2009-10-23 07:30:00 CEST
2009-10-23 07:33:39 CEST
REGULATED INFORMATION
Pöyry - Interim report (Q1 and Q3)
Pöyry's Interim Report 1 January - 30 September 2009
PÖYRY PLC Interim Report 23 October 2009 at 8:30 a.m.
The Pöyry Group's net sales for the period under review were EUR
512.0 million (608.1 in the corresponding period 2008). Profit before
taxes was 11.2 (76.3) million. Profit before taxes includes EUR 9.9
million non-recurring expenses related to adaptation measures.
The Group's consolidated balance sheet is healthy. The equity ratio
was 39.1 (47.9) per cent and the net debt/equity ratio (gearing) 2.0
(-28.8) per cent.
Earnings per share were EUR 0.09 (0.87) and the return on investment
6.8 (49.6) per cent.
The order stock decreased by EUR 25.2 million during the period under
review to EUR 513.9 million. The number of personnel decreased to the
equivalent of 6682 full-time employees at the end of the review
period (7924 at the end of 2008). The impact of the adaptation
measures in the current capacity exceeds the target of 12 per cent
capacity cuts.
Pöyry's net sales for 2009 are estimated to decrease and profit
before taxes is estimated to decrease significantly compared with
2008.
The interim report has been prepared in accordance with the IAS 34
following the same accounting principles as in the annual financial
statements for 2008. From the beginning of 2009, the Group adopted
the amended IAS 1 Presentation of the Financial Statements standard
and IFRS 8 Operating Segments standard. The amended standards have no
significant impact on the presentation of the interim report.
The data in this interim report are unaudited.
Business groups (Operating segments)
Energy
Net sales for the period under review were EUR 161.1 (177.0) million.
Operating profit was EUR 7.2 (20.2) million including EUR 1.7 million
non-recurring expenses.
Demand for energy-related services weakened and project go-ahead
decisions were postponed in most markets during the review period.
Project margins also declined slightly due to increased competition.
The capacity was further adjusted during the period under review and
the capacity declined by about 200 persons, more than 10 per cent, in
the business group's office network since the beginning of 2009.
In spite of the slow-down in decision-making on investment projects,
the order stock remained on a good level at EUR 186.3 million (196.4
at the end of 2008). The most important new projects were the EPC
contract with the Styrian Utility Steweag/Steg for rehabilitation of
the 110 kV substation Neudorf/Werndorf in Austria (EUR 6.5 million)
and the owner's engineering services contract by OMV Power
International GmbH for an 800 MW combined cycle power plant project
in Haiming, Germany (EUR 6 million). Important new projects received
during the third quarter were the contract with the Ministry of
Agricultural Development and Agrarian Services of the Government of
Sri Lanka for rehabilitation of thirty-two dams in Sri Lanka (EUR 4.5
million), the EPCM contract with Vantaa Energy Ltd for a
waste-to-energy plant to be built in Vantaa, Finland (EUR 8 million)
and the engineering, procurement and supply contract for a 78 MW
district heating system in Pucheng County, Shaanxi province, China
(EUR 4.2 million).
Forest Industry
Net sales for the period under review were EUR 137.7 (222.0) million.
Operating profit was EUR -9.0 (41.3) million. The operating loss for
the period under review included EUR 7.3 million non-recurring
expenses relating to personnel reductions.
The economic downturn has impaired forest industry companies'
profitability and hampered the availability of investment financing
globally. For this reason, projects have been postponed, preparations
for new projects have been delayed and the number of consulting
assignments has declined. Capacity was adapted to match reduced
demand in several markets, including Finland, Brazil, North America,
Russia and Sweden. The personnel reductions during the period under
review equalled a capacity of about 1000 persons (34 per cent) and
were partly implemented with temporary lay-offs.
The business group's order stock declined to EUR 54.4 million (86.3
at the end of 2008). The most important new projects were the
permitting services contract with Paroc Oy Ab, Finland, for a
greenfield mineral wool plant in Chudovo, Russia (EUR 1.5 million)
and engineering services for Investlesprom's Segezha pulp mill in
Russia (EUR 6 million). The business group signed a long-term service
agreement with Larox Corporation, Finland, for the supply of
engineering and project services.
The President and CEO of Pöyry PLC, Mr. Heikki Malinen took over as
of 24 April 2009 the duties of the President of the Forest Industry
business group beside his own position. Dr Martin Kuzaj, 52, has been
appointed Executive Vice President of Pöyry PLC and President of the
Forest Industry business group and he has taken over his duties on 19
October 2009. Martin Kuzaj is a member of the Group Executive
Committee of Pöyry PLC.
Transportation
Net sales for the period under review were EUR 88.3 (76.5) million.
Operating profit amounted to EUR 7.1 (5.9) million.
Demand for services related to transportation systems continued at a
steady rate. Demand related to road and rail-bound transportation
systems was particularly brisk with an increased activity in large
concession type projects being carried out by contractors. The
business group continued to strengthen its position in local and
international markets, and the capacity increased by 11 per cent.
The order stock increased to EUR 163.1 million (130.9 at the end of
2008) at the end of the period under review. The most important new
projects were the engineering contract with the Swiss federal railway
SBB for a new operation control centre (EUR 3.5 million), design
contracts with Strabag AG for road rehabilitation programmes in
Romania (EUR 3.2 million) and the contract with the Metro Company of
Sao Paulo, Brazil for the extension of the city's metro with a new
Line 4 (EUR 3 million). Important new projects received during the
third quarter were the contract with the Swiss Federal Roads Office
for rehabilitation of the Seelisberg tunnel in Switzerland (EUR 5.0
million) and the design contract for the new airport rail link in
Katowice, Poland with PKP Polskie Linie Kolejowe S.A. (EUR 7.5
million).
Water & Environment
Net sales for the period under review were EUR 63.6 (62.2) million.
Operating profit was EUR 3.4 (2.4) million.
Demand for services related to the water sector remained stable and
there are signs of increasing demand for environmental services from
industry.
The order stock amounted to EUR 69.0 million at the end of the period
under review (76.8 at the end of 2008). The most important new
projects received were the water and sanitation and training
programme assignments in Tanzania and Niger (EUR 3.7 million) and
technical assistance services for the main waste water treatment
plant in Paris (EUR 3 million).
Construction Services
Net sales for the period under review were EUR 59.7 (68.9) million.
