targets in
terms of net sales. We are, nevertheless, happy with 2016 as a whole and were
able to start with a record-high order book for a second year running.
Economic development in our main market areas was still not favorable. The
worst of the crisis has passed in Europe but uncertainty, in particular in
Europe’s banking sector, continues, impacting other areas as well. In North
America, construction has begun to recover but still at a slower rate than
expected. In South America, our key customers’ previous investments have now
found their place on the markets and, although the focus is on the future, the
weak demand in the domestic markets is slowing new investment plans. The
uncertainty around the path taken by China’s economy and political tensions are
resulting in concern in many market areas.
In 2016, a few large, capacity-generating mill-scale projects took off in the
plywood and LVL industry. We succeeded in winning the tenders in all of these.
Each of the projects is being implemented by a familiar, long-term customer. We
have our long-running cooperation with our customers, their success in business
and confidence in the future to thank for these victories.
Over the past year, we made significant investments in new development
projects. In terms of product development, the most vital role was held by
digital services, which help boost our customers’ operations and deepen our
cooperation further. We also invested in improving our operations in
production, information systems and office work.
We improved the capacity and service ability of our technology services by, for
example, starting up two new service centers in connection with our customer
mills. Our key personnel and competence development projects were the
improvement of occupational safety and the setting in motion of a systematic
mentoring program and business sustainability work.
The advancement of the previous year’s major mill projects and being awarded
more of these types of orders were our most important achievements in 2016. The
positive development of our North American business and success of our machine
vision technology with its new product launches were also particular causes for
celebration. We succeeded in expanding our overall service concept by
integrating services into our investment commodity deliveries. The
above-mentioned examples are an indication that we have made advances in
achieving many of our strategic targets. In order to meet the needs of the
emerging markets, we have developed new methods in order to achieve our
strategic targets.
It is already clear that our business will take a positive trend in 2017 and we
will achieve increased net sales and improve our operating profit. Our
development projects to implement our strategy are moving forward and improving
our operations even further. Demand is at a normal level, which is a good basis
for growth in the current year. Our all-time highest order book provides us
with the boost needed for a spectacular take-off. We have knowingly planned our
work to ensure that we can provide our customers competitive delivery times
also in 2017, both in terms of investments of various sizes and services. Our
efforts are focused on strengthening our position particularly in projects
involving individual production lines and machines and modernizations.
I would like to send out a heartfelt thank you for the past year: to Raute’s
customers for their invaluable cooperation and trust, to our personnel for
their outstanding work and flexibility under the strongly fluctuating workload,
to our shareholders for their continued confidence in us, and to all our other
partners for their participation in furthering Raute’s development and success.
FOURTH QUARTER OF 2016
Order intake and order book
The order intake, EUR 42 million (MEUR 16), was at a good level. Technology
services accounted for EUR 14 million (MEUR 10) of the order intake.
The most significant new order was the approximately EUR 19 million order that
took effect in early November, which consisted of machine lines and services
linked to their installation and commissioning for a plywood mill to be built
in Estonia. The machine lines will be delivered and the installation and
commissioning of the plywood mill will begin in early 2018.
The order book, at EUR 106 million (MEUR 60), strengthened further during the
final quarter by EUR 4 million to a new record-high level. An unusually large
proportion of the order book is thus scheduled for 2018.
Net sales
Fourth-quarter net sales amounted to EUR 36.0 million (MEUR 39.5). Net sales
increased 54 percent from the third quarter in line with the order book’s
timing. Technology services accounted for 36 percent (25%) of the quarter’s net
sales.
Result and profitability
Operating profit in the fourth quarter was EUR 4.3 million positive (MEUR 2.8
positive) and accounted for 11.9 percent (7.0%) of net sales.
The result was EUR 3.6 million positive (MEUR 2.4). Undiluted earnings per
share were EUR 0.86 (EUR 0.58) and diluted earnings per share were EUR 0.85
(EUR 0.57). Profitability improved in comparison with the previous quarters,
which mainly resulted from increased net sales.
RAUTE CORPORATION – FINANCIAL STATEMENTS JANUARY 1–DECEMBER 31, 2016
BUSINESS ENVIRONMENT
Market situation in customer industries
Raute’s customers in the plywood and LVL (Laminated Veneer Lumber) industries
are engaged in the manufacturing of wood products used in investment projects
and are thus highly affected by fluctuations in construction, housing-related
consumption, international trade, and transportation.
During 2016, uncertainty about what direction global economic and financial
market development will take continued. Construction activity remained at a low
level in all market areas, including North America, where, however, the
construction activity improved steadily but slower than predicted. The order
books of Raute’s customers remained short and the general market situation was
not attractive in terms of the implementation of major investments.
Demand for wood products technology and technology services
Invitations to tender for projects were at a good level and trade negotiations
took place at a brisk rate. However, relatively few individual machine line
projects and modernizations started up. Several major mill-scale investments
that had long been under negotiation proceeded to the order stage during the
second half of the year.
In Europe, several major investment decisions were made concerning new plywood
and LVL capacity. In Poland, an investment in an LVL mill’s new line started
up. In Finland, we started up the modernization of an LVL line and in Finland
and Estonia, investments in birch veneer and plywood production lines.
In Russia, the economic and financial situation continued to be weak. The
preparation of many investments continued to be active, however, and after
several quiet years, a major birch plywood mill project started up.
In North America, plywood and LVL industry production investments were low and
mainly targeted the modernization of existing softwood plywood capacity.
In South America, our key customers’ previous investments have now found their
place on the markets and although the focus is on the future, the weak demand
in the domestic markets is slowing investment plans. No new major investment
projects were started up. Replacement investments also remained at a low level.
Raute was the first western company to develop modern plywood manufacturing in
China. Technological development has not, however, been as fast as expected and
Raute’s entry into the markets has been slower than hoped for.
In Southeast Asia, raw material availability, the harvesting limitations on
natural forests and problems linked to the quality of plantation wood limited
the development of plywood production. Raute received few new orders in
Southeast Asia in 2016. In Australia and New Zealand, the plywood and LVL
product markets performed well, driven by the improvement in the local economy,
construction markets and exports. No new major investments were started up.
Raute’s new orders to the area were modernization-type projects.
Demand for maintenance and spare parts services remained at a good level
throughout the year. This bears testimony to the fact that the utilization
rates of Raute’s customers’ production facilities remained good, for the most
part.
ORDER INTAKE AND ORDER BOOK
Raute serves the wood products industry with a full-service concept based on
service that encompasses the entire life cycle of the delivered equipment.
Raute’s business consists of project deliveries and technology services.
Project deliveries encompass projects from individual machine or production
line deliveries to deliveries of all the machines and equipment belonging to a
mill’s production process. Additionally, Raute’s full-service concept includes
comprehensive technology services ranging from spare parts deliveries to
regular maintenance and equipment modernizations, as well as consulting,
training and reconditioned machinery.
The order intake amounted to a record-high EUR 162 million (MEUR 145) during
2016. 57 percent of the new orders came from Europe (67%), 27 percent from
Russia (10%), 11 percent from North America (15%), 3 percent from Asia-Pacific
(5%) and 2 percent from South America (3%). Sometimes even strong fluctuations
in the distribution of new orders between the various market areas are typical
for project-focused business.
The order intake for project deliveries stood at EUR 118 million (MEUR 105) and
increased on the previous year by 13 percent. In the third and fourth quarters,
four major orders took effect, which included altogether five new
capacity-generating projects valued at EUR 88 million in total. Four of the
projects will be built in Europe and one in Russia.
Order intake in technology services amounted to EUR 44 million (MEUR 40), 8
percent more than in 2015. Growth in modernizations equaled 5 percent and in
other technology services 12 percent.
At the end of 2016, the order book, EUR 106 million (MEUR 60), stood at a
record-high level. An unusually large proportion of the order book is thus
scheduled for 2018.
COMPETITIVE POSITION
Raute’s competitive position has remained unchanged and is good. Raute’s
solutions help customers in securing their delivery and service capabilities
throughout the life cycle of the production process or its part. In such
investments, the supplier’s overall expertise and extensive and diverse
technology offering play a key role. The competitive edge provided by Raute
plays a major role when customers select their cooperation partners. Raute’s
strong financial position and long-term dedication to serving selected customer
industries also enhance its credibility and improve its competitive position as
a company that carries out long-term investment projects.
NET SALES
The Group’s net sales in 2016 amounted to EUR 113.1 million (MEUR 127.3). Net
sales declined by 11 percent on 2015. The decline in net sales resulted from a
low volume of new orders within an approximately one-year period beginning in
summer 2015 and lasting until summer 2016.
Net sales were generated by project deliveries related to the wood products
technology business and by technology services.
Net sales for project deliveries totaled EUR 70 million (MEUR 85), down 18
percent from the previous year. Project deliveries accounted for 62 percent
(67%) of total net sales. The plywood industry’s share of the net sales of
project deliveries was 66 percent (68%), while the LVL industry’s share was 34
percent (32%).
At the end of 2016, the order book contained eight new major
capacity-generating projects of which three projects took off in 2015 and have
proceeded to the production ramp-up and final approval stage. A project
involving the machines for an LVL mill in Germany, which started up in July
2012, was approved in June 2016. The two major orders received from Poland in
2014 were approved in June 2016.
