2009-10-23 07:30:00 CEST
2009-10-23 07:30:03 CEST
REGULATED INFORMATION
Larox Oyj - Interim report (Q1 and Q3)
LAROX GROUP INTERIM REPORT 23.10.2009
LAROX CORPORATION INTERIM REPORT 23.10.2009 AT 8.30 AM INTERIM FINANCIAL REPORT OF THE LAROX GROUP FOR THE PERIOD 1 JANUARY 2009 TO 30 SEPTEMBER 2009 Highlights of the review period Q1-Q3/2009 - The amount of new orders was EUR 78.7 million (EUR 159.0 million). - Net sales were EUR 116.0 million (EUR 143.9 million) - Operating result was EUR -0.7 million (EUR 11.7 million), -0.6% (8.1%) of net sales - Operating result without extraordinary items was EUR 4.0 million (EUR 11.7 million), 3.4% (8.1%) of net sales - Result before tax was EUR -1.3 million (EUR 10.2 million) - Earnings per share was EUR -0.13 (EUR 0.77) - Due to the adjustment measures a total of EUR 4.6 million costs are booked to third quarter. Highlights of the period Q3/2009 - The amount of new orders was EUR 27.0 million (EUR 53.8 million) - Net sales were EUR 32.0 million (EUR 58.8 million) - Operating result was EUR -4.3 million (EUR 5.5 million, -13.3% (9.4%)) - Operating result without extraordinary items was EUR 0.3 million (EUR 5.5 million, -1.1% (9.4%)) - Result before tax was EUR -4.4 million (EUR 4.8 million) Highlights after the review period Certain biggest Larox shareholders have agreed with Outotec Oyj on October 15, 2009 on share exchange transactions, in which they will sell all their Larox series A and B shares to Outotec. The shares to be sold correspond altogether to 94.40 per cent of all the votes in Larox, to 99.99 per cent of all Larox series A shares and to 61.89 per cent of all Larox series B shares. The purchase price for the shares shall be paid in the form of new Outotec shares. The completion of the share exchange transactions is conditional on the receipt of necessary approvals from the competition authorities. Upon completion of the share exchange transactions, Outotec has announced to make a mandatory public tender offer for all the remaining Larox series A and B shares. BUSINESS OPERATIONS Order backlog was EUR 36.6 million (EUR 110.1 million) at the end of the review period and the amount of new orders was EUR 78.7 million (EUR 159.0 million). More than 95% of Group net sales were generated by exports and foreign operations. PROFITS AND PROFITABILITY The net sales for the preview period were EUR 116.0 million (EUR 143.9 million). The Group showed an operating result of EUR -0.7 million (EUR 11.7 million), i.e. -0.6% (8.1%) of net sales. Operating result for the three firs quarter in 2009 without extraordinary items was EUR 4.0 million, 3.4% of net sales. Larox Group's result before tax for the nine months totaled EUR -1.3 million (EUR 10.2 million, 1 January 2008 to 30 September 2008), without extraordinary items the result before tax was EUR 3.3 million (EUR 10.2 million). To improve profitability and to adjust the organization and cost structure to the weakened demand Larox has implemented measures during the review period. Both lay-off and reduced working hours agreements have been contracted in the Group. Larox's subsidiary in the Netherlands has closed down its local Engineering and Procurement department. Operations have been centralized and partly moved to China. Larox continues adjustment measures and has started new negotiations with the employee representatives. The aim for these two phases is to reduce Larox's annual costs by approximately 6.5 million euros. It is estimated that these annual cost reductions will be fully realized in 2011. These adjustment measures will generate a total of 4.6 million euros non-recurring costs, which are booked as a reservation in the third quarter. BALANCE SHEET AND FINANCING By the end of September 2009 the Group balance sheet totaled EUR 106.5 million (EUR 107.8 million). By the turn of the year the balance sheet total was EUR 118.1 million. The Group's net financing costs totaled EUR 0.7 million (EUR 1.5 million), i.e. 0.6% (1.0%) of the net sales. Net cash flow from operating activities was EUR 2.3 million (EUR 16.4 million). The equity ratio was 31.3 % (32.6 %) and at the end of the previous financial year (31 December 2008) it was 32.3 %. INVESTMENTS Larox Group's investments totaled EUR 2.4 million (EUR 6.2 million) including machinery investments especially in Finland and in China and furthermore IT applications, product development and replacement investments. PERSONNEL The average number of personnel employed by the Group during the review period was 593 (526). At the end of the review period it was 569 (557) of whom 249 (266) worked for the parent company. The number of personnel increased especially in China, the increase is for the preview period 40 persons. Larox started assembly under its own subsidiary in china. in other countries, especially within the area of Europe, the number of persons decreased due to the adjustment measures. at the turn of the fiscal year the number of group personnel totaled 593 and 279 in the parent company. SHARES AND SHAREHOLDERS During 1 January 2009 to 30 September 2009 trading in shares totaled 899,077, which is 9.6 % of the total number of shares. The value of shares traded was EUR 5.9 million. During the review period the lowest share price was EUR 4.79 and the highest was EUR 8.10. The closing price of the share was 7.00 and the total market value of the shares was EUR 66.0 million. At the end of September there were 2.219 shareholders. AUTHORIZATIONS TO THE BOARD OF DIRECTORS DECIDED IN THE ANNUAL GENERAL MEETING OF SHAREHOLDERS The authorization to the Board of Directors regarding the payment of a possible additional dividend was not used during the review period. The authorization is for the payment of an additional dividend of EUR 0.20 per share at the maximum, should the economic situation of the company allow it. The Board of Directors can decide on the dividend in question by 31 December 2009. The authorization to the Board of Directors to decide on the purchase of own B-series shares was not used during the review period. The authorization is for the Board of Directors to decide on the purchase of own B-series shares in the following way: The number of own B-series shares to be purchased is 500.000 shares at the maximum. The Board of Directors can purchase these shares only by using the company's unrestricted shareholders' equity in public trading arranged by Nasdaq OMX Helsinki Ltd. at fair value at the date of acquisition in a proportion not pro rata to the shares owned by the shareholders. The