Operating profit was EUR 4.7 (8.0) million. The operating profit was
depressed by non-recurring items of about EUR 0.6 million related to
personnel reductions.
Investment activity in the office and commercial building sectors
remained very weak. The activity in infra and energy sector projects,
consultancy and small engineering projects remained relatively good.
The amount of personnel in the business group was adapted and the
capacity decreased by about 120 persons (12 per cent), mainly in
Finland. The reduction was partly implemented with temporary
lay-offs.
The order stock has decreased to EUR 41.0 (48.3 at the end of 2008)
million. The most important new projects were the contract with Oy
Primula Ab for the implementation of the company's production and
logistics project at Järvenpää, Finland, and the contracts with
Länsimetro Oy for the Western Metro extension in Helsinki, Finland
(EUR 1.3 million).
Acquisitions
Energy
Pöyry expanded its operations in May 2009 by acquiring the entire
share capital of Aquarius International Consultants Pty Ltd, an
Australian engineering and marine consulting firm. The engineering
services of Aquarius International Consultants include offshore
structural, naval architecture and marine operations and it has a
clientele of international oil companies. The company's annual net
sales are EUR 1.3 million and its business is profitable. The company
has been consolidated into Pöyry as of 1 May 2009.
Construction Services
The Chinese authorities approved the acquisition of Shanghai Kang Dao
Construction Company Ltd in March 2009. Shanghai Kang Dao
Construction Company is primarily engaged in project management for
industrial and commercial real estate development and construction
projects. Pöyry has consolidated the result and balance sheet of the
company as of 1 March 2009.
Pöyry acquired the remaining 30 per cent of the Finnish architectural
design and real estate consulting firm Pöyry Evata Oy. The company
and its subsidiary Pöyry Architects Oy have been consolidated 100 per
cent into Pöyry as of 1 July 2007.
Order stock
The Group's order stock is relatively good in the light of the
economic environment. It decreased by EUR 25.2 million during the
period under review, totalling EUR 513.9 million at the end of
September. At the end of 2008 the order stock was EUR 539.1 million.
Personnel
The number of personnel in the Group decreased to the equivalent of
6682 full-time employees (7924 at the end of 2008). The capacity was
adapted in particular in the Forest Industry business group but also
in the Construction Services and Energy business groups. About half
of the capacity reduction was implemented with temporary
arrangements.
Statement of financial position
The Group's consolidated balance sheet remains healthy. The equity
ratio at the end of the review period was 39.1 (41.7 at the end of
2008) per cent. The Group's liquidity is good. The net debt/equity
ratio (gearing) was 2.0 (-28.8) per cent. At the end of the review
period the Group's cash and cash equivalents were EUR 128.9 (88.1)
million, interest bearing liabilities EUR 132.5 (31.5) million and
net cash EUR -3.6 (56.6) million. The Group had long-term unused
overdraft facilities at the end of the review period amounting to EUR
92,4 (93,1) million.
Capital expenditure
The Group's capital expenditure for the period under review totalled
EUR 8.0 (13.1) million, of which EUR 4.2 (5.3) million were
investments in company acquisitions.
Principal short term risks and uncertainties
The principal short term risks and uncertainties relate to the
prolongation of the global economic downturn and resulting delays in
investment activity. These risks and uncertainties primarily relate
to the energy, forest industry and construction services segments.
If the weak demand and investment activity further deteriorate, they
may cause the profitability to decrease further. In order to reduce
the risk, the measures to adapt the operations and to streamline the
cost base are continued throughout the Group.
There is a risk that claims for errors, omissions and professional
negligence as well as bad debts and payment delays will increase due
to the difficult economic environment.
Risks and uncertainties also relate to the significant adaptation
measures and changes in the organisation and operating model being
implemented in the Forest Industry business group. To a lesser
extent, the adaptation measures and changes in the Energy and
Construction Services business groups also create risks and
uncertainties.
A detailed report on the Group's most significant risks and risk
management is given in the Financial Statements of 2008.
Share capital and shares
The total number of shares on 1 January 2009 was 58 878 602 and on 22
October 2009 the number was 58 903 510.
Option programme 2004
Pöyry PLC issued in 2004 stock options to the management of the Group
as well as to a wholly-owned subsidiary of Pöyry PLC. The number of
stock options is 550 000, entitling to subscription of four shares
each, i.e. a total of 2 200 000 shares in Pöyry PLC.
The share subscription periods are the following: for stock options
2004A (660 000 shares) between 1 March 2007 and 31 March 2010; for
2004B (660 000 shares) between 1 March 2008 and 31 March 2011; and
for 2004C (880 000 shares) between 1 March 2009 and 31 March 2012.
All stock options have been issued and their receipt confirmed.
At the end of 2008, 399 756 new shares had been subscribed with
69 532 stock options 2004A and 30 407 stock options 2004B. During the
period under review 24 908 new shares were subscribed with 4 127
stock options 2004A and with 2 100 stock options 2004B. Following the
registration of the subscribed shares, the total number of shares is
58 903 510.
Performance share plan 2008-2010
In December 2007, the Board of Directors of Pöyry PLC approved a
share-based incentive plan for the key personnel. The plan comprises
three earning periods, which are the calendar years 2008, 2009 and
2010. The rewards will be paid partly (50 per cent) in the company's
shares and partly (50 per cent) in cash in 2009, 2010 and 2011. The
criteria for the reward payouts for the years 2008 and 2009 are the
Group's earnings per share (EPS) and net sales.
At the time of approval of the payouts for the earning period 2008,
the incentive plan included 287 persons. For the earning period 2008,
the payout ratio was 180.89 per cent corresponding to a value of
433 454 shares. The payments were made to the participants in April
2009.
The value of the plan for the earning period 2009 will correspond to
the value of 400 000 shares if the performance of the Group is in
line with the earnings criteria for target performance set by the
Board of Directors. If the Group's performance exceeds the target and
reaches maximum performance, as defined by the Board, the value of
the plan can reach up to the value of 800 000 shares for the earning
period 2009. The incentive plan for the earning period 2009 includes
approximately 300 persons. On 22 October 2009, 97 per cent of the
grants for the earning period 2009 had been allocated.