Net sales for technology services totaled EUR 43 million (MEUR 42). Net sales
grew 3 percent from the previous year and grew to 38 percent (33%) of total net
sales. Maintenance and spare parts services increased by 6 percent on the
previous year.
Europe’s 2016 share of total net sales was 60 percent (66%), Russia’s 17
percent (9%), North America’s 15 percent (13%), Asia-Pacific’s 5 percent (5%),
and South America’s 3 percent (7%).
RESULT AND PROFITABILITY
The Group’s operating profit for 2016 was EUR 8.6 million positive (MEUR 8.1
positive) and accounted for 7.6 percent of net sales (6.4%). Other operating
income for the reporting period includes project-business-related insurance
compensation of EUR 0.9 million received in the first quarter. Otherwise,
profitability reflected the level of net sales.
The Group’s financial income and expenses totaled EUR -0.3 million (MEUR -0.0).
The Group’s profit before taxes was EUR 8.2 million positive (MEUR 8.1) and
profit for the financial year EUR 6.7 million positive (MEUR 6.7). The Group’s
comprehensive income was EUR 7.5 million positive (MEUR 6.8).
Undiluted earnings per share were EUR 1.60 (EUR 1.65) and diluted earnings per
share were EUR 1.59 (EUR 1.64). Return on investment was 25.3 percent (28.5%)
and return on equity 20.9 percent (24.7%).
CASH FLOW AND BALANCE SHEET
The Group’s financial position remained good throughout the year. At the end of
the financial year, the Group’s cash and cash equivalents exceeded
interest-bearing liabilities by EUR 20.6 million (MEUR 5.0). At the end of the
financial year gearing was -60 percent (-17%) and the equity ratio was 60
percent (59%).
The Group’s cash and cash equivalents amounted to EUR 23.8 million (MEUR 6.5)
at the end of 2016. The change in cash and cash equivalents in the financial
year was EUR 17.2 million positive (MEUR 2.1 positive). Operating cash flow was
EUR 21.2 million positive (MEUR 7.5 positive). Cash flow from investment
activities was EUR 2.9 million negative (MEUR 2.3 negative). Cash flow from
financing activities was EUR 1.2 million negative (MEUR 3.1 negative),
including dividend payments of EUR 3.3 million, EUR 0.5 million in rights
issues and EUR 1.6 million in the growth of short-term loans.
The Group’s balance sheet total at the end of 2016 stood at EUR 69.8 million
(MEUR 61.8). Fluctuations in balance sheet working capital items and the key
figures based on them are due to differences in the timing of customer payments
and the cost accumulation from project deliveries, which is typical of the
project business.
Interest-bearing liabilities amounted to EUR 3.1 million (MEUR 1.5) at the end
of 2016.
The parent company Raute Corporation has a EUR 10 million commercial paper
program, which allows the company to issue commercial papers maturing in less
than one year.
The parent company Raute Corporation is prepared for future working capital
needs and has long-term credit facility agreements with three Nordic banks
totaling EUR 23.0 million. The main covenants for the credit facility are an
equity ratio of >30% and gearing of <100%. Of the credit facility, EUR 21.6
million remained unused at the end of the financial year.
LOANS TO RELATED PARTIES AND OTHER LIABILITIES
Other liabilities are presented in the figures section of this report.
EVENTS DURING THE REPORTING PERIOD
Raute Corporation published stock exchange releases on the following events in
2016:
January 18, 2016 Advance information on Raute Group’s 2015 net sales and
operating profit
March 31, 2016 Decisions of Raute’s Annual General Meeting
June 3, 2016 Notification pursuant to the Finnish Securities Markets Act,
Chapter 9, Section 5 (flagging notification)
July 20, 2016 Raute received orders worth EUR 25 million to Finland
August 22, 2016 Raute received an order of over EUR 17 million to Poland
August 24, 2016 Raute received orders worth almost EUR 32 million to Russia
September 28, 2016 Issue of new shares of Raute Corporation without
consideration to the company itself
November 9, 2016 Raute received orders worth EUR 19 million to Estonia
RESEARCH AND DEVELOPMENT
Raute is a leading technology supplier for the plywood and LVL industries and
focuses strongly on the development of increasingly efficient, productive and
environmentally friendly manufacturing technology and supporting measurement
and machine vision applications. Opportunities provided by digitalization are
also an essential part of R&D activities.
In 2016, the Group’s research and development costs totaled EUR 2.9 million
(MEUR 3.1) and 2.5 percent of net sales (2.4%).
Raute’s new digital product family, Raute Insights, reached pilot production in
2016. The new G5 generation of veneer and sheet analyzers was also introduced
to the markets, the architecture and performance of which enable the
combination of a larger number of measurement variables than before and
simultaneous analysis. In addition to greater speed and improved accuracy, the
analyzers’ new architecture, combined with digital Raute Insights products,
allows the efficiency and quality of plywood and LVL production to be ramped up
to a whole new level. Raute’s new Smart Mill concept produces information on
several interconnected production process stages. Using this information,
customers can monitor and ensure that the plywood and LVL production
corresponds with their targets and react to defects as early as possible.
Several new modernization projects were introduced to the markets for meeting
the development needs of existing mills and a service concept was developed for
boosting Raute’s leading position as a full-scope supplier.
INVESTMENTS
The Group’s investments in 2016 totaled EUR 3.2 million (MEUR 2.5). The biggest
single investment was the NC boring machine taken into use at the Nastola
production unit in early 2016, the acquisition cost of which was spread out
across 2015 and 2016. Other investments were linked to production management
and technology services information systems, the modernization of business
premises and various replacement investments. Investments in 2016 do not
include capitalized development costs (MEUR 0.2).
DEVELOPMENT OF OPERATIONS
In 2016, the focus of strategic development projects was on improving sales.
Measures for ensuring delivery capability and quality were continued. New
operating methods and production management information systems have been used
to simultaneously implement major delivery projects.
HUMAN RESOURCES
The Group’s headcount at the end of 2016 was 643 (646). Finnish Group companies
accounted for 72 percent (68%) of employees, Chinese companies for 12 percent
(16%), North American companies for 13 percent (12%), and other sales and
maintenance companies for 4 percent (4%).
Converted to full-time employees (“effective headcount”), the average number of
employees during the financial year was 631 (614). Salaries and remunerations
paid by the Group totaled EUR 30.1 million (MEUR 28.1). This figure does not
include expenses resulting from the stock option and share incentive plans.
The Group continued to develop the competence of its personnel and increase
their commitment to the company. A total of 3 percent (2%) of the payroll was
invested in personnel training. The focal point for personnel development in
2016 was on competence development measures, which were implemented through a
systematic mentoring program, among other things. Additionally, a business
sustainability development program was initiated.
REMUNERATION
The Group has remuneration systems in place that cover the entire personnel.
Performance Share Plan 2014–2018
The Group has a long-term share-based incentive plan for the Group’s senior
management for the years 2014 to 2018 based on performance. The plan has two
valid share plans, which began in 2015 and 2016. In both plans, a year-long
earnings period is followed by a two-year vesting period and the earnings
criteria were the financial year’s earnings per share and growth in net sales.
The plan beginning in 2015 covers altogether 11 persons belonging to the
Group’s senior management. The earnings criteria were the financial year’s
earnings per share and growth in net sales. The Board of Directors has
confirmed the amounts of the personal bonuses to be paid for the 2015 earnings
period on March 2, 2016, of which the portion to be paid in shares is
altogether 14,523 series A shares. No shares or cash were issued under the plan
in 2015. The vesting period ends at the beginning of 2018.
The plan beginning in 2016 covers altogether 12 persons belonging to the
Group’s senior management. The amounts of the personal bonuses will be fixed in
March 2017. The vesting period will end at the beginning of 2019.
A total amount of EUR 46 thousand (EUR 377 thousand), has been recognized as
expense for the share plans in 2016. A total amount of EUR 129 thousand was
allocated into the invested non-restricted equity reserve.
SOCIETY AND THE ENVIRONMENT
Sustainability is one of the values that guide Raute’s operations. Raute
strives to systematically develop the environmental soundness of its products
and services and to reduce the environmental impacts of its operations. The
Group abides by the principles of good corporate citizenship, taking into
consideration nature and its protection, and how society as a whole operates,
while respecting local cultures and valuing diversity. Raute’s Board of
Directors has presented to the company the Code of Conduct which guides the
personnel to act responsibly in accordance with Raute’s values.
Raute’s operations mainly affect the environment indirectly when the company’s
technology is used in the production processes of the plywood and LVL industry.
Raute’s technology enables customers to substantially reduce the environmental
load caused by their operations through, for example, more efficient use of
wood raw materials, additives and energy. Raute focuses particularly on
developing the occupational safety of its products.
The Group’s own operations do not involve considerable environmental risks that
might have a direct impact on the Group’s business operations or financial
position. The Nastola main production units manage environmental matters in
compliance with a certified environmental system. The operations and ethical
principles of the partner and subcontractor network are also subjected to
systematic inspection.
Raute aims to continuously improve occupational safety, reduce energy
consumption, decrease the volume of waste, and develop the working environment.
SEASONAL FLUCTUATIONS IN BUSINESS
The Group’s net sales and working capital fluctuate every quarter due to
different types of project deliveries and their schedules. Business operations
do not involve regular seasonal changes.
