Efore - Company Announcement

Efore Plc lowers its financial estimate for 2016

Espoo, Finland, 2016-05-24 14:00 CEST (GLOBE NEWSWIRE) -- 

EFORE PLC  Stock Exchange Release   May 24, 2016    3.00 p.m.



Efore Plc downgrades its financial estimate for 2016 due to lower than
forecasted demand during the first half of the year and due to challenges in
production. 

New financial estimate is:

The Company estimates its net sales of financial year 2016 to be lower than in
the previous year (2015: EUR 89,9 million), and results from operating
activities without one-time items to be negative, but better than in the
previous year (2015: EUR -1,6 million). 

Previous financial estimate was:

The Company estimates its net sales of financial year 2016 to be higher than
2015, and the results from operating activities without one-time items to be
positive. 

Efore Plc prepares outsourcing of manufacturing as well as manufacturing
support functions at the Suzhou plant in China with selected EMS partners, as
earlier disclosed on March 30, 2016. 

The target of the outsourcing is to improve Efore’s cost structure and
flexibility as well as to improve the company’s ability to expand its customer
base in new markets according to the strategy. As a result of this, the company
can allocate more resources especially in sales and in core competencies of
product development. 

The target is to finalize the outsourcing negotiations during the third quarter
of 2016. 

Furthermore, the company has started actions to reduce its fixed cost structure.

Efore will publish its half year report on August 10, 2016.

EFORE PLC

Jorma Wiitakorpi
President and CEO

For further information please contact on May 24, 2016 at 4-5 p.m. Jorma
Wiitakorpi, President and CEO, tel. +358 40 175 8510. 

DISTRIBUTION

Nasdaq Helsinki Oy
Principal media


Efore Group

Efore Group is an international company which develops and produces demanding
power products. Efore's head office is based in Finland and its production
units are located in China and Tunisia. Sales and marketing operations are
located in Europe, United States and China. In the fiscal year ending in
December 2015, consolidated net sales totalled EUR 89,9 million and the Group's
personnel averaged 887. The company's share is quoted on the Nasdaq Helsinki
Ltd. www.efore.com