2013-10-31 12:00:00 CET
2013-10-31 12:00:08 CET
REGULATED INFORMATION
Glaston Oyj Abp - Interim report (Q1 and Q3)
Glaston January-September 2013 interim report: Orders received grew. Glaston adjusts its outlook.
Helsinki, Finland, 2013-10-31 12:00 CET (GLOBE NEWSWIRE) -- Glaston
CorporationINTERIM REPORT31 October 2013 at 13.00
Continuing Operations January-September 2013 compared with January-September
2012 (comparison year figures have been restated)
Glaston January-September 2013 interim report: Orders received grew. Glaston
adjusts its outlook.
Glaston Corporation Interim Report 1 January-30 September 2013
-Orders received in January-September totalled EUR 90.0 (84.8) million.Orders
received in the third quarter totalled EUR 34.2 (28.4) million.
-The order book on 30 September 2013 was EUR 42.0 (35.3) million.
-Consolidated net sales in January-September totalled EUR 86.4 (83.4) million.
Third-quarter net sales were EUR 26.3 (24.6) million.
-EBITDA was EUR 7.5 (0.2) million, i.e. 8.6 (0.2)% of net sales.
-The operating result, excluding non-recurring items, was a profit of EUR 0.3
(3.9 loss) million, i.e. 0.3 (-4.7)% of net sales.The third-quarter operating
result, excluding non-recurring items, was a loss of EUR 0.4 (0.4 loss)
million.
-The operating result was a profit of EUR 4.0 (6.9 loss) million, i.e. 4.7
(-8.2)% of net sales.The third-quarter operating result was a loss of EUR 0.4
(0.4 loss) million.
-Continuing Operations' return on capital employed (ROCE) was 10.3 (-7.6)%.
-Continuing Operations' January-September earnings per share were EUR 0.02
(-0.10).Continuing and -Discontinued Operations' earnings per share totalled
EUR 0,02 (-0.15) euros.
-Glaston's interest-bearing net debt totalled EUR 11.4 (56.8) million.
- Glaston adjusts its outlook and expects 2013 net sales to exceed 2012 net
sales and both EBIT and EBIT excluding non-recurring items to be positive.
President & CEO Arto Metsänen:
“Glaston's operations in the third quarter developed in line with
expectations.July-September net sales were slightly higher than the previous
year and totalled EUR 26.3 million.Our January-September net sales totalled EUR
86.4 million, also slightly higher than the previous year.
The level of new orders in the third quarter was good, around 20% higher than
the previous year.The positive development of the heat treatment machine market
in particular continued, and we closed major deals in the USA and Spain, for
example.
In September, we published our updated strategic guidelines and financial
targets for 2013-2016.Our main goal is to deliver profitable growththrough
innovation and technology leadership in selected product groups.Our company has
long traditions in the fields of product development and innovation.In the new
strategy, we have also highlighted the customer experience as a key area, and
our aim is to offer our customers the best customer experience in the industry.
Seasonal variations are typical in our industry, and traditionally the last
quarter of the year has been the strongest.I look towards the end of the year
with confidence.”
Glaston adjusts its outlook for 2013
Glaston adjusts its outlook. Glaston expects 2013 net sales to exceed 2012 net
sales and both EBIT and EBIT excluding non-recurring items to be positive.
(Earlier forecast: Glaston expects 2013 net sales to be on the 2012 level and
both EBIT excluding non-recurring items and EBIT to be positive.)
Markets
In the third quarter of the 2013, Glaston's markets developed in line with
expectations.The recovery of the North American market continued.In Asia and
South America, market development was stable.In the EMEA area, the market
situation remained challenging, but among other things, there was positive
development in Spain, the UK and Germany.
Machines
In January-September, the heat treatment machine market developed in line with
Glaston's expectations, and in the third quarter was even above expectations.In
pre-processing machines, the market situation continued to be challenging also
in the third quarter.The demand for tools remained stable.
In the third quarter, Glaston closed a deal to a value of approximately EUR 3.0
million for a heat treatment line with the Spanish company Tvitec - Técnicas de
Vidro Transformado S.L.The line represents Glaston's latest technology and is a
large-scale flat glass tempering line.In addition, a deal worth approximately
EUR 5.5 million for glass processing machinery was closed with the US company
Cardinal Glass Industries.The first flat tempering line will be delivered by
the end of 2013 and the subsequent lines will be delivered in 2014.The orders
were divided between the second and third quarter order books.A new product,
the ProL500 flat laminating line, was launched onto the Brazilian market.The
machine is manufactured at Glaston's factory in Brazil and the first machine
delivery took place in the third quarter.
In the third quarter, product lines prepared for the Vitrum Fair, which was
held in October. Among the products presented were the new UC series of
automatic cutting lines, the innovative Omnia double edging machine, which is
suitable for solar glass applications and the appliance industry, the
GlastonAir™ concept, intended for tempering thin glass, and the IriControL™
technology, with which glass processors can measure and minimise anisotropic
phenomena in tempered glass.
In January-September, the Machines segment's net sales totalled EUR 64.5 (62.0)
million.The operating result, excluding non-recurring items, was a profit of
EUR 0.6 (3.1 loss) million.Third-quarter net sales totalled EUR 19.1 (18.4)
million and the operating result, excluding non-recurring items, was EUR 0.0
(0.5 loss) million.
Services
In the services market, Glaston position's remained strong in the third
quarter, despite the challenges posed by sales of heat treatment machine spare
parts and upgrade products.In spare parts sales for pre-processing machines,
the very aggressive price competition continued. Despite this, Glaston
succeeded in increasing spare parts sales in Asia and the EMEA area.Maintenance
work sales developed in line with expectations.
The third quarter's most significant deals were a sale worth EUR 0.5 million to
the USA, in which the customer will upgrade its flat tempering line with
heating and cooling chambers, and a sale valued at EUR 0.3 million to Poland,
in which a machine will be modernised to meet today's low-e requirements.
In January-September, the Services segment's net sales totalled EUR 22.2 (22.4)
million and the operating profit, excluding non-recurring items, was EUR 3.6
(4.0) million.Third-quarter net sales totalled EUR 7.5 (6.8) million and the
operating profit, excluding non-recurring items, was EUR 1.2 (1.2) million.
Significant sales of assets during the review period
Glaston completed the sale of its Software Solutions business area in the first
quarter.The sales price was approximately EUR 18 million, of which a portion is
contingent.The result of Glaston's Discontinued Operations in 2013 includes the
result of the Software Solutions business area for the period 1 January-31
January 2013 as well as the result on the sale of the business area.
During the first quarter, Glaston also completed the sale and leaseback of the
Tampere factory property complex in Finland.The sale resulted in a
non-recurring capital gain of EUR 3.7 million.
Continuing Operations' orders received and order book
Glaston's order intake in the review period totalled EUR 90.0 (84.8) million.Of
orders received, the Machines segment accounted for 76% and the Services
segment 24%.Orders received during the third quarter of the year totalled EUR
34.2 (28.4) million.
Glaston's order book on 30 September 2013 was EUR 42.0 (35.3) million.Of the
order book, the Machines segment accounted for EUR 40.0 million and the
Services segment for EUR 2.0 million.
Order book, EUR million 30.9.2013 30.9.2012
---------------------------------------------
Machines 40.0 31.3
---------------------------------------------
Services 2.0 4.0
---------------------------------------------
Total 42.0 35.3
---------------------------------------------
Continuing Operations' net sales and operating result
Glaston's January-September net sales totalled EUR 86.4 (83.4) million.The
Machines segment's net sales in January-September were EUR 64.5 (62.0) million
and the Services segment's net sales were EUR 22.2 (22.4) million.
Third-quarter net sales totalled EUR 26.3 (24.6) million and were distributed
across the business segments as follows:Machines EUR 19.1 (18.4) million and
Services EUR 7.5 (6.8) million.