The fair value of the reward is expensed until the target group is
entitled to the reward and the shares are freely transferable. The
fair value of the share is the share price on the date at which the
target group has agreed to the conditions of the plan reduced by the
estimated dividends. The fair value of the cash proportion is
remeasured at each reporting date based on the share price at the
reporting date.
Authorisation to issue shares
The Annual General Meeting (AGM) on 10 March 2008 authorised the
Board of Directors to decide on issuing new shares and to convey the
company's own shares held by the company in one or more tranches. 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 and in relation to a share issue against payment at a price
to be determined by the Board of Directors. A maximum of 11 600 000
new shares can be issued. A maximum of 5 800 000 own shares held by
the company can be conveyed. The authorisation is in force for three
years from the decision of the AGM.
The decision made by the AGM was published in its entirety in a
Company Announcement on 10 March 2008.
During the period under review, the Board has resolved on a directed
share issue by conveying without consideration a total of 216 727 of
the company's own shares to persons included in the company's
performance share plan for 2008 in accordance with the terms and
conditions of the plan. The Board of Directors of Pöyry PLC further
resolved on a directed share issue by conveying a total of 10 000 of
the company's own shares held by the company to persons included in
the company's incentive plan. The directed share issues do not affect
the company's share capital or the total number of shares of the
company. After these directed share issues, the maximum number of
shares that may be conveyed is 5 573 273 shares.
Authorisation to acquire the company's own shares
The AGM on 10 March 2008 authorised the Board of Directors to decide
on acquiring a maximum of 5 800 000 of the company's own shares. On
10 March 2008, the Board of Directors resolved to exercise the
authorisation for the implementation of the Performance share plan
2008-2010 described above. On the basis of this authorisation,
148 529 of the company's own shares were acquired in 2008. On 3
February 2009, the Board of Directors resolved to commence acquiring
the company's own shares based on the above-mentioned authorisation.
The shares may be acquired to develop the company's capital
structure, to be used as payment in corporate acquisitions or when
the company acquires assets related to its business and as part of
the company's incentive programmes in a manner and to the extent
decided by the Board of Directors, and to be transferred for other
purposes, or to be cancelled. Based on the resolution by the Board of
Directors, 139 000 of the company's own shares were acquired between
5 February and 4 March 2009.
The AGM on 10 March 2009 authorised the Board of Directors to decide
on acquiring the company's own shares with distributable funds on the
terms given below for the purposes mentioned in the previous
paragraph with the following terms. A maximum of 5 800 000 shares can
be acquired. The company's own shares can be acquired in accordance
with the decision of the Board of Directors either through public
trading or by public offer at their market price at the time of
purchase. The acquisition of shares reduces the company's
distributable shareholders' equity. The authorisation is in force for
18 months from the decision of the AGM.
The decision made by the AGM was published in its entirety in a
Company Announcement on 10 March 2009.
On 10 March 2009, the Board of Directors decided to exercise the
authorisation and to commence the acquisition of the company's own
shares mentioned in the first paragraph under this headline. By the
end of September 2009, 64 818 of the company's own shares have been
acquired based on this authorisation. The average price of the shares
acquired in 2009 was EUR 8.88. Furthermore, Pöyry PLC has acquired
from its subsidiary 8914 Pöyry PLC shares.
Of the above mentioned directed share issue of 216 727 own shares
related to the earnings period 2008 of the performance share plan
2008-2010, 215 641 shares have been transferred to the recipients.
The number of shares transferred to the recipients as at 22 October
2009 is 211 661 taking into account the returns of shares.
Own shares held by the company
The total number of own shares held by the company on 22 October 2009
was 377 157, representing 0.6 per cent of all shares and 0.6 per cent
of all votes.
Invested free equity reserve
The AGM on 10 March 2009 resolved to lower the legal reserve and the
share premium reserve by transferring the entire capital of the
reserves in the aggregate amount of EUR 50 420 234.49 into the
reserve for invested unrestricted equity. The transfer is completed.
Dividend
The Annual General Meeting decided that a dividend of EUR 0.65 be
distributed per outstanding share for 2008 (EUR 0.65 for 2007),
totalling EUR 38.0 million. The dividend was paid on 20 March 2009.
Share trading and price
The company's shares are listed on NASDAQ OMX in Helsinki. The
average trading price during the period under review was EUR 9.46,
with a high of EUR 13.17 and a low of EUR 7.55. A total of 15.8
million of the company's shares were traded, equalling 26.8 per cent
of the total number of shares and corresponding to a turnover of
EUR 148.8 million.
Prospects
Energy
The Energy business group's market position is stable, although in
the short term the weakened demand and tightened competition make it
challenging to maintain the business group's profitability. The
global recession has led to clients' postponing investment decisions.
This trend is not expected to significantly change in the short to
medium term, although prospects for energy projects in several areas
especially in emerging markets remain good. Adaptation measures
designed to safeguard profitability in the Energy business group will
continue. The Energy business group's operating profit is estimated
to decrease significantly in 2009 including non-recurring expenses.
Forest Industry
Investment activity is not expected to recover in the short to medium
term. Preliminary study work for new investment projects continues in
certain areas, notably in Russia and Brazil. Coupled with Pöyry's
strong market position, the long term prospects remain positive.
Demand for local services as well as management consulting in the
forest industry sector has decreased. In response to the market
situation, the business group will pursue further sales and
efficiency improvement measures. The business group's organisation
and operating model is being changed to better serve the current
demand. The Forest Industry business group's operating profit in 2009
is estimated to be clearly negative, including non-recurring items.
Transportation
Continued urbanisation, mobility and the need for transportation
solutions coupled with large stimulus packages announced by
Governments around the world, continue to have a positive impact on
future transportation investments. The impact of this on the
transportation business group, particularly in Western Europe and
Latin America remains positive. It is further expected that as
stability returns to markets around the world, the volume of projects
that are carried out on concession or public private partnership
(PPP) basis will increase.
The business group's order stock has clearly increased and the
outlook remains positive. The Transportation business group's
operating profit is expected to improve in 2009.
Water & Environment
The global market conditions for the Water & Environment business
group continue to be stable. The project pipeline remains healthy and
demand for services in the water sector is unchanged. There are signs
of an increase in demand for environmental services for industrial
clients. Adaptation to climate change, e.g. flood protection, will
continue to be an important driver for the Business Group in the
future. The Water & Environment business group's operations are
expected to remain stable and its operating profit is estimated to
improve in 2009.