RISKS AND RISK MANAGEMENT
The Group’s identified key risk areas relate to the nature of the business, the
business environment, financing, damage or loss and information security. The
fluctuations in demand resulting from economic cycles and delivery and
technology risks have been identified as the Group’s most significant business
risks.
Risks in the near term continue to be driven by the uncertainty relating to the
global economic situation and the development of the financial markets, as well
as by international political instability. The most significant risks for Raute
in the near term are related to major mill-scale projects that are in the
implementation phase, in accordance with the schedule determined in the
contract terms.
The Group has no ongoing legal proceedings or other disputes in progress that
might materially affect the continuity of business operations, nor is the Board
of Directors aware of any other legal risks related to the Group’s operations
that might have such an effect.
Business risks
Impact of economic cycles on business operations
Raute’s business operations are characterized by the sensitivity of investment
demand to fluctuations in the global economy and the financing markets, and the
cyclical nature of project business. The impact of changes in demand on the
Group’s result is reduced by increasing the share of technology services,
increasing operations in market areas with a small current market share,
creating products for completely new customer groups and developing the partner
network.
Deliveries and technology
The bulk of Raute’s business operations consists of project deliveries, which
expose the company to risks caused by customer-specific solutions related to
each customer’s end product, production methods or raw materials. At the
quotation and negotiation phase, the company has to take risks relating to the
promised performance figures and make estimates of implementation costs.
Raute invests heavily in product development. The developmental phase for new
technologies involves the risk that the project will not lead to a
technologically or commercially acceptable solution. The functionality and
capacity of new solutions produced as a result of development work cannot be
fully verified until the solutions can be tested under production conditions in
conjunction with the customer deliveries.
Contract, product liability, implementation, cost and capacity risks are
managed using project management procedures that comply with the company’s
ISO-certified quality system. Technology risks are reduced by the conditions of
delivery contracts and by restricting the number of simultaneous first
deliveries.
Emerging markets
Raute’s objective is to increase its local business for example in China and
Russia, where, besides opportunities, companies face risks typical for emerging
markets.
Information security
Information security risks are managed according to a defined information
security policy.
Human resources
Competence retention and development and ensuring the sufficiency of human
resources are particularly important in cyclical business. Continuity is
ensured by monitoring the development of the age structure, implementing
systematic human resources management and investing in well-being at work.
Financing risks
The most significant financing risks in the Group’s international business
operations are default risks and currency risks related to counterparties. The
Group is also exposed to liquidity, refinancing, interest rate and price risks.
The default risk relating to customers’ solvency is managed through payment
terms and by covering the unpaid sum with bank guarantees, letters of credit or
other suitable securities. The Group’s liquid assets are mainly held in banks
in the Nordic countries. The credit losses recognized during the 2016 financial
year amounted to EUR 0.2 million (MEUR 0.6).
The Group’s main currency is the euro. The most significant currency risks
result from the following currencies: Chinese yuan (CNY), Russian ruble (RUB),
Canadian dollar (CAD) and US dollar (USD). The main hedging instruments used
are foreign currency forward contracts. Currency clauses are included in
quotations to hedge against currency risks during the quotation period.
Depending on the case, currency risks related to preliminary sales contracts
are hedged with currency option contracts.
The Group has made preparations for fluctuating working capital requirements
and possible disturbances in the availability of money through long-term credit
facility agreements with three Nordic banks.
Risks of damage or loss
Raute’s most significant single risks concerning material damage and business
interruption loss are a fire, a serious machine breakdown and information
system breakdown or malfunction at the Nastola main unit, where the production,
planning, financial, and ERP systems serving the Group’s key technologies are
centrally located.
Other risks of damage or loss include occupational safety risks, which are
managed by means of active risk-prevention measures, such as continuous
personnel training and investigation of all near-miss situations. Occupational
safety and ergonomics are under continuous development.
Raute’s production operations do not involve significant environmental risks.
The main unit in Nastola has an ISO-certified environmental management program,
whose principles are also adhered to in other units.
The Group hedges against risks of damage or loss by assessing its facilities
and processes in terms of risk management and by maintaining emergency plans.
Global and local insurance programs are checked regularly as part of overall
risk management. The objective is to use insurance policies to sufficiently
hedge against all risks that are reasonable to handle through insurance due to
economical or other reasons.
Organizing risk management
Raute’s risk management policy is approved by the Board of Directors. The Board
is responsible for organizing internal control and risk management, and for
monitoring their efficiency.
The Executive Team defines the Group’s general risk management principles and
operating policies, and defines the boundaries of the organization’s powers.
The President and CEO and the CFO regularly report significant risks to the
Board.
The Group’s President and CEO controls the implementation of the risk
management principles in the entire Group, while the Presidents of the Group
companies are responsible for risk management in their respective companies.
The members of the Group’s Executive Board are responsible for their own areas
of responsibility across company boundaries.
Raute has no separate internal auditing organization. The Controller function
oversees the annual internal control plan, develops internal control and risk
management procedures together with the operative leadership, and monitors
compliance with risk management principles, operational policies and powers.
SHAREHOLDERS
The number of shareholders totaled 2,623 at the beginning of the year and 3,625
at the end of the financial year. Series K shares were held by 50 private
individuals (50) at the end of the financial year. Nominee-registered shares
accounted for 2.1 percent (3.3%) of shares. On June 2, 2016, the company
received a flagging notification pursuant to the Finnish Securities Markets
Act, Chapter 9, Section 5, according to which Göran Sundholm’s holding of the
total number of Raute Corporation’s shares was less than 15 per cent when Raute
Corporation’s share capital increase was marked in the Trade Register on May 9,
2016. Göran Sundholm’s holding of the company’s shares was 14.98% and 2.71% of
the votes after the flagging threshold was crossed. The Board of Directors, the
President and CEO as well as the Executive Board held altogether 248,979
company shares, equaling 5.9 percent (5.6%) of the company shares and 11.2
percent (11.2%) of the votes on December 31, 2016.
AUDITORS
At Raute Corporation’s Annual General Meeting on March 31, 2016, the authorized
public accountants PricewaterhouseCoopers were chosen as auditor with
Authorized Public Accountant Markku Launis as the principal auditor.
CORPORATE GOVERNANCE
In 2016, Raute Corporation complied with the Finnish Corporate Governance Code
2015 for listed companies issued by the Securities Market Association on
October 1, 2015.
CORPORATE GOVERNANCE STATEMENT
Raute Corporation’s Board of Directors has reviewed Raute Corporation’s
Corporate Governance Statement for 2016 according to chapter 7, section 7 of
the Finnish Securities Markets Act and the Finnish Corporate Governance Code
2015 for listed companies issued by the Securities Market Association on
October 1, 2015. The statement has been drawn up separately from the Report of
the Board of Directors.
BOARD OF DIRECTORS AND PRESIDENT AND CEO
The Annual General Meeting elects the Chairman and Vice-Chairman for the Board
of Directors, and 3–5 Board members.
At the Annual General Meeting held on March 31, 2016, Mr. Erkki Pehu-Lehtonen
was elected Chairman of the Board of Raute Corporation, Mr. Mika Mustakallio
Vice-Chair, and Mr. Joni Bask, Ms. Päivi Leiwo, Mr. Pekka Suominen, and Mr.
Patrick von Essen were elected as Board members.
The Board of Directors appoints the President and CEO and confirms the terms of
his or her employment, including fringe benefits.
Mr. Tapani Kiiski, Licentiate in Technology, continued as Raute Corporation’s
President and CEO. He was appointed as Raute Corporation’s President and CEO on
March 16, 2004. As agreed in the executive contract, the term of notice is six
months, and the severance pay equals twelve months’ salary.
Raute Corporation’s Articles of Association do not grant any unusual
authorizations to the Board of Directors, or to the President and CEO.
Any decisions on changes to the Articles of Association or an increase in share
capital are made in compliance with the regulations of the effective Companies
Act.
EXECUTIVE BOARD
Raute Group’s Executive Board and the members’ areas of responsibility as of
March 14, 2016:
Tapani Kiiski, President and CEO, Chairman – Sales
Arja Hakala, Group Vice President, Finance, CFO – Finance and administration
Marko Hjelt, Group Vice President, Human Resources – Human resources and
competence development
Mika Hyysti, Group Vice President, Technology – Technology, products and R&D
Timo Kangas, Group Vice President, EMEA – Market area EMEA
Antti Laulainen, Group Vice President, Technology Services and Sales Management
– Technology services and sales management
Petri Strengell, Group Vice President, Supply Chain – Sourcing and production
SHARES
During 2016, a total of 80,231 new series A shares (96,480 shares) were
subscribed for under the 2010 series A, 2010 series B and 2010 series C stock
option rights.
The number of Raute Corporation’s shares at the end of 2016 totaled 4,206,462
(4,111,708), of which 991,161 (991,161) were series K shares (ordinary share,
20 votes/share) and 3,215,301 (3,120,547) series A shares (1 vote/share).
Series K and A shares confer equal rights to dividends and company assets.
Series K shares can be converted to series A shares under the terms set out in
section 3 of the Articles of Association. If an ordinary share is transferred
to a new owner who has not previously held series K shares, the new owner must
notify the Board of Directors of this in writing and without delay. In this
kind of situation other holders of series K shares have the right to redeem the
series K share under the terms specified in Article 4 of the Articles of
Association.