Net sales, EUR million 7-9/2013 7-9/2012 1-9/2013 1-9/2012 1-12/2012
---------------------------------------------------------------------------
Machines 19.1 18.4 64.5 62.0 84.7
---------------------------------------------------------------------------
Services 7.5 6.8 22.2 22.4 32.3
---------------------------------------------------------------------------
Other and internal sales -0.3 -0.6 -0.4 -1.1 -1.4
---------------------------------------------------------------------------
Total 26.3 24.6 86.4 83.4 115.6
---------------------------------------------------------------------------
The operating result, excluding non-recurring items, in January-September was a
profit of EUR 0.3 (3.9 loss) million, i.e. 0.3 (-4.7)% of net sales.The
Machines segment's operating result, excluding non-recurring items, in
January-September was a profit of EUR 0.6 (3.1 loss) million and the Services
segment's operating result, excluding non-recurring items, was a profit of EUR
3.6 (4.0) million.
Of the non-recurring items totalling EUR 3.7 million recognised in the first
quarter of year, the most significant was a capital gain arising from the sale
of the Tampere property complex.A goodwill impairment loss of EUR 3.0 million
directed at the Pre-processing operating segment, which belongs to the Machines
segment, was recognised as a non-recurring item in the first quarter of 2012.
EBIT, EUR million 1-9/2013 1-9/2012 1-12/2012
--------------------------------------------------------------
Machines 0.6 -3.1 -2.6
--------------------------------------------------------------
Services 3.6 4.0 5.9
--------------------------------------------------------------
Other and eliminations -4.0 -4.8 -6.7
--------------------------------------------------------------
EBIT, excl. non-recurring items 0.3 -3.9 -3.4
--------------------------------------------------------------
Non-recurring items 3.7 -3.0 -5.4
--------------------------------------------------------------
EBIT, Continuing Operations 4.0 -6.9 -8.8
--------------------------------------------------------------
The third-quarter operating result, excluding non-recurring items, was a loss
of EUR 0.4 (0.4 loss) million, i.e. -1.7 (-1.7)% of net sales. The Machines
segment's operating result, excluding non-recurring items, in July-September
was EUR 0.0 (0.5 loss) million and the Services segment's operating profit,
excluding non-recurring items, was EUR 1.2 (1.2) million.
During the first quarter, Glaston repurchased convertible bonds with a nominal
value EUR 2 million at a price below the nominal value. This repurchase yielded
a financial income of EUR 0.9 million. Similarly, during the first quarter, the
remaining convertible bond and debenture bond with accrued interest were used
as payment in a share issue (conversion issue).
As the subscription price of the conversion issue was higher than the fair
value of the share at the time of subscription, financial income of EUR 1.9
million arose to Glaston in connection with the conversion issue. These
financial income items had no impact on cash flow. The Group's net financial
items in January-September were EUR 0.0 (-5.1) million. In the third quarter,
net financial items were EUR -0.9 (-1.7) million.
Continuing Operations' result in January-September was a profit of EUR 3.0
(11.9 loss) million and in the third quarter a loss of EUR 1.3 (2.0 loss)
million. The result, after the result of Discontinued Operations, was a profit
of EUR 3.0 (17.1 loss) million. Return on capital employed (ROCE) for
Continuing Operations in January-September was 10.3 (-7.6)%. Return on capital
employed was 10.5 (-13.1)%.
Earnings per share
Continuing Operations' earnings per share in the review period were EUR 0.02
(-0.10), while Discontinued Operations' earnings per share were 0.00 (-0.05)
euros, i.e. a total of EUR 0.02 (-0.15).
Financial position, cash flow and financing
In the first quarter of the year, Glaston implemented extensive measures to
strengthen the company's financial position. These measures included a share
issue, the completion of the sale of the Software Solutions segment, the
conversion of convertible and debenture bonds into shares by using them as
payment in the conversion issue, a new long-term financing agreement, and the
sale and leaseback of the Tampere factory property complex.
In February 2013, Glaston signed a new long-term financing agreement. The
financing agreement is for three years and it is valid until 31 January 2016.
The covenants in use are interest cover, net debt/EBITDA, cash and cash
equivalents, and gross capital expenditure. The covenants will be monitored,
depending on the covenant, monthly, quarterly, semi-annually or annually. With
respect to the interest cover covenant, the first monitoring date is after the
first quarter of 2014.
The Group's liquid funds at the end of the review period totalled EUR 14.7
(10.1) million. Interest-bearing net debt totalled EUR 11.4 (56.8) million and
net gearing was 21.7 (157.0)%; net gearing was 188.4% on 31 December 2012.
The share issues executed during the first quarter improved Glaston's equity
ratio significantly. The equity ratio was 46.6 (24.3)% on 30 September 2013,
and was 21.6% on 31 December 2012.
At the end of September, the consolidated asset total was EUR 128.0 (163.4)
million. The equity attributable to owners of the parent was EUR 52.1 (35.9)
million. The share issue-adjusted equity per share was EUR 0.27 (0.32). Return
on equity in January-September was 9.6 (-51.1) %.
Cash flow from the operating activities of Continuing and Discontinued
operations, before the change in working capital, was EUR 3.2 (0.1) million in
January-September. The change in working capital was EUR 0.1 (-1.8) million.
Cash flow from investments was EUR 23.2 (-4.3) million. Cash flow from
investing activities was influenced by proceeds from the sales of the Software
Solutions segment and the Tampere factory property, a total of EUR 25.3
million. Cash flow from financing activities in January-September was EUR -22.0
(-1.0) million.
Capital expenditure, depreciation and amortisation
The gross capital expenditure of Glaston's Continuing and Discontinued
Operations totalled EUR 2.0 (4.4) million. In the review period, there were no
significant individual investments; the most significant investments were in
product development.
Depreciation and amortisation of Continuing Operations on property, plant and
equipment and on intangible assets totalled EUR 3.4 (4.0) million. A EUR 3.0
million goodwill impairment loss, directed at the Machines segment, was
recognised in the first quarter of 2012.
Employees
Glaston's Continuing Operations had a total of 585 (627) employees on 30
September 2013. Of the Group's employees, 22% worked in Finland and 28%
elsewhere in the EMEA area, 34% in Asia and 16% in the Americas. In the review
period, the average number of employees was 593 (830).
Strategy
On 9 September, Glaston published its updated strategic guidelines and
financial targets for 2013-2016. Glaston's goal is to deliver profitable growth
through innovation and technology leadership in selected product groups, while
at the same time ensuring the best customer benefit and experience in the
industry.
The safety glass market, which is Glaston's main field of business, is expected
to grow by nearly 7% per year up to 2017. In addition, the company is seeking
to grow particularly in tools (consumables relating to pre-processing machines)
and in services covering the entire lifecycle of products.
The financial targets underlying Glaston's strategy will run until 2016 and
they are: growth in net sales of over 8% per year (CAGR), operating profit
margin (EBIT) over 6%, and return on capital employed (ROCE) over 10%.
Shares and share prices
Glaston Corporation's paid and registered share capital on 30 September 2013
was EUR 12.7 million and the number of issued and registered shares totalled
193,708,336. The company has one series of share. At the end of September, the
company held 788,582 of the company's own shares (treasury shares),
corresponding to 0.41% of the total number of issued and registered shares and
votes. The counter book value of treasury shares is EUR 51,685.
Every share that the company does not hold itself entitles its owner to one
vote at a General Meeting of Shareholders. The share has no nominal value. The
counter book value of each registered share is EUR 0.07.
During the first nine months of the year, approximately 25.4 million of the
company's shares were traded, i.e. around 15.4% of the average number of
registered shares. The lowest price paid for a share was EUR 0.22 and the
highest price EUR 0.44. The volume-weighted average price of shares traded in
January-September was EUR 0.33. The closing price on 30 September 2013 was EUR
0.40.
