2012-10-22 08:30:00 CEST
2012-10-22 08:30:07 CEST
REGULATED INFORMATION
Suominen Oyj - Interim report (Q1 and Q3)
SUOMINEN CORPORATION: INTERIM REPORT 1 JANUARY–30 SEPTEMBER 2012
Tampere, Finland, 2012-10-22 08:30 CEST (GLOBE NEWSWIRE) --
SUOMINEN CORPORATION INTERIM REPORT, 22 OCTOBER, 2012 AT
9.30 A.M.
INTERIM REPORT 1 JANUARY-30 SEPTEMBER 2012
PROFIT DURING SUMMER PERIOD
KEY FIGURES 7-9/201 7-9/201 1-9/201 1-9/201 1-12/201
2 1 2 1 1
--------------------------------------------------------------------------------
Net sales, EUR million 121,8 42,3 345,9 128,5 213,4
Operating profit before 6,7 -1,4 11,7 -1,5 -1,1
non-recurring
items, EUR million
Operating profit, EUR million 6,2 -1,9 9,1 -2,5 -4,8
Profit/loss for the period, EUR 2,3 -2,8 -0,7 -5,7 -9,5
million
Earnings/share, EUR 0,01 -0,06 0,00 -0,12 -0,11
Cash flow from operations/share, 0,03 -0,02 0,05 0,04 -0,03
EUR
President and CEO Nina Kopola:
“During the third quarter of the year our performance further improved, both
sales and profit were at their highest level for this year. Sales increased in
our Wiping segment, due to favorable development in the Nonwovens business. The
demand for our products was especially healthy in the US, leading to a more
favorable product mix. The European economic crisis effected a more subdued
demand in the European market place.
In our Flexibles segment we are struggling with sluggishness of the market and
therefore we started temporary lay-offs at our plant in Tampere, Finland in
order to match output to demand.
Our operating profit for the third quarter more than doubled on the preceding
six months. I am also especially happy to see that our streamlining efforts in
the Summit program are starting to bring the expected results.
The positive effect of the acquisition last year can clearly be seen in our
results. At the moment we are sharpening our strategy for all the businesses,
however, more stringently so for the Nonwovens business. Further improving our
profitability will continue to be our main operational focus. In the future we
will be targeting a visible shift in the portfolio towards more value added
products. This will guide our efforts in business and product development.”
GROUP FINANCIAL RESULTS
Suominen Corporation generated net sales of EUR 121.8 million (42.3) in the
third quarter thus the net sales in period was so far the strongest quarter in
the current year. Operating profit before non-recurring items was EUR 6.7
million (-1.4) and after them EUR 6.2 million (-1.9). Profit before taxes was
EUR 3.3 million (-3.2) and profit after taxes EUR 2.3 million (-2.8). The
result of the quarter was profitable and highest since the new Suominen was
formed last autumn.
Net sales for the first nine-month period of the year totalled EUR 345.9
million (128.5). Operating profit before non-recurring items was EUR 11.8
million (-1.5) and after them EUR 9.1 million (-2.5), profit before taxes EUR
0.9 million (-6.7) and profit after taxes EUR -0.7 million (-5.7).
Comparable net sales decreased by 7 % on the previous year compared to the EUR
373 million pro forma net sales. The decrease in net sales was affected by a
decline in volumes and reduced sales prices in Europe. The most significant
factor affecting the decrease in European volumes was the burning down of the
spunlace line in Italy in the autumn last year, the production of which was
interrupted for the first five months of the year. Regionally, demand was
stronger in the US markets than in Europe. The exchange rate of dollar against
euro increased the share of net sales of the USA in the pro forma comparison.
The benefits of the integration of Suominen and Ahlstrom Home and Personal
business start to show clearly in the improvement of the operating profit. The
result was positively affected by the production quantities and the development
of sales margins. Prices of raw materials, representing the biggest part of
costs, turned up in the third quarter after the temporary decline in the second
quarter. Operating expenses excluding non-recurring items were lower compared
to comparable pro forma figures.
As part of the restructuring of our operations at the Nakkila nonwovens plant
the decision was made to cut the production capacity. Due to this the number of
staff was reduced according to the codetermination process by 40 employees,
which lead to non-recurring cost of about EUR 0.4 million. A write down of
about EUR 2.7 million to non-current assets was made, which has no cash effect.
Due to low demand in Flexibles business area it was decided to temporarily lay
off approximately 150 employees to reduce costs.