Raute Corporation’s series A shares are listed on Nasdaq Helsinki Ltd. The
trading code is RAUTE (RUTAV until January 16, 2017). During 2016, 987,608
shares were traded (1,094,902) worth altogether EUR 14.3 million (MEUR 13.1).
The number of shares traded represents 31 percent (36%) of all listed series A
shares. The average price of a series A share was EUR 14.50 (EUR 11.95). The
highest closing price of the year was EUR 17.98 and the lowest EUR 12.06.
The company’s market capitalization at the end of 2016 totaled EUR 70.2 million
(MEUR 58.1), with series K shares valued at the closing price of series A
shares, EUR 16.70 (EUR 14.12), on December 31, 2016.
Raute Corporation has signed a market making agreement with Nordea Bank Ab
(publ) in compliance with the Liquidity Providing (LP) requirements issued by
Nasdaq Helsinki Ltd.
On September 28, 2016, the company resolved on the issuance of new shares to
the company itself without consideration so that, in spring 2017, it will have
own shares held by the company available for the payment of the share rewards
payable based on the company’s share incentive plan 2015–2017. The 14,523 new
series A shares were entered in the Trade Register on October 5, 2016 and
admitted to public trading on October 6, 2016.
Other share-related information is presented in the figures section of this
report.
RAUTE CORPORATION’S 2010 A, 2010 B AND 2010 C STOCK OPTIONS
In 2016, altogether 15,355 series A shares were subscribed for with Raute’s
series A 2010 stock options, 41,951 with series B stock options and 22,925 with
series C stock options.
Raute Corporation’s series B 2010 stock options are listed on Nasdaq Helsinki
Ltd under the trading code RAUTEEW210 and series C 2010 stock options under the
trading code RAUTEEW310. The subscription period ends for series B stock
options on March 31, 2017 and for series C stock options on March 31, 2018. The
subscription period for series A stock options ended on March 31, 2016.
At the end of 2016, altogether 16,449 series B stock options and 31,370 series
C stock options had not been exercised. The subscription prices at the end of
the year were EUR 7.13 for series B stock options and EUR 6.00 for series C
stock options. The closing prices at the end of 2016 were EUR 9.10 for series B
stock options and EUR 8.80 for series C stock options.
RAUTE’S DIVIDEND POLICY
Raute exercises an active dividend policy. Its aim is to ensure competitive
returns for its investors. Dividend payment takes into account future
investment needs and the goal of maintaining a solid equity ratio. Due to the
nature of the project business, the dividend is not directly tied to the annual
result.
DISTRIBUTION OF PROFIT FOR THE 2015 FINANCIAL YEAR
The Annual General Meeting held on March 31, 2016 decided to pay a dividend of
EUR 0.80 per share for the financial year 2015. The dividends amounted to a
total of EUR 3.3 million, of which series A shares accounted for EUR
2,509,597.60 and series K shares for EUR 792,928.80. The dividend payment date
was April 12, 2016.
AUTHORIZATION OF REPURCHASE AND DISPOSAL OF OWN SHARES
The Annual General Meeting held on March 31, 2016 authorized the company’s
Board of Directors to decide on the repurchase of Raute Corporation series A
shares with assets from the company’s non-restricted equity and to decide on a
directed issue of a maximum of 400,000 shares.
On September 28, 2016, Raute Corporation’s Board of Directors resolved on the
issuance of 14,523 new series A shares to the company itself without
consideration, in accordance with Chapter 9, section 20 of the Companies Act.
At the end of the financial year, the company controlled 14,523 of its own
shares.
EVENTS AFTER THE FINANCIAL YEAR
Raute Corporation published stock exchange releases on the following events in
2017:
January 2, 2017 Market-making for Raute Corporation transferred to Nordea Bank
AB (publ)
January 11, 2017 Raute Corporation's trading and issuer codes to change as from
January 16, 2017
February 6, 2017 Appointments committee's proposal regarding composition of
Raute
Corporation's Board of Directors.
PUBLICATION OF THE FINANCIAL STATEMENTS AND ANNUAL REPORT 2016
Raute Corporation’s consolidated financial statements 2016 will be published on
February 15, 2017. Raute Corporation’s Corporate Governance Statement and the
company’s remuneration statement will be published at the same time with the
financial statements. Raute Corporation’s Annual Report 2016 will be published
during week 9.
ANNUAL GENERAL MEETING 2017
Raute Corporation’s Annual General Meeting for 2017 will be held at Lahti’s
Sibelius Hall on Tuesday March 28, 2017 at 6:00 p.m. A shareholder who wishes
to include an issue in Raute Corporation’s Annual General Meeting’s agenda
shall notify the company thereof in writing no later than February 21, 2017.
BOARD OF DIRECTORS’ PROPOSAL CONCERNING PROFIT DISTRIBUTION, DIVIDEND EUR 1.00
PER SHARE
On December 31, 2016, the parent company’s distributable assets totaled EUR
24,376 thousand, of which EUR 8,702 thousand stands for the profit for the
financial year 2016.
The Board of Directors will propose to Raute Corporation’s Annual General
Meeting, to be held on March 28, 2017, that a dividend of EUR 1.00 per share be
paid to holders of series A shares and series K shares for the financial year
2016, and that the remainder of distributable assets be transferred to equity.
On the date of the profit distribution proposal, the number of shares entitling
to a dividend is 4,206,462 shares, which would amount to total dividends of EUR
4,206 thousand. Shareholders who are registered in the shareholders’ register
maintained by Euroclear Finland Ltd on the record date for dividend payment
March 30, 2017 are entitled to dividends. The dividend payment date would be
April 6, 2017.
No essential changes have taken place in the company’s financial position since
the end of the financial year. The company has good liquidity, and in the Board
of Directors’ view, the proposed dividend does not pose a risk to solvency.
OUTLOOK FOR 2017
Raute’s business operations are characterized by the sensitivity of investment
commodity demand to cyclical fluctuations in the global economy and financial
markets.
The development of the global economy and financial markets is still facing
major uncertainty. The market situation for Raute’s customer industries is
expected to remain unpredictable.
Improvement investments in the plywood industry to ensure quality and cost
competitiveness and to maintain market shares are expected to be at a normal
level in 2017. Several large projects encompassing single production lines and
new mills’ entire production lines that are in the planning and negotiation
phase are also pending. The strong growth in demand for technology services is
expected to continue strong.
Thanks to its strong financial and market position and the development measures
carried out, Raute is well positioned to respond to demand.
Based on the strong initial order book and the prevailing demand situation,
Raute’s net sales for 2017 are expected to grow and operating profit is
anticipated to improve over the year 2016.
SUMMARY OF FINANCIAL STATEMENTS AND NOTES
The figures for the financial year 2016 and 2015 presented in the tables
section of the financial statements bulletin have been audited. The presented
interim report figures have not been audited.
--------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF 1.10.–31.1 1.10.–31 1.1.–31. 1.1.–31.
COMPREHENSIVE INCOME 2. .12. 12. 12.
--------------------------------------------------------------------------------
(EUR 1 000) Note 2016 2015 2016 2015
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
NET SALES 3,4,5 36 043 39 521 113 130 127 278
--------------------------------------------------------------------------------
Change in inventories of -894 -1 254 150 -313
finished goods and work in
progress
Other operating income 24 32 1 103 393
Materials and services -17 041 -21 316 -54 849 -67 992
Employee benefits expense 13 -9 882 -8 935 -36 606 -34 310
Depreciation and amortization -646 -296 -2 340 -2 125
Impairment - -1 370 - -1 370
Other operating expenses -3 313 -3 600 -12 030 -13 441
--------------------------------------------------------------------------------
Total operating expenses -30 881 -35 518 -105 825 -119 238
--------------------------------------------------------------------------------
OPERATING PROFIT 4 292 2 781 8 558 8 120
--------------------------------------------------------------------------------
% of net sales 11,9 7,0 7,6 6,4
Financial income 152 129 123 342
Financial expenses -139 -72 -461 -343
--------------------------------------------------------------------------------
Financial expenses, net 13 57 -338 -1
--------------------------------------------------------------------------------
PROFIT BEFORE TAX 4 304 2 837 8 220 8 118
--------------------------------------------------------------------------------
% of net sales 11,9 7,2 7,3 6,4
Income taxes -689 -459 -1 536 -1 435
--------------------------------------------------------------------------------
PROFIT FOR THE PERIOD 3 615 2 378 6 684 6 684
--------------------------------------------------------------------------------
% of net sales 10,0 6,0 5,9 5,3
Other comprehensive income
items:
Items that will not be reclassified to
profit or loss
Remeasurement of defined benefit - - - 2
obligations
Items that may be subsequently
reclassified to profit or
loss
Changes in the fair value of 259 - 259 -
available-for-sale investments
Cash flow hedges 66 -21 66 8
Exchange differences on translating 273 -97 534 88
foreign operations
Income taxes related to these -60 - -60 -
items
--------------------------------------------------------------------------------
Comprehensive income items for the 538 -118 799 98
period, net of tax
--------------------------------------------------------------------------------
COMPREHENSIVE PROFIT FOR THE PERIOD 4 153 2 260 7 483 6 782
--------------------------------------------------------------------------------
Profit for the period
attributable to
Equity holders of the Parent 3 615 2 378 6 684 6 684
company
Comprehensive profit for the period
attributable to
Equity holders of the Parent 4 153 2 260 7 483 6 782
company
Earnings per share for profit
attributable
to Equity holders of the Parent
company, EUR
Undiluted earnings per share 0,86 0,58 1,60 1,65
Diluted earnings per share 0,85 0,57 1,59 1,64
Shares, 1 000 pcs
Adjusted average number of 4 191 4 091 4 167 4 051
shares
Adjusted average number of 4 235 4 139 4 210 4 079
shares diluted
-----------------------------------------------------------------------
CONSOLIDATED BALANCE SHEET 31.12. 31.12.
