Tecnotree Oyj - Interim report (Q1 and Q3)

Tecnotree Corporation Interim Review 1 January – 31 March 2014 (unaudited)

Tecnotree Corporation
Interim Review
29th April, 2014 at 8.30 am EEST

Tecnotree is a global supplier of telecom IT solutions, providing products and
services for charging, billing, customer care, and messaging and content
services. The company's product portfolio comprises virtually the full range of
business management systems for telecom operators, with standard solutions for
fixed networks, mobile services and broad band and for managing subscriptions,
services and cash flows for prepaid and post-paid customers. Tecnotree has a
strong footing especially in developing markets. 

First quarter with normal seasonal fluctuations

First quarter

  -- First quarter net sales were EUR 14.4 (13.9) million. 
  -- The adjusted operating result was EUR -1.8 (-4.0) million, operating result
     EUR ‑1.8 (-4.6) million and the result for the period was EUR -4.8 (-5.5)
     million.
  -- The order book at the end of the period stood at EUR 49.1 (31 December
     2013: 45.0) million.
  -- First quarter cash flow after investments was EUR -3.2 (1.7) million and
     cash and cash equivalents at the end of the period were EUR 2.9 (31
     December 2013: 6.6) million.
  -- Earnings per share were EUR -0.04 (-0.04).



KEY FIGURES                                 1-3/   1-3/  1-12/
                                            2014   2013   2013
Net sales, MEUR                             14.4   13.9   73.9
Adjusted operating result, MEUR 1           -1.8   -4.0    3.3
Operating result, MEUR                      -1.8   -4.6    1.6
Result before taxes, MEUR                   -3.7   -5.6    4.1
Result for the period                       -4.8   -5.5   -2.5
Earnings per share, basic, EUR             -0.04  -0.04  -0.02
Order book, MEUR                            49.1   55.3   45.0
Cash flow after investments, MEUR           -3.2    1.7   -4.6
Change in cash and cash equivalents, MEUR   -3.7   -1.0   -3.8
Cash and cash equivalents, MEUR              2.9   10.5    6.6
Equity ratio % 2                            26.1   39.2   30.3
Net gearing % 2                            154.5   49.3  113.4
Personnel at end of period                 1,042  1,073  1,059


1 Adjusted operating result = operating result before R & D capitalisation,
amortisation of this and one-time costs.“Result analysis” is presented in the
interim review. 
2 This key figure has been corrected for the period 1-3/2013, see note 4 in the
table section in the interim review. 

Unless otherwise stated, all figures presented below are for the reviewed
period 1-3/2014 and the figures for comparison are for the corresponding period
1-3/2013. 

CEO Ilkka Raskinen:
”This was now the fourth quarter in succession when we improved our operating
profit from the corresponding period in the previous year. Demand for our new
products has remained strong, and the order book in the MEA area grew strongly
to EUR 22.4 million compared to EUR 14.4 million in the previous year. The
major projects in Latin America are progressing on schedule, and new business
in this region is increasingly becoming product and service business. Cash flow
management is still a priority for the year.” 

Events after the end of period
No significant events have occurred after the end of the period.

Prospects in 2014
Tecnotree estimates that its net sales and operating result will improve from
2013. 
Variations in the quarterly figures will be considerable.

Financial information
Tecnotree is holding a conference for analysts, investors and the media to
announce its first quarter  results on 29th April 2014 at 10.00 am in the
Tapiola conference room at the Scandic Hotel Simonkenttä, Simonkatu 9,
Helsinki. The interim review  will be presented by CEO Ilkka Raiskinen and the
conference will be held in Finnish. The material to be presented at the press
conference will be available at www.tecnotree.com. 

TECNOTREE CORPORATION

Board of Directors

FURTHER INFORMATION
Ilkka Raiskinen, CEO, tel. +358 (0)45 311 3113
Tuomas Wegelius, CFO, tel. +358 400 433 228

DISTRIBUTION
NASDAQ OMX Helsinki Ltd.
Main media
www.tecnotree.com

About Tecnotree
Tecnotree is a global provider of telecom IT solutions for the management of
products, customers and revenue. Tecnotree helps communications service
providers to transform their business towards a marketplace of digital
services. Tecnotree empowers service providers to monetise on service bundles,
provide personalised user experiences and augment value throughout the customer
lifecycle. With over 1100 telecom experts, Tecnotree serves more than 100
service providers in over 70 countries. Tecnotree is listed on the main list of
NASDAQ OMX Helsinki with the trading code TEM1V. For more information on
Tecnotree, please visit www.tecnotree.com

Attachments:

Tecnotree Interim Review Q1 2014.pdf

Tecnotree Interim Review Q1 2014 presentation.pdf