authorization is valid for 18 months from the date of the decision by the annual meeting of shareholders. The Board of Directors of Larox Corporation decided on 26 March 2009 on a directed share issue for the reward payment from the measuring period 2007-2008 of the Share Ownership Plan 2007-2010. In the share issue 44,350 Larox Corporation new B shares were issued and conveyed without consideration to the key persons participating in the Share Ownership Plan according to the terms and conditions of the plan. More detailed information on the incentive plan was published on May 30, 2007. The decision on the directed share issue is based on the authorization granted to the Board of Directors by the annual general meeting of shareholders held on 30 March 2007. This decision was announced on 26 March 2009. The directed share issue does not affect the company's share capital. At the end of the period, the company held 1,000 of its own B-shares, which is 0.01% of the total number of shares or 0.002% of the total number of votes. EVENTS AFTER REVIEW PERIOD Certain biggest Larox shareholders have agreed with Outotec Oyj on October 15, 2009 on share exchange transactions, in which they will sell all their Larox series A and B shares to Outotec. The shares to be sold correspond altogether to 94.40 per cent of all the votes in Larox, to 99.99 per cent of all Larox series A shares and to 61.89 per cent of all Larox series B shares. The purchase price for the shares shall be paid in the form of new Outotec shares. The completion of the share exchange transactions is conditional on the receipt of necessary approvals from the competition authorities. Upon completion of the share exchange transactions, Outotec has announced to make a mandatory public tender offer for all series A and series B shares. The consideration to be offered for each series A and series B share in the tender offer equals to the consideration under the share transactions, i.e. 0.45 Outotec shares per each Larox series A share and 0.40 Outotec shares per each Larox series B share. As required under the Finnish Securities Market Act, a cash consideration of EUR 10.76 per each series A share and EUR 9.56 per each series B share will be offered as an alternative. The amount of the cash consideration is based on the closing price of Outotec share on NASDAQ OMX Helsinki Ltd. on October 14, 2009. The transaction values Larox as a whole at approximately EUR 93 million. In connection with the share exchange transactions Capillary Oy has informed Outotec that it will make an offer to Larox to purchase the 49 per cent share held by Larox of Larox Flowsys Oy's share capital. Provided that the Board of Directors of Larox decides on such sale after the completion of the share exchange transactions, Outotec has confirmed that it will, after the completion of the tender offer, contribute to the fact that the shares in Larox Flowsys Oy owned by Larox will be assigned to Capillary Oy for their fair price at the time of the sale and that Larox Flowsys Oy shall be entitled to continue using the name "Larox" for an agreed period. RISKS AND UNCERTAINTY FACTORS Risk management is part of Larox Group's management and control system. It aims at preventing negative phenomena, support the Group strategy and ensure continuity of its operations and the wellbeing of its personnel. According to Larox risks management system risks are divided into the following four risk categories: business, operational, financial risks and risk of damage. Larox operates on a global market where global economic trends affect its business development, but the company is not at the mercy of changes in any particular market area. The recent political unrest in sub-equatorial Africa has caused the most uncertainty in Larox's business. The demand risk of Larox products has increased essentially because of the global economic challenges. The uncertainty in demand, which appeared at the end of 2008, is expected to continue during the year of 2009. The international recession has decreased Larox's customers' interest in investments and their operational volumes when at the same time some customers are starting economic measurements. some of the customers have postponed their decisions for investments. this all causes further increase in competition. There are certain branches of industry in Larox's clientele where less effect of the economic crisis has been noticed, such as the food and pharmaceutical industries. Similarly there is less effect in China and India. Larox manages risks related to purchasing and manufacturing already at contract level by tying raw material costs to materials cost index. Furthermore Larox inspects and controls its subcontractors even more than before in accordance with quality systems and by developing logistics. In addition, Larox aims to expand its cooperation networks in order to avoid excessive dependencies on key-suppliers. Larox improves also possibilities for product technology transfers by creating and recording the procedures for more secured world-wide technology transfers. Due to the economic crisis, skilled personnel are now more readily available. Larox attempts to tackle other personnel-related challenges by training the personnel and by creating various types of incentive bonus and motivation schemes. The uncertainty about the financial situation of customer companies has increased Larox's credit loss risk, too. Larox attempts to control these risks by applying more suitable payment terms, by monitoring operations actively and by reacting to payment delays more efficiently. On the initiative of some customers Larox has negotiated and agreed on the postponement of some orders in the order backlog to a later date than originally agreed. The euro, U.S. dollar, Australian dollar and South African rand are Larox's main invoicing currencies. Larox's principal buying currency is the euro. Larox fights off currency risks by means of various protective measures. The fluctuation of exchange rates of Larox's main currencies makes the management of currency risks more difficult. Larox manages its liquidity risk by means of efficient cash management. During the review period, Larox increased amounts of available bank limits as well as developed collection of receivables and internal reporting system. Larox's liquidity has improved during this period. Marginals of the credits of Larox have increased during the review period. However, the average interest rate of the credits has decreased during the same period