Construction Services
Continued low investment activity in the short term particularly in
commercial, and also in the industrial sector, is expected.
Relatively stable demand is anticipated to continue as far as energy
and infrastructure projects and consulting services are concerned.
The business group maintains a strong market position in these areas,
but competition is expected to reduce short term margins. Capacity
adaptation measures and cost-saving programmes launched by the
business group will continue to ensure profitability. Construction
Services business group's operating profit is estimated to decline
clearly in 2009.
Group
The economic downturn is having a clear impact on investment demand
worldwide during 2009. In the Pöyry Group, the impacts have most
clearly been felt in the Forest Industry business group's operations
and profitability, though the business group's market position
remains strong. Pöyry continues its group-wide efficiency improvement
measures and to adapt the capacity to prevailing market conditions.
The aim of these measures is to concentrate know-how, improve the
efficiency of operations and to cut costs. The cost saving target for
fixed expenses is about EUR 30 million annually compared with the
2008 cost base. The target excludes one-off restructuring expenses.
The Group is on tract to deliver these savings with full impact in
2010.
Corporate acquisitions are a central part of Pöyry's growth strategy.
Acquisitions will be made in cases where the target company offers
strategic advantages and supports Pöyry's objectives.
Pöyry's net sales for 2009 are estimated to decrease and profit
before taxes is estimated to decrease significantly compared with
2008.
Vantaa, Finland, 22 October 2009
PÖYRY PLC
Board of Directors
PÖYRY PLC
Heikki Malinen
President and CEO
Teuvo Salminen
Deputy to President and CEO
Additional information:
Heikki Malinen, President and CEO, Pöyry PLC
tel. +358 10 33 21307
Esa Ikäheimonen, CFO, Pöyry PLC
tel. +358 10 33 21586
www.poyry.com
DISTRIBUTION:
NASDAQ OMX Helsinki
Major media
PÖYRY GROUP
Statement of comprehensive income 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
EUR million 2009 2008 2009 2008 2008
NET SALES 150.2 193.9 512.0 608.1 821.7
Other operating income 0.2 0.2 0.5 0.5 6.6
Share of associated companies'
results 0.2 0.9 0.6 2.2 2.2
Materials and supplies -2.0 -3.7 -4.8 -11.6 -15.3
External charges, subconsulting -20.4 -22.3 -63.8 -72.2 -101.0
Personnel expenses -88.3 -100.1 -308.2 -320.2 -433.8
Depreciation -2.0 -2.2 -6.2 -6.4 -9.0
Other operating expenses -36.8 -44.8 -119.2 -126.5 -170.8
OPERATING PROFIT 1.1 21.9 10.9 73.9 100.6
Proportion of net sales, % 0.7 11.3 2.1 12.2 12.2
Financial income 1.3 1.7 4.2 4.0 6.3
Financial expenses -1.4 -0.7 -4.3 -1.7 -3.5
Exchange rate differences -0.2 0.3 0.4 0.1 -0.1
Value decrease on non-current
investment 0.0 0.0 0.0 0.0 -0.1
PROFIT BEFORE TAXES 0.8 23.2 11.2 76.3 103.2
Proportion of net sales, % 0.5 12.0 2.2 12.5 12.6
Income taxes -0.8 -7.5 -4.6 -24.0 -30.6
NET PROFIT FOR THE PERIOD 0.0 15.7 6.6 52.3 72.6
OTHER COMPREHENSIVE INCOME
Translation differences 0.0 0.6 2.0 -2.1 -8.5
TOTAL COMPREHENSIVE INCOME FOR THE
PERIOD 0.0 16.3 8.6 50.2 64.1
Net profit attributable to:
Equity holders of the parent
company -0.4 15.4 5.5 51.0 70.8
Minority interest 0.4 0.3 1.1 1.3 1.8
Total comprehensive income
attributable
to:
Equity holders of the parent
company -0.4 16.0 7.5 48.9 62.3
Minority interest 0.4 0.3 1.1 1.3 1.8
Earnings per share, EUR -0.01 0.26 0.09 0.87 1.21
Corrected with dilution effect -0.01 0.25 0.09 0.85 1.19
PÖYRY GROUP
Statement of financial position 30 September 30 September 31 December
EUR million 2009 2008 2008
ASSETS
NON-CURRENT ASSETS
Goodwill 100.4 95.6 95.9
Intangible assets 5.3 6.4 6.2
Tangible assets 17.3 18.6 18.8
Shares in associated
companies 5.6 7.0 5.8
Other shares 1.9 1.7 1.7
Loans receivable 1.0 0.6 0.1
Deferred tax receivables 10.2 6.0 6.2
Pension receivables 0.2 0.4 0.3
Other 7.2 5.5 5.0
149.1 141.8 140.0
CURRENT ASSETS
Work in progress 86.5 81.6 69.3
Accounts receivable 126.7 138.4 143.5
Loans receivable 0.2 0.2 0.8
Other receivables 13.6 18.6 10.3
Prepaid expenses and accrued
income 13.8 12.7 12.7
Financial assets at fair value
trough
profit and loss 64.5
Cash in hand and at banks 64.4 88.1 203.7
369.7 339.6 440.3
TOTAL 518.8 481.4 580.3
EQUITY AND LIABILITIES
EQUITY
Equity attributable to the
equity
holders of the parent company
Share capital 14.6 14.6 14.6
Share premium reserve 0.0 32.4 32.4
Legal reserve 2.8 20.2 20.5
Invested free equity reserve 56.3 5.4 5.8
Translation difference -20.5 -16.0 -22.4
Retained earnings 118.8 132.5 152.5
172.0 189.1 203.4
Minority interest 7.6 7.4 7.7
179.6 196.5 211.1
LIABILITIES
Non-current liabilities
Interest bearing non-current
liabilities 111.1 21.2 100.8
Pension obligations 7.9 6.9 6.7
Deferred tax liability 4.5 5.8 4.7