On 30 September 2013, the market capitalisation of the company's registered
shares, treasury shares excluded, was EUR 77.2 (29.3) million. The share
issue-adjusted equity per share attributable to owners of the parent was EUR
1.48 (0.88).
Decisions of the Annual General Meeting
The Annual General Meeting of Glaston Corporation was held in Helsinki on 17
April 2013. The Annual General Meeting adopted the financial statements and
discharged the Members of the Board of Directors and the President & CEO from
liability for the financial year 1 January-31 December 2012. In accordance with
the proposal of the Board of Directors, the Annual General Meeting resolved
that no dividend be distributed for the financial year ending 31 December 2012.
The number of Members of the Board of Directors was resolved to be six. The
Annual General Meeting decided to elect Claus von Bonsdorff, Anu Hämäläinen,
Teuvo Salminen, Christer Sumelius, Pekka Vauramo and Andreas Tallberg as
Members of the Board of Directors. Public Accountants Ernst & Young Oy were
elected as auditor for 2013.
The Annual General Meeting authorised the Board of Directors to decide on the
issuance of shares as well as the issuance of options and other rights granting
entitlement to shares. The authorisation covers a maximum of 20,000,000 shares.
The authorisation is valid until 30 June 2014 and it invalidates earlier
authorisations.
The Annual General Meeting resolved to establish a permanent Nomination Board,
consisting of shareholders or representatives of shareholders.
After the Annual General Meeting, the Board of Directors held an organising
meeting, at which it elected Andreas Tallberg as Chairman of the Board and
Christer Sumelius as Deputy Chairman of the Board.
Nomination Board
Glaston's Nomination Board consists of the representatives of the four largest
shareholders of the Company as of 2 September 2013 and, in addition, the
Chairman of the Company's Board of Directors, who serves as an advisory member
of the Nomination Board.
The following people have been selected as members of the Nomination Board:
Jari Puhakka (Etera Mutual Pension Insurance Company), Mikko Koivusalo (Varma
Mutual Pension Insurance Company), Kimmo Viertola (Finnish Industry Investment
Ltd) and Ari Saarenmaa (GWS Trade Oy, merged with Oy G.W.Sohlberg Ab). Andreas
Tallberg, Chairman of the Company's Board of Directors, serves as an advisory
member of the Nomination Board.
In its organising meeting, the Nomination Board elected Ari Saarenmaa from
among its members to be Chairman.
Flagging notification
On 27 September 2013, Glaston received a notification that Oy G.W.Sohlberg Ab's
share of the total number of shares and voting rights in Glaston Corporation
has exceeded 10% following the merger of GWS Trade Oy with its parent company
Oy G.W Sohlberg Ab. Oy G.W.Sohlberg Ab's ownership rose to 26,266,100 shares,
which is 13.56% of all Glaston shares and votes.
Uncertainties and risks in the near future
Glaston's business environment remains challenging. Low economic growth and
uncertainty in the financial markets may affect the timing of large machine
orders. The general economic uncertainty continues to affect customers'
investment activity.
Global economic uncertainty and its impact on the development of the sector
have been taken into account in the short-term forecasts. If the recovery of
the sector is delayed further or slows, this will have a negative effect on
future cash flows.
Glaston performs annual goodwill impairment testing during the final quarter of
the year. In addition, goodwill impairment testing is performed if there are
indications of impairment. Due to prolonged market uncertainty, it is possible
that Glaston's recoverable amounts will be insufficient to cover the carrying
amounts of assets, particularly goodwill. If this happens, it will be necessary
to recognise an impairment loss, which, when implemented, will weaken the
result and equity.
Glaston has recognised a total of approximately EUR 3.8 million of loan,
interest and trade receivables from a counterparty whose financial situation is
challenging. Glaston is continuously monitoring the situation and will
recognise an impairment loss on these receivables, if necessary.
General business risks and risk management are outlined in more detail in
Glaston's 2012 Annual Report and on the company's website www.glaston.net.
Outlook
We expect that the cautious pick-up of the market will continue in the final
quarter of the year. The stable development of the South American and Asian
markets is expected to continue. In North America, the tentative recovery of
the market has continued and the prospects for the construction industry are
more positive than in 2012. In Europe, the market will continue to be
challenging.
Due to global economic uncertainty and overcapacity, the market for new glass
processing machines will remain challenging. Demand for heat treatment machines
began to grow cautiously in the second quarter and continued in the third
quarter. We expect this positive development to continue in the final quarter
of the year.
Glaston adjusts its outlook for 2013. Glaston expects 2013 net sales to exceed
2012 net sales and both EBIT and EBIT excluding non-recurring items to be
positive. (Earlier forecast: Glaston expects 2013 net sales to be on the 2012
level and both EBIT excluding non-recurring items and EBIT to be positive.)
Helsinki, 31 October 2013
Glaston Corporation
Board of Directors
For further information, please contact:
President & CEO Arto Metsänen, tel. +358 10 500 6100
Chief Financial Officer Sasu Koivumäki, tel. +358 10 500 500
Sender:
Glaston Corporation
Agneta Selroos
Director, Communications and Marketing
Tel.+358 10 500 6105
Glaston Corporation
Glaston is a global company developing glass processing technology for
architectural, solar, appliance and automotive applications. Our product
portfolio ranges from pre-processing and safety glass machines to services. We
are dedicated to our customers' continued success and provide services for all
glass processing needs with a lifecycle-long commitment in mind. For more
information, please visit www.glaston.net.
Glaston's share (GLA1V) is listed on the NASDAQ OMX Helsinki Small Cap List.
Distribution: NASDAQ OMX, key media, www.glaston.net
GLASTON CORPORATION
CONDENSED FINANCIAL STATEMENTS AND NOTES 1 JANUARY - 30 SEPTEMBER 2013
These interim financial statements are not audited. As a result of rounding
differences, the figures presented in the tables may not add up to the total.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
restated restated restated
EUR million 30.9.2013 30.9.2012 31.12.2012 1.1.2012
Assets
Non-current assets
Goodwill 36.8 36.8 36.8 52.6
Other intangible assets 9.1 11.4 10.7 18.2
Property, plant and equipment 7.1 16.9 7.3 18.7
Investments in associates - - - 0.0
Available-for-sale assets 0.3 0.3 0.3 0.3
Loan receivables 1.8 4.5 1.8 4.4
Deferred tax assets 5.7 6.9 6.7 6.9
--------------------------------------------------------------------------------
Total non-current assets 60.9 76.9 63.8 101.2
Current assets
Inventories 22.5 27.6 21.8 25.2
Receivables
Trade and other receivables 29.2 26.3 31.2 40.8
Assets for current tax 0.8 0.9 0.9 1.3
--------------------------------------------------------------------------------
Total receivables 30.0 27.2 32.0 42.1
Cash equivalents 14.7 10.1 10.6 18.6
Assets held for sale - 21.6 29.8 -
Total current assets 67.2 86.5 94.2 86.0
--------------------------------------------------------------------------------
Total assets 128.0 163.4 158.0 187.2
================================================================================
restated restated restated
30.9.2013 30.9.2012 31.12.2012 1.1.2012
Equity and liabilities
Equity
Share capital 12.7 12.7 12.7 12.7
Share premium account 25.3 25.3 25.3 25.3
Other restricted equity reserves 0.1 0.0 0.0 0.0
Reserve for invested unrestricted 47.3 26.8 26.8 26.8
equity
Treasury shares -3.3 -3.3 -3.3 -3.3
Fair value reserve 0.1 0.1 0.0 0.0
Other unrestricted equity reserves 0.1 0.1 0.1 -
Retained earnings and exchange -33.1 -8.7 -8.9 -8.9
differences
Net result attributable to owners of 3.0 -17.0 -22.4 -
the parent