(EUR 1 000) Note 2016 2015
-----------------------------------------------------------------------
ASSETS
Non-current assets
Intangible assets 8 1 353 1 609
Property, plant and equipment 8 9 580 8 529
Other financial assets 748 490
Deferred tax assets 167 172
-----------------------------------------------------------------------
Total non-current assets 11 848 10 799
Current assets
Inventories 9 674 9 577
Accounts receivables and other 5 24 435 34 722
receivables
Income tax receivable 40 123
Cash and cash equivalents 23 769 6 538
-----------------------------------------------------------------------
Total current assets 57 918 50 960
-----------------------------------------------------------------------
TOTAL ASSETS 69 767 61 760
-----------------------------------------------------------------------
EQUITY AND LIABILITIES
Equity attributable to Equity
holders of the Parent company
Share capital 8 256 8 223
Fair value reserve and other 6 577 6 008
reserves
Exchange differences 842 308
Retained earnings 11 859 8 477
Profit for the period 6 684 6 684
Share of shareholders' equity 34 217 29 700
that belongs to the owners of
the Parent company
-----------------------------------------------------------------------
Total equity 34 217 29 700
-----------------------------------------------------------------------
Non-current liabilities
Provisions 462 455
Deferred tax liability 192 241
-----------------------------------------------------------------------
Total non-current liabilities 653 696
Current liabilities
Provisions 1 156 1 409
Current interest-bearing 9 3 136 1 535
liabilities
Current advance payments 5 13 069 11 024
received
Income tax liability 1 131 11
Trade payables and other 16 404 17 386
liabilities
-----------------------------------------------------------------------
Total current liabilities 34 896 31 364
-----------------------------------------------------------------------
Total liabilities 35 549 32 059
-----------------------------------------------------------------------
-----------------------------------------------------------------------
TOTAL EQUITY AND LIABILITIES 69 767 61 760
-----------------------------------------------------------------------
-----------------------------------------------------------------------
CONSOLIDATED STATEMENT OF CASH FLOWS 1.1.–31. 1.1.–31.
12. 12.
-----------------------------------------------------------------------
(EUR 1 000) 2016 2015
-----------------------------------------------------------------------
CASH FLOW FROM OPERATING ACTIVITIES
Proceeds from customers 123 974 122 089
Other operating income 1 103 371
Payments to suppliers and -103 221 -114 092
employees
-----------------------------------------------------------------------
Cash flow before financial items and 21 856 8 368
taxes
Interest paid from operating -111 -115
activities
Dividends received from 114 97
operating activities
Interest received from 3 5
operating activities
Other financing items from operating -251 105
activities
Income taxes paid from -374 -983
operating activities
-----------------------------------------------------------------------
NET CASH FLOW FROM OPERATING 21 237 7 477
ACTIVITIES (A)
CASH FLOW FROM INVESTING ACTIVITIES
Purchase of property, plant and equipment and -3 019 -2 395
intangible assets
Proceeds from sale of property, plant and 94 66
equipment and intangible assets
-----------------------------------------------------------------------
NET CASH FLOW FROM INVESTING -2 925 -2 329
ACTIVITIES (B)
CASH FLOW FROM FINANCING ACTIVITIES
Proceeds from issue of share 528 607
capital
Proceeds from current 6 410 -
borrowings
Repayments of current -4 794 -
borrowings
Repayments of non-current - -1 250
borrowings
Dividends paid and repayment -3 303 -2 409
of equity
-----------------------------------------------------------------------
NET CASH FLOW FROM FINANCING -1 158 -3 052
ACTIVITIES (C)
NET CHANGE IN CASH AND CASH EQUIVALENTS (A+B+C) 17 154 2 096
increas (+)/decrease (-)
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE 6 538 4 431
PERIOD*
NET CHANGE IN CASH AND CASH 17 154 2 096
EQUIVALENTS
EFFECTS OF EXCHANGE RATE CHANGES ON 77 11
CASH
-----------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT THE END OF THE 23 769 6 538
PERIOD*
-----------------------------------------------------------------------
CASH AND CASH EQUIVALENTS IN THE
BALANCE
SHEET AT THE END OF THE
PERIOD*
Cash and cash equivalents 23 769 6 538
-----------------------------------------------------------------------
TOTAL 23 769 6 538
-----------------------------------------------------------------------
*Cash and cash equivalents comprise cash and bank receivables, which will be due
within the following three months' period.
--------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
--------------------------------------------------------------------------------
Share Invested Other Exchange Retained
non-restri
cted
(EUR 1 000) capita equity reserves differen earnings
l reserve ces
--------------------------------------------------------------------------------
EQUITY at Jan. 1, 2016 8 223 4 950 1 058 308 15 161
--------------------------------------------------------------------------------
Comprehensive profit for the
period
Profit for the period - - - - 6 684
Other comprehensive income
items:
Changes in the fair value of 259
available-for-sale investments
Hedging reserve - - 66 - -
Exchange differences on - - - 534 -
translating foreign
operations
Income taxes related to these -60
items
--------------------------------------------------------------------------------
Total comprehensive profit for 0 0 265 534 6 684
the period
--------------------------------------------------------------------------------
Transactions with owners
Share-options exercised 33 495 - - -
Equity-settled share-based - - -191 - -
transactions
Dividends - - - - -3 303
--------------------------------------------------------------------------------
Total transactions with owners 33 495 -191 - -3 303
--------------------------------------------------------------------------------
EQUITY at Dec. 31, 2016 8 256 5 445 1 132 842 18 543
--------------------------------------------------------------------------------
-------------------------------------------------------------
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
(CONTINUE)
-------------------------------------------------------------
To the owners of
(EUR 1 000) the Parent company TOTAL
-------------------------------------------------------------
EQUITY at Jan. 1, 2016 29 700 29 700
-------------------------------------------------------------
Comprehensive profit for the
period
Profit for the period 6 684 6 684
Other comprehensive income
items:
Changes in the fair value of 259 259
available-for-sale
investments
Hedging reserve 66 66
Exchange differences on 534 534
translating foreign
operations
Income taxes related to these -60 -60
items
-------------------------------------------------------------
Total comprehensive profit for 7 483 7 483
the period
-------------------------------------------------------------
Transactions with owners
Share-options exercised 528 528
Equity-settled share-based -191 -191
transactions
Dividends -3 303 -3 303
-------------------------------------------------------------
Total transactions with owners -2 966 -2 966
-------------------------------------------------------------
EQUITY at Dec. 31, 2016 34 217 34 217
-------------------------------------------------------------
--------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
--------------------------------------------------------------------------------
Share Invested Other Exchange Retained
non-restri
cted
(EUR 1 000) capita equity reserves differen earnings
l reserve ces
--------------------------------------------------------------------------------
EQUITY at Jan. 1, 2015 8 031 5 339 662 220 10 083
--------------------------------------------------------------------------------
Comprehensive profit for the
period
Profit for the period - - - - 6 684
Other comprehensive income
items:
Changes in the fair value of
available-for-sale
investments
Hedging reserve - - 8 - -
Exchange differences on - - - 88 -
translating foreign
operations
Income taxes related to these - - - - -
items
--------------------------------------------------------------------------------
Total comprehensive profit for 0 0 8 88 6 684
the period
--------------------------------------------------------------------------------
Transactions with owners
Share-options exercised 193 414 - - -
Equity-settled share-based
transactions - - 389 - -
Dividends and repayment of - -803 - - -1 606
equity
--------------------------------------------------------------------------------
Total transactions with owners 193 -389 389 - -1 606
--------------------------------------------------------------------------------
EQUITY at Dec. 31, 2015 8 223 4 950 1 058 308 15 161
--------------------------------------------------------------------------------
-------------------------------------------------------------
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
-------------------------------------------------------------
To the owners of
(EUR 1 000) the Parent company TOTAL
-------------------------------------------------------------
EQUITY at Jan. 1, 2015 24 334 24 334
-------------------------------------------------------------
Comprehensive profit for the
period
Profit for the period 6 684 6 684
Other comprehensive income
items:
Changes in the fair value of
available-for-sale
investments
Hedging reserve 8 8
Exchange differences on 88 88
translating foreign
operations
Income taxes related to these - -
items
-------------------------------------------------------------
Total comprehensive profit for 6 780 6 780
the period
-------------------------------------------------------------
Transactions with owners
Share-options exercised 607 607
Equity-settled share-based 389 389
transactions
Dividends and repayment of -2 409 -2 409
equity
-------------------------------------------------------------
Total transactions with owners -1 413 -1 413
-------------------------------------------------------------
EQUITY at Dec. 31, 2015 29 700 29 700
-------------------------------------------------------------
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1. General information
Raute Group is a globally operating technology and service company with core
competence in selected wood products manufacturing processes. Raute's customers
are companies operating in the wood products industry that manufacture veneer,
plywood and LVL. Raute's full-service concept is based on product life-cycle
management and include project deliveries and technology services. Raute's
technology offering covers machinery and equipment for the customer's entire
production process.