Other non-current liabilities 2.5 7.9 5.0
126.0 41.8 117.2
Current liabilities
Amortisations of interest
bearing
non-current liabilities 19.3 1.7 20.5
Interest bearing current
liabilities 2.1 8.6 1.2
Provisions 8.7 4.1 5.8
Project advances 59.2 71.1 73.6
Accounts payable 16.6 22.7 21.8
Other current liabilities 29.3 37.0 43.0
Current tax payable 5.9 11.3 3.6
Accrued expenses and deferred
income 72.1 86.6 82.5
213.2 243.1 252.0
TOTAL 518.8 481.4 580.3
PÖYRY GROUP
Statement of cash flows 7-9/ 7-9/ 1-9/ 1-9/ 1-12/
EUR million 2009 2008 2009 2008 2008
FROM OPERATING ACTIVITIES
Net profit for the period 0.0 15.7 6.6 52.3 72.6
Depreciation and value decrease 2.0 2.2 6.2 6.4 9.1
Gain on sale of fixed assets 0.0 0.0 0.0 0.0 -6.3
Share of associated companies'
results -0.2 -0.9 -0.6 -2.2 -1.6
Financial income and expenses 0.3 -1.3 -0.3 -2.4 -2.5
Income taxes 0.8 7.5 4.6 24.0 30.6
Change in work in progress -6.7 -3.5 -17.2 -17.1 -4.8
Change in accounts and other
receivables 6.5 2.0 10.0 -2.0 1.9
Change in advances received 0.0 -9.6 -14.4 -26.2 -23.7
Change in payables and other
liabilities -14.5 2.2 -15.8 14.1 8.6
Received financial income 0.4 1.7 3.2 4.0 6.2
Paid financial expenses -0.3 -0.6 -3.0 -1.6 -3.0
Paid income taxes -4.9 -10.1 -16.0 -24.7 -30.5
Total from operating activities -16.6 5.3 -36.7 24.6 56.6
CAPITAL EXPENDITURE
Investments in shares in
subsidiaries
deducted with cash acquired 0.8 -0.4 -10.2 -5.3 -8.7
Investments in fixed assets -0.9 -1.9 -3.8 -7.8 -10.7
Sales of shares in associated
companies 0.0 0.0 0.0 0.0 6.9
Sales of other shares 0.0 0.0 0.0 0.7 0.4
Sales of fixed assets 0.0 0.5 0.4 1.1 1.2
Capital expenditure total, net -0.1 -1.8 -13.6 -11.3 -10.9
Net cash before financing -16.7 3.5 -50.3 13.3 45.7
FINANCING
New loans 20.0 0.0 20.0 20.5 118,2
Repayments of loans -0.5 -0.5 -11.1 -1.8 -2.6
Change in current financing 1.6 -4.3 1.2 3.9 -3.7
Change in non-current investments 0.0 0.0 0.0 0.0 0.0
Dividends -0.7 -0.6 -38.7 -39.1 -39.1
Acquisition of own shares -0.1 -1.0 -1.9 -5.9 -5.9
Share subscription 0.0 0.4 0.1 0.8 1.2
Net cash from financing 20.3 -6.0 -30.4 -21.6 68.1
Change in cash and cash equivalents 3.6 -2.5 -80.7 -8.3 113.8
Cash and cash equivalents at the
beginning of period 123.6 92.4 203.7 98.7 98.7
Change in the fair value of financial
assets 0.6 0.6
Impact of translation differences in
exchange rates 1.1 -1.8 5.3 -2.3 -8.8
Cash and cash equivalents at the end of
period 128.9 88.1 128.9 88.1 203.7
Financial assets at fair value trough
profit and loss 64.5 64.5
Cash in hand and at banks 64.4 88.1 64.4 88.1 203.7
Cash and cash equivalents 128.9 88.1 128.9 88.1 203.7
PÖYRY GROUP
Statement of changes in equity
EUR million
Inves-
Share ted
pre- free Trans- Re- Minor-
Share mium Legal equity lation tained ity
cap- re- re- re- differ- earn- inter- Total
ital serve serve serve ences ings Total est equity
Equity
1 July 2008 14.6 32.4 20.3 5.0 -16.6 117.4 173.1 7.5 180.6
Shares sub-
scribed with
stock options 0.4 0.4 0.4
Payment of
dividend 0.0 -0.4 -0.4
Acquisition
of own shares -0.8 -0.8 -0.8
Transfer.
retained
earnings -0.1 0.1 0.0 0.0
Expenses from
share-based
incentive
programmes 0.5 0.5 0.5
Minority
change -0.1 -0.1 -0.1
Comprehensive
income for
the period 0.6 15.4 16.0 0.3 16.3
Changes for
the period 0.0 0.0 -0.1 0.4 0.6 15.1 16.0 -0.1 15.9
Equity
30 Sept. 2008 14.6 32.4 20.2 5.4 -16.0 132.5 189.1 7.4 196.5
Equity
1 Jan. 2008 14.6 32.4 19.5 4.6 -13.9 125.4 182.6 6.9 189.5
Shares sub-
scribed with
stock options 0.8 0.8 0.8
Payment of
dividend -38.0 -38.0 -0.8 -38.8
Acquisition
of own shares -5.9 -5.9 -5.9
Transfer.
retained
earnings 0.7 -0.7 0.0 0.0
Expenses from
share-based
incentive
programmes 0.8 0.8 0.8
Minority
change -0.1 -0.1 -0.1
Comprehensive
income for
the period -2.1 51.0 48.9 1.3 50.2
Other changes 0.0 0.0 0.7 0.8 -2.1 7.1 6.5 0.5 7.0
Equity
30 Sept. 2008 14.6 32.4 20.2 5.4 -16.0 132.5 189.1 7.4 196.5
Equity
1 Jan. 2008 14.6 32.4 19.5 4.6 -13.9 125.4 182.6 6.9 189.5
Shares sub-
scribed with
stock options 1.2 1.2 1.2
Payment of
dividend -38.0 -38.0 -1.0 -39-0
Acquisition
of own shares -5.9 -5.9 -5.9
Transfer.
retained
earnings 1.0 -1.0 0.0 0.0
Expenses from
share-based
incentive
programmes 1.2 1.2 1.2
Minority
change -0.1 -0.1 0.1 0.0
Comprehensive
income for
the period -8.5 70.8 62.3 1.8 64.1
Changes for
the period 0.0 0.0 1.0 1.2 -8.5 27.0 20.7 0.9 21.6
Equity
31 Dec. 2008 14.6 32.4 20.5 5.8 -22.4 152.5 203.4 7.7 211.1
Equity
1 July 2009 14.6 32.4 20.8 5.8 -20.5 119.2 172.3 8.4 180.7
Shares sub-
scribed with
stock options 0.1 0.1 0.1
Payment of
dividend 0.0 -1.2 -1.2
Transfer -32.4 -18.0 50.4 0.0 0,0
Expenses from
share-based
incentive
programmes 0.4 0.4 0.4
Comprehensive
income for
the period -0.4 -0.4 0.4 0.0
Changes for
the period 0.0 -32.4 -18.0 50.5 0.0 0.0 0.1 -0.8 -0.7
Equity
30 Sept. 2009 14.6 0.0 2.8 56.3 -20.5 118.8 172.0 7.6 179.6
Equity 1 Jan.
