|
|||
2010-02-18 08:30:00 CET 2010-02-18 08:30:03 CET REGULATED INFORMATION QPR Software - Financial Statement ReleaseQPR SOFTWARE PLC'S NET SALES IN 2009 EUR 6.6 MILLION, OPERATING PROFIT 10.6% OF NET SALESQPR SOFTWARE PLC STOCK EXCHANGE RELEASE 18 FEBRUARY 2010 9.30 A.M. FINANCIAL STATEMENTS 1 JANUARY - 31 DECEMBER, 2009 QPR SOFTWARE PLC'S NET SALES IN 2009 EUR 6.6 MILLION, OPERATING PROFIT 10.6% OF NET SALES QPR SOFTWARE PLC'S NET SALES IN OCTOBER-DECEMBER 2009 EUR 1.8 MILLION, OPERATING PROFIT 12.2% OF NET SALES January-December 2009: - Net sales EUR 6,618 thousand (1-12/2008: 7,512) - Operating profit EUR 705 thousand (893) - Operating profit 10.6% of net sales (11.9) - Earnings per share EUR 0.04 (0.07) October-December 2009: - Net sales EUR 1,801 thousand (10-12/2008: 2,058) - Operating profit EUR 218 thousand (415) - Operating profit 12.2% of net sales (20.2) - Earnings per share EUR 0.01 (0.04) Financial year 2009 was two-folded to QPR Software. Net sales and operating profit from the Finnish market grew year-on-year, but the volume of international channel sales was significantly smaller, especially in the first half of the year. Software Sales Finland´s net sales in 2009 increased 9.5 % and operating profit 17.6%. International software sales started to recover in the third and the fourth quarter, but still remained on a lower level than in the previous year. The Company introduced, as an alternative for software license sales, a pricing model based on subscription fees in the second half of the year. This has led to an increase in the number of new customers. However, net sales and profit from the subscription sales accumulate slower than from the license sales. In financial accounts, QPR has included net sales from subscription sales in maintenance net sales. The last quarter was the best quarter of 2009 in net sales, and the operating margin rose to 12.2%. The full year net sales and operating profit, however, remained lower than in previous year. This was mainly attributable to the smaller average size of license deals and to the partial transfer to subscription sales. QPR Software estimates the Group´s net sales and operating profit to grow in 2010 compared to the previous year (net sales in 2009: EUR 6,618 thousand; operating profit: EUR 705 thousand). The Board of Directors proposes to the Shareholders' Meeting on 18 March 2010 that the company would pay dividend for the financial year January 1 - December 31, 2009, EUR 0.02 per share. The dividend shall be paid to a shareholder that has been entered into the company's shareholders' register on the record date of the dividend payment on 23 March 2010. The Board of Directors proposes to the Shareholders´ Meeting that the dividend shall be paid on 6 April, 2010. In addition, The Board of Directors proposes to the Shareholders' Meeting that the company would distribute funds to the shareholders from the invested non-restricted equity fund EUR 0.01 per share. The funds shall be paid to a shareholder that has been entered into the company's shareholders' register on the record date of payment on 23 March 2010. The Board of Directors proposes to the Shareholders' Meeting that the payment shall be made on the same day as the proposed dividend shall be paid, on 6 April, 2010. KEY FIGURES -------------------------------------------------------------------------------- | (EUR 1,000) | 10-12/ | 10-12/ | Change- | 1-12/ | 1-12/ | Change- | | | 2009 | 2008 | % | 2009 | 2008 | % | -------------------------------------------------------------------------------- | Net sales | 1,801 | 2,058 | -12.5 | 6,618 | 7,512 | -11.9 | -------------------------------------------------------------------------------- | Operating profit | 218 | 415 | -47.4 | 705 | 893 | -21.1 | -------------------------------------------------------------------------------- | % of net sales | 12.2 | 20.2 | | 10.6 | 11.9 | | -------------------------------------------------------------------------------- | Profit before | 191 | 434 | -56.0 | 668 | 927 | -27.9 | | tax | | | | | | | -------------------------------------------------------------------------------- | Profit for the | 134 | 543 | -75.3 | 517 | 928 | -44.3 | | period | | | | | | | -------------------------------------------------------------------------------- | % of net sales | 7.4 | 26.4 | | 7.8 | 12.4 | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per | | | | 0.04 | 0.08 | | | share, EUR | | | | | | | -------------------------------------------------------------------------------- | EPS (diluted), | | | | 0.04 | 0.07 | | | EUR | | | | | | | -------------------------------------------------------------------------------- | Equity per | | | | 0.21 | 0.22 | | | share,EUR | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow from | | | | 953 | 1,518 | | | operating | | | | | | | | activities | | | | | | | -------------------------------------------------------------------------------- | Cash and cash | | | 1,929 | 1,716 | | | equivalents | | | | | | -------------------------------------------------------------------------------- | Net liabilities | | | | -831 | -1,534 | | -------------------------------------------------------------------------------- | Gearing, % | | | | -32.3 | -56.1 | | -------------------------------------------------------------------------------- | Equity ratio, % | | | | 42.5 | 52.9 | | -------------------------------------------------------------------------------- | Return on | | | | 19.5 | 37.1 | | | equity, % | | | | | | | -------------------------------------------------------------------------------- | Return on | | | | 21.4 | 33.6 | | | investment, % | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- REPORTING This report complies with accounting and valuation principles of IFRS, but in preparations not all the requirements of IAS 34-standard have been considered. The accounting and valuation principles are the same as they were in 2008 financial statements. This report is not audited. QPR Software´s business consists of software sales, software maintenance sales and professional services. The geographical segments used by the Company are Domestic (Finland) and International markets. As of January 1, 2009 QPR Software Plc has three business segments: Software Sales International (software license and maintenance sales outside of Finland), Software Sales Finland (software license and maintenance sales in Finland) and Service and Solutions (global professional service sales). The company has re-defined reporting principles, and does not anymore monitor minor inter-segment net sales or report it. The company has also revised accordingly the 2008 segment information. OCTOBER-DECEMBER 2009 COMPARED TO OCTOBER-DECEMBER 2008 THE GROUP Group net sales by geography, (EUR 1,000): -------------------------------------------------------------------------------- | | 10-12/ | Share- % | 10-12/ | Share- % | Change- % | | | 2009 | | 2008 | | | -------------------------------------------------------------------------------- | Domestic | 680 | 37.8 | 821 | 39.9 | -17.2 | -------------------------------------------------------------------------------- | International | 1,121 | 62.2 | 1,237 | 60.1 | -9.4 | -------------------------------------------------------------------------------- | Total | 1,801 | 100.0 | 2,058 | 100.0 | -12.5 | -------------------------------------------------------------------------------- QPR Software Group´s net sales in the fourth quarter of 2009 were EUR 1,801 thousand (2,058). The decline in Domestic net sales was mainly due to lower average deal size in software license sales and partial transfer to subscription based license sales. International software license sales picked up in the fourth quarter compared to the previous three quarters, but still remained somewhat lower than in the previous year. The Company has this year offered, as an alternative for software license sales, a pricing model based on subscription fees. QPR Software believes that the subscription pricing model based on an annual fee will increase software sales in the long term by lowering the threshold for buying and by reducing the size of the one-time investment needed. The new pricing model has been well received in the markets. The share of subscription sales of QPR´s net sales are expected to remain, however, relatively small in the short term future. Group net sales divided into software licenses, maintenance services and professional services as follows, (EUR 1,000): -------------------------------------------------------------------------------- | | 10-12/ | Share- % | 10-12/ | Share- % | Change- % | | | 2009 | | 2008 | | | -------------------------------------------------------------------------------- | Software licenses | 742 | 41.2 | 1,059 | 51.5 | -29.9 | -------------------------------------------------------------------------------- | Maintenance | 816 | 45.3 | 739 | 35.9 | 10.4 | | services | | | | | | -------------------------------------------------------------------------------- | Professional | 243 | 13.5 | 260 | 12.6 | -6.5 | | services | | | | | | -------------------------------------------------------------------------------- | Total | 1,801 | 100,0 | 2,058 | 100.0 | -12.5 | -------------------------------------------------------------------------------- The Group´s software license net sales decreased to EUR 742 thousand compared to previous year (1,059). The decrease was mainly attributable to current stringent