as market interests rates have decreased. Larox fights off the risk of damage by following various occupational health and safety schemes and by preparing other strategies and plans for business premises. According to Larox, traffic and other accidents and illnesses during business trips pose the greatest risk of damage. During the review period there was one fatal accident in Larox's subisidiary in South Africa, causing the death of one employee of Larox's subcontractor. The causes of the accident are under investigation. During the review period there have not been any other savage personnel damages or accidents. Further information about risks and risk management is presented in the Group's Internet pages (www.larox.com)in the section of Corporate Governance. OUTLOOK FOR THE REST OF THE YEAR The instability in the world economy causes uncertainty in the demand situation. Due to this outlook for the rest of the year is very difficult to predict and the estimation includes more uncertainty than usual. Due to the non-recurring costs resulting from adjustment measures Larox's result for the year 2009 will be clearly negative. Lappeenranta on 23rd October 2009 Larox Corporation Board of Directors For further information please contact Mr. Topi Karppanen President & CEO Tel +358 (0) 207 687 210 Fax +358 (0) 207 687 277 E-mail topi.karppanen@larox.com Internet www.larox.com Distribution: NASDAQ OMX Helsinki Ltd, central media www.larox.com NOTES TO THE INTERIM REPORT This interim report has been prepared in accordance with IFRS recognition and measurement principles. The review is not prepared in accordance with all the requirements of IAS 34 Interim Financial Reporting -standard. Larox has applied the same accounting principles in this Annual Report as in Annual Report 2008. In addition new requirements of IAS 1 and IFRS 8 standards have been applied since 1 January 2009. The contents of the changes in standards and interpretations are presented more detailed in Annual Report 2008. Other reversed or new standards or interpretations have no material impact on the financial statement of the Group. The preparation of the financial statements in accordance with IFRS requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities and the reported amounts of income and expenses during the reporting period. The estimates are based on management's best knowledge of current events and actions but actual results may differ from these estimates. All below figures in the financial statements have been adjusted and therefore the added sum of individual figures may differ from the presented added figure. Annual reporting information included in this release is unaudited. -------------------------------------------------------------------------------- | INCOME STATEMENT | | | | | | -------------------------------------------------------------------------------- | 1 000 EUR | 7-9 | 7-9 | 1-9 | 1-9 | 1-12 | | | /2009 | /2008 | /2009 | /2008 | /2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 31 947 | 58 804 | 116 007 | 143 916 | 207 995 | -------------------------------------------------------------------------------- | Other operating income | 337 | 419 | 871 | 1 905 | 4 230 | -------------------------------------------------------------------------------- | Materials | -15 043 | -33 235 | -56 585 | -74 779 | -107 971 | -------------------------------------------------------------------------------- | External services | -1 676 | -2 293 | -5 845 | -6 345 | -11 146 | -------------------------------------------------------------------------------- | Employee benefits | -12 083 | -9 491 | -31 011 | -26 379 | -36 360 | | expense | | | | | | -------------------------------------------------------------------------------- | Depreciation, | - 953 | -986 | -3 064 | -2 850 | -3 808 | | amortization & | | | | | | | impairment losses | | | | | | -------------------------------------------------------------------------------- | Other operating | -6 785 | -7 694 | -21 035 | -23 758 | -36 322 | | expenses | | | | | | -------------------------------------------------------------------------------- | OPERATING PROFIT | - 4 256 | 5 524 | -663 | 11 709 | 16 618 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Financial income | 249 | -98 | 831 | 471 | 655 | -------------------------------------------------------------------------------- | Financial expenses | -391 | -877 | -1 441 | -2 450 | -3 778 | -------------------------------------------------------------------------------- | Share of profit/loss | 23 | 243 | -45 | 501 | 462 | | in associates | | | | | | -------------------------------------------------------------------------------- | PROFIT/LOSS BEFORE TAX | -4 375 | 4 792 | -1 317 | 10 231 | 13 957 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Income tax expense | 1 091 | -1 475 | 87 | -3 037 | -3 935 | -------------------------------------------------------------------------------- | PROFIT/LOSS FOR THE | -3 285 | 3 317 | -1 230 | 7 194 | 10 022 | | PERIOD | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit for the period | -3 285 | 3 317 | -1 230 | 7 194 | 10 022 | | attributable to equity | | | | | | | holders of | | | | | | | the parent company | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per share | | | | | | | attributable to equity | | | | | | | holders of | | | | | | | the parent company | | | | | | -------------------------------------------------------------------------------- | EPS basic (EUR) | -0,35 | 0,35 | -0,13 | 0,77 | 1.07 | -------------------------------------------------------------------------------- | EPS diluted (EUR) | -0,35 | 0,35 | -0,13 | 0,77 | 1.07 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | STATEMENT OF | 7-9 | 7-9 | 1-9 | 1-9 | 1-12 | | COMPREHENSIVE | /2009 | /2008 | /2009 | /2008 | /2008 | | INCOME | | | | | | -------------------------------------------------------------------------------- | 1 000 EUR | | | | | | -------------------------------------------------------------------------------- | Profit for the period | -3 285 | 3 317 | -1 230 | 7 194 | 10 022 | -------------------------------------------------------------------------------- | OTHER COMPREHENSIVE | | | | | | | INCOME | | | | | | -------------------------------------------------------------------------------- | Gains/ losses | | | | | | | recognized directly in | | | | | | | equity | | | | | | -------------------------------------------------------------------------------- | Cash flow hedges | 86 | -440 | 414 | -218 | -208 | | excluding