--------------------------------------------------------------------------------
Equity attributable to owners of the 52.1 35.9 30.3 52.6
parent
Non-controlling interest 0.3 0.3 0.3 0.3
--------------------------------------------------------------------------------
Total equity 52.4 36.2 30.6 53.0
--------------------------------------------------------------------------------
Non-current liabilities
Convertible bond - 8.2 8.2 7.9
Non-current interest-bearing 12.9 32.6 4.1 37.7
liabilities
Non-current interest-free 3.6 2.3 2.6 2.2
liabilities and provisions
Deferred tax liabilities 0.9 1.4 1.3 3.5
--------------------------------------------------------------------------------
Total non-current liabilities 17.4 44.4 16.2 51.4
Current liabilities
Current interest-bearing liabilities 13.2 27.2 56.2 22.6
Current provisions 1.7 2.7 3.5 4.1
Trade and other payables 43.1 46.0 46.4 55.3
Liabilities for current tax 0.3 0.2 0.3 0.7
Liabilities related to assets held - 6.8 4.7 -
for sale
Total current liabilities 58.3 82.8 111.2 82.8
--------------------------------------------------------------------------------
Total liabilities 75.7 127.3 127.4 134.2
--------------------------------------------------------------------------------
Total equity and liabilities 128.0 163.4 158.0 187.2
================================================================================
CONDENSED STATEMENT OF PROFIT OR LOSS
restat restat restat
ed ed ed
EUR million 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
Net sales 26.3 24.6 86.4 83.4 115.6
Other operating income 0.2 0.3 4.3 0.6 1.1
Expenses -25.8 -23.9 -83.2 -83.8 -117.1
Depreciation, amortization and -1.1 -1.4 -3.4 -7.0 -8.4
impairment
--------------------------------------------------------------------------------
Operating result -0.4 -0.4 4.0 -6.9 -8.8
Financial items, net -0.9 -1.7 0.0 -5.1 -8.6
--------------------------------------------------------------------------------
Result before income taxes -1.4 -2.1 4.0 -12.0 -17.4
Income taxes 0.0 0.1 -1.0 0.1 -0.8
--------------------------------------------------------------------------------
Profit / loss for the period from -1.3 -2.0 3.0 -11.9 -18.2
continuing operations
--------------------------------------------------------------------------------
Profit / loss after tax for the period 0.0 -5.8 0.0 -5.2 -4.2
from discontinued operations
--------------------------------------------------------------------------------
Profit / loss for the period -1.3 -7.8 3.0 -17.1 -22.4
================================================================================
Attributable to:
Owners of the parent -1.3 -7.8 3.0 -17.0 -22.4
Non-controlling interest 0.0 0.0 0.0 0.0 0.0
Total -1.3 -7.8 3.0 -17.1 -22.4
================================================================================
Earnings per share, EUR, continuing -0.01 -0.04 0.02 -0.10 -0.16
operations
Earnings per share, EUR, discontinued 0.00 0.01 0.00 -0.05 -0.04
operations
Earnings per share, EUR, basic and -0.01 -0.03 0.02 -0.15 -0.20
diluted
--------------------------------------------------------------------------------
Operating result, continuing operations -1.7 -1.7 4.7 -8.2 -7.6
, as % of net sales
Profit / loss for the period, continuing -5.0 -8.1 3.4 -14.3 -15.8
operations , as % of net sales
Profit / loss for the period, as % of -5.0 -31.6 3.5 -20.5 -19.4
net sales
Non-recurring items included in 0.0 - 3.7 -3.0 -5.4
operating result, continuing operations
Operating result, non-recurring items -0.4 -0.4 0.3 -3.9 -3.4
excluded, continuing operations
Operating result, continuing operations, -1.6 -1.7 0.3 -4.7 -2.9
non-recurring items excluded, as % of
net sales
CONSOLIDATED STATEMENT OF COMPEREHENSIVE INCOME
restat restat restat
ed ed ed
7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
Profit / loss for the period -1.3 -7.8 3.0 -17.1 -22.4
Other comprehensive income that will be
reclassified subsequently to profit or
loss:
Exchange differences on translating foreign 0.0 -0.1 0.4 0.2 0.2
operations
Fair value changes of available-for-sale 0.0 0.0 0.0 0.0 0.0
assets
Income tax on other comprehensive income 0.0 0.0 0.0 0.0 0.0
Other comprehensive income that will not be
reclassified subsequently to profit or
loss:
Exchange differences on actuarial gains and 0.0 0.0 0.0 0.0 0.0
losses arising from defined benefit plans
Actuarial gains and losses arising from - - - - -0.2
defined benefit plans
Income tax on other actuarial gains and - - - - 0.1
losses arising from defined benefit plans
Other comprehensive income for the reporting 0.0 -0.1 0.4 0.2 0.0
period, net of tax
--------------------------------------------------------------------------------
Total comprehensive income for the reporting -1.3 -7.9 3.4 -16.9 -22.4
period
--------------------------------------------------------------------------------
Attributable to:
Owners of the parent -1.3 -7.9 3.4 -16.8 -22.3
Non-controlling interest 0.0 0.0 0.0 0.0 0.0
Total comprehensive income for the reporting -1.3 -7.9 3.4 -16.9 -22.4
period
--------------------------------------------------------------------------------
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
EUR million restated restated
1-9/2013 1-9/2012 1-12/2012
Cash flows from operating activities
Cash flow before change in net working capital 3.2 0.1 1.1
Change in net working capital 0.1 -1.8 -2.3
--------------------------------------------------------------------------------
Net cash flow from operating activities 3.3 -1.7 -1.1
Cash flow from investing activities
Business combinations - - -0.1
Other purchases of non-current assets -2.0 -4.4 -5.6
Proceeds from sale of business 12.4 - -
Proceeds from sale of assets held for sale 12.9 - -
Proceeds from sale of other non-current assets 0.0 0.1 0.2
--------------------------------------------------------------------------------
Net cash flow from investing activities 23.2 -4.3 -5.5
--------------------------------------------------------------------------------
Cash flow before financing 26.5 -6.0 -6.6
Cash flow from financing activities
Share issue, net 9.1 - -
Increase in non-current liabilities 14.7 0.2 0.1
Decrease in non-current liabilities -43.5 -1.5 -1.6
Changes in loan receivables (increase - / 0.1 0.0 0.1
decrease +)
Increase in short-term liabilities 34.1 7.7 11.2
Decrease in short-term liabilities -36.6 -7.3 -10.3
--------------------------------------------------------------------------------
Net cash flow from financing activities -22.0 -1.0 -0.5
--------------------------------------------------------------------------------
Effect of exchange rate changes -0.7 -0.4 -0.6
Net change in cash and cash equivalents 3.8 -7.5 -7.7
================================================================================
Cash and cash equivalents at the beginning of 10.9 18.6 18.6
period
Cash and cash equivalents at the end of period 14.7 11.2 10.9
--------------------------------------------------------------------------------
Net change in cash and cash equivalents 3.8 -7.5 -7.7
================================================================================
Cash flows include also cash flows arising from discontinued operations. 15.5
Proceeds from divestment of businesses:
EUR million
Purchase consideration received in cash
Expenses related to the sale, paid in 2013 -1.1
Cash and cash equivalents of divested subsidiaries -1.6
------------------------------------------------------------------------------
Net cash flow 12.9
------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
EUR million Share Share Other Reser Treas Fair
capital premi restr ve ury value
um . for share reserv
accou equit inves s e
nt y ted reser unres
ves t.
equit
y
--------------------------------------------
Equity at 1 January, 2012, restated 12.7 25.3 0.0 26.8 -3.3 0.0
--------------------------------------------------------------------------------
Total comprehensive income for the - - 0.0 - - -
period
Reclassification - - 0.0 - - -
Equity at 30 September, 2012, 12.7 25.3 0.0 26.8 -3.3 0.1
restated
================================================================================
EUR million Share Share Other Reser Treas Fair
capital premi restr ve ury value
um . for share reserv
accou equit inves s e
nt y ted
reser unres
ves t.