Cash flow from operations in the third quarter was EUR 7.8 million (-1.1), and
for the whole period EUR 13.2 million (1.8). Working capital has been tied up
by EUR 3.2 million, as trade receivables and trade payables have been accrued
to the balance sheet after the acquisition of Home and Personal business.
Investments were kept at a low level.
Integration of the acquired operations and efficiency-enhancement measures
The acquisition of the Brazilian unit belonging to the Home and Personal has
been delayed because different operating permits were not received in the
planned timetable. However, approval from the competition authorities has been
received. Because of the delay in the permission process Suominen and Ahlstrom
have concluded that the transfer cannot be completed in the third quarter. The
parties are looking together for prerequisites and alternatives to complete the
transaction. The goal is to finalize the transfer of the business as soon as
possible.
Reducing of group's operating costs continues in the so called Summit project.
The project includes integration of Home and Personal business to Suominen and
covers realization of synergy benefits in sales, sourcing, optimation of
production lines and logistics solutions. Efficiency measures are aimed at
creating cost savings representing about two per cent of net sales.
Financing
The Group's interest-bearing net liabilities amounted to EUR 107.5 million
(59.5). EUR 25 million included in the cash and bank was used in loan
repayments. Suominen updated its financing agreement with the banks in October.
The company has to comply with adjusted financial covenants on Net Debt to
EBITDA below 4,9 and Net Debt to Equity under 145 % at the end of 2012. Also
the repayment schedule of loans was postponed.
Repayments of non-current loans amounted to EUR 38.2 million (3.1). Net
financial expenses were EUR -8.2 million (-4.3), or 2.4% (3.3) of net sales.
The increase in financial expenses was caused by the increased borrowing and
higher average interest rates on loans. A total of EUR 3.2 million was tied up
in working capital (EUR 2.3 million released). All working capital items were
not transferred at the acquisition of the Home and Personal business and
therefore they have increased in the review period. Trade receivables amounting
to EUR 16.0 million (12.8) were sold to the bank. The equity ratio was 35.8%
(22.9) and the net gearing 99.4% (233.0). Cash flow from operations was EUR
13.2 million (1.8) and EUR 0.05 per share (0.04).
Investments
The company's gross investments in production totalled EUR 2.2 million (3.1).
Planned depreciation amounted to EUR 14.8 million (6.0). Nonwovens accounted
for EUR 0.8 million (0.9), Codi Wipes for EUR 0.6 million (0.2) and Flexibles
for EUR 0.2 million (1.8) of total investments. The Group's investments were in
maintenance.
SEGMENT RESULTS
The net sales of Wiping totalled EUR 307.3 million (79.4). The segment's
operating profit was EUR 12.6 million (-1.9).
Net sales of Nonwovens totaled EUR 273.0 million (40.8). Nonwovens' comparable
nine-month-sales (pro forma) were EUR 285 million in 2011, so net sales
decreased by 4%. Delivery volumes decreased slightly compared to comparable
operations. The application areas for nonwoven materials were distributed as
follows: baby wipes accounted for 47 % of sales, household wipes for 19%,
personal care wipes for 17 %, and industrial wipes for 10 %. Sales of nonwovens
used for personal care and household wipes increased, in other application
areas sales decreased.
The sales from the North American plants increased compared to the pro forma
figures for the previous year. Consumer demand in the wet wipes consumption
areas on the American markets was clearly stronger than in product areas
typical for Europe. European net sales were also affected by the tightening
competition created by the increased production capacity. At Suominen's plant
in Italy, the ramp up of the efficient spunlace production line, which had been
interrupted due to damage from fire, was completed in the beginning of summer.
The insurance compensation for the damage was fully paid up in the third
quarter.
The prices of oil-based raw materials began to increase again in the third
quarter. No significant changes took place in the prices of other raw
materials. Savings were achieved in operating expenses compared to pro forma
figures due to previously implemented synergy savings.
The codetermination negotiations at Nakkila plant were completed. The plant's
operations will be reshaped with the objective of turning the result to
positive. A decision was made to close down the plant's thermobond production
and one spunlace line. Due to the aim of improving the efficiency of operations
the number of staff has been reduced by 40 employees, which lead to a
compensation of EUR 0.4 million for the termination period. A write down of EUR
2.7 million to fixed assets was recorded due to the closing down of production.
Other efficiency measures of the unit are based on the group Summit programme.
The programme is proceeding as planned.