taxes,( | | | | | | | 7-9/2009 112, 7-9/2008 | | | | | | | 61, 1-9/2009 115, | | | | | | | 1-9/2008 78 and | | | | | | | 1-12/2008 -73) | | | | | | -------------------------------------------------------------------------------- | Currency translation | -171 | 407 | 655 | -611 | -1 269 | | differences | | | | | | -------------------------------------------------------------------------------- | Total other | -85 | -33 | 1 069 | -829 | -1 477 | | comprehensive | | | | | | | income | | | | | | -------------------------------------------------------------------------------- | TOTAL COMPREHENSIVE | -3 370 | 3 284 | -161 | 6 365 | 8 545 | | INCOME FOR THE PERIOD | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total comprehensive | -3 370 | 3 284 | -161 | 6 365 | 8 545 | | income attributable to | | | | | | | equity holders | | | | | | | of the parent company | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | STATEMENT OF FINANCIAL POSITION, | | | | | IFRS | | | | -------------------------------------------------------------------------------- | 1 000 EUR | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | ASSETS | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | NON-CURRENT ASSETS | | | | -------------------------------------------------------------------------------- | Intangible asssets | 17 862 | 17 917 | 18 998 | -------------------------------------------------------------------------------- | Goodwill | 3 124 | 2 778 | 2 843 | -------------------------------------------------------------------------------- | Property, plant and equipment | 12 064 | 9 141 | 11 382 | -------------------------------------------------------------------------------- | Investments in associates | 1 542 | 1 754 | 1 723 | -------------------------------------------------------------------------------- | Available-for-sale investments | 23 | 34 | 23 | -------------------------------------------------------------------------------- | Receivables | 0 | 4 332 | | -------------------------------------------------------------------------------- | Deferred tax asset | 4 901 | 5 281 | 5 063 | -------------------------------------------------------------------------------- | TOTAL NON-CURRENT ASSETS | 39 516 | 41 237 | 40 031 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CURRENT ASSET | | | | -------------------------------------------------------------------------------- | Inventories | 22 985 | 28 742 | 28 191 | -------------------------------------------------------------------------------- | Trade receivables and other | 40 888 | 32 946 | 46 555 | | receivables | | | | -------------------------------------------------------------------------------- | Current tax assets | 840 | 1 027 | 1 701 | -------------------------------------------------------------------------------- | Cash and bank | 2 303 | 3 841 | 1 661 | -------------------------------------------------------------------------------- | TOTAL CURRENT ASSET | 67 015 | 66 556 | 78 108 | -------------------------------------------------------------------------------- | TOTAL ASSET | 106 531 | 107 793 | 118 139 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | EQUITY AND LIABILITIES | | | | -------------------------------------------------------------------------------- | Share capital | 5 629 | 5 629 | 5 629 | -------------------------------------------------------------------------------- | Share premium account | 5 777 | 5 777 | 5 777 | -------------------------------------------------------------------------------- | Other reserves | 205 | -218 | -208 | -------------------------------------------------------------------------------- | Translation differences | -442 | -131 | -205 | -------------------------------------------------------------------------------- | Retained earnings | 21 629 | 22 627 | 24 777 | -------------------------------------------------------------------------------- | SHAREHOLDERS' EQUITY | 32 799 | 33 684 | 35 770 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | NON-CURRENT LIABILITIES | | | | -------------------------------------------------------------------------------- | Deferred tax liability | 1 566 | 3 307 | 4 111 | -------------------------------------------------------------------------------- | Long term financial liabilities | 14 309 | 13 982 | 13 124 | -------------------------------------------------------------------------------- | Employee benefit obligations | 624 | 573 | 594 | -------------------------------------------------------------------------------- | Non-current provisions | 1 348 | 1 102 | 1 843 | -------------------------------------------------------------------------------- | TOTAL NON-CURRENT LIABILITIES | 17 848 | 18 965 | 19 672 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CURRENT LIABILITIES | | | | -------------------------------------------------------------------------------- | Short term financial liabilities | 27 124 | 20 359 | 25 144 | -------------------------------------------------------------------------------- | Trade payables and other payables | 19 972 | 31 986 | 35 893 | -------------------------------------------------------------------------------- | Current tax liabilities | 1 806 | 632 | 550 | -------------------------------------------------------------------------------- | Current provisions | 6 984 | 2 166 | 1 110 | -------------------------------------------------------------------------------- | TOTAL CURRENT LIABILITIES | 55 885 | 55 143 | 62 697 | -------------------------------------------------------------------------------- | TOTAL EQUITY AND LIABILITIES | 106 531 | 107 793 | 118 139 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | STATEMENT OF CASH FLOW, IFRS | | | | -------------------------------------------------------------------------------- | 1 000 EUR | 1-9/2009 | 1-9/2008 | 1-12/2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net profit/loss | -1 230 | 7 194 | 10 022 | -------------------------------------------------------------------------------- | Adjustments to the net | 3 632 | 7 365 | 10 400 | | profit/loss of the period | | | | -------------------------------------------------------------------------------- | Change in working capital | 1 749 | 5 200 | -2 999 | -------------------------------------------------------------------------------- | Interest paid | -1 035 | -1 444 | -1 848 | -------------------------------------------------------------------------------- | Interest income received | 265 | 88 | 78 | -------------------------------------------------------------------------------- | Other