equit
y
--------------------------------------------
Equity at 1 January, 2013, restated 12.7 25.3 0.0 26.8 -3.3 0.0
--------------------------------------------------------------------------------
Total comprehensive income for the - - 0.0 - - 0.0
period
Reclassification - - 0.1 - - -
Share issue less of costs - - - 9.1 - -
Share issue paid with convertible - - - 11.4 - -
and debenture bonds
Equity at 30 September, 2013 12.7 25.3 0.1 47.3 -3.3 0.0
================================================================================
EUR million Other Retai Excha Equit Non-c Total
unrest. ned nge y ontr. equity
equity earni diff. attr. inter
reserve ngs to est
s owner
s of
the
paren
t
--------------------------------------------
Equity at 1 January, 2012, restated - -8.6 -0.3 52.6 0.3 53.0
--------------------------------------------------------------------------------
Total comprehensive income for the - -17.0 0.2 -16.8 0.0 -16.9
period
Reclassification 0.1 -0.1 - 0.0 - 0.0
Share-based incentive plan - 0.0 - 0.0 - 0.0
Share-based incentive plan, tax - 0.0 - 0.0 - 0.0
effect
Equity at 30 September, 2012, 0.1 -25.7 -0.1 35.9 0.3 36.2
restated
================================================================================
EUR million Other Retai Excha Equit Non-c Total
unrestr ned nge y ontr. equity
. earni diff. attri inter
equity ngs b.to est
reserve owner
s s of
the
paren
t
--------------------------------------------
Equity at 1 January, 2013, restated 0.1 -31.2 -0.1 30.3 0.3 30.6
--------------------------------------------------------------------------------
Total comprehensive income for the - 3.0 0.4 3.4 0.0 3.4
period
Reclassification - -0.1 - 0.0 - 0.0
Share-based incentive plan - 0.2 - 0.2 - 0.2
Share-based incentive plan, tax - 0.0 - 0.0 - 0.0
effect
Share issue less of costs - - - 9.1 - 9.1
Share issue paid with convertible - -0.4 - 11.0 - 11.0
and debenture bonds
Result effect of the conversion - -1.9 - -1.9 - -1.9
issue
----------------
Equity at 30 September, 2013 0.1 -30.4 0.3 52.1 0.3 52.4
================================================================================
During the first quarter Glaston had two share issues. A EUR 10 million share
issue was directed to the public and another share issue was directed to the
holders of the convertible bond and the debenture bond. In this conversion
issue the principals as well as accrued interest, in total EUR 11.4 million,
were used as payment for the shares. Both share issues were recognized in
reserve for invested unrestricted equity. The expenses arising from the share
issue, in total EUR 0.9 million, have been deducted from the reserve for
invested unrestricted equity.
FINANCIAL ITEMS
During the first quarter Glaston purchased back convertible bonds with a
nominal value of EUR 2 million. The price paid for the bonds was less than the
nominal value which resulted in a EUR 0.9 million financial income.
In addition, during the first quarter the remaining convertible bonds with
accrued interest as well as debenture bond with accrued interest were used as
payment in a share issue (conversion issue). As the conversion price was higher
than the fair value of the share at the time of conversion, a financial income
of EUR 1.9 million was recognized.
Neither of the financial income affected cash flow.
KEY RATIOS restated restated
30.9.2013 30.9.2012 31.12.2012
EBITDA, as % of net sales (1 8.6 0.2 -0.3
Operating result (EBIT), as % of 4.7 -8.2 -7.6
net sales
Profit / loss for the period, as % of net 3.5 -20.5 -19.4
sales
Gross capital expenditure, continuing and 2.0 4.4 5.6
discontinued operations, EUR million
Gross capital expenditure, as % 2.2 4.4 4.1
of net sales of continuing and discontinued
operations
Equity ratio, % 46.6 24.3 21.6
Gearing, % 49.8 187.8 224.0
Net gearing, % 21.7 157.0 188.4
Net interest-bearing debt, EUR million 11.4 56.8 57.7
Capital employed, end of period, EUR million 78.5 104.1 99.2
Return on equity, %, annualized 9.6 -51.1 -53.6
Return on capital employed, %, annualized 10.5 -13.1 -12.6
Return on capital employed, continuing 10.3 -7.6 -9.4
operations %,
annualized
Number of personnel, average 593 830 820
Number of personnel, continuing operations , 585 627 602
end of period
Number of personnel, discont. operations, end - 183 175
of period
Number of personnel, end of period 585 810 776
(1 EBITDA = Operating result + depreciation, amortization and impairment
(2 Assets held for sale and related liabilities are included in calculation of
the key ratio
PER SHARE DATA
restated restated
30.9.2013 30.9.2012 31.12.2012
Number of registered shares, end of period, 192,920 104,800 104,800
treasury shares excluded (1,000)
Number of shares issued, end of period, 192,920 113,241 113,241
adjusted with share issue, treasury shares
excluded (1,000)
Number of shares, average, adjusted with share 167,819 113,241 113,241
issue, treasury shares excluded (1,000)
Number of shares, dilution effect of the 171,013 120,514 120,514
convertible bond taken into account, average,
adjusted with share issue, treasury shares
excluded (1,000) ('
EPS, continuing operations , basic and 0,02 -0,10 -0,16
diluted, adjusted with share issue, EUR
EPS, Discontinued Operations, basic and 0,00 -0,05 -0,04
diluted, adjusted with share issue, EUR
EPS, total, basic and diluted, adjusted with 0,02 -0,15 -0,20
share issue, EUR
Adjusted equity attributable to owners of the 0,27 0,32 0,27
parent per share, EUR
Price per adjusted earnings per share (P/E) 22,4 -1,9 -1,3
ratio
Price per adjusted equity attributable to 1,48 0,88 0,97
owners of the parent per share
Market capitalization of registered shares, 77,2 29,3 27,2
EUR million
Share turnover, % (number of shares traded, % 15,4 13,0 16,9
of the average registered number of shares)
Number of shares traded, (1,000) 25,358 13,611 17,736
Closing price of the share, EUR 0.40 0.28 0.26
Highest quoted price, EUR 0.44 0.74 0.74
Lowest quoted price, EUR 0.22 0.24 0.23
Volume-weighted average quoted price, EUR 0.33 0.43 0.39
DEFINITIONS OF KEY RATIOS
Definitions of key ratios are presented in 2012 financial statements as well as
in January - March 2013 interim report.
ACCOUNTING PRINCIPLES
The consolidated interim financial statements of Glaston Group are prepared in
accordance with International Financial Reporting Standard IAS 34 Interim
Financial Reporting as approved by the European Union. They do not include all
of the information required for full annual financial statements.
The accounting principles applied in these interim financial statements are the
same as those applied by Glaston in its consolidated financial statements as at
and for the year ended 31 December, 2012, with the exception that some new or
revised or amended standards and interpretations have been applied from 1
January, 2013. These amended standards and interpretations are presented in
2012 financial statements as well as in January - March 2013 interim report.
RESTATEMENT OF PRIOR REPORTING PERIODS
Revised IAS 19 Employee benefits standard has been applied retrospectively. The
effects of the revised standard on consolidated statement of financial position
are presented in the table below. The effects on consolidated statement of
profit or loss were not material. The effects on Glaston's statement of profit
or loss of 2012 are presented in the table below. The restatement did not
affect the result of discontinued operations. The restatement of defined
benefit pension and other defined long-term employee benefit liabilities
affected mainly the Machines segment.
Glaston recognizes interest expenses arising from defined benefit plans in
financial items.