economic situation and the Company´s initiative to offer subscription based pricing model as an alternative to software license sales. Maintenance services net sales rose to EUR 816 thousand (739). The increase was attributable to the maintenance customers' good customer loyalty and including subscription based software sales in maintenance net sales. The migration of maintenance customers to the new QPR 8.1 software version, launched October 2009, started and continued swiftly during the whole quarter. Migration to 8.1 version was started even faster than one year earlier to 8.0 version. Due to lower net sales operating profit from the quarter decreased to EUR 218 thousand (415). Operating profit was 12.2% (20.2). Depreciation grew to EUR 131 thousand (93), which was partly due to amortization of the purchase price of the business acquired from Mawell Ltd. Net profit after tax in October-December was EUR 134 thousand (543), which corresponded to 7.4% of net sales (26.4) In the Group´s balance sheet as of December 31, 2009, the remaining amount of deferred tax is EUR 413 thousand (539). The (diluted) earnings per share were EUR 0.04 (0.07). BUSINESS SEGMENTS Group net sales by business segments, (EUR 1,000): -------------------------------------------------------------------------------- | | 10-12/ | Share- | 10-12/ | Share- | Change- | | | 2009 | % | 2008 | % | % | -------------------------------------------------------------------------------- | Software Sales | 1,064 | 59.1 | 1,210 | 58.8 | -12.1 | | International | | | | | | -------------------------------------------------------------------------------- | Software Sales Finland | 495 | 27.5 | 589 | 28.6 | -16.0 | -------------------------------------------------------------------------------- | Service and Solutions | 242 | 13.4 | 259 | 12.6 | -6.6 | -------------------------------------------------------------------------------- | Total | 1,801 | 100.0 | 2,058 | 100.0 | -12.5 | -------------------------------------------------------------------------------- Group operating profit by business segments, (EUR 1,000): -------------------------------------------------------------------------------- | | 10-12/ | Share- | 10-12/ | Share- | Change- | | | 2009 | % | 2008 | % | % | -------------------------------------------------------------------------------- | Software Sales | 249 | 114.2 | 240 | 57.8 | 3.8 | | International | | | | | | -------------------------------------------------------------------------------- | Software Sales Finland | 143 | 65.6 | 235 | 56.6 | -39.1 | -------------------------------------------------------------------------------- | Service and Solutions | -46 | -21.1 | 46 | 11.1 | 200.0 | -------------------------------------------------------------------------------- | Not allocated | -128 | -58.7 | -106 | -25.5 | -20.8 | -------------------------------------------------------------------------------- | Total | 218 | 100.0 | 415 | 100.0 | -47.4 | -------------------------------------------------------------------------------- Software Sales International Software Sales International business segment´s net sales in October-December 2009 was EUR 1,064 thousand (1,210). Thanks to improved efficiency operating profit increased to EUR 249 thousand (240). The largest export markets by net sales were Russian Federation, United Arab Emirates, South Africa, Belgium, Brazil, United Kingdom, Japan and Poland. Software Sales Finland Software Sales Finland business segment´s net sales in October-December was EUR 495 thousand (589) and operating profit EUR 143 thousand (235). The decrease in segment's net sales and operating profit was mainly due to significant share of subscription sales in the segment´s new sales. In Finland QPR delivered software, among others, to Elematic Oy Ab, Lindorff Oy, Pulssi Medical Center, Oy Metsä-Botnia Ab, Onninen Ltd, Pretax Group, Teollisuuden Voima Plc and to Etelä-Pohjanmaa health care district and to the National Audit Office of Finland. Service and Solutions Service and Solutions business segment´s net sales decreased in the stringent competition to EUR 242 thousand (259). Operating loss was EUR 46 thousand (operating profit, 46). Net sales in the review period were mainly derived from Finland. In its professional services offering QPR focuses especially on business process consulting, in which QPR´s experts have significant experience across the industries. YEAR 2009 COMPARED TO YEAR 2008 THE GROUP QPR Software Group´s net sales in January-December 2009 were EUR 6,618 thousand (7,512). International software sales was negatively impacted by longer software purchase processes among customers and smaller average deal sizes than in the previous year. However, international software sales picked up in the second half of the year compared to early 2009. In 2009 international net sales amounted to EUR 3,835 thousand (4,478). In Finland net sales grew to EUR 2,783 thousand (2,634). Growth was accelerated by the expansion of QPR's software and professional services sales to health care sector in the beginning of year 2009. Group net sales by geography, (EUR 1,000): -------------------------------------------------------------------------------- | | 10-12/ | Share- % | 1-12/ | Share- % | Change- % | | | 2009 | | 2008 | | | -------------------------------------------------------------------------------- | Domestic | 2,783 | 42.1 | 2,634 | 35.1 | 5.7 | -------------------------------------------------------------------------------- | International | 3,835 | 57.9 | 4,878 | 64.9 | -21.4 | -------------------------------------------------------------------------------- | Total | 6,618 | 100.0 | 7,512 | 100.0 | -11.9 | -------------------------------------------------------------------------------- Group net sales divided into software licenses, maintenance services and professional services as follows, (EUR 1,000) -------------------------------------------------------------------------------- | | 1-12/ | Share- % | 1-12/ | Share- % | Change- % | | | 2009 | | 2008 | | | -------------------------------------------------------------------------------- | Software licenses | 2,394 | 36.2 | 3,619 | 48.2 | -33.8 | -------------------------------------------------------------------------------- | Maintenance | 3,338 | 50.4 | 2,958 | 39.4 | 12.8 | | services | | | | | | -------------------------------------------------------------------------------- | Professional | 886 | 13.4 | 935 | 12.4 | -5.2 | | services | | | | | | -------------------------------------------------------------------------------- | Total | 6,618 | 100.0 | 7,512 | 100.0 | -11.9 | -------------------------------------------------------------------------------- Maintenance service sales increased to EUR 3,338 thousand (2,958). The migration of maintenance customers to the new QPR 8.0 software version, launched at the end of 2008, continued swiftly throughout the year. Migration to the QPR 8.1 version published in October 2009 started even faster than migration to 8.0 version a year ago. EUR 226 thousand maintenance sales increase was due to business acquired from Mawell Ltd. The transfer of customer contracts was finalized during the second quarter. Professional services net sales was EUR 886 thousand (935). Its share of Group's net sales increased slightly and was 13.4 percent (12.4). Operating profit in January-December was EUR 705 thousand (893). Operating margin was 10.6% (11.9). Depreciation grew to EUR 466 thousand (301), which was partly due to amortization of the purchase price of the business acquired from Mawell Ltd. Cash flow from operating activities was positive EUR 953 thousand (1,518). Net profit after tax in January-December was EUR 517 thousand (928), which corresponded to 7.8% of net sales (12.4). Earnings per share (diluted) were EUR 0.04 (0.07). BUSINESS SEGMENTS Group net sales by primary business segments, (EUR 1,000): -------------------------------------------------------------------------------- | | 1-12/ | Share- | 1-12/ | Share- % | Change- | | | 2009 | % | 2008 | | % | -------------------------------------------------------------------------------- | Software Sales | 3,728 | 56.3 | 4,746 | 63.2 | -21.4 | | International | | | | | | -------------------------------------------------------------------------------- | Software Sales Finland | 2,042 | 30.9 | 1,864 | 24.8 | 9.5 | -------------------------------------------------------------------------------- | Service and Solutions | 848 | 12.8 | 902 | 12.0 | -6.0 | -------------------------------------------------------------------------------- | Total | 6,618 | 100.0 | 7,512 | 100.0 | -11.9 | -------------------------------------------------------------------------------- Group operating profit by business segments, (EUR 1,000): -------------------------------------------------------------------------------- | | 1-12/ | Share- | 1-12/ | Share- | Change- | | | 2009 | % | 2008 | % | % | -------------------------------------------------------------------------------- | Software Sales | 503 | 71.4 | 698 | 78.2 | -27.9 | | International | | | | | | -------------------------------------------------------------------------------- | Software Sales Finland | 668 | 94.9 | 568 | 63.6 | 17.6 | -------------------------------------------------------------------------------- | Service and Solutions | -67 | -9.5 | 76 | 8.5 | -188.2 | -------------------------------------------------------------------------------- | Not allocated | -400 | -56.8 | -449 | -50.3 | 10.9 | -------------------------------------------------------------------------------- | Total | 705 | 100.0 | 893 | 100.0 | -21.1 | -------------------------------------------------------------------------------- Software Sales International Software Sales International business segment´s net sales decreased in January-December to EUR 3,728 thousand (4,746), due to lower software license sales. For the same reason, the segment´s operating profit decreased to EUR 503 thousand (698). The Company delivered software to 70 countries during the period (50). The largest export countries by net sales were Russian Federation, South Africa, Sweden, Belgium, United Arab Emirates, Japan, United Kingdom, USA, Mexico and Turkey. Software Sales Finland Software Sales Finland business segment´s net sales in January-December rose to EUR 2,042 thousand (1,864) thanks to increased sales. Operating profit rose due to increased sales to EUR 668 thousand (568). Service and Solutions Service and Solutions business segment´s net sales in January-December was EUR 848 thousand (902). Operating profit decreased to EUR 67 thousand negative (positive 76) due to lower international professional service sales than in the previous year and the outlays made in productized services. Net sales were mainly derived from Finland. BUSINESS ACQUISITIONS At the end of December, 2008 QPR agreed to acquire all Mawell Ltd´s customer contracts regarding QPR ProcessGuide, QPR ScoreCard and CostPerform software products. The transfer of contracts was finalized in the second quarter. The purchase price was approximately EUR 600 thousand of which EUR 412 thousand was recorded in 2008. QPR will amortize the full purchase price in five years. QPR Software Plc agreed on 2 November, 2009 to acquire the business operations of its reseller Trodos and consulting partner United Project and Services Group (UPSG) in Russian Federation and CIS countries. Acquired business operations comprise all QPR software related customer contracts, solutions, and intellectual property rights in Russia and CIS countries. The operations were transferred to a joint venture QPR CIS, which started operations in 1 January, 2010. The sellers own 20% of the shares in the joint venture. The price for acquired business operations is estimated to be approximately EUR 460 thousand and is booked as intangible assets in 2009. The final price will be based on QPR CIS's earnings before depreciation, interest and tax (ebitda) in 2010 and is paid in February 2011 in cash and QPR Software shares. QPR will amortize the full purchase price in five years. QPR estimates that the deal will have a positive impact on its earnings per share in 2010. FINANCE AND INVESTMENTS The value of total assets at the end of December 2009 was EUR 6,874 thousand (6,047). Cash flow from operating activities was EUR 953 thousand (1,518). The main reason for decreased cash flow is increase in working capital during the review period and treatment of the acquisition price of Mawell's QPR business in financial accounts. Cash and cash equivalents at the end of the review period were EUR 1,929 thousand (1,716). A dividend of EUR 368 thousand (368) and a distribution from the unrestricted equity of EUR 244 thousand (0) was paid. The Group´s investments based on operating cash-flow in the review period totaled to EUR 970 thousand (436). The increase is attributable to the business acquisition from Mawell and the investment made in new finance system. The Group´s interest bearing liabilities increased to EUR 1,098 thousand (182) due to EUR 1,132 thousand pension loan withdrawn during the review period. The gearing ratio on 31 December, 2009 was -32.3% (-56.1). Return on capital employed was 21.4% (33.6). Short-term liabilities include deferred revenue in total of EUR 811 thousand (878). At the end of reporting period, quick ratio was 2.05 (2.57). At the end of the reporting period, the Group equity stood at EUR 2,575 thousand (2,732), and equity to assets ratio was 42.5% (52.9). The decrease of equity to assets ratio is attributable to the Russian business acquisition and to EUR 1,132 thousand pension loan withdrawn during the second quarter of 2009. Return on equity was 19.5% (37.1). PERSONNEL At the end of the December 2009, the Group employed a total of 57 persons (55). Average number of personnel in 2009 was 57 (53). PRODUCT DEVELOPMENT The amount of R&D expenses in the review period were EUR 1,325 thousand (1,540), representing 20.0% of net sales (20.5 %). In the review period, R&D expenses have been activated as assets for a total amount of EUR 174 thousand (268). The depreciation period of capitalized R&D expenses is 4 years. The depreciation of activated R&D expense was EUR 165 thousand (93). Product development employed 20 people (17) at the end of the review period, corresponding to 35% of the total personnel (31%). The core know-how of product development remains centralized within the own organization. Long-term co-operation continued with established subcontractors. QPR Software has been a Microsoft Gold Certified Partner since 2007. In the review period, Research & Development activities focused on the development of a new version of the server-based QPR product family, QPR 8.1, released in October 2009. The new version broadens the integration between the QPR software products and the Microsoft Office product family by e.g. enabling publishing and distribution of process, quality, performance and risk information through Microsoft Office SharePoint Server portals. The new QPR product family is fully compatible with Microsoft Windows 7™ In March QPR announced a new 8.0 version of its desktop process modeling tool, QPR ProcessGuide Xpress. QPR´s software products and customer solutions based on them received international recognition in the reporting period. Skanska Group´s Finnish subsidiary´s work safety best practice, utilizing QPR ScoreCard performance management software, was awarded in the European Campaign on Risk Assessment competition in May. The U.S. Ventana Research Inc. awarded QPR's technology with the Overall Performance Management Leadership Award in December 2009. QPR offers an easy-to-use, ready-to-run software that combines process modeling and analysis (QPR ProcessGuide), performance management and measurement (QPR ScoreCard), and business intelligence (QPR FactView) into one complete solution for process management, quality management, risk management and compliance. With the help of QPR software solutions, organizations optimize business processes, take control of risk and compliance issues, improve operational performance and drive strategy throughout their organization in order to comply with rules and regulation as well as manage transition caused by strategic or regulatory demands. The software products developed by QPR are fast to implement and adapt to customers' evolving requirements and their chosen management methodology. QPR software applications are especially designed to be compatible with Microsoft software products and are scalable from a single-user to an organization-wide management system. The QPR product family has been localized into 26 languages (24). COMPANY SHARES AND TRADING IN COMPANY SHARES The Company's share capital on December 31, 2009 was EUR 1,359,089.93 divided into 12,444,863 shares. QPR Software Plc has one share class. The book counter value is EUR 0.11. Each share has one vote and equal right to dividend. The shares are incorporated to the book-entry system maintained by Euroclear Finland Oy. At the end of review period, the Company had a total of 608 shareholders (572). In January-December trading in company shares amounted to EUR 628 thousand (384), i.e. an average of EUR 2,500 per trading day (1,516). Trading in shares was in total 716,800 shares (485,194), giving an average of 2,586 shares per trading day (1,918). Turnover in shares corresponds to 5.0% of the total shares (3.9) and the average price was EUR 0.88 per share (0.79). The highest closing price during the period was EUR 1.08 (0.91) and the lowest EUR 0.73 (0.57) The total market value of the company shares was EUR 11,578 thousand at 31 December, 2009 ((9,283) with closing price of EUR 0.95. OWN SHARES The number of acquired own shares in January - September was 97,850. At the end of December the Company held 258,000 of its own shares with a total book counter value of EUR 28,380 and a total purchase price of EUR 209,102.93. Own shares held by the company represented 2.07% of the Company´s capital stock (1.3). The Board of Directors has been granted by the Annual Shareholders Meeting of March 12, 2009 a share repurchases authorization, valid until next Annual Shareholders Meeting, to repurchase company shares in total of 250,000 shares at maximum. According to the authorization the company may acquire own shares in order to strengthen the company's capital structure, to be used as payment in corporate acquisitions or when the company acquires assets related to its business or as part of the company's incentive programs in a manner and to the extent decided by the Board of Directors, or to be transferred for other purposes or to be cancelled. OTHER EVENTS IN THE REPORTING PERIOD QPR Software's new business organization came effective as of January 1, 2009. From the same day, the Executive Management Team consisted of the following persons: Chief Executive Officer Jari Jaakkola (chairman), Vice President