financing items | -466 | 175 | 253 | -------------------------------------------------------------------------------- | Income taxes paid | -627 | -2 154 | -5 058 | -------------------------------------------------------------------------------- | Net cash from operating | 2 288 | 16 425 | 10 848 | | activities | | | | -------------------------------------------------------------------------------- | Net cash used in investment | -2 144 | -6 084 | -6 228 | | activities | | | | -------------------------------------------------------------------------------- | Increase in loans | 17 498 | 19 370 | 27 356 | -------------------------------------------------------------------------------- | Decrease in loans | -14 266 | -21 831 | -26 129 | -------------------------------------------------------------------------------- | Repayment of finance lease | -68 | -80 | -88 | | liabilities | | | | -------------------------------------------------------------------------------- | Dividends paid | -2 814 | -5 629 | -5 629 | -------------------------------------------------------------------------------- | Net cash used in financing | 350 | -8 170 | -4 490 | | activities | | | | -------------------------------------------------------------------------------- | Change in cash and cash | 493 | 2 172 | 131 | | equivalents | | | | -------------------------------------------------------------------------------- | Operating balance of cash and | 1 661 | 1 812 | 1 812 | | cash equivalents | | | | -------------------------------------------------------------------------------- | Effect of the foreign exchange | 149 | -143 | -282 | | rates | | | | -------------------------------------------------------------------------------- | Closing balance of cash and cash | 2 303 | 3 841 | 1 661 | | equivalents | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | CHANGE IN | | | | | | | | SHAREHOLDERS' | | | | | | | | EQUITY | | | | | | | -------------------------------------------------------------------------------- | Equity belonging to parent company's shareholders | -------------------------------------------------------------------------------- | 1-9/2008 | | | | -------------------------------------------------------------------------------- | 1 000 EUR | Share | Share | Hedgi | Trans | Retain | Total | | | cap | issue | ng | lation | ed | | | | ital | premiu | re | diff. | ear | | | | | m | s. | | nings | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | SHAREHOLDERS' EQUITY | -------------------------------------------------------------------------------- | 1.JAN 2008 | -------------------------------------------------------------------------------- | | 5 629 | 5 777 | | -127 | 21 566 | 32 845 | -------------------------------------------------------------------------------- | Dividend | | | | | -5 629 | -5 629 | | distribution | | | | | | | -------------------------------------------------------------------------------- | Share-based | | | | | 103 | 103 | | payments | | | | | | | -------------------------------------------------------------------------------- | Total | | | -218 | -4 | 6 587 | 6 365 | | comprehensive | | | | | | | | income for the | | | | | | | | period | | | | | | | -------------------------------------------------------------------------------- | SHAREHOLDERS' | 5 629 | 5 777 | -218 | -131 | 22 627 | 33 684 | | EQUITY 30 SEP | | | | | | | | 2008 | | | | | | | -------------------------------------------------------------------------------- | | | | | | | | -------------------------------------------------------------------------------- | Equity belonging to parent company's shareholders | -------------------------------------------------------------------------------- | 1-9/2009 | | | -------------------------------------------------------------------------------- | 1 000 EUR | Share | Share | Hedgi | Trans | Retain | Total | | | cap | issue | ng | lati | ed | | | | ital | premiu | re | on | ear | | | | | m | s. | diff. | ni | | | | | | | | ngs | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | SHAREHOLDERS' EQUITY | -------------------------------------------------------------------------------- | 1.JAN 2009 | -------------------------------------------------------------------------------- | | 5 629 | 5 777 | -208 | -205 | 24 777 | 35 770 | -------------------------------------------------------------------------------- | Dividend | | | | | -2 814 | -2 814 | | distribution | | | | | | | -------------------------------------------------------------------------------- | Share-based | | | | | 4 | 4 | | payments | | | | | | | -------------------------------------------------------------------------------- | Total | | | 414 | -238 | -337 | -161 | | comprehensive | | | | | | | | income for the | | | | | | | | period | | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | SHAREHOLDERS' EQUITY | -------------------------------------------------------------------------------- | 30 SEP 2009 | -------------------------------------------------------------------------------- | | 5 629 | 5 777 | 205 | -442 | 21 629 | 32 799 | -------------------------------------------------------------------------------- KEY RATIOS OF LAROX GROUP -------------------------------------------------------------------------------- | 1 000 EUR | 1-9/2009 | 1-9/2008 | 1-12/2008 | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | New orders | 78 723 | 158 982 | 184 799 | -------------------------------------------------------------------------------- | Group order backlog, end of the | 36 582 | 110 087 | 72 006 | | period | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | 116 007 | 143 916 | 207 995 | -------------------------------------------------------------------------------- | Operating profit | -663 | 11 709 | 16 618 | -------------------------------------------------------------------------------- | % of net sales | -0,6 | 8,1 | 8.0 | -------------------------------------------------------------------------------- | Net financing costs | 654 | 1 479 | 2 661 | -------------------------------------------------------------------------------- | % of net sales | 0,6 | 1,0 | 1.3 | -------------------------------------------------------------------------------- | Result before taxes | -1 317 | 10 231 | 13 957 | -------------------------------------------------------------------------------- | Result for the period | -1 230 | 7 194 | 10 022 | -------------------------------------------------------------------------------- | EPS