Net sales of Codi Wipes stood at EUR 37.6 million (42.5), which were 12 % less
than in the previous year. Sales of personal hygiene wipes increased, moist
toilet wipes remained at the same level as in the previous year, and baby wipes
decreased. Average sales prices were on par with the previous year. At the end
of the period the customer deliveries increased. The profit loss caused by the
decreased volume was partly compensated by savings in operating expenses.
The operating profit of Wiping business was EUR 15.8 million excluding
write-down mentioned earlier. The result improved thanks to the business
acquisition. The development of sales margin was positive.
Net sales of Flexibles totalled EUR 39.3 million (49.8), a decrease of 21 %
from the previous year. Sales of hygiene packaging decreased about one third
due to customer losses in the end of 2011. Food and retail packaging sales
decreased as well but security and technical packaging sales increased.
Flexibles has managed to get new business but weak consumer demand on Flexibles
market is slowing the compensation of the earlier losses. On the basis of
customer estimates, there was not any immediate change visible, therefore a
decision was made in August to temporarily lay off approximately 150 employees
until the end of February 2013.
The operating loss of the business unit was EUR -1.5 million (+0.2). The prices
of plastic-based raw materials for flexible packaging started to increase
during the third quarter, which did, due to the delay in pricing, add pressure
on overall costs. Operating expenses were lower than in the previous year
thanks to the rationalisation measures carried out in production in 2011.
INFORMATION ON SHARES AND SHARE CAPITAL
Share capital
The registered number of Suominen's issued shares totals 245,934,122 shares,
equaling to EUR 11,860,056.00.
Share trading and price
The number of Suominen Corporation shares traded on NASDAQ OMX Helsinki from 1
January to 30 September 2012 was 1,689,072 shares, accounting for 0.7 % of the
share capital and votes. The trading price varied between EUR 0.34 and EUR
0.45. The closing trading price was EUR 0.37 giving the company a market
capitalization of EUR 90,973,315 on 30 September 2012.
Own shares
On 1 January and 30 September 2012, the company Suominen Corporation held
60,298 of its own shares, accounting for 0.0 % of the share capital and votes.
Stock options
Suominen's option right holders of the plan 2009A have 250,000 stock options.
The subscription period for the 2009A stock options is from 2 May 2011 to 30
October 2012 and the subscription price is EUR 0.95. A total of 300,000 2009 B
stock options have been granted. The subscription period for the 2009B stock
options is from 2 May 2012 to 30 October 2013 and the subscription price is EUR
0.96.
As the registered number of Suominen's issued shares totals 245,934,122, the
number of shares may rise to a maximum of 246,484,122 after stock option
subscriptions.
Authorizing the Board of Directors to decide on the issuance of shares and
special rights entitling to shares
The Annual General Meeting approved the proposal of the Board of Directors to
authorize the Board of Directors to decide on repurchasing a maximum of
3,000,000 company's own shares. The Board of Directors is also to decide on
issuing new shares and/or conveying the company's own shares held by the
company and/or granting special rights entitling to shares referred to in
Chapter 10, Section 1 of the Finnish Companies Act. A maximum of 50,000,000 new
shares may be issued. The maximum number of new shares that may be subscribed
and own shares held by the company that may be conveyed by virtue of the
special rights granted by the company is 10,000,000 shares in total which
number is included in the maximum number stated earlier (50,000,000). The
authorizations shall be valid until 30 June 2013.
BUSINESS RISKS AND UNCERTAINTIES
Suominen concluded an agreement with Ahlstrom at the end of 2011 for the
acquisition of its Home and Personal business's Brazilian operations. Due to
the delay in the permission process Suominen and Ahlstrom concluded that the
transfer of Brazilian operations cannot be completed by the end of September.
The parties are negotiating the prerequisites for completing the transaction in
the manner originally intended and are looking together into opportunities to
transfer the Brazilian part of the Home and Personal business to Suominen
through alternative interim solutions within the scope of permits needed. The
goal is to finalize the transfer of the business as soon as possible. Condition
for a solution is that the common agreement on the acquisition and its
financing is approved also by financers. Although the acquisition is delayed,
the company does not suffer any direct losses because of this.
The estimate of net sales development of Suominen is partly based on the
forecasts and delivery plans received from the customers. Changes in in the
forecasts and in the plans caused by market situation or by customers' stock
changes might change Suominen's net sales forecast. Due to the deterioration in
the general economic situation and due to cautious consumer purchasing habits
the forecasts include uncertainty.
Suominen's customer base is comparatively concentrated, which adds to the
customer specific risks. Long-term contracts are being preferred in the case of
the largest customers. In practice the customer relationships are long-term and
for several years.