In addition to a broad range of machines and equipment, Raute's solutions cover
technology services ranging from spare parts deliveries to regular maintenance
and equipment modernizations.
Raute's head office is located in Lahti (previously Nastola municipality),
Finland. Its other production plants are in Kajaani, in the Vancouver area in
Canada, and in the Shanghai area in China. The company's sales network has a
global reach.
Raute Group's Parent company, Raute Corporation, is a Finnish public limited
liability company established in accordance with Finnish law (Business ID
FI01490726). Its series A shares are quoted on Nasdaq Helsinki Ltd, under
Industrials. Raute Corporation is domiciled in Lahti. The address of its
registered office is Rautetie 2, FI-15550 Nastola, and its postal address is
P.O. Box 69, FI-15551 Nastola.
Raute Corporation's Board of Directors has on February 15, 2017 reviewed the
financial statements bulletin for January 1 - December 31, 2016, and approved
it to be published.
According to the Finnish Companies Act, shareholders may approve or reject the
financial statements at the Annual General Meeting arranged after the
statements have been issued. The Annual General Meeting also has the
opportunity to make changes to the financial statements.
2. Accounting principles
Raute Corporation's financial statements bulletin for January 1 - December 31,
2016 has been prepared in accordance with standard IAS 34 Interim Financial
Reporting. The financial statements bulletin does not contain full notes and
other information presented in the financial statements. Raute Corporation's
financial statements with full notes will be published on February 15, 2017.
Raute Corporation's financial statements bulletin for January 1 - December 31,
2016 has been prepared in accordance with the International Financial Reporting
Standards, IFRS, accepted for application in the European Union. Preparations
have complied with the IAS and IFRS standards, as well as SIC and IFRIC
interpretations, effective on December 31, 2016. The notes to the financial
statements bulletin also comply with Finnish accounting and corporate
legislation.
The impact of the new and revised standards has been presented in the annual
financial statements for 2016. The adoption of these standards has not had an
essential impact on the financial statements bulletin.
All of the figures presented in the financial statements bulletin are in
thousand euro, unless otherwise stated. Due to the rounding of the figures in
the financial statement tables, the sums of figures may deviate from the sum
total presented in the table. Figures in parentheses refer to the corresponding
figures in the comparison period.
When preparing the financial statements bulletin in compliance with
International Financial Reporting Standards, the company management has made
estimates and assumptions. In addition, the management has exercised its
judgment in selecting and applying the accounting policies. The forward-looking
estimates and assumptions have been based on management's best knowledge at the
reporting date, and they comprise risks and uncertainties, therefore actual
results may differ from these estimates.
3. Segment information
Operational segment
Continuing operations of Raute Group belong to the wood products technology
segment.
Due to Raute's business model, operational nature and administrative structure,
the operational segment to be reported as wood products technology segment is
comprised of the whole Group and the information on the segment is consistent
with that of the Group. Segment reporting follows the principles of
presentation of the consolidated financial statements.
-------------------------------------------------------------------
31.12. 31.12.
Wood products technology 2016 2015
-------------------------------------------------------------------
Net sales 113 130 127 278
Operating profit 8 558 8 120
Assets 69 767 61 760
Liabilities 35 549 32 059
Capital expenditure 3 224 2 506
-----------------------------------------------------------------------
Assets of the wood products technology 31.12. 31.12.
segment by geographical location 2016 % 2015 %
-----------------------------------------------------------------------
Finland 58 993 85 52 488 85
China 5 357 8 4 572 7
North America 4 077 6 3 655 6
Russia 990 1 732 1
South America 189 0 202 0
Other 161 0 112 0
-----------------------------------------------------------------------
TOTAL 69 767 100 61 760 100
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Capital expenditure of the wood products 31.12. 31.12.
technology segment by geographical location 2016 % 2015 %
-----------------------------------------------------------------------
Finland 2 925 91 2 388 95
China 104 3 57 2
North America 181 6 61 2
Russia 9 0 - -
South America 1 0 1 0
Other 4 0 - -
-----------------------------------------------------------------------
TOTAL 3 224 100 2 506 100
-----------------------------------------------------------------------
4. Net sales
The main part of the net sales is comprised of project deliveries and
modernizations in technology services, which have been treated as long-term
projects. The rest of the net sales is comprised of technology services
provided to the wood products industry such as spare parts and maintenance
services as well as services provided to the development of customers'
business.
Project deliveries and modernizations related to technology services include
both product and service sales, making it impossible to give a reliable
presentation of the breakdown of the Group's net sales into purely product and
service sales.
Large delivery projects can temporarily increase the shares of various
customers of the Group’s net sales to more than ten percent. At the end of the
period, the Group had two customers (2), whose customized share of the Group's
net sales temporarily exceeded ten percent. The sales share of the customers
was 22 percent.
--------------------------------------------------------------------------------
1.1.–31 1.1.–31
.12. .12.
Net sales by market area 2016 % 2015 %
--------------------------------------------------------------------------------
EMEA (Europe and Africa) 67 186 60 82 632 66
CIS (Russia) 19 928 17 11 841 9
NAM (North America) 16 829 15 16 962 13
APAC (Asia-Pacific) 5 361 5 6 906 5
LAM (South America) 3 826 3 8 937 7
--------------------------------------------------------------------------------
TOTAL 113 130 100 127 278 100
--------------------------------------------------------------------------------
Finland accounted for 22 percent (24 %) of net sales.
--------------------------------------------------------------------------------
31.12. 31.12.
5. Long-term projects 2016 2015
--------------------------------------------------------------------------------
Specification of net sales
Net sales by percentage of completion 89 231 104 251
Other net sales 23 899 23 027
--------------------------------------------------------------------------------
TOTAL 113 130 127 278
--------------------------------------------------------------------------------
Project revenues entered as income from currently undelivered
long-term projects recognized by percentage of completion 114 461 112 329
Amount of long-term project revenues not yet 105 684 59 210
entered as income (order book)
Balance sheet items of undelivered long-term projects
Projects for which the value by percentage of completion
exceeds
advance payments invoiced
- aggregate amount of costs incurred and 90 806 72 948
recognized profits less recognized losses
- advance payments received 74 065 46 415
--------------------------------------------------------------------------------
Gross amount due from customers 16 741 26 533
--------------------------------------------------------------------------------
Projects for which advance payments invoiced exceed the value
by
percentage of completion
- aggregate amount of costs incurred and 23 641 36 823
recognized profits less recognized losses
- advance payments received 35 980 46 294
--------------------------------------------------------------------------------
Gross amount due to customers 12 339 9 471
--------------------------------------------------------------------------------
Advance payments included in the current liabilities in the
balance sheet
Gross amount due to customers 12 339 9 471
Other advance payments received, not under percentage of 730 1 553
completion
--------------------------------------------------------------------------------
Total 13 069 11 024
--------------------------------------------------------------------------------
Advance payments included in inventories in the balance sheet
Advance payments paid for long-term projects 847 1 367
--------------------------------------------------------------------------------
Total 847 1 367
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
31.12. 31.12.
6. Number of personnel, persons 2016 2015
--------------------------------------------------------------------------------
Effective, on average 631 614
In books, on average 642 624
In books, at the end of the period 643 646
- of which personnel working abroad 183 205
--------------------------------------------------------------------------------
31.12. 31.12.
7. Research and development costs 2016 2015
--------------------------------------------------------------------------------
Research and development costs for the period -2 863 -3 092
Amortization of previously capitalized development -227 -104
costs
Development costs recognized as an asset in the balance sheet - 220
--------------------------------------------------------------------------------
Research and development costs entered as expense for the -3 090 -2 976
period
--------------------------------------------------------------------------------
Impairment of previously capitalized development costs - -1 020
--------------------------------------------------------------------------------
Research and development costs entered as expense for the -3 090 -3 996
period
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
8. Changes in Intangible assets and in Property, 31.12. 31.12.
plant and equipment 2016 2015
--------------------------------------------------------------------------------
Intangible assets
Carrying amount at the beginning of the period 14 035 13 826
Exchange rate differences -28 60
Additions 108 346
Disposals - -350
Reclassification between items -724 152
--------------------------------------------------------------------------------
Carrying amount at the end of the period 13 391 14 035
--------------------------------------------------------------------------------
Accumulated depreciation and amortization at the beginning of -12 426 -10 334
the period
Exchange rate differences 18 -32
Accumulated depreciation and amortization of disposals and 1 020 -
reclassifications
Depreciation and amortization for the period -650 -690
Impairment - -1 370
--------------------------------------------------------------------------------
Accumulated depreciation and amortization at the end of the -12 038 -12 426
period
--------------------------------------------------------------------------------
Book value of Intangible assets, at the beginning of the 1 609 3 492
period
Book value of Intangible assets, at the end of the period 1 353 1 609
Property, plant and equipment
Carrying amount at the beginning of the period 45 463 43 944
Exchange rate differences 445 -458
Additions 3 116 2 160
Disposals -66 -30
Reclassification between items -301 -152
--------------------------------------------------------------------------------
Carrying amount at the end of the period 48 657 45 463
--------------------------------------------------------------------------------
Accumulated depreciation and amortization at the beginning of -36 934 -36 014
the period
Exchange rate differences -458 502
Accumulated depreciation and amortization of disposals and 5 -
reclassifications
Depreciation and amortization for the period -1 690 -1 422
--------------------------------------------------------------------------------
Accumulated depreciation and amortization at the end of the -39 077 -36 934
period
--------------------------------------------------------------------------------
Book value of Property, plant and equipment, at the beginning 8 529 7 930
of the period
Book value of Property, plant and equipment, at the end of the 9 580 8 529
period
--------------------------------------------------------------------------------
31.12. 31.12.