Restatement of statement of financial position
EUR million restated
30.9.2012 restate 30.9.2012
ment
Equity attributable to owners of the parent 36.3 -0.2 36.2
Defined benefit pension and other defined 1.0 0.2 1.2
long-term employee benefit liabilities
Deferred tax liabilities 1.4 -0.1 1.4
restated
31.12.2012 restate 31.12.2012
ment
Equity attributable to owners of the parent 30.9 -0.3 30.6
Defined benefit pension and other defined 0.9 0.4 1.4
long-term employee benefit liabilities
Deferred tax liabilities 1.5 -0.1 1.3
restated
1.1.2012 restate 1.1.2012
ment
Equity attributable to owners of the parent 53.2 -0.2 53.0
Defined benefit pension and other defined 1.1 0.2 1.3
long-term employee benefit liabilities
Deferred tax liabilities 3.6 -0.1 3.5
Restatement of statement of profit or loss
restated
1-12/2012 restatement 1-12/2012
Expenses -117.1 0.0 -117.1
------------------------------------------------------------------
Operating result -8.8 0.0 -8.8
Financial items -8.6 0.0 -8.6
Income taxes -0.8 0.0 -0.8
------------------------------------------------------------------
Result of continuing operations -18.3 0.0 -18.2
------------------------------------------------------------------
SEGMENT INFORMATION
The reportable segments of Glaston are Machines and Services. Software
Solutions segment, which has previously belonged to reportable segments is
presented as discontinued operations. Glaston follows the same commercial terms
in transactions between segments as with third parties.
The reportable segments consist of operating segments, which have been
aggregated in accordance with the criteria of IFRS 8.12. Operating segments
have been aggregated, when the nature of the products and services is similar,
the nature of the production process is similar, as well as the type or classof customers. Also the methods to distribute products or to provide services
are similar.
The reportable Machines segment consists of Glaston's operating segments
manufacturing glass processing machines and related tools. The Machines segment
includes manufacturing and sale of glass tempering, bending and laminating
machines, glass pre-processing machines as well as sale and manufacturing of
tools.
Services segment includes maintenance and service of glass processing machines
and sale of spare parts and upgrades.
The unallocated operating result consists of head office operations of the
Group.
The non-recurring items of January - September 2013, in total EUR 3.7 million
positive, consist mainly of the gain from the sale of Tampere real estate.
Other non-recurring items are adjustments made to restructuring costs initially
recognized in 2012.
The non-recurring items of January - December 2012 consist of goodwill
impairment loss (EUR 3.0 million), goodwill impairment loss arising from
measurement of disposal group classified as held for sale at fair value less
costs to sell (EUR 5.2 million, in result of discontinued operations) and
personnel and other costs arising from restructuring (EUR 2.9 million, of which
EUR 0.5 million in result of discontinued operations).
Segment assets include external trade receivables and inventory, and segment
liabilities include external trade payables and advance payments received. In
addition, segment assets and liabilities include business related prepayments
and accruals as well as other business related receivables and liabilities.
Segment assets and liabilities do not include loan receivables, prepayments and
receivables related to financial items, interest-bearing liabilities, accruals
and liabilities related to financial items, income and deferred tax assets and
liabilities nor cash and cash equivalents.
Continuing operations
Machines
EUR million 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
--------------------------------------------------------------------------------
External sales 19.0 18.4 64.5 62.0 84.7
Intersegment sales 0.0 0.0 0.0 0.0 0.0
--------------------------------------------------------------------------------
Net sales 19.1 18.4 64.5 62.0 84.7
EBIT excluding non-recurring items 0.0 -0.5 0.6 -3.1 -2.6
--------------------------------------------------------------------------------
EBIT-%, excl. non-recurring items -0.2 -2.5 1.0 -4.9 -3.1
Non-recurring items 0.0 - 0.0 -3.0 -4.7
--------------------------------------------------------------------------------
EBIT 0.0 -0.5 0.6 -6.0 -7.3
EBIT-% -0.2 -2.5 1.0 -9.7 -8.6
Net working capital 28.4 42.5 30.0
--------------------------------------------------------------------------------
Number of personnel, average 450 500 492
Number of personnel, end of period 447 481 461
--------------------------------------------------------------------------------
Services
EUR million 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
--------------------------------------------------------------------------------
External sales 7.2 6.3 21.2 21.3 30.8
Intersegment sales 0.3 0.6 1.0 1.1 1.5
--------------------------------------------------------------------------------
Net sales 7.5 6.8 22.2 22.4 32.3
EBIT excluding non-recurring items 1.2 1.2 3.6 4.0 5.9
--------------------------------------------------------------------------------
EBIT-%, excl. non-recurring items 16.5 18.1 16.2 17.6 18.3
Non-recurring items - - 0.0 - -0.1
--------------------------------------------------------------------------------
EBIT 1.2 1.2 3.6 4.0 5.8
EBIT-% 16.5 18.1 16.2 17.6 18.0
Net working capital 22.1 22.1 23.1
--------------------------------------------------------------------------------
Number of personnel, average 131 129 129
Number of personnel, end of period 127 133 130
--------------------------------------------------------------------------------
Glaston Group
Net sales
-----------------------------------
EUR million 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
--------------------------------------------------------------------------------
Machines 19.1 18.4 64.5 62.0 84.7
Services 7.5 6.8 22.2 22.4 32.3
Other and intersegment sales -0.3 -0.6 -0.4 -1.1 -1.4
Glaston Group total 26.3 24.6 86.4 83.4 115.6
--------------------------------------------------------------------------------
EBIT
EUR million 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
2013 2012 2013 2012 2012
--------------------------------------------------------------------------------
Machines 0.0 -0.5 0.6 -3.1 -2.6
Services 1.2 1.2 3.6 4.0 5.9
Other and eliminations -1.6 -1.2 -4.0 -4.8 -6.7
EBIT excluding non-recurring items -0.4 -0.4 0.3 -3.9 -3.4
--------------------------------------------------------------------------------
Non-recurring items 0.0 - 3.7 -3.0 -5.4
EBIT, continuing operations -0.4 -0.4 4.0 -6.9 -8.8
--------------------------------------------------------------------------------
Net financial items -0.9 -1.7 0.0 -5.1 -8.6
--------------------------------------------------------------------------------
Result before income taxes from -1.4 -2.1 4.0 -12.0 -17.4
continuing operations
Income taxes from continuing 0.0 0.1 -1.0 0.1 -0.8
operations
Result from continuing operations -1.3 -2.0 3.0 -11.9 -18.2
--------------------------------------------------------------------------------
Net discontinued operations 0.0 -5.8 0.0 -5.2 -4.2
Net result -1.3 -7.8 3.0 -17.1 -22.4
--------------------------------------------------------------------------------
Number of personnel, average 593 642 634
Number of personnel, end of period 585 627 602
--------------------------------------------------------------------------------
Segment assets
---------------------------------------------
EUR million 30.09.2013 30.09.2012 31.12.2012
--------------------------------------------------------------------------------
Machines 69.1 85.0 73.4
Services 27.7 28.3 29.0
Total segments 96.9 113.3 102.4
--------------------------------------------------------------------------------