Software Sales International Antti Ainasoja, Vice President Software Sales Finland Matti Erkheikki, Vice President Services and Solutions Maija Erkheikki, Vice President Marketing and Business Development Teemu Lehto and Vice President Products and Technology Tony Virtanen. Päivi Vahvelainen was the acting CFO and member the management team from 1 January to 9 August, 2009. Kari Pihlatie was the CFO and member of the Executive Management Team from 10 August to 23 November, and Päivi Vahvelainen from 24 November onwards. In its meeting on 19 January, 2009 the QPR Board of Directors approved 67,000 share subscriptions made under QPR Software Plc Stock Option Plan 2003/III A and 2003/B. The new shares were entered into the Trade Register in February 10, 2009, after which the number of company´s shares rose to 12,444,863. The company has no option schemes in effect. The Board of Directors of QPR Software Plc decided on 11 February, 2009 to withdraw a pension loan of EUR 1,132 thousand, with loan period of 5 years. The loan was fully withdrawn during the second quarter. In its meeting on 23 September, 2009 the QPR Board of Directors approved Company's new principles for risk management reporting. Application of the principles started in the third quarter financial reporting in 2009. Based on the authorization granted by the 12 March, 2009 Shareholders' Meeting the Board of Directors decided on 20 November, 2009 to distribute funds to the shareholders from the unrestricted equity fund EUR 0.02 per share. The funds were paid to a shareholder that was entered into the company's shareholders' register on the record date of payment on 9 December, 2009. The distribution totaling in EUR 243,737.26 was paid in 17 December, 2009. EVENTS AFTER THE REPORTING PERIOD QPR Software's business operations in Russian Federation and CIS countries will be transferred in February, 2010 to OOO QPR Software subsidiary. The company is a fully owned subsidiary of QPR CIS Oy. The company was registered in 29 December, 2009 and is domiciled in Moscow. The Executive Management Team of QPR Software Plc consists of the following persons as of 18 February, 2010: Chief Executive Officer Jari Jaakkola (chairman), Vice President Software Sales International Antti Ainasoja, Vice President Software Sales Finland Matti Erkheikki, Vice President Services and Solutions Maija Erkheikki, Vice President Communications and Marketing Jyrki Karasvirta, Vice President Business Development Teemu Lehto, CFO Päivi Vahvelainen and Vice President Products and Technology Tony Virtanen. STRATEGY According to the strategic guidelines of the Company, QPR aims to substantially increase the number of QPR software users both in new and existing customer organizations. The Company believes that this will have a positive effect also on the sales of professional services. Pricing will be further simplified, and affordable solutions are offered also to organizations with large number of users. The company aims to accelerate its software sales process and deployment of its customer solutions by creating service concepts around QPR software, and offering replicable frameworks that are based on target group specific needs. In international markets QPR focuses on further diversifying and strengthening its sales channel. In the near regions QPR will invest especially in sales to Russia. Product development is focused on supporting the chosen service offering, by utilizing both the existing QPR products and their strong Microsoft compatibility. The Company continues to follow the structural developments in the software Industry, and aims actively to participate in it. DECISIONS MADE BY THE ANNUAL SHAREHOLDERS' MEETING AND GOVERNANCE The Annual Shareholders' Meeting held on 12 March, 2009 made the following decisions: The Annual Shareholders' Meeting confirmed the company's financial statements and the group's financial statements for the financial period of January 1- December 31, 2008 and released the Board of Directors and the Managing Directors from liability. The Annual Shareholders' Meeting approved the Board's proposal that a per-share dividend of EUR 0.03, a total of EUR 368,262.39, be paid for the financial year 2008. The dividend was paid to shareholders entered in the company's shareholder register, maintained by Euroclear Finland Oy, on the record date of 17 March, 2009. The dividend payment date was 26 March, 2009. The Annual Shareholders' Meeting resolved that the Board of Directors shall consist of five ordinary members. The Annual Shareholders' Meeting elected the following members to the Board of Directors: Jyrki Kontio, Vesa-Pekka Leskinen, Jarmo Niemi, Asko Piekkola and Topi Piela. In its first meeting immediately following the Annual Shareholders' Meeting, the Board of Directors elected Vesa-Pekka Leskinen as Chairman of the Board. KPMG Oy Ab, Authorized Public Accountants, continued as QPR Software Plc's Auditors. The Annual Shareholders' Meeting decided to keep the Board of Directors´ yearly emoluments the same as in previous year. A yearly emolument of EUR 25,230 is paid to the Chairman of the Board and EUR 16,820 to the other Members of the Board. The Annual Shareholders' Meeting decided to authorize the Board of Directors to decide on an issue of new shares and conveyance of the own shares held by the company (share issue) either in one or in several occasions. The share issue can be carried out as a share issue against payment or without consideration on terms to be determined by the Board of Directors. The authorization also included the right to issue special rights, in the meaning of Chapter 10 Section 1 of the Companies Act, which entitle to the company's new shares or the company's own shares held by the company against payment. In the share issue and/or based on the special rights a maximum of 4,000,000 new shares can be issued and a maximum of 250,000 own shares held by the company can be conveyed. The authorization is in force until the next Annual Shareholders' Meeting. The Annual Shareholders' Meeting decided to authorize the Board of Directors to decide on an acquisition of own shares. Based on the authorization own shares may be acquired, either in one or in several occasions, the aggregate maximum amount of 250,000 shares. The authorization is in force until the next Annual Shareholders´ Meeting. Further, the Annual Shareholders' Meeting decided to authorize the Board of Directors to decide on potential distribution of assets from the invested unrestricted equity fund, provided that the evaluations of the financial situation of the company and its market outlook are in favor of such a decision. The maximum distribution of assets is EUR 0.02 per share. The authorization was in force until the next Annual Shareholders´ Meeting. The Board of Directors had to make the decision no later than 31 December, 2009. The Board of Directors decided on 20 November 2009 to distribute the funds and the distribution totaling in EUR 243,737.26 was paid in 17 December, 2009. The conditions of all authorizations of the Board are available in their entirety on the investors section of the company's web site, and on the stock exchange release, published by the company on 12 March, 2009. QPR Software Plc announced the following change in the reporting period in accordance with Chapter 2, Section 10 of the Security Market Act: The company announced on 11 May, 2009 that the holding of Pohjolan Rahoitus Oy (company ID 0486816-5), a company controlled by Jouko Antero Pelkonen, in QPR Software Plc has increased above one-20th (1/20) to 5.13% of QPR Software Plc's share capital and votes. Thus, the total holding of Jouko Antero Pelkonen and his controlled companies Electrosale Oy (company ID 0252032-5) and Pohjolan Rahoitus Oy (company ID 0486816-5) in QPR Software Plc increased to 11.08% of QPR Software Plc's share capital and votes. CORPORATE GOVERNANCE QPR Software Plc complies with the NASDAQ OMX Helsinki Ltd's Guidelines for Insiders issued on June 2, 2008 and the Corporate Governance Code, including its transitional provisions, effective as of 1 January, 2009. The Company's Corporate Governance Statement is available in the Investor section of the Company's website, www.qpr.com. Also available in the investor section is further information, such as, administration of insiders register, public insiders register, list of major shareholders, articles of association, charter of the Board, description of how internal control and internal audit is organized, introductions of the members of the Board and Executive Management Team, and the information published by the company in the review period. SHORT-TERM RISKS AND UNCERTAINTIES Internal control and risk management in QPR Software Plc aims to ensure that the Company operates efficiently and effectively, distributes reliable information, complies with regulations and operational principles, reaches its strategic goals and ensures continuity of its business. It is the duty of the Board of Directors to monitor the appropriateness, effectiveness and efficiency of risk management and internal control in QPR Software Group. The Board of Directors also monitors that the Company has defined operational principles for internal control and that the Company monitors the effectiveness of internal control. Risk management report is presented to the Board in connection with quarterly financial reporting. Coordination of risk management and internal control and