9. Interest-bearing liabilities 2016 2015
--------------------------------------------------------------------------------
Partial payments of financial loans 3 136 1 535
--------------------------------------------------------------------------------
TOTAL 3 136 1 535
--------------------------------------------------------------------------------
Maturities of the interest-bearing financial Curren Non-cur Total
liabilities at December 31, 2016 t rent
--------------------------------------------------------------------------------
Financial loans 3 136 - 3 136
--------------------------------------------------------------------------------
Total 3 136 - 3 136
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
31.12. 31.12.
10. Pledged assets and contingent liabilities 2016 2015
--------------------------------------------------------------------------------
On behalf of the Parent company
Business mortgages 6 623 7 869
Financial loans - 1 250
Business mortgages - 1 250
Mortgage agreements on behalf of subsidiaries
Financial loans 3 136 285
Other obligations 189 568
Business mortgages 3 377 881
Commercial bank guarantees on behalf of the 17 793 11 546
Parent company and subsidiaries
Other own obligations
Rental liabilities maturing within one year 926 903
Rental liabilities maturing in one to five 756 1 301
years
Rental liabilities maturing later 1 -
--------------------------------------------------------------------------------
Total 1 684 2 204
--------------------------------------------------------------------------------
11. Related party transactions
No loans have been granted to the company's management.
At the end of the financial year, Raute Corporation had loan receivables from
its subsidiary Raute Canada Ltd. a total of EUR 2 114 thousand (EUR 992
thousand).
No pledges have been given or other commitments made on behalf of the company's
management and shareholders.
--------------------------------------------------------------------------------
31.12. 31.12.
12. Derivatives 2016 2015
--------------------------------------------------------------------------------
Nominal values of forward contracts in
foreign currency
Economic hedging
- Related to the hedging of net sales 6 084 2 969
Hedge accounting
- Related to the hedging of net sales 2 556 2 679
Fair values of forward contracts in foreign currency
Economic hedging
- Related to the hedging of net sales -41 -89
Hedge accounting
- Related to the hedging of net sales -75 -47
13. Share-based payments
A total of 80 231 Raute's series A shares have been subscribed for with Raute's
stock options 2010 A, 2010 B and 2010 C during the reporting period. The new
shares have been registered in the Trade Register on February 24, 2016, May 9,
2016 , August 4, 2016 and November 3, 2016.
On December 31, 2016 the company's share capital is EUR 8 256 316 and the
number of company's shares 4 206 462 pieces.
An expense of EUR 46 thousand (EUR 377 thousand) was recognized for the share
rewards to the income statement during the reporting period.
During the reporting period, no share rewards were delivered based on the
long-term share-based incentive program 2014-2018 directed to the top
management.
14. Distribution of the profit for the financial year 2015
Raute Corporation's Annual General Meeting held on March 31, 2016, decided,
according to the Board of Directors' proposal, to distribute a dividend of EUR
0,80 per share to be paid for series A and K shares, a total of EUR 3 303
thousand. The dividend payment date was April 12, 2016.
15. Financial assets and liabilities that are measured at fair value
At the end of the reporting period December 31, 2016, the fair value of the
financial assets categorized at fair value on hierarchy level 3 was EUR 748
thousand. The methods of fair value determination correspond with the valuation
principles presented in the annual financial statements for 2015. There were no
transfers between the hierarchy levels 1 and 2 during the reporting period.
16. Exchange rates used
-------------------------------------------------
1.1.–31.12. 1.1.–31.12.
Income statement, euros 2016 2015
-------------------------------------------------
CNY (Chinese juan) 7,3594 6,9733
RUB (Russian rouble) 74,2224 68,0090
CAD (Canadian dollar) 1,4664 1,4177
USD (US dollar) 1,1066 1,1097
SGD (Singapore dollar) 1,5278 1,5251
CLP (Chilean peso) 748,7723 725,3048
-------------------------------------------------
31.12. 31.12.
Balance sheet, euros 2016 2015
-------------------------------------------------
CNY (Chinese juan) 7,2983 7,0223
RUB (Russian rouble) 64,3000 80,6736
CAD (Canadian dollar) 1,4188 1,5116
USD (US dollar) 1,0541 1,0887
SGD (Singapore dollar) 1,5234 1,5417
CLP (Chilean peso) 702,2261 765,9751
17. The Board of Directors' proposal for dividend distribution and measures
concerning the result of 2016
The Board of Directors will propose to Raute Corporation’s Annual General
Meeting 2017, to be held on March 28, 2017, that a dividend of EUR 1,00 per
share be paid for the financial year 2016, and that the remainder of
distributable funds be transferred to equity. At the date of the proposal for
profit distribution, there is a total of 4,206,462 shares entitled for the
dividend, i.e. the total amount of dividends would be EUR 4,206 thousand.
--------------------------------------------------------------------------------
FINANCIAL DEVELOPMENT 31.12. 31.12.
2016 2015
--------------------------------------------------------------------------------
Change in net sales, % -11,1 35,4
Exported portion of net sales, % 78,3 76,3
Return on investment, (ROI), % 25,3 28,5
Return on equity, ROE, % 20,9 24,7
Interest-bearing net liabilities, EUR million -20,6 -5,0
Equity ratio, % 60,4 58,5
Gearing, % -60,3 -16,8
Gross capital expenditure, EUR million 3,2 2,5
% of net sales 2,8 2,0
Research and development costs, EUR million 2,9 3,1
% of net sales 2,5 2,4
Order book, EUR million 106 60
Order intake, EUR million 162 145
--------------------------------------------------------------------------------
SHARE-RELATED DATA 31.12. 31.12.
2016 2015
--------------------------------------------------------------------------------
Earnings per share, (EPS), undiluted, EUR 1,60 1,65
Earnings per share, (EPS), diluted, EUR 1,59 1,64
Equity to share, EUR 8,13 7,26
Dividend per series A share, EUR 1,00* 0,80
Dividend per series K share, EUR 1,00* 0,80
Dividend per profit, % 62,3* 48,4
Effective dividend return, % 6,0* 5,7
Price per earnings ratio, (P/E ratio) 10,41 8,55
*The Board of Directors' proposal to the Annual General
Meeting.
Development in share price (series A shares)
Lowest share price for the period, EUR 12,06 7,17
Highest share price for the period, EUR 17,98 14,25
Average share price for the period, EUR 14,50 11,95
Share price at the end of the period, EUR 16,70 14,12
Market value of capital stock
- Series K shares, EUR million* 16,6 14,0
- Series A shares, EUR million 53,7 44,1
--------------------------------------------------------------------------------
Total, EUR million 70,2 58,1
--------------------------------------------------------------------------------
*Series K shares valued at the value of series A shares.