Unallocated and eliminations and adjustments 5.1 4.0 2.8
Total segment assets 101.9 117.3 105.2
--------------------------------------------------------------------------------
Other assets 26.1 46.1 52.8
Total assets 128.0 163.4 158.0
--------------------------------------------------------------------------------
Segment liabilities
---------------------------------------------
EUR million 30.09.2013 30.09.2012 31.12.2012
--------------------------------------------------------------------------------
Machines 40.7 42.5 43.4
Services 5.7 6.2 6.0
Total segments 46.4 48.8 49.4
--------------------------------------------------------------------------------
Unallocated and eliminations and adjustments 1.9 1.6 2.3
Total segment liabilities 48.3 50.4 51.7
--------------------------------------------------------------------------------
Other liabilities 27.3 76.9 75.6
Total liabilities 75.7 127.3 127.4
--------------------------------------------------------------------------------
Net working capital
---------------------------------------------
EUR million 30.09.2013 30.09.2012 31.12.2012
--------------------------------------------------------------------------------
Machines 28.4 42.5 30.0
Services 22.1 22.1 23.1
Total segments 50.5 64.5 53.0
--------------------------------------------------------------------------------
Unallocated and eliminations and adjustments 3.1 2.4 0.5
Total Glaston Group 53.6 66.9 53.5
--------------------------------------------------------------------------------
Order intake (continuing operations)
EUR million 1-9/2013 1-9/2012 1-12/2012
-------------------------------------------------------------------
Machines 68.3 60.9 86.3
Services 21.7 23.9 31.8
Total Glaston Group 90.0 84.8 118.1
-------------------------------------------------------------------
Net sales by geographical areas (continuing operations)
EUR million 1-9/2013 1-9/2012 1-12/2012
-------------------------------------------------------------------
EMEA 34.0 35.8 48.2
Asia 20.4 19.5 25.4
America 31.9 28.1 42.0
Total 86.4 83.4 115.6
-------------------------------------------------------------------
QUARTERLY NET SALES, OPERATING RESULT, ORDER INTAKE AND ORDER BOOK
Continuing operations
Machines
EUR million 7-9/ 4-6/ 1-3/ 10-12/ 7-9/ 4-6/ 1-3/
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
External sales 19.0 26.4 19.1 22.7 18.4 21.7 21.9
Intersegment sales 0.0 0.0 0.0 0.0 0.0 0.0 0.0
--------------------------------------------------------------------------------
Net sales 19.1 26.4 19.1 22.7 18.4 21.7 21.9
EBIT excluding 0.0 1.0 -0.4 0.5 -0.5 -1.7 -0.9
non-recurring items
--------------------------------------------------------------------------------
EBIT-%, excl. -0.2 4.0 -1.9 2.1 -2.5 -7.8 -4.1
non-recurring items
Non-recurring items 0.0 0.0 0.0 -1.8 - - -3.0
-----------------------
EBIT 0.0 1.1 -0.4 -1.3 -0.5 -1.7 -3.9
--------------------------------------------------------------------------------
EBIT-% -0.2 4.0 -2.0 -5.7 -2.5 -7.8 -17.7
--------------------------------------------------------------------------------
Services
EUR million 7-9/ 4-6/ 1-3/ 10-12/ 7-9/ 4-6/ 1-3/
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
External sales 7.2 6.7 7.2 9.5 6.3 6.7 8.3
Intersegment sales 0.3 0.3 0.5 0.3 0.6 0.3 0.2
--------------------------------------------------------------------------------
Net sales 7.5 7.0 7.7 9.9 6.8 7.0 8.5
EBIT excluding 1.2 1.2 1.2 2.0 1.2 1.0 1.7
non-recurring items
--------------------------------------------------------------------------------
EBIT-%, excl. 16.5 16.7 15.6 19.9 18.1 13.7 20.5
non-recurring items
Non-recurring items - - 0.0 -0.1 - - -
-----------------------
EBIT 1.2 1.2 1.2 1.9 1.2 1.0 1.7
--------------------------------------------------------------------------------
EBIT-% 16.5 16.7 15.6 18.8 18.1 13.7 20.5
--------------------------------------------------------------------------------
Net sales
EUR million 7-9/ 4-6/ 1-3/ 10-12/ 7-9/ 4-6/ 1-3/
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
Machines 19.1 26.4 19.1 22.7 18.4 21.7 21.9
Services 7.5 7.0 7.7 9.9 6.8 7.0 8.5
Other and intersegment -0.3 0.3 -0.4 -0.3 -0.6 -0.3 -0.2
sales
Glaston Group total 26.3 33.7 26.4 32.3 24.6 28.5 30.2
--------------------------------------------------------------------------------
EBIT
EUR million 7-9/ 4-6/ 1-3/ 10-12/ 7-9/ 4-6/ 1-3/
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
Machines 0.0 1.0 -0.4 0.5 -0.5 -1.7 -0.9
Services 1.2 1.2 1.2 2.0 1.2 1.0 1.7
Other and eliminations -1.6 -1.2 -1.2 -1.9 -1.2 -2.0 -1.6
EBIT excluding -0.4 1.1 -0.4 0.5 -0.4 -2.7 -0.7
non-recurring items
--------------------------------------------------------------------------------
Non-recurring items 0.0 0.0 3.7 -2.4 - - -3.0
---------------------------------------------------------
EBIT -0.4 1.1 3.4 -1.9 -0.4 -2.7 -3.7
--------------------------------------------------------------------------------
Order book (continuing operations)
------------------------------------
EUR million 30.9. 30.6. 31.3. 31.12. 30.9. 30.6. 31.3.
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
Machines 40.0 32.2 37.8 33.1 31.3 30.8 34.2
Services 2.0 1.6 1.6 1.1 4.0 3.3 1.1
Total Glaston Group 42.0 33.8 39.4 34.2 35.3 34.1 35.2
--------------------------------------------------------------------------------
Order intake (continuing operations)
EUR million 7-9/ 4-6/ 1-3/ 10-12/ 7-9/ 4-6/ 1-3/
2013 2013 2013 2012 2012 2012 2012
--------------------------------------------------------------------------------
Machines 26.7 20.3 21.4 25.5 21.1 19.1 20.7
Services 7.6 6.7 7.5 7.9 7.3 9.1 7.6
Total Glaston Group 34.2 26.9 28.8 33.3 28.4 28.2 28.3
--------------------------------------------------------------------------------
Discontinued Operations and Assets and Liabilities of Disposal Group Classified
as Held for Sale
Glaston announced in October 2012 that it was negotiating of sale of Software
Solutions business area. Glaston published in November 2012 that it has signed
a binding contract of the sale of the business area. The closing of the sale
took place on 4 February, 2013. The result of Software Solutions business area
as well as the result from the sale transaction is presented as profit / loss
for the period from continuing operations.
Revenue, expenses and result of discontinued operations
EUR million 1-9/20 1-9/20 1-12/20
13 12 12
Revenue 1.8 14.9 21.0
Expenses -1.2 -14.4 -19.2
--------------------------------------------------------------------------------
Gross profit 0.5 0.5 1.7
Finance costs, net 0.0 0.0 0.0
Impairment loss recognized on the remeasurement to fair - -5.2 -5.2
value less cost to sell
--------------------------------------------------------------------------------
Profit / loss before tax from discontinued operations 0.5 -4.6 -3.5
Current income tax -0.1 -0.5 -0.7
Income tax related to measurement to fair value less - - -
costs to sell
Loss from disposal of discontinued operations -0.4 - -
Profit / loss from discontinued operations 0.0 -5.2 -4.2
--------------------------------------------------------------------------------
Profit / loss from discontinued operations in 2012 include EUR 5.2 million
goodwill impairment loss. The goodwill impairment loss arises from measurement
of net assets held for sale to fair value less costs to sell.
Assets and liabilities of disposal group classified as held for sale
Assets and liabilities of disposal groups at 31, December 2012 included, in
addition to assets and liabilities related to discontinued operations, also the
real estate in Tampere, Finland, which Glaston had classified as non-current
asset held for sale. The sale and leaseback transaction took place at the end
of March 2013. The lease agreement arising from the transaction will be an
operating lease.