basic and diluted (EUR) | -0,13 | 0,77 | 1.07 | -------------------------------------------------------------------------------- | Investments | 2 430 | 6 207 | 7 402 | -------------------------------------------------------------------------------- | Shareholders' equity per share at the | 3,48 | 3,59 | 3.81 | | end of the period (EUR) | | | | -------------------------------------------------------------------------------- | Equity ration % | 31,3 | 32,6 | 32.3 | -------------------------------------------------------------------------------- | Contingent liabilities (EUR million) | 43,7 | 28,0 | 44.2 | -------------------------------------------------------------------------------- | Trading price at the end of period, | 7,00 | 8,35 | 4.60 | | (EUR) | | | | -------------------------------------------------------------------------------- | Market capitalization at the end of | | | | | period, | | | | -------------------------------------------------------------------------------- | EUR million *) | 66,0 | 78,3 | 43.2 | -------------------------------------------------------------------------------- | Personnel, average | 593 | 525 | 562 | -------------------------------------------------------------------------------- | Personnel at the end of the period | 569 | 557 | 593 | -------------------------------------------------------------------------------- | Net sales/employer | 196 | 274 | 370 | -------------------------------------------------------------------------------- *) The price of the A share is based on the B share's last trading rate of the reporting period (weighted average). KEY FIGURES BY QUARTERS -------------------------------------------------------------------------------- | | 2009 | 2009 | 2009 | 2008 | 2008 | -------------------------------------------------------------------------------- | 1 000 EUR | 7-9 | 4-6 | 1-3 | 10-12 | 7-9 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | New orders | 27 049 | 23 694 | 27 982 | 25 817 | 53 759 | -------------------------------------------------------------------------------- | Group order backlog | 36 582 | 40 535 | 57 029 | 72 006 | 110 087 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | net sales | 31 947 | 40 768 | 43 292 | 64 079 | 58 804 | -------------------------------------------------------------------------------- | Operating profit | -4 256 | 490 | 3 103 | 4 908 | 5 524 | -------------------------------------------------------------------------------- | % of net sales | -13,3 | 1.2 | 7.2 | 7.7 | 9.4 | -------------------------------------------------------------------------------- | Net financing costs | 120 | 174 | 360 | 1 182 | 732 | -------------------------------------------------------------------------------- | % of net sales | 0,4 | 0.4 | 0.8 | 1.8 | 1.2 | -------------------------------------------------------------------------------- | Result before taxes | -4 375 | 315 | 2 743 | 3 726 | 4 792 | -------------------------------------------------------------------------------- | Result for the | -3 285 | 135 | 1 919 | 2 828 | 3 317 | | quarter | | | | | | -------------------------------------------------------------------------------- | EPS basic and diluted | 0.01 | 0.20 | 0.30 | 0.35 | | -0.35 | | | | | -------------------------------------------------------------------------------- DIVIDEND PAYMENT Based on the resolution of the annual general meeting of shareholders held on 26 March 2009 a dividend of EUR 0.30 per share was paid on 20 May 2009; a total of EUR 2.814.480. INVESTMENTS -------------------------------------------------------------------------------- | Property, plant and equipment | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Acquisition cost | 32 762 | 29 520 | 29 520 | -------------------------------------------------------------------------------- | Translation differences | 40 | -76 | -349 | -------------------------------------------------------------------------------- | Additions | 1 768 | 896 | 1 226 | -------------------------------------------------------------------------------- | Acquisition of subsidiary | 0 | 0 | 2 938 | -------------------------------------------------------------------------------- | Disposals | 0 | 0 | -33 | -------------------------------------------------------------------------------- | Acquisition cost | 34 570 | 30 340 | 32 762 | -------------------------------------------------------------------------------- | Cumulative depreciations | -21 380 | -20 263 | -20 263 | -------------------------------------------------------------------------------- | Translation differences | 39 | 67 | 279 | -------------------------------------------------------------------------------- | Depreciation for the period | -1 165 | -1 003 | -1 394 | -------------------------------------------------------------------------------- | Cumul depr, end of period | -22 506 | -21 199 | -21 380 | -------------------------------------------------------------------------------- | Carrying value, end of period | 12 064 | 9 141 | 11 382 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Intangible assets (excluding | | | | | goodwill) | | | | -------------------------------------------------------------------------------- | | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Acquisition cost | 32 488 | 29 858 | 29 858 | -------------------------------------------------------------------------------- | Translation differences | -21 | 7 | 18 | -------------------------------------------------------------------------------- | Additions | 763 | 968 | 1 763 | -------------------------------------------------------------------------------- | Acquisition of subsidiary | 0 | 0 | 850 | -------------------------------------------------------------------------------- | Disposals | 0 | 0 | 0 | -------------------------------------------------------------------------------- | Acquisit. cost, end of period | 33 230 | 30 833 | 32 488 | -------------------------------------------------------------------------------- | Cumulative depreciations | -13 490 | -11 063 | -11 062 | -------------------------------------------------------------------------------- | Translation differences | 21 | -5 | -14 | -------------------------------------------------------------------------------- | Depreciation for the period | -1 899 | -1 848 | -2 414 | -------------------------------------------------------------------------------- | Cumul depr, end of period | -15 368 | -12 916 | -13 490 | -------------------------------------------------------------------------------- | Carrying value, end of period | 17 862 | 17 917 | 18 998 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- SEGMENT REPORTING Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker who is responsible for allocating resources and assessing performance of the segment. The chief operating decision maker of Larox Group has been identified as the CEO of Larox Group, currently Mr. Topi Karppanen. Business operations of Larox Group are managed as one operational entity, solid liquid separation. The segment is based on customer life-cycle model. -------------------------------------------------------------------------------- | Solid and liquid separation | | | | -------------------------------------------------------------------------------- | 1 000 EUR | 1.1.