Suominen purchases significant amounts of oil- and pulp-based raw materials
annually. The raw materials are the biggest cost of operations. Rapid changes
in the global market prices of raw materials affect the company's
profitability. Extended interruptions of Suominen's main raw materials could
disrupt production and have a negative impact on the Group's overall business
operations. As Suominen sources its raw materials from a number of major
international suppliers, significant interruptions are unlikely.
Suominen has numerous regional, national and international competitors in its
different product groups. There is currently oversupply in several product
groups especially in Europe. If Suominen is not able to compete with an
attractive product offering, it may lose some of its market share, and the
competition may lead to increased pricing pressure on the company's products.
Suominen's efficiency programmes include measures to improve production
efficiency, sourcing and logistics solutions, to reduce general costs and to
pass on the costs to sale prices more efficiently than in the past. The impact
of the efficiency measures is most visible when production volumes increase.
Substantial synergy benefits are expected to be realized in the Home and
Personal business acquisition. Postponed or failed efficiency measures and
synergy exploitation will have a negative impact on the company's profit.
Group's damage risks are insured in order to guarantee continuity of
operations. Suominen has valid damage and business interruption insurance
according to which it is estimated that the damages can be covered and the
financial losses caused by an interruption compensated.
Suominen's credit arrangements include covenants that the company must meet.
After the interim report of 30.9.2012 Suominen and its financers have agreed on
adjusted financial covenants. At year-end 2012, Suominen's net debt to EBITDA
has to be below 4.9 and the company's debt/equity ratio must be less than
145%. These key figures in this interim report were 3.5 and 99 %.
The sensitivity of Suominen's goodwill to changes in business conditions is
described in the notes to the financial statements 2011. Actual cash flows may
deviate from the forecasted future discounted cash flows, as the long economic
life-time of the company's non-current assets, and changes in the estimated
product prices, production costs, and interest rates used in discounting may
result in write-downs. The fair value based on value in use of assets or
businesses in total or in part do necessarily correspond to the price that a
third party would pay for them.
General risks related to business operations are described in the Report of
Board of Directors in the Annual Report 2011.
OUTLOOK
Suominen's products are used in daily consumer goods, such as wet wipes and
plastic packaging. The general economic situation determines the development of
consumer demand, even though the demand for consumer goods is not very cyclical
in nature. Consumers' cautious purchasing behavior is expected to continue hand
in hand with muted economic growth. Supply exceeds demand for many of
Suominen's products, especially in Europe, and new production capacity is even
being built in some product groups.
The company estimates the trend in demand for its products on the basis of both
the general market situation and, above all, on the basis of the framework
agreements drawn up with its clients. Suominen estimates that the comparable
demand for its products will remain at the level of 2011. In the US as well as
in Eastern Europe the sales are estimated to grow whereas in Western Europe the
sales are anticipated to decrease.
The prices of the raw materials used by Suominen turned to an increase during
the third quarter. The prices of other raw materials have remained at more or
less earlier levels. Suominen expects the changes in raw material prices not to
have an impact on the profit outlook of the Group stated below. Suominen will
continue to streamline its operating costs and realize the synergy benefits
related to the acquisition of the Home and Personal business. The target is to
achieve a couple of per cent cost benefits comparable to net sales. Suominen
will focus on developing its core business.
The target is to realize the Brazilian unit business transaction as soon as
possible.
The company keeps the estimate of net sales and result for the whole year the
same. Suominen's net sales will increase considerably as the Home and Personal
business's figures are included in the Group's net sales. It is estimated that
the result after taxes for the year will improve over that of 2011.
SUOMINEN CORPORATION CONSOLIDATED 1 JANUARY - 30 SEPTEMBER 2012
These financial statements have been prepared in compliance with IAS 34 Interim
Financial Reporting. Principles for preparing the interim report are the same
as those used for preparing the financial statements for 2011, and this interim
report should be read parallel to the financial statements for 2011. Changes to
published accounting standards and interpretations, together with the new
accounting standards that came into force on 1 January 2012, are presented in
the financial statements for 2011.
All calculations in this financial statement have been prepared in compliance
with the revised IAS 1 standard, ‘Presentation of Financial Statements'. This
standard is aimed at improving users' ability to analyse and compare the
information given in financial statements by separating changes in equity of an
entity arising from transactions with owners from other changes in equity.
Non-owner changes in equity will be presented in the statement of comprehensive
income.