30.9.2013 30.9.2012 31.12.2012
Assets
Goodwill - - 7.6
Other intangible assets - - 7.3
Tangible assets - - 9.6
Investments in associates - - 0.1
Available-for-sale assets - - 0.0
Deferred tax asset - - 0.0
Inventories - - 0.0
Assets for current tax - - 0.0
Trade and other receivables - - 5.0
Cash equivalents - - 0.3
Assets classified as held for sale - - 29.8
--------------------------------------------------------------------------------
Liabilites
Deferred tax liability - - 1.8
Non-current interest-free liabilities and - - 0.1
provisions
Current provisions - - 0.4
Current interest-bearing liabilities - - 0.0
Trade and other payables - - 2.1
Liabilities for current tax - - 0.2
Liabilities related to assets held for sale - - 4.7
--------------------------------------------------------------------------------
Net cash flows of discontinued operations
EUR million
1-9/2013 1-9/2012 1-12/2012
Operating 1.0 3.0 2.8
Investing -0.3 -2.4 -3.1
Financing 0.0 0.0 0.0
Net cash flow 0.7 0.6 -0.3
--------------------------------------------
CONTINGENT LIABILITIES
EUR million 30.9.2013 30.9.2012 31.12.2012
Mortgages and pledges
On own behalf 294.1 488.0 470.8
On behalf of others 0.1 0.1 0.1
Guarantees
On own behalf 4.1 0.2 0.4
On behalf of others 0.0 0.0 0.0
Lease obligations 18.8 7.6 7.2
Other obligation on own behalf - 0.6 0.5
Mortgages and pledges include EUR 89.4 million shares in group companies and
EUR 37.9 million receivables from group companies.
Glaston Group has international operations and can be a defendant or plaintiff
in a number of legal proceedings incidental to those operations. The Group does
not expect the outcome of any unmentioned legal proceedings currently pending,
either individually or in the aggregate, to have material adverse effect upon
the Group's consolidated financial position or results of operations.
DERIVATIVE INSTRUMENTS
EUR million 30.9.2013 30.9.2012 31.12.2012
Nominal Fair Nominal Fair Nominal Fair
value value value value value value
Commodity
derivatives
Electricity 0.5 0.0 0.2 0.0 0.3 0.0
forwards
Derivative instruments are used only for hedging purposes. Nominal values of
derivative instruments do not necessarily correspond with the actual cash flows
between the counterparties and do not therefore give a fair view of the risk
position of the Group. The fair values are based on market valuation on the
date of reporting. PROPERTY, PLANT AND EQUIPMENT
EUR million
Changes in property, plant and equipment 1-9/2013 1-9/2012 1-12/2012
Carrying amount at beginning of the period 7.3 18.7 18.7
--------------------------------------------------------------------------------
Additions 0.9 0.3 0.6
Disposals 0.0 0.0 -0.1
Depreciation -1.0 -1.8 -2.2
Impairment losses and reversals of impairment 0.0 - -
losses
Reclassification and other changes -0.7 - 0.0
Transfer to / from assets held for sale 0.7 -0.2 -9.7
Exchange differences -0.1 0.0 -0.1
Carrying amount at end of the period 7.1 16.9 7.3
--------------------------------------------------------------------------------
At the end of September 2013 or 2012 Glaston did not have of contractual
commitments for the acquisition of property, plant and equipment.
Changes in intangible assets 1-9/2013 1-9/2012 1-12/2012
Carrying amount at beginning of the period 47.6 70.8 70.8
--------------------------------------------------------------------------------
Additions 0.8 4.1 5.0
Disposals 0.0 - 0.0
Depreciation -2.5 -4.2 -3.2
Impairment losses and reversals of impairment 0.0 -8.2 -8.2
losses
Reclassification and other changes - - 0.0
Transfer to / from assets held for sale - -14.2 -16.7
Exchange differences 0.0 0.0 0.0
Carrying amount at end of the period 45.9 48.2 47.6
--------------------------------------------------------------------------------
SHAREHOLDER INFORMATION
20 largest shareholders 30 September, 2013
Shareholder Number of % of shares and shares votes
1 Etera Mutual Pension Insurance Company 27,124,277 14.00
2 Oy G.W.Sohlberg Ab 20,166,100 10.41
3 Varma Mutual Pension Insurance Company 17,331,643 8.95
4 Suomen Teollisuussijoitus Oy 16,601,371 8.57
5 Hymy Lahtinen Oy 10,079,968 5.20
6 Yleisradio Pension Foundation 9,370,021 4.84
7 Gws Trade Oy 6,100,000 3.15
8 Päivikki and Sakari Sohlberg Foundation 4,815,600 2.49
9 Investsum Oy 3,480,000 1.80
10 Sumelius Bjarne Henning 2,406,504 1.24
11 Sijoitusrahasto Danske Invest Suomen 2,244,114 1.16
Pienyhtiöt
12 Sijoitusrahasto Säästöpankki Pienyhtiöt 2,107,860 1.09
13 Sumelius-Fogelholm Birgitta Christina 1,994,734 1.03
14 Vakuutusosakeyhtiö Henki-Fennia 1,735,381 0.90
15 Von Christierson Charlie 1,600,000 0.83
16 Metsänen Arto Juhani 1,500,000 0.77
17 Oy Cacava Ab 1,500,000 0.77
18 Oy Nissala Ab 1,500,000 0.77
19 Sumelius Bertil Christer 1,398,533 0.72
20 Sumelius-Koljonen Barbro 1,350,238 0.70
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
20 largest shareholders total 134,406,344 69.39
Nominee registered shareholders 868,526 0.45
Other shares 58,433,466 30.17
--------------------------------------------------------------------------------
Total 193,708,336 100.00
--------------------------------------------------------------------------------
RELATED PARTY TRANSACTIONS
Glaston Group's related parties include the parent and subsidiaries. Related
parties also
include the members of the Board of Directors and the Group's Executive
Management Group,
the CEO and their family members. Also the shareholders, which have significant
influence in Glaston through shareholding, are consider to be related parties,
as well as the companies controlled by these shareholders. Glaston follows the
same commercial terms in transactions with related parties as with third
parties. Glaston had rented premises from companies owned by individuals
belonging to the management. The rents paid correspond with the local level of
rents. The related party connection ceased at 30 November, 2012. The lease
payments were in January - September 2012 EUR 0.4 million. During the review
period there were no related party transactions whose terms would differ from
the terms in transactions with third parties. Share-based payment plan The
Board of Directors of Glaston Corporation approved on 7 February 2013, a new
share-based incentive plan for the Group key employees. This share-based
incentive plan has been described in more detail in January - March 2013
interim report.
FINANCIAL INSTRUMENTS AT FAIR VALUE
Financial instruments at fair value include derivatives. Other financial
instruments at fair value through profit or loss can include mainly Glaston's
current investments, which are classified as held for trading, i.e. which have
been acquired or incurred principally for the purpose of selling them in the
near future. Also available-for-sale financial assets are measured at fair
value. Fair values of publicly traded derivatives are calculated based on
quoted market rates at the end of the reporting period (fair value hierarchy,
level 1). All Glaston's derivatives are publicly traded. Listed investments are
measured at the market price at the end of the reporting period (fair value
hierarchy, level 2). Investments, for which fair values cannot be measured
reliably, such as unlisted equities, are reported at cost or at cost less
impairment (fair value hierarchy, level 3). Fair value measurement hierarchy:
Level 1 = quoted prices in active markets
Level 2 = other than quoted prices included within Level 1 that are observable
either directly or indirectly
Level 3 = not based on observable market data, fair value equals cost or cost
less impairment
During the reporting period there were no transfers between levels 1 and 2 of
the fair value hierarchy.
During the reporting period there were no changes in the valuation techniques of
levels 2 or 3 of the fair value hierarchy.
Fair value hierarchy, level 3, changes during the reporting period
EUR million 2013 2012
1 January 0.2 0.2
--------------------------------------------------------------------------------
Impairment - -
Transfers - -
30 September 0.2 0.2
--------------------------------------------------------------------------------
Financial instruments measured at fair value and included in level 3 of fair
value hierarchy had no effect on the profit or loss of the reporting period or
on other comprehensive income. These financial instruments are not measured at
fair value on recurring basis
Fair value hierarchy, fair values
EUR million
30.9.2013 30.9.2012 31.12.2012
Available-for-sale shares
Level 1 0.1 0.1 0.1
Level 3 0.2 0.2 0.2
0.3 0.3 0.3
Derivatives
Level 2 0.0 0.0 0.0
© 2023 Nasdaq, Inc. All Rights Reserved |