- | 1.1.- | 1.1.- | | | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 115 864 | 144 305 | 207 491 | -------------------------------------------------------------------------------- | Net sales of Aftermarket Sales | 55 998 | 73 210 | 95 947 | -------------------------------------------------------------------------------- | Share of Net Sales of | 48 % | 51 % | 46 % | | Aftermarket Sales % from Total | | | | | Net Sales | | | | -------------------------------------------------------------------------------- | Other operating income | 679 | 2 103 | 2 259 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Materials | -56 499 | -75 393 | -107 073 | -------------------------------------------------------------------------------- | External services | -6 231 | -6 409 | -11 146 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Employee benefits expenses | -29 334 | -24 449 | -34 017 | -------------------------------------------------------------------------------- | Other operating expenses | -22 586 | -25 506 | -36 775 | -------------------------------------------------------------------------------- | Depreciations | -3 159 | -2 979 | -4 116 | -------------------------------------------------------------------------------- | Operating profit | -1 267 | 11 671 | 16 623 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Financing | -686 | -1 479 | -2 523 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Profit / loss before taxes | -1 953 | 10 192 | 14 100 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit % | -1,1 % | 8,1 % | 8.0 % | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1 000 EUR | 1.7.-30.9. | 1.7.-30.9. | 1.1.-31.12. | | | 2009 | 2008 | 2008 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 31 779 | 59 529 | 207 491 | -------------------------------------------------------------------------------- | Net sales of Aftermarket Sales | 19 398 | 28 708 | 95 947 | -------------------------------------------------------------------------------- | Share of Net Sales of | 61 % | 48 % | 46 % | | Aftermarket Sales % from Total | | | | | Net Sales | | | | -------------------------------------------------------------------------------- | Other operating income | 142 | 727 | 2 259 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Materials | -14 508 | -34 485 | -107 073 | -------------------------------------------------------------------------------- | External services | -2 138 | -2 254 | -11 146 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Employee benefits expenses | -11 501 | -9 162 | -34 017 | -------------------------------------------------------------------------------- | Other operating expenses | -7 400 | -8 370 | -36 775 | -------------------------------------------------------------------------------- | Depreciations | -1 035 | -1 037 | -4 116 | -------------------------------------------------------------------------------- | Operating profit | -4 662 | 4 947 | 16 623 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Financing | -98 | -901 | -2 523 | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Profit / loss before taxes | -4 760 | 4 046 | 14 100 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating profit % | -14,7 % | 8,3 % | 8,0 % | -------------------------------------------------------------------------------- RECONCILIATIONS BETWEEN SEGMENT INFORMATION AND IFRS FIGURES ARE PRESENTED BELOW. -------------------------------------------------------------------------------- | 1.1.-30.9.2009 | Segment | Non | IFRS | | | inform | allocated | | | | ation | amount | | | | | s *) | | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 115 864 | 142 | 116 007 | -------------------------------------------------------------------------------- | Operating profit | -1 267 | 604 | -663 | -------------------------------------------------------------------------------- | Profit / loss before | -1 953 | 636 | -1 317 | | taxes | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1.7.-30.9.2009 | Segment | Non | IFRS | | | inform | allocated | | | | ation | amount | | | | | s *) | | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 31 779 | 167 | 31 947 | -------------------------------------------------------------------------------- | Operating profit | -4 662 | 406 | -4 256 | -------------------------------------------------------------------------------- | Profit / loss before | -4 760 | 384 | -4 375 | | taxes | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1.1.-30.9.2008 | Segment | Non | IFRS | | | inform | allocated | | | | ation | amount | | | | | s *) | | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 144 305 | -389 | 143 916 | -------------------------------------------------------------------------------- | Operating profit | 11 671 | 38 | 11 709 | -------------------------------------------------------------------------------- | Profit / loss before | 10 192 | 39 | 10 231 | | taxes | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1.7.-30.9.2008 | Segment | Non | IFRS | | | inform | allocated | | | | ation | amount | | | | | s *) | | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 59 529 | -725 | 58 804 | -------------------------------------------------------------------------------- | Operating profit | 4 947 | 576 | 5 524 | -------------------------------------------------------------------------------- | Profit / loss before | 4 046 | 746 | 4 792 | | taxes | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | 1.1.