related reporting is the responsibility of the Chief Financial Officer. QPR Software identifies the risks by their essentiality: if actualized, the risks selected for monitoring would have a material impact on the Company's business operations. QPR has identified the following four groups of risks related to its operations: risks related to business operations (country, customer, result forecasting process, personnel, legal, financial), risks related to company's general operational environment (economic fluctuations), risks related to information and products (QPR products, IPR, data security) and risks related to financing (foreign currency, bad debt). Property, operational and liability risks are covered by insurance. Reasonable credit risk concerning individual business partners is characteristic to any international business. QPR seeks to limit this credit risk by continuous monitoring of standard payment terms, receivables and credit limits. The management of QPR estimates that the company´s credit loss risk is on customary and reasonable level. External business environment changes, such as economic fluctuations, are included in the Company´s market and customer risks. The general economic uncertainty, continuation of negative development or deepening of such a development may have a negative impact on software market and thus, also to QPR´s business operations. QPR´s market and customer risks are mitigated by the following factors: the Company conducts business in 70 countries (in 2009), both in public and private sector as well as in several different business verticals. In addition, the customer benefits produced by QPR´s products and solutions are related to optimization and streamlining of operations, strategy implementation as well as risk management and compliance. QPR believes, based on its earlier experiences from cyclical fluctuations that demand for these customer benefits remains relatively strong even in recession. No significant changes have taken place in QPR's short-term risks and uncertainties during the financial period. FUTURE OUTLOOK Market forecasts published in the beginning of 2010 estimate that values of global software sales will increase 5-7% and global professional services sales will increase 4-5% in 2010 compared to 2009. Based on current software market growth forecasts, QPR´s own forecasts and resellers' forecasts, QPR Software estimates net sales and operating profit to grow compared to 2009 (net sales in 2009: EUR 6,618 thousand; operating profit: EUR 705 thousand). The nature of the software license business of the QPR Group is seasonal. Seasonality of large software deals can affect significantly net sales and profit of one individual quarter. QPR SOFTWARE PLC'S FINANCIAL INFORMATION IN 2010 In 2010, QPR Software Plc will publish its financial information as follows: The audited Group Financial Statements for 2009 and the Corporate Governance Statement will be published on the Company's web site, www.qpr.com, at Thursday, 4 March 2010. Interim Report 1-3/2010: Thursday, 22 April, 2010 Interim Report 1-6/2010: Friday, 6 August, 2010 Interim Report 1-9/2010: Friday, 22 October, 2010 The Annual General Meeting will be held on Thursday, March 18, 2010 QPR SOFTWARE PLC BOARD OF DIRECTORS Further information: Jari Jaakkola, CEO Tel. +358 (0)40 5026 397 www.qpr.com DISTRIBUTION NASDAQ OMX Helsinki Ltd Main Media Neither this press release nor any copy of it may be taken, transmitted into or distributed in the United States of America or its territories or possessions. APPENDIX: TABLE SECTION -------------------------------------------------------------------------------- | CONSOLIDATED INCOME STATEMENT | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | (EUR 1,000) | 10-12/ | 10-12/ | 1-12/ | 1-12/ | | | 2009 | 2009 | 2009 | 2008 | -------------------------------------------------------------------------------- | Net sales | 1,801 | 2,058 | 6,618 | 7,512 | -------------------------------------------------------------------------------- | Other operating income | 0 | 12 | 35 | 51 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Material and services | 88 | 118 | 451 | 875 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Employee benefits | 991 | 991 | 3,524 | 3,653 | | expenses | | | | | -------------------------------------------------------------------------------- | Depreciation | 131 | 93 | 466 | 301 | -------------------------------------------------------------------------------- | Other operating | 373 | 453 | 1,508 | 1,841 | | expenses | | | | | -------------------------------------------------------------------------------- | Operating profit | 218 | 415 | 705 | 893 | -------------------------------------------------------------------------------- | Financial income | -28 | 19 | -37 | 34 | | and expenses | | | | | -------------------------------------------------------------------------------- | Profit before tax | 191 | 434 | 668 | 927 | -------------------------------------------------------------------------------- | Income tax expense | -56 | 109 | -150 | 1 | -------------------------------------------------------------------------------- | Profit for the period | 134 | 543 | 517 | 928 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other comprehensive income statement items: | | | -------------------------------------------------------------------------------- | Exchange differences on | 1 | -31 | 11 | -35 | | translating | | | | | | foreign | | | | | | operations | | | | | -------------------------------------------------------------------------------- | Income tax relating to | - | - | - | - | | components of other | | | | | | comprehensive income | | | | | -------------------------------------------------------------------------------- | Other comprehensive | 1 | -31 | 11 | -35 | | income, net of tax | | | | | -------------------------------------------------------------------------------- | Total comprehensive | 135 | 512 | 528 | 893 | | income | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit attributable to: | | | | | -------------------------------------------------------------------------------- | Equity holders of the | | | | | -------------------------------------------------------------------------------- | parent company | 134 | 543 | 517 | 928 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total comprehensive | | | | | | income attributable to: | | | | | -------------------------------------------------------------------------------- | Equity holders of the | 135 | 512 | 528 | 893 | -------------------------------------------------------------------------------- | parent company | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per share | 0.01 | 0.04 | 0.04 | 0.07 | | (diluted), EUR | | | | | -------------------------------------------------------------------------------- | Earnings per share, EUR | 0.01 | 0.04 | 0.04 | 0.08 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CONSOLIDATED BALANCE SHEET | | | -------------------------------------------------------------------------------- | (EUR 1,000) | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- | Assets | | | -------------------------------------------------------------------------------- | Non-current assets | | | -------------------------------------------------------------------------------- | Tangible assets | 145 | 226 | -------------------------------------------------------------------------------- | Other intangible assets | 1,720 | 1,078 | -------------------------------------------------------------------------------- | Other investments | 5 | 5 | -------------------------------------------------------------------------------- | Deferred tax assets | 413 | 539 | -------------------------------------------------------------------------------- | Total non-current assets | 2,283 | 1,848 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Current assets | | | -------------------------------------------------------------------------------- | Trade and other receivables | 2,662 | 2,483 | -------------------------------------------------------------------------------- | Cash and cash equivalents | 1,929 | 1,716 | -------------------------------------------------------------------------------- | Total current assets | 4,591 | 4,199 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total assets | 6,874 | 6,047 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Equity and liabilities | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Equity | | | -------------------------------------------------------------------------------- | Share capital | 1,359 | 1,359 | -------------------------------------------------------------------------------- | Reserve fund | 21 | 21 | -------------------------------------------------------------------------------- | Invested non-restricted | 127 | 360 | | equity fund | | | -------------------------------------------------------------------------------- | Translation differences | -94 | -105 | -------------------------------------------------------------------------------- | Treasure shares | -209 | -125 | -------------------------------------------------------------------------------- | Retained earnings | 1,371 | 1,222 | -------------------------------------------------------------------------------- | Equity attributable to shareholders | 2,575 | 2,732 | | of the | | | | parent company | | | -------------------------------------------------------------------------------- | Total