2009 14.6 32.4 20.5 5.8 -22.4 152.5 203.4 7.7 211.1
Shares sub-
scribed with
stock options 0.1 0.1 0.1
Payment of
dividend -37.9 -37.9 -1.2 -39.1
Acquisition
of own shares -1.9 -1.9 -1.9
Transfer -32.4 -18.0 50.4 0.0 0.0
Transfer.
retained
earnings 0.3 -0.3 0.0 0.0
Expenses from
share-based
incentive
programmes 1.0 1.0 1.0
Comprehensive
income for
the period 2.0 5.5 7.5 1.1 8.6
Changes for
the period 0.0 -32.4 -17.7 50.5 2.0 -33.6 -31.2 -0.1 -31.3
Equity
30 Sept. 2009 14.6 0.0 2.8 56.3 -20.5 118.8 172.0 7.6 179.6
PÖYRY GROUP
31
Contingent liabilities 30 September 30 September December
EUR million 2009 2008 2008
For own debt 0.0 0.0 0.0
Other obligations
Pledged assets 1.8 0.1 0.1
Other obligations 50.3 48.6 45.2
For others
Pledged assets 0.2 0.1 0.1
Other obligations 0.1 0.1 0.1
Rent and lease obligations 110.9 112.2 118.2
Derivative instruments
Foreign exchange forward
contracts,
nominal values 33.9 38.2 29.5
Foreign exchange forward
contracts, 1.1 0.2 1.1
fair values -0.2 -1.2 -1.2
Currency options, nominal
values
Purchased 0.3 5.6
Written 0.0 4.5
Currency options, fair
values
Purchased 0.0 0.2
Written 0.0 -0.2
Interest rate swaps, nominal
values 10.6 11.7
Interest rate swaps, fair
values -0.7 0.1 -0.7
Related party transactions
The transactions with the associated companies are
determined on an arm's length basis.
Sales to associated
companies 0.0 0.3 0.3
Loans receivable from
associated
companies 0.1 0.0 0.1
Accounts receivable from
associated
companies 0.0 0.1 0.0
Shareholding and option rights of related parties
The members of the Board of Directors, the President and CEO, the
Deputy to the President and CEO and the members of the Group
Executive Committee owned on 30 September 2009 a total of 167 676
shares and 108 727 stock options (on 31 December 2008 a total of
167 437 shares, and 150 679 stock options 2004).
With the stock options the shareholding can be increased by 434
908 shares equalling 0.7 per cent of the total number of shares
and votes. The stock option programme is described in the
Financial Statements 2008.
Performance share plan 2008-2010
The Performance share plan includes three earning periods, which
are the calendar years 2008, 2009 and 2010. The rewards will be
paid partly in the company's shares and partly in cash in 2009,
2010 and 2011. Shares must be held for a period of two years from
the transfer date.
During the period under review 90 000 grants have been awarded to
the President and CEO, to the Deputy to the President and CEO and
to the members of the Group Executive Committee, corresponding to
the value of not more than 90 000 shares.
The Performance share plan is described in the verbal part of the
Interim report.
PÖYRY GROUP
7-9/ 7-9/ 1-9/ 1-9/ 1-12/
Key figures 2009 2008 2009 2008 2008
Earnings / share, EUR -0.01 0.26 0.09 0.87 1.21
Corrected with dilution
effect -0.01 0.25 0.09 0.85 1.19
Equity attributable to equity holders
of the parent company/share, EUR 2.92 3.24 3.45
Return on investment, % p.a. 6.8 49.6 45.4
Return on equity, % p.a. 4.6 38.7 38.7
Equity ratio, % 39.1 47.9 41.7
Equity / Assets ratio, % 34.6 40.8 36.4
Net debt / Equity ratio (gearing), % 2.0 -28.8 -38.5
Net debt, EUR million 3.6 -56.5 -81.2
Consulting and engineering, EUR million 510.8 592.5 538.6
EPC, EUR million 3.1 2.0 0.5
Order stock total, EUR million 513.9 594.5 539.1
Capital expenditure, operating, EUR
million 0.9 1.9 3.8 7.8 10.7
Capital expenditure in shares, EUR
million 0.0 0.0 4.2 5.3 8.9
Personnel in Group companies on average 7208 7648 7702
Personnel in Group companies at the end
of the period 6682 7886 7924
Personnel in associated companies at
the end of the period 142 326 142
Change in intangible assets
EUR million
Book value at beginning of period 5.7 6.6 6.2 6.6 6.6
Acquired companies 0.0 0.0 0.0 0.0 0.7
Capital expenditure 0.0 0.4 0.7 1.8 1.4
Decreases 0.0 0.0 0.0 0.0 0.0
Depreciation and expenses -0.5 -0.6 -1.7 -1.8 -2.5
Translation difference 0.1 0.0 0.1 -0.2 0.0
Book value at end of period 5.3 6.4 5.3 6.4 6.2
Change in tangible assets
Book value at beginning of period 17.8 19.4 18.8 17.8 17.8
Acquired companies 0.0 0.0 0.0 0.7 0.7
Capital expenditure 0.8 1.5 3.1 6.0 9.3
Decreases 0.0 -0.5 -0.4 -1.1 -2.2
Depreciation -1.5 -1.6 -4.5 -4.6 -6.6
Translation difference 0.2 -0.2 0.3 -0.2 -0.2
Book value at end of period 17.3 18.6 17.3 18.6 18.8
PÖYRY GROUP
Segment information 1-9/2009 1-9/2008 1-12/2008
EUR million
NET SALES
Energy 161.1 177.0 241.3
Forest Industry 137.7 222.0 294.5
Transportation 88.3 76.5 105.5
Water & Environment 63.6 62.2 87.6
Construction Services 59.7 68.9 92.8
Unallocated 1.6 1.5 0.0
Total 512.0 608.1 821.7
OPERATING PROFIT AND NET PROFIT FOR THE
PERIOD
Energy 7.2 20.2 32.0
Forest Industry -9.0 41.3 50.8
Transportation 7.1 5.9 9.2
Water & Environment 3.4 2.4 4.2
Construction Services 4.7 8.0 9.9
Unallocated -2.5 -3.9 -5.5
Operating profit total 10.9 73.9 100.6