-31.12.2008 | Segment | Non | IFRS | | | inform | allocated | | | | ation | amount | | | | | s *) | | -------------------------------------------------------------------------------- | | | | | -------------------------------------------------------------------------------- | Net sales | 207 491 | 504 | 207 995 | -------------------------------------------------------------------------------- | Operating profit | 16 623 | -5 | 16 618 | -------------------------------------------------------------------------------- | Profit / loss before | 14 100 | -143 | 13 957 | | taxes | | | | -------------------------------------------------------------------------------- *) Unallocated amounts consist mainly of financial lease, hedging accounting and foreign exchange rate differences. Internal reporting is not calculated according to IAS 17, IAS 32 or IAS 39 standards in above reported amounts. COMMITMENTS AND CONTINGENCIES -------------------------------------------------------------------------------- | Loans secured by real estate and corporate | | | | mortgages | | | ---------------------------------------------------------------------------------------------------------------------------------------------------------------- | 1 000 EUR | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- | Pension loans | | | | -------------------------------------------------------------------------------- | Loans from financial institutions | 40 331 | 34 115 | 38 049 | -------------------------------------------------------------------------------- | Other loans | 0 | | 0 | -------------------------------------------------------------------------------- | Total | 40 331 | 34 115 | 38 049 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Real estate mortgages | 6 560 | 6 560 | 6 560 | | | | | | -------------------------------------------------------------------------------- | Corporate mortgages, general | 3 936 | 3 936 | 3 936 | | pledging | | | | -------------------------------------------------------------------------------- | Corporate mortgages, specific | 9 062 | 9 062 | 9 062 | | pledging | | | | -------------------------------------------------------------------------------- | Total | 19 558 | 19 558 | 19 558 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Guarantees for others | | | | -------------------------------------------------------------------------------- | Pledged securities *) | 13 511 | 6 476 | 13 511 | -------------------------------------------------------------------------------- | Others | 161 | 157 | 161 | -------------------------------------------------------------------------------- | Total | 13 672 | 6 633 | 13 672 | -------------------------------------------------------------------------------- | *) Book value of secured shares | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other liabilities | | | | -------------------------------------------------------------------------------- | Operating lease liabilities 1 000 | 1 028 | 919 | 1 094 | | EUR | | | | -------------------------------------------------------------------------------- | Lease liabilities 1 000 EUR | 9 451 | 849 | 9 889 | -------------------------------------------------------------------------------- FAIR AND NOMINAL VALUES OF DERIVATIVE INSTRUMENTS -------------------------------------------------------------------------------- | 1 000 EUR | 30.9.2009 | 30.9.2008 | 31.12.2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Currency derivatives: | | | | -------------------------------------------------------------------------------- | Currency options | 4 117 | 0 | 0 | -------------------------------------------------------------------------------- | Forward contracts | 7 295 | 10 496 | 7 033 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Fair value | 64 | -450 | -402 | -------------------------------------------------------------------------------- | Nominal value | 11 412 | 10 496 | 7 033 | -------------------------------------------------------------------------------- Related party transactions -------------------------------------------------------------------------------- | 1 000 EUR | 1.1.-30.9.2009 | 1.1.-30.9.2008|1.1.-31.12.2008 | | | | | | -------------------------------------------------------------------------------- | Transactions with | | | | | associated | | | | -------------------------------------------------------------------------------- | Companies | | | | -------------------------------------------------------------------------------- | Sales of goods and | 10 | 5 | 15 | | services | | | | -------------------------------------------------------------------------------- | Purchases of goods and | 2 111 | 3 175 | 2 736 | | services | | | | -------------------------------------------------------------------------------- | Other transactions with | | | | | related | | | | -------------------------------------------------------------------------------- | Parties | | | | -------------------------------------------------------------------------------- | Purchases of services | 30 | 15 | 20 | -------------------------------------------------------------------------------- | Balances with associated | | | | | companies | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Trade receivables | 2 | 2 | 16 | -------------------------------------------------------------------------------- | Other receivables | 0 | 0 | 0 | -------------------------------------------------------------------------------- | Trade payables | 366 | 488 | 236 | -------------------------------------------------------------------------------- CALCULATION OF KEY FIGURES Equity ratio, % = Shareholders' equity --------------------------------- x 100 Total assets - advances received Earnings per share = Net profit --------------------------------- Adjusted average number of shares during the period Market capitalization at the end of the period = Number of shares at the end of the period x trading price at the end of the period weighted by the number of shares traded Larox develops, designs and manufactures industrial filters and is a leading technology company in its field. Larox is a full service solution provider in filtration for separating solids from liquids. It supplies comprehensive aftermarket services throughout the lifespan of the Larox solution. Companies world-wide in mining and metallurgy, chemical processing and related industries benefit from the Larox technologies. Larox operates in over 40 countries and has over 600 employees. Larox has production facilities in Finland and in China, and the Group is headquartered in Lappeenranta, Finland. Net sales in 2008 totaled 208.0 million euros, of which more than 93 % were generated by exports and the company's foreign operations.
© 2024 Nasdaq, Inc. All Rights Reserved |