equity | 2,575 | 2,732 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Non-current liabilities | | | -------------------------------------------------------------------------------- | Interest-bearing | 793 | 79 | | liabilities | | | -------------------------------------------------------------------------------- | Non-Interest-bearing | 460 | 0 | | liabilities | | | -------------------------------------------------------------------------------- | Total non-current | 1,253 | 79 | | liabilities | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Current liabilities | | | -------------------------------------------------------------------------------- | Accounts payables | 2,741 | 3,133 | | and other payables | | | -------------------------------------------------------------------------------- | Interest-bearing | 305 | 103 | | liabilities | | | -------------------------------------------------------------------------------- | Total current | 3,046 | 3,236 | | liabilities | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total liabilities | 4,299 | 3,315 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total equity and | 6,874 | 6,047 | | liabilities | | | -------------------------------------------------------------------------------- | CONSOLIDATED CASH FLOW STATEMENT | | | | -------------------------------------------------------------------------------- | (EUR 1,000) |Jan 1 - Dec 31, |Jan 1 - Dec 31, | | | | 2009 | 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow from | | | | | operating activities | | | | -------------------------------------------------------------------------------- | Profit for the period | 517 | 928 | | -------------------------------------------------------------------------------- | Adjustments for the profit | | | | -------------------------------------------------------------------------------- | Depreciation | 466 | 301 | | -------------------------------------------------------------------------------- | Non-cash transactions | 11 | 83 | | -------------------------------------------------------------------------------- | Changes in working capital | | | | -------------------------------------------------------------------------------- | Changes in trade and | -53 | -67 | | | other | | | | | receivables | | | | -------------------------------------------------------------------------------- | Changes in accounts payable | 61 | 275 | | | and | | | | | other liabilities | | | | -------------------------------------------------------------------------------- | Interest expense and other financial | -31 | -10 | | | expenses | | | | -------------------------------------------------------------------------------- | Interest income and other financial | 20 | 38 | | | income | | | | -------------------------------------------------------------------------------- | Income taxes paid | -38 | -30 | | -------------------------------------------------------------------------------- | Net cash from operating activities | 953 | 1,518 | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow from investing activities | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Purchases of tangible assets | -38 | -54 | | -------------------------------------------------------------------------------- | Purchases of intangible assets | -932 | -382 | | -------------------------------------------------------------------------------- | Net cash used in investing activities | -970 | -436 | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow from financing activities | | | | -------------------------------------------------------------------------------- | Proceeds from issuance of | 11 | 4 | | | share | | | | | capital | | | | -------------------------------------------------------------------------------- | Proceeds from long-term loans | 1,132 | 0 | | -------------------------------------------------------------------------------- | Repayments of financial leases | -217 | -187 | | -------------------------------------------------------------------------------- | Purchases of own shares | -84 | -60 | | -------------------------------------------------------------------------------- | Invested non-restricted equity fund | -244 | 0 | | | paid | | | | -------------------------------------------------------------------------------- | Dividends paid | -368 | -368 | | -------------------------------------------------------------------------------- | Net cash used in financing activities | 230 | -611 | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net change in cash and cash | 213 | 471 | | | equivalents | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash and cash equivalents | 1,716 | 1,245 | | | in the beginning of period | | | | -------------------------------------------------------------------------------- | Cash and cash equivalents | 1,929 | 1,716 | | | in the end of period | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS´ EQUITY | | 1 JANUARY-31 DECEMBER 2009 | -------------------------------------------------------------------------------- | (EUR 1,000) | Share | Reserve| Trans- | Trea- | Invested| Retained| Total | | | capital| fund | lation | sury | non-res-| earnings| | | | | differ | shares | tricted | | | | | | | | equity | | | | | | | | | fund | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Share- | 1,359 | 21 | -105 | -125 | 360 | 1,222 | 2,732 | | holders' | | | | | | | | | equity | | | | | | | | | 1.1.2009 | | | | | | | | -------------------------------------------------------------------------------- | Shares | | | | | 11 | | 11 | | issued | | | | | | | | -------------------------------------------------------------------------------- | Dividends | | | | | | -368 | -368 | | paid | | | | | | | | -------------------------------------------------------------------------------- | Invested | | | | | -244 | | -244 | | non- | | | | | | | | | restricted | | | | | | | | | equity fund | | | | | | | | | paid | | | | | | | | -------------------------------------------------------------------------------- | Purchase | | | | -84 | | | -84 | | of own | | | | | | | | | shares | | | | | | | | -------------------------------------------------------------------------------- | Comprehen- | | | 11 | | | 517 | 528 | | sive income | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Change in | 0 | 0 | 11 | -84 | -233 | 149 | -157 | | share- | | | | | | | | | holders' | | | | | | | | | equity | | | | | | | | | 1-12 | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Share- | 1,359 | 21 | -94 | -209 | 127 | 1,371 | 2,575 | | holders' | | | | | | | | | equity | | | | | | | | | Dec 31, | | | | | | | | | 2009 | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS´ EQUITY | | 1 JANUARY-31 DECEMBER 2008 | -------------------------------------------------------------------------------- | (EUR 1,000) | Share | Reserve| Trans- | Trea- | Invested| Retained| Total | | | capital| fund | lation | sury | non-res-| earnings| | | | | differ | shares | tricted | | | | | | | | equity | | | | | | | | | fund | | | -------------------------------------------------------------------------------- | Share- | 1,359 | 253 | -70 | -65 | 0 | 787 | 2,264 | | holders' | | | | | | | | | equity | | | | | | | | | 1.1.2008 | | | | | | | | -------------------------------------------------------------------------------- | Shares | | | | | 3 | | 3 | | issued | | | | | | | | -------------------------------------------------------------------------------- | Dividends | | | | | | -368 | -368 | | paid | | | | | | | | -------------------------------------------------------------------------------- | Purchase | | | | -60 | | | -60 | | of own | | | | | | | | | shares | | | | | | | | -------------------------------------------------------------------------------- | Compre- | | | -35 | | | 928 | 893 | | hensive | | | | | | | | | income | | | | | | | | -------------------------------------------------------------------------------- | Transfer | | -232 | | | 357 | -125 | 0 | | of share | | | | | | | | | premium | | | | | | | | | fund | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Change in | 0 | -232 | -35 | -60 | 360 | 435 | 468 | | share- | | | | | | | | | holders' | | | | | | | | | equity | | | | | | | | | 1-12 | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Share- | 1,359 | 21 | -105 | -125 | 360 | 1,222 | 2,732 | | holders' | | | | | | | | | equity, | | | | | | | | | Dec 31, | | | | | | | | | 2008 | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | GROUP COMMITMENTS AND CONTINGENT LIABILITIES | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | (EUR 1,000) | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Business mortgage | 1,337 | 0 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Current lease liabilities | | | -------------------------------------------------------------------------------- | Liabilities maturing during one year | 222 | 284 | -------------------------------------------------------------------------------- | Liabilities maturing 2-5 years | 261 | 23 | -------------------------------------------------------------------------------- | Total | 483 | 307 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total commitments and | 1,820 | 307 | | contingent liabilities | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | GROUP INTANGIBLE AND TANGIBLE ASSETS | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Change in intangible assets | | | -------------------------------------------------------------------------------- | (EUR 1,000) | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Acquisition cost 1.1. | 2,506 | 1,722 | -------------------------------------------------------------------------------- | Increase | 988 | 784 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Change in tangible assets | | | -------------------------------------------------------------------------------- | (EUR 1,000) | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Acquisition cost 1.1. | 945 | 891 | -------------------------------------------------------------------------------- | Increase | 38 | 54 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CHANGE IN GROUP INTEREST BEARING LOANS | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | (EUR 1,000) | Dec 31, 2009 | Dec 31, 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Interest bearing | 182 | 369 | | loans 1.1. | | | -------------------------------------------------------------------------------- | Withdrawals | 1,132 | 0 | -------------------------------------------------------------------------------- | Repayments | -217 | -187 | -------------------------------------------------------------------------------- | Interest bearing loans | 1,098 | 182 | | 30 September/31 | | | | December | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | NET SALES BY BUSINESS SEGMENT | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1 October - 31 December 2009 | | | | | | -------------------------------------------------------------------------------- | (1,000 EUR) | Software | Service| Software| Elimi- | Not | Group | | | Sales | & Solu-| Sales | nations| allo- | Total | | | Interna- | tions | Finland | | cated | | | | tional | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | INCOME STATEMENT INFORMATION | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 1,064 | 242 | 495 | 0 | 0 | 1,801 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit of | 249 | -46 | 143 | 0 | -128 | 218 | | segment | | | | | | | -------------------------------------------------------------------------------- | Operating profit | | | | | | 218 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Finance income and expenses | | | | -28 | -28 | -------------------------------------------------------------------------------- | Income tax expense | | | | | -56 | -56 | -------------------------------------------------------------------------------- | Profit for the | 249 | -46 | 143 | 0 | -212 | 134 | | period | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | | 134 | | period | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other information | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 64 | 11 | 56 | 0 | 0 | 131 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1 January - 31 December 2009 | | | | | | -------------------------------------------------------------------------------- | (1,000 EUR) | Software | Service| Software| Elimi- | Not | Group | | | Sales | & Solu-| Sales | nations| allo- | Total | | | Interna- | tions | Finland | | cated | | | | tional | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | INCOME STATEMENT INFORMATION | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 3,728 | 848 | 2,042 | 0 | 0 | 6,618 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit of | 503 | -67 | 668 | | -400 | 705 | | segment | | | | | | | -------------------------------------------------------------------------------- | Operating profit | | | | | | 705 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Finance income and expenses | | | | -37 | -37 | -------------------------------------------------------------------------------- | Income tax expense | | | | | -150 | -150 | -------------------------------------------------------------------------------- | Profit for the | 503 | -67 | 668 | 0 | -587 | 517 | | period | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | | 517 | | period | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other information | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 239 | 42 | 185 | 0 | 0 | 466 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1 October - 31 December 2008 | | | | | | -------------------------------------------------------------------------------- | (1,000 EUR) | Software | Service| Software| Elimi- | Not | Group | | | Sales | & Solu-| Sales | nations| allo- | Total | | | Interna- | tions | Finland | | cated | | | | tional | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | INCOME STATEMENT INFORMATION | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 1,210 | 259 | 589 | 0 | 0 | 2,058 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit of | 240 | 46 | 235 | 0 | -106 | 415 | | segment | | | | | | | -------------------------------------------------------------------------------- | Operating profit | | | | | | 415 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Finance income and expenses | | | | 19 | 19 | -------------------------------------------------------------------------------- | Income tax expense | | | | | 109 | 109 | -------------------------------------------------------------------------------- | Profit for the | 240 | 46 | 235 | 0 | 22 | 543 | | period | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | | 543 | | period | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other information | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 55 | 12 | 26 | 0 | 0 | 93 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1 January - 31 December 2008 | | | | | | -------------------------------------------------------------------------------- | (1,000 EUR) | Software | Service| Software| Elimi- | Not | Group | | | Sales | & Solu-| Sales | nations| allo- | Total | | | Interna- | tions | Finland | | cated | | | | tional | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | INCOME STATEMENT INFORMATION | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 4,746 | 902 | 1 864 | 0 | 0 | 7,512 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit of | 698 | 76 | 568 | | -449 | 893 | | segment | | | | | | | -------------------------------------------------------------------------------- | Operating profit | | | | | | 893 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Finance income and expenses | | | | 34 | 34 | -------------------------------------------------------------------------------- | Income tax expense | | | | | 1 | 1 | -------------------------------------------------------------------------------- | Profit for the | 698 | 76 | 568 | 0 | -414 | 928 | | period | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | | 928 | | period | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other information | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 190 | 36 | 75 | 0 | 0 | 301 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CONSOLIDATED INCOME STATEMENT PER | | | | | | | QUARTER | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | (EUR 1,000) | 1-3/ | 1-3/ | 4-6/ | 4-6/ | 7-9/ | 7-9/ | 10-12/ | 10-12/ | | | 2009 | 2008 | 2009 | 2008 | 2009 | 2008 | 2009 | 2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 1,628| 1,754| 1,688| 2,215 | 1,501 | 1,485 | 1,801 | 2,058 | -------------------------------------------------------------------------------- | Other | 7 | 11 | 25 | 21 | 3 | 7 | 0 | 12 | | operating | | | | | | | | | | income | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Material and | 112 | 259 | 117 | 273 | 134 | 225 | 88 | 118 | | services | | | | | | | | | -------------------------------------------------------------------------------- | Employee | 895 | 943 | 890 | 986 | 748 | 733 | 991 | 991 | | benefits | | | | | | | | | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 114 | 70 | 95 | 69 | 126 | 69 | 131 | 93 | -------------------------------------------------------------------------------- | Other | 371 | 402 | 427 | 584 | 337 | 402 | 373 | 453 | | operating | | | | | | | | | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | Operating | 143 | 91 | 184 | 324 | 159 | 63 | 218 | 415 | | profit | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Financial | 6 | -2 | -5 | 6 | -10 | 12 | -28 | 19 | | income | | | | | | | | | | and | | | | | | | | | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | Profit before | 149 | 89 | 179 | 330 | 149 | 75 | 191 | 434 | | tax | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Income tax | -27 | -11 | -34 | -81 | -33 | -16 | -56 | 109 | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | Profit for | 122 | 78 | 145 | 249 | 116 | 59 | 134 | 543 | | the period | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | GROUP KEY | | | | | | | | | | FIGURES | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | EUR (1,000) | 1-12/ | 1-12/ | 1-9/ | 1-9/ | 1-6/ | 1-6/ | 1-3/ | 1-3/ | | | 2009 | 2008 | 2009 | 2008 | 2009 | 2008 | 2009 | 2008 | -------------------------------------------------------------------------------- | Net sales | 6,618 | 7,512 | 4,817 | 5,454 | 3,316 | 3,969 | 1,628 | 1,754 | -------------------------------------------------------------------------------- | Net sales | -11.9 | 6.4 | -11.7 | 7.7 | -16.5 | 2.9 | -7.2 | 7.3 | | growth, % | | | | | | | | | -------------------------------------------------------------------------------- | Operating | 705 | 893 | 486 | 478 | 327 | 415 | 143 | 91 | | profit | | | | | | | | | -------------------------------------------------------------------------------- | % of net | 10.6 | 