Financial income and expenses 0,3 2.4 2.6
Profit before taxes 11.2 76.3 103.2
Income taxes -4.6 -24.0 -30.6
Net profit for the period 6.6 52.3 72.6
Profit attributable to:
Equity holders of the parent company 5.5 51.0 70.8
Minority interest 1.1 1.3 1.8
OPERATING PROFIT %
Energy 4.4 11.4 13.2
Forest Industry -6.6 18.6 17.2
Transportation 8.1 7.7 8.7
Water & Environment 5.3 3.9 4.8
Construction Services 7.9 11.6 10.7
Total 2.1 12.2 12.2
ORDER STOCK
Energy 186.3 216.1 196.4
Forest Industry 54.4 116.3 86.3
Transportation 163.1 130.3 130.9
Water & Environment 69.0 78.3 76.8
Construction Services 41.0 53.1 48.3
Unallocated 0.1 0.4 0.4
Total 513.9 594.5 539.1
Consulting and engineering 510.8 592.5 538.6
EPC 3.1 2.0 0.5
Total 513.9 594.5 539.1
PÖYRY GROUP
Segment information
EUR million 1-9/2009 1-9/2008 1-12/2008
PERSONNEL, END OF THE PERIOD
Energy 1670 1888 1870
Forest Industry 1942 2886 2917
Transportation 1196 1062 1073
Water & Environment 909 973 976
Construction Services 848 965 971
Unallocated 117 112 117
Total 6682 7886 7924
ASSETS, END OF THE PERIOD
Energy 193.1 200.6 209.1
Forest Industry 158.4 225.3 241.9
Transportation 107.5 89.7 100.1
Water & Environment 71.4 63.1 84.8
Construction Services 65.8 56.9 75.3
Unallocated -77.4 -154.1 -130.9
Total 518.8 481.5 580.3
NET SALES BY AREA
The Nordic countries 144.1 175.4 234.3
Europe 249.2 265.1 363.1
Asia 40.0 53.1 72.6
North America 15.2 21.7 27.7
South America 40.5 69.0 89.5
Other 23.0 23.8 34.5
Total 512.0 608.1 821.7
PÖYRY GROUP
Segment information
EUR million 10-12/07 1-3/08 4-6/08 7-9/08
NET SALESEnergy 62.7 58.1 62.1 56.8
Forest Industry 74.1 70.8 81.9 69.3
Transportation 24.6 23.7 26.5 26.3
Water & Environment 21.6 20.3 21.6 20.3
Construction Services 22.0 22.9 25.4 20.6
Unallocated 0.5 0.4 0.5 0.6
Total 205.5 196.2 218.0 193.9
OPERATING PROFIT AND NET PROFIT FOR THE
PERIOD
Energy 5.4 5.6 8.3 6.3
Forest Industry 11.7 11.7 16.9 12.7
Transportation 2.0 2.1 1.4 2.4
Water & Environment 1.6 0.7 1.4 0.3
Construction Services 2.6 2.7 3.4 1.9
Unallocated -1.1 -0.8 -1.4 -1.7
Operating profit total 22.2 22.0 30.0 21.9
Financial income and expenses 1,1 0.6 0.5 1.3
Profit before taxes 23.3 22.6 30.5 23.2
Income taxes -6.7 -7.1 -9.4 -7.5
Net profit for the period 16.6 15.5 21.1 15.7
Profit attributable to:
Equity holders of the parent company 15.9 15.1 20.5 15.4
Minority interest 0.7 0.4 0.6 0.3
OPERATING PROFIT %
Energy 8.6 9.6 13.4 11.1
Forest Industry 15.9 16.5 20.6 18.3
Transportation 8.1 8.9 5.3 9.1
Water & Environment 7.2 3.4 6.5 1.5
Construction Services 11.9 11.8 13.4 9.2
Total 10.8 11.2 13.8 11.3
ORDER STOCK
Energy 212.7 205.8 195.8 216.1
Forest Industry 119.6 133.0 123.3 116.3
Transportation 107.0 113.1 114.5 130.3
Water & Environment 72.4 74.7 75.0 78.3
Construction Services 51.1 47.3 46.7 53.1
Unallocated 0.0 0.4 0.4 0.4
Total 562.8 574.3 555.7 594.5
Consulting and engineering 551.4 568.5 551.5 592.5
EPC 11.4 5.8 4.2 2.0
Total 562.8 574.3 555.7 594.5
PÖYRY GROUP
Segment information
EUR million 10-12/08 1-3/09 4-6/09 7-9/09
NET SALES
Energy 64.3 59.5 52.9 48.7
Forest Industry 72.5 53.8 48.7 35.2
Transportation 29.0 30.8 29.0 28.5
Water & Environment 25.4 21.0 22.0 20.6
Construction Services 23.9 22.2 20.7 16.8
Unallocated -1.5 0.5 0.7 0.4
Total 213.6 187.8 174.0 150.2
OPERATING PROFIT AND NET PROFIT FOR THE
PERIOD
Energy 11.8 4.1 2.5 0.6
Forest Industry 9.5 -2.8 -2.2 -4.0
Transportation 3.3 2.5 2.0 2.6
Water & Environment 1.8 0.8 1.5 1.1
Construction Services 1.9 1.7 1.6 1.4
Unallocated -1.6 -1.1 -0.8 -0.6
Operating profit total 26.7 5.2 4.6 1.1
Financial income and expenses 0.2 1.1 -0.5 -0.3
Profit before taxes 26.9 6.3 4.1 0.8
Income taxes -6.6 -2.0 -1.8 -0.8
Net profit for the period 20.3 4.3 2.3 0.0
Profit attributable to:
Equity holders of the parent company 19.8 3.8 2.1 -0.4
Minority interest 0.5 0.5 0.2 0.4
OPERATING PROFIT %
Energy 18.4 6.9 4.7 1.2
Forest Industry 13.1 -5.2 -4.5 -11.4
Transportation 11.3 8.0 6.9 9.1
Water & Environment 7.3 3.8 6.8 5.3
Construction Services 8.1 7.5 7.7 8.3
Total 12.5 2.8 2.6 0.7
ORDER STOCK
Energy 196.4 195.2 190.9 186.3
Forest Industry 86.3 71.7 63.4 54.4
Transportation 130.9 151.8 157.0 163.1
Water & Environment 76.8 78.8 75.5 69.0
Construction Services 48.3 48.3 46.1 41.0
Unallocated 0.4 0.6 1.2 0.1
Total 539.1 546.4 534.1 513.9
Consulting and engineering 538.6 539.8 530.7 510.8
EPC 0.5 6.6 3.4 3.1
Total 539.1 546.4 534.1 513.9
PÖYRY GROUP
Calculation of key figures
Return on investment, ROI %
100 profit before taxes + interest and other financial expenses
x --------------------------------------------------------------
balance sheet total - non-interest bearing liabilities
(quarterly average)
Return on equity, ROE %
100 net profit
x -------------------------------
equity (quarterly average)
Equity ratio %
100 equity
x ------------------------------------------------
balance sheet total - advance payments received