Trading of the company's shares (series A shares)
Trading of shares, pcs 987 608 1 094 902
Trading of shares, EUR million 14,3 13,1
Number of shares
- Series K shares, ordinary shares (20 votes, share) 991 161 991 161
- Series A shares (1 vote/share) 3 215 301 3 120 547
--------------------------------------------------------------------------------
Total 4 206 462 4 111 708
--------------------------------------------------------------------------------
Number of shares, weighted average, 1 000 pcs 4 167 4 051
Number of shares, diluted, 1 000 pcs 4 210 4 079
Number of shareholders 3 625 2 623
--------------------------------------------------------------------------------
DEVELOPMENT OF Q 1 Q 2 Q 3 Q 4 Rolling Rolling
QUARTERLY 2016 2016 2016 2016 1.1.2016 1.1.2015
RESULTS
(EUR 1 000) – –
31.12.2016 31.12.2015
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
NET SALES 26 427 27 306 23 355 36 043 113 130 127 278
--------------------------------------------------------------------------------
Change in inventories of
finished goods
and work in 917 60 67 -894 150 -313
progress
Other 962 73 46 24 1 103 393
operating
income
Materials and -14 264 -13 513 -10 032 -17 041 -54 849 -67 992
services
Employee -9 131 -8 966 -8 627 -9 882 -36 606 -34 310
benefits
expense
Depreciation -515 -573 -605 -646 -2 340 -2 125
and
amortization
Impairment - - - - - -1 370
Other -3 009 -2 871 -2 838 -3 313 -12 030 -13 441
operating
expenses
--------------------------------------------------------------------------------
Total -26 919 -25 923 -22 103 -30 881 -105 825 -119 238
operating
expenses
--------------------------------------------------------------------------------
OPERATING 1 386 1 516 1 364 4 292 8 558 8 120
PROFIT
--------------------------------------------------------------------------------
% of net sales 5,2 5,6 5,8 11,9 7,6 6,4
Financial 93 -52 -70 152 123 342
income
Financial -222 35 -134 -139 -461 -343
expenses
--------------------------------------------------------------------------------
Financial -129 -17 -204 13 -338 -1
expenses, net
--------------------------------------------------------------------------------
PROFIT BEFORE 1 258 1 499 1 159 4 304 8 220 8 118
TAX
--------------------------------------------------------------------------------
% of net sales 4,8 5,5 5,0 11,9 7,3 6,4
Income taxes -353 -274 -219 -689 -1 536 -1 435
--------------------------------------------------------------------------------
PROFIT FOR THE 904 1 224 940 3 615 6 684 6 684
PERIOD
--------------------------------------------------------------------------------
% of net sales 3,4 4,5 4,0 10,0 5,9 5,3
Attributable
to
Equity holders 904 1 224 940 3 615 6 684 6 684
of the Parent
company
Earnings per
share, EUR
Undiluted 0,22 0,29 0,22 0,86 1,60 1,65
earnings per
share
Diluted 0,22 0,29 0,22 0,85 1,59 1,64
earnings per
share
Shares, 1 000
pcs
Adjusted 4 124 4 147 4 192 4 191 4 167 4 051
average
number of
shares
Adjusted
average
number of
shares
diluted 4 151 4 189 4 201 4 235 4 210 4 079
--------------------------------------------------------------------------------
FINANCIAL Q 1 Q 2 Q 3 Q 4 Rolling Rolling
DEVELOPMENT
QUARTERLY
2016 2016 2016 2016 1.1.2016 1.1.2015
– –
31.12.2016 31.12.2015
--------------------------------------------------------------------------------
Order intake 13 16 92 42 162 145
during the
period, EUR
million
Order book at 44 32 102 106 106 60
the end of
the period,
EUR million
--------------------------------------------------------------------------------
20 LARGEST SHAREHOLDERS AT December Total % of Total % of
31, 2016 number total number voting
By number of Number of Number of of shares shares of votes rights
shares series K series A
shares shares
--------------------------------------------------------------------------------
1. Sundholm - 622 942 622 942 14,8 622 942 2,7
Göran
2. Mandatum - 131 196 131 196 3,1 131 196 0,6
Life
Unit-Linked
3. Laakkonen - 119 919 119 919 2,9 119 919 0,5
Mikko
4. Suominen 48 000 62 429 110 429 2,6 1 022 429 4,4
Pekka
5. Siivonen 50 640 53 539 104 179 2,5 1 066 339 4,6
Osku Pekka
6. Kirmo Kaisa 55 680 48 341 104 021 2,5 1 161 941 5,0
Marketta
7. Suominen 48 000 53 816 101 816 2,4 1 013 816 4,4
Tiina
Sini-Maria
8. Relander - 85 000 85 000 2,0 85 000 0,4
Harald
kuolinpesä
9. Keskiaho 33 600 51 116 84 716 2,0 723 116 3,1
Kaija Leena
10. 57 580 26 270 83 850 2,0 1 177 870 5,1
Mustakallio
Mika Tapani
11. Särkijärvi 60 480 22 009 82 489 2,0 1 231 609 5,3
Anna Riitta
12. 46 740 16 047 62 787 1,5 950 847 4,1
Mustakallio
Marja Helena
13. 60 480 500 60 980 1,4 1 210 100 5,3
Mustakallio
Kari Pauli
14. Särkijärvi 12 000 43 256 55 256 1,3 283 256 1,2
Timo Juha
15. 12 000 43 256 55 256 1,3 283 256 1,2
Särkijärvi-Ma
rtinez Anu
Riitta
16. Suominen 24 960 27 964 52 924 1,3 527 164 2,3
Jukka Matias
17. - 51 950 51 950 1,2 51 950 0,2
Keskinäinen
työeläkevakuu
tusyhtiö Varma
18. 49 740 - 49 740 1,2 994 800 4,3
Mustakallio
Ulla Sinikka
19. Suominen 48 000 - 48 000 1,1 960 000 4,2
Jussi Matias
20. Keskiaho 24 780 19 094 43 874 1,0 514 694 2,2
Ilta Marjaana
--------------------------------------------------------------------------------
TOTAL 632 680 1 478 644 2 111 324 50,2 14 132 244 61,3
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total % of Total % of
number total number voting
By number of Number of Number of of shares shares of votes rights
votes series K series A
shares shares
--------------------------------------------------------------------------------
1. Särkijärvi 60 480 22 009 82 489 2,0 1 231 609 5,3
Anna Riitta
2. Mustakallio 60 480 500 60 980 1,4 1 210 100 5,3
Kari Pauli
3. Mustakallio 57 580 26 270 83 850 2,0 1 177 870 5,1
Mika Tapani
4. Kirmo Kaisa 55 680 48 341 104 021 2,5 1 161 941 5,0
Marketta
5. Siivonen 50 640 53 539 104 179 2,5 1 066 339 4,6
Osku Pekka
6. Suominen 48 000 62 429 110 429 2,6 1 022 429 4,4
Pekka
7. Suominen 48 000 53 816 101 816 2,4 1 013 816 4,4
Tiina
Sini-Maria
8. Mustakallio 49 740 - 49 740 1,2 994 800 4,3
Ulla Sinikka
9. Suominen 48 000 - 48 000 1,1 960 000 4,2
Jussi Matias
10. 46 740 16 047 62 787 1,5 950 847 4,1
Mustakallio
Marja Helena
11. 42 240 - 42 240 1,0 844 800 3,7
Mustakallio
Risto Knut
kuolinpesä
12. Keskiaho 33 600 51 116 84 716 2,0 723 116 3,1
Kaija Leena
13. Sundholm - 622 942 622 942 14,8 622 942 2,7
Göran
14. Keskiaho 29 680 - 29 680 0,7 593 600 2,6
Vesa Heikki
15. Keskiaho 27 880 5 816 33 696 0,8 563 416 2,4
Juha-Pekka
16. Kirmo 27 645 2 967 30 612 0,7 555 867 2,4
Lasse
17. Suominen 24 960 27 964 52 924 1,3 527 164 2,3
Jukka Matias
18. Keskiaho 24 780 19 094 43 874 1,0 514 694 2,2
Ilta Marjaana
19. Kultanen 22 405 8 031 30 436 0,7 456 131 2,0
Leea Annikka
20. Molander 20 160 - 20 160 0,5 403 200 1,8
Sole
--------------------------------------------------------------------------------
TOTAL 778 690 1 020 881 1 799 571 42,8 16 594 681 72,0
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
MANAGEMENT'S SHAREHOLDING AND NOMINEE-REGISTERED
SHARES
Number of Number Total % of Total % of
series K of number total number of voting
shares series A of shares votes rights
shares shares
--------------------------------------------------------------------------------
Management's holding at December
31, 2016
The Board of 122 830 126 149 248 979 5,9 2 582 749 11,2
Directors, The
Group's President
and CEO and
Executive Board*
--------------------------------------------------------------------------------
TOTAL 122 830 126 149 248 979 5,9 2 582 749 11,2
--------------------------------------------------------------------------------
*The figures include the holdings of their own,
minor children and control entities.
--------------------------------------------------------------------------------
Nominee-registered - 87 561 87 561 2,1 87 561 0,4
shares at December
31, 2016
--------------------------------------------------------------------------------
RAUTE CORPORATION
Board of Directors
BRIEFING ON FEBRUARY 15, 2017 AT 2 P.M.:
A briefing will be organized for analysts, investors and the media on February
15, 2017 at 2 p.m. at Scandic Simonkenttä Hotel, Tapiola cabinet, Simonkatu 9,
Helsinki. The financial statements will be presented by Mr. Tapani Kiiski,
President and CEO, and Ms. Arja Hakala, CFO.
FINANCIAL RELEASES IN 2017:
Raute’s half-year report and interim reports will be published as follows:
- January–March on Friday, April 28, 2017
- January–June on Tuesday August 1, 2017
- January–September on Tuesday October 31, 2017.
Raute Corporation’s consolidated financial statements will be published on
February 15, 2017. Raute Corporation’s Annual Report 2016 will be published
during week 9.
Raute Corporation’s Annual General Meeting will be held in Lahti, at Sibelius
Hall on Tuesday, March 28, 2017 at 6:00 p.m.
FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, Raute Corporation, mobile phone +358 400
814 148
Ms. Arja Hakala, CFO, Raute Corporation, mobile phone +358 400 710 387
DISTRIBUTION:
Nasdaq Helsinki Ltd, main media, www.raute.com
RAUTE IN BRIEF:
Raute is a technology and service company that operates worldwide. Raute’s
customers are companies operating in the wood products industry that
manufacture veneer, plywood and LVL (Laminated Veneer Lumber). The technology
offering covers machinery and equipment for the customer’s entire production
process. As a supplier of mill-scale projects, Raute is a global market leader
both in the plywood and LVL industries. Additionally, Raute’s full-service
concept includes technology services ranging from spare parts deliveries to
regular maintenance and equipment modernizations. Raute’s head office is
located in the Nastola area of Lahti, Finland. Its other production plants are
in Kajaani, Finland, the Vancouver area of Canada and in the Shanghai area of
China. Raute’s net sales in 2016 were EUR 113.1 million. The Group’s headcount
at the end of 2015 was 643.
More information on the company can be found at www.raute.com.
© 2024 Nasdaq, Inc. All Rights Reserved |
| Slapukai |