11.9 | 10.1 | 8.8 | 9.9 | 10.5 | 8.8 | 5.2 | | sales | | | | | | | | | -------------------------------------------------------------------------------- | Profit or | 668 | 927 | 477 | 493 | 328 | 419 | 149 | 90 | | loss | | | | | | | | | | before tax | | | | | | | | | -------------------------------------------------------------------------------- | % of net | 10.1 | 12.3 | 9.9 | 9.0 | 9.9 | 10.6 | 9.2 | 5.1 | | sales | | | | | | | | | -------------------------------------------------------------------------------- | Profit for | 517 | 928 | 383 | 385 | 267 | 327 | 122 | 78 | | the period | | | | | | | | | -------------------------------------------------------------------------------- | % of net | 7.8 | 12.4 | 8.0 | 7.1 | 8.1 | 8.2 | 7.5 | 4.5 | | sales | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Return on | 19.5 | 37.1 | 18.9 | 22.8 | 20.2 | 29.2 | 18.6 | 14.8 | | equity,% | | | | | | | | | -------------------------------------------------------------------------------- | Return on | 21.4 | 33.6 | 19.7 | 25.8 | 19.8 | 32.8 | 21.4 | 14.7 | | investment,% | | | | | | | -------------------------------------------------------------------------------- | Interest | 1,098 | 182 | 1,200 | 261 | 1,313 | 285 | 182 | 369 | | bearing | | | | | | | | | | liabilities | | | | | | | | | -------------------------------------------------------------------------------- | Cash and | 1,929 | 1,716 | 2,042 | 1,530 | 2,105 | 1,397 | 1,163 | 1,077 | | cash | | | | | | | | | | equivalents | | | | | | | | | -------------------------------------------------------------------------------- | Net | -831 | -1,534| -842 | -1,269| -792 | -1,112| -981 | -708 | | liabilities | | | | | | | | | -------------------------------------------------------------------------------- | Equity | 2,575 | 2,732 | 2,684 | 2,244 | 2,568 | 2,214 | 2,495 | 1,968 | -------------------------------------------------------------------------------- | Gearing,% | -32.3 | -56.1 | -31.4 | -56.5 | -30.8 | -50.2 | -39.3 | -36.0 | -------------------------------------------------------------------------------- | Equity | 42.5 | 52.9 | 50.9 | 55.1 | 51.1 | 53.8 | 66.2 | 53.1 | | ratio,% | | | | | | | | | -------------------------------------------------------------------------------- | Total | 6,874 | 6,047 | 6,170 | 5,147 | 6,599 | 5,926 | 5,501 | 5,158 | | balance | | | | | | | | | | sheet | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Investments | 1,026 | 837 | 649 | 161 | 559 | 91 | 96 | 37 | | in | | | | | | | | | | non-current | | | | | | | | | | assets | | | | | | | | | -------------------------------------------------------------------------------- | % of net | 15.5 | 11.1 | 13.5 | 3.0 | 16.9 | 2.3 | 5.9 | 2.1 | | sales | | | | | | | | | -------------------------------------------------------------------------------- | Research | 1,325 | 1,540 | 884 | 1,142 | 575 | 770 | 308 | 384 | | and | | | | | | | | | | development | | | | | | | | | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | % of net | 20.0 | 20.5 | 18.4 | 20.9 | 17.3 | 19.4 | 18.9 | 21.9 | | sales | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Average | 57 | 53 | 56 | 53 | 56 | 53 | 57 | 55 | | number | | | | | | | | | | of | | | | | | | | | | personnel | | | | | | | | | -------------------------------------------------------------------------------- | Personnel | 55 | 58 | 55 | 58 | 55 | 58 | 55 | 58 | | at the | | | | | | | | | | beginning | | | | | | | | | | of period | | | | | | | | | -------------------------------------------------------------------------------- | Personnel | 57 | 55 | 59 | 54 | 56 | 54 | 57 | 52 | | at the end | | | | | | | | | | of period | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings | 0.04 | 0.08 | 0.03 | 0.03 | 0.02 | 0.03 | 0.01 | 0.01 | | per share,€ | | | | | | | | | -------------------------------------------------------------------------------- | Earnings | 0.04 | 0.07 | 0.03 | 0.03 | 0.02 | 0.03 | 0.01 | 0.01 | | per share | | | | | | | | | | (diluted), €| | | | | | | | | ------------------------------------------------------------------------------- | Equity per | 0.21 | 0.22 | 0.22 | 0.18 | 0.21 | 0.18 | 0.20 | 0.16 | | share, € | | | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Company has redefined the booking principles of received advance payments as | | of July 1, 2009. Equity ratio figures for previous periods have been revised | | accordingly. | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | MAJOR SHAREHOLDERS DECEMBER 31, 2009 | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | | Number of | Percentage of | | | shares | shares and | | | | votes | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Ulkomarkkinat Oy | 1,600,000 | 12.86 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Jouko Pelkonen | 420,000 | 3.37 % | -------------------------------------------------------------------------------- | Pohjolan Rahoitus Oy | 736,000 | 5.91 % | -------------------------------------------------------------------------------- | Electrosale Oy | 200,000 | 1.61 % | -------------------------------------------------------------------------------- | Total | 1,356,000 | 10.90 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Vesa-Pekka Leskinen | 851,400 | 6.84 % | -------------------------------------------------------------------------------- | Kauppamainos Oy | 475,170 | 3.82 % | -------------------------------------------------------------------------------- | Total | 1,326,570 | 10.66 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Alesco S.A | 1,300,000 | 10.45 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Autocarrera Oy Ab | 1,245,817 | 10.01 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Kari Junkkonen | 512,016 | 4.11 % | -------------------------------------------------------------------------------- | Fortel Invest Oy | 425,326 | 3.42 % | -------------------------------------------------------------------------------- | SR Fides New Media | 341,800 | 2.75 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Päivi Marttila | 292,972 | 2.35 % | -------------------------------------------------------------------------------- | Edina Oy | 33,900 | 0.27 % | -------------------------------------------------------------------------------- | Total | 326,872 | 2.63 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Asko Piekkola | 316,438 | 2.54 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Jari Jaakkola | 235,000 | 1.89 % | -------------------------------------------------------------------------------- | Value FM Oy | 15,000 | 0.12 % | -------------------------------------------------------------------------------- | Total | 250,000 | 2.01 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Esa Pääkkönen | 246,054 | 1.98 % | -------------------------------------------------------------------------------- | Veli-Mikko Leskinen | 232,530 | 1.87 % | -------------------------------------------------------------------------------- | Matti Kanninen | 197,494 | 1.59 % | -------------------------------------------------------------------------------- | Tony Virtanen | 172,112 | 1.38 % | -------------------------------------------------------------------------------- | Janne Laakso | 140,287 | 1.13 % | -------------------------------------------------------------------------------- | Kai-Erik Becker | 140,000 | 1.12 % | -------------------------------------------------------------------------------- | Teemu Lehto | 136,468 | 1.10 % | -------------------------------------------------------------------------------- | Other shareholders | 2,179,079 | 17.51 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total | 12,444,863 | 100.0 % | -------------------------------------------------------------------------------- CALCULATION OF KEY INDICATORS: Return on equity (ROE).% (counted on yearly level): Profit for the period x 100 ________________________________________________ Shareholders' equity + minority interest (average) Return on capital employed (ROCE).% (counted on yearly level): Profit before taxes + interest and other financial expenses x 100 __________________________________________________________________ Balance sheet total - non-interest bearing liabilities (average) Equity ratio.%: Shareholders' equity x 100 ______________________________________ Balance sheet total - deferred revenue Gearing.%: Interest bearing liabilities - cash and cash equivalents x 100 ______________________________________________________________ Shareholders' equity Earnings per share. Euro: Profit for the period attributable to parent company shareholders _________________________________________________________________ Adjusted number of shares over the financial year (average) Equity per share. Euro: Profit for the period attributable to parent company shareholders _________________________________________________________________ Adjusted number of shares at the end of the financial period Dividend per share. Euro: Total dividend paid ___________________________________________________________ Adjusted number of shares at the end of the financial period Market value of share capital: (Number of shares - own shares) x share price at the end of the financial period Turnover of shares. % of share capital: Turnover (number of shares) x 100 _________________________________ Number of shares issued (average) Quick ratio: Current assets - inventories ______________________________________ Current liabilities - deferred revenue |
|||
|