The figures in these financial statements have not been audited.
BALANCE SHEET
EUR 1 000 9/2012 9/2011 12/2011
------------------------------------------------------------------------------
Assets
Non-current assets
Goodwill 34 298 18 498 34 298
Intangible assets 12 717 784 13 146
Tangible non-current assets 124 959 48 635 139 886
Available-for-sale financial assets 19 242 212
Held-to-maturity investments 456 421 445
Deferred tax assets 3 941 1 713 2 756
------------------------------------------------------------------------------
Non-current assets, total 176 390 70 293 190 743
Current assets
Inventories 40 343 22 219 45 972
Trade receivables 54 836 14 893 41 798
Other current receivables 10 284 2 785 17 480
Income tax receivables 4 023 1 424 1 205
Financial assets on escrow 25 000
Cash at bank and in hand 16 382 1 644 15 887
------------------------------------------------------------------------------
Current assets, total 125 868 42 965 147 342
Assets, total 302 258 113 258 338 085
Shareholders' equity and liabilities
Equity attributable to owners of the parent company
Share capital 11 860 11 860 11 860
Share premium account 24 681 24 681 24 681
Invested non-restricted equity fund 97 054 9 708 97 054
Fair value and other reserves -1 066 -121 -484
Translation differences -34 -666 -637
Other shareholders' equity -24 365 -19 909 -23 737
------------------------------------------------------------------------------
Shareholders' equity, total 108 130 25 553 108 737
Liabilities
Non-current liabilities
Deferred tax liabilities 1 558 2 279 3 661
Provisions 280 280 280
Capital loans 2 000 920
Other non-current liabilities 1 375 1 234
Interest-bearing liabilities 101 712 35 022 139 961
------------------------------------------------------------------------------
------------------------------------------------------------------------------
Non-current liabilities, total 104 925 39 581 146 056
Current liabilities
Interest-bearing liabilities 21 273 22 334 19 929
Capital loans 920 2 000 920
Income tax liabilities 4 975 572 724
Trade payables and other current liabilities 62 035 23 218 61 719
------------------------------------------------------------------------------
Current liabilities, total 89 203 48 124 83 292
Liabilities, total 194 128 87 705 229 348
Shareholders' equity and liabilities, total 302 258 113 258 338 085
STATEMENT OF INCOME
EUR 1 000 7-9/2012 7-9/2011 1-9/2012 1-9/2011 1-12/2011
--------------------------------------------------------------------------------
Net sales 121 769 42 330 345 938 128 503 213 350
Cost of goods sold -109 108 -42 122 -318 979 -124 545 -205 507
--------------------------------------------------------------------------------
Gross profit 12 661 208 26 959 3 958 7 842
Other operating income 1 164 877 6 144 2 691 4 905
Sales and marketing expenses -1 819 -871 -5 484 -2 648 -4 050
Research and development -756 -365 -2 100 -1 289 -1 866
Administration expenses -4 997 -1 778 -16 142 -5 057 -8 492
Other operating expenses -19 31 -259 -125 -3 168
--------------------------------------------------------------------------------
Operating profit 6 234 -1 898 9 118 -2 470 -4 829
Financial income and expenses -2 954 -1 255 -8 179 -4 259 -5 197
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Profit before income taxes 3 280 -3 153 939 -6 729 -10 026
Income taxes -1 026 316 -1 621 1 029 494
--------------------------------------------------------------------------------
Profit/loss for the period 2 254 -2 837 -682 -5 700 -9 531
Earnings/share, EUR 0.01 -0.06 0.00 -0.12 -0.11
STATEMENT OF COMPREHENSIVE INCOME
EUR 1 000 7-9/20 7-9/20 1-9/20 1-9/20 1-12/20
12 11 12 11 11
--------------------------------------------------------------------------------
Profit/loss for the period 2 254 -2 837 -682 -5 700 -9 531
Other comprehensive income
Currency translation differences on -374 -1 650 36 -1 596 -1 595
foreign operations
Fair value changes of cash flow hedges 807 -261 -760 -1 223 -1 731
Other reclassifications -21 -6 48 -18 -20
Income tax on other comprehensive -152 497 744 733 906
income
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Other comprehensive income, total -1 354 -1 420 68 -2 104 -2 440
Total comprehensive income for the period 900 -4 257 -614 -7 804 -11 971
STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
a. Share capital
b. Share premium account
c. Invested non-restricted equity fund
d. Own shares
e. Translation differences
f. Fair value reserves
g. Retained earnings
h. Total
EUR 1 000 a. b. c. d. e. f. g. h.