Equity/assets ratio %
100 equity
x --------------------------
balance sheet total
Net debt/equity ratio, gearing %
100 interest-bearing liabilities - cash and cash equivalents
x ---------------------------------------------------------
equity
Earnings/share, EPS
net profit attributable to the equity holders of the parent company
--------------------------------------------------------------------
issue-adjusted average number of shares for the fiscal year
Equity attributable to the equity holders of the parent company/share
equity attributable to the equity holders of the parent company
-----------------------------------------------------------------
issue-adjusted number of shares at the end of the fiscal year
PÖYRY GROUP
Acquisitions during 2009
Acquisition Acquired
Name and business date interest %
Aquarius International Consultants Pty Ltd 14 May 2009 100
The company is one of Australia's leading
independent offshore engineering and marine
consulting firm and is highly respected in
the offshore oil and gas industry. The
company is based in Perth, Australia,
employing ten persons. The company's
annual net sales are about EUR 1.3 million.
The company has been consolidated into
Pöyry as of 1 May 2009.
Acquisitions during 2008
Acquisition Acquired
Name and business date interest %
Arket Oy 7 May 2008 100
The company specialises in architectural
design services for healthcare, office,
retail and industrial buildings. The
company is based in Espoo, Finland
employing nine persons. The company has
been merged with Pöyry Architects Oy.
Geopale Oy 12 May 2008 100
The company specialises in bedrock core
drillings. The company is based in
Jyväskylä, Finland employing 14 persons.
The company has been merged with Pöyry
Environment Oy.
Consilier Construct S.R.L. 27 May 2008 100
The company focuses on the transportation
market in particular on the road and rail
sector. The company is based in Bucharest
in Romania and has a staff of 220.
1 October
ETT Proyectos S.L. 2008 100
The company provides engineering and
consultancy services in the rail sector,
including both conventional rail systems as
well as high-speed rail systems. The
company is based in Madrid, Spain and has a
staff of 45.
3 December
Kündig & Partner AG 2008 100
The company is specialised in HVAC building
services, and brings in a focus on complex
and sophisticated sanitary designs of
hospitals and laboratory facilities. The
company is based in Bern, Switzerland and
has a staff of 10.
Shanghai Kang Dao Construction Company Ltd 2008 100
1 March 2009
The company is primarily engaged in project
management for industrial and commercial
real estate development and construction
projects. The company is based in Shanghai,
China and has a staff of 27. The company
has not been consolidated into Pöyry Group
in 2008. The acquisition was completed in
March 2009 and included in Pöyry Group from
the beginning of March 2009.
PÖYRY GROUP
Aggregate figures for the above acquisitions
EUR million 2009 2008
Purchase price
Fixed price, paid 4.2 8.8
Fixed price, unpaid 0.0
Earnout estimate 0.2
Order intake estimate
Fees 0.0 0.1
Total 4.2 9.1
Price allocation
Equity 0.2 4.7
Fair value adjustments:
Client relationship 0.0 0.0
Order stock 0.0 0.0
Other 0.0 0.0
Total 0.2 4.7
Goodwill (remaining) 4.0 4.4
Market leadership, experienced management and staff, and
earnings expectations are factors contributing to the
amount booked as goodwill.
Impact on the Pöyry Group's income statement
Operating profit from acquisition date to
end of September 2009 / December 2008 0.1 1.8
Sales volume on a 12-month calendar year basis 3.0 17.4
Operating profit on 12-month calendar year basis 0.7 2.4
Impact on the Pöyry Group's number of personnel 37 328
Impact on the Pöyry Group's assets and
liabilities
EUR million
2009 2008
Book Book
values values
at Fair Adjus- at Fair Adjus-
acqui- value ted acqui- value ted
sition adjust- IFRS sition adjust- IFRS
date ments values date ments values
Intangible assets 0.0 0.0 0.1 0.1
Tangible assets 0.0 0.0 0.8 0.1 0.9
Work in progress 0.0 0.0 0.9 0.6 1.5
Accounts receivable 0.2 0.2 4.6 4.6
Other receivables 0.0 0.0 1.6 -0.2 1.4
Cash and cash
equivalents 0.2 0.2 2.5 2.5
Assets total 0.4 0.0 0.4 10.5 0.5 11.0
Interest bearing
liabilities 0.0 0.0 0.5 0.5
Project advances 0.0 0.0 0.0 0.0
Accounts payable 0.0 0.0 1.7 1.7
Other current
liabilities 0.2 0.2 3.4 0.7 4.1
Liabilities total 0.2 0.0 0.2 5.6 0.7 6.3
Net identifiable
assets and
liabilities 0.2 0.0 0.2 4.9 -0.2 4.7
Total cost of
business
combinations 4.2 9.1
Goodwill 4.0 4.4
Consideration paid,
satisfied in cash 4.2 8.8
Cash acquired 0.2 2.5
Net cash outflow 4.0 6.3
Based on the purchase agreements the companies acquired during
the period under review are consolidated 100% into the Pöyry
Group as of the end of the month when acquired.
The figures are
preliminary.
© 2024 Nasdaq, Inc. All Rights Reserved |