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 11 860 24 681 97 054 -43 -637 -441 -23 737 108 737
equity on
1 Jan.
2012
Profit/los -682 -682
s for the
period
Other 603 -583 48 68
comprehen
sive
income
Share-base 7 7
d payments
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 11 860 24 681 97 054 -43 -34 -1 024 -24 364 -108 130
equity 30
Sept.
2012
EUR 1 000 a. b. c. d. e. f. g. h.
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 11 860 24 681 9 708 -163 515 828 -14 33 286
equity at 143
1 Jan.
2011
Profit/los -5 700 -5 700
s for the
period
Other -1 181 -905 -18 -2 104
comprehen
sive
income
Share-base 20 20
d payments
Conveyance 120 -69 51
of own
shares
Total 11 860 24 681 9 708 -43 -666 -77 -19 25 553
equity at 910
30 Sept.
2011
--------------------------------------------------------------------------------
EUR 1 000 a. b. c. d. e. f. g. h.
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 11 860 24 681 9 708 -163 515 828 -14 33 286
equity at 143
1 Jan.
2011
Profit/los -9 531 -9 531
s for the
period
Other -1 152 -1 268 -20 -2 440
comprehen
sive
income
Share-base 26 26
d payments
Share 87 346 87 346
issue
Conveyance 120 -69 51
of own
shares
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 11 860 24 681 97 054 -43 -637 -441 -23 108 737
equity at 737
31 Dec.
2011
CASH FLOW STATEMENT
EUR 1 000 1-9/2012 1-9/2011 1-12/2011
----------------------------------------------------------------------------
Operations
Operating profit 9 118 -2 470 -4 829
Total adjustments 16 793 5 824 9 459
----------------------------------------------------------------------------
Cash flow before change in working capital 25 911 3 354 4 630
Change in working capital -3 229 2 339 1 907
Financial items -6 735 -3 961 -9 833
Taxes paid -2 722 35 397
Cash flow from operations 13 225 1 767 -2 898
----------------------------------------------------------------------------
Investment payments
Investments in tangible and intangible assets -2 273 -3 344 -4 231
Investments in acquired business operations -139 810
Proceeds from disposal of fixed assets 2 106 97 1 628
and other proceeds
Cash flow from investing activities -167 -3 247 -142 414
----------------------------------------------------------------------------
Financing
Non-current loans drawn 3 186 148 250
Repayments of non-current loans -37 267 -1 112 -48 563
Repayments of capital loans -920 -2 000 -4 160
Repurchase and conveyance of own shares 51 51
Share issue 87 346
Cash flow from financing -38 187 125 182 924
----------------------------------------------------------------------------
Change in cash and cash equivalents * -25 129 -1 355 37 613
* Includes also the change in restricted financial assets.
KEY FIGURES 7-9/2012 7-9/2011 1-9/2012 1-9/2011 1-12/201
1
--------------------------------------------------------------------------------
Net sales, change, % * 187.7 -2.4 169.2 0.3 23.0
Gross profit, % ** 10.4 0.5 7.8 3.1 3.7
Operating profit, % ** 5.1 -4.5 2.6 -1.9 -2.3
Financial income and expenses, -2.4 -3.0 -2.4 -3.3 -2.4
% **
Profit before income taxes, 2.7 -7.4 0.3 -5.2 -4.7
%**
Profit for the period, % ** 1.9 -6.7 -0.2 -4.4 -4.5
Earnings/share, EUR 0.01 -0.06 0.00 -0.12 -0.11
Equity/share, EUR 0.44 0.54 0.44
Cash flow from 0.05 0.04 -0.03
operations/share, EUR
Return on equity (ROE), % -0.8 -25.4 -20.9
Return on invested capital 4.6 -3.7 -3.7
(ROI), %
Equity ratio, % 35.8 22.9 32.2
Gearing, % 99.4 233.0 111.0
Gross investments, EUR 1 000 2 196 3 076 3 964
Depreciation, EUR 1 000 14 808 5 989 9 835
Impairment losses, EUR 1 000 2 700
* Compared with the corresponding period of the previous year.
** As of net sales.
SEGMENT REPORTING
Wiping
EUR 1 000 1-9/2012 1-9/2011 Change% 1-12/2011
--------------------------------------------------------------------------------
Net sales
- Codi Wipes 37 556 42 507 -11.6 55 623
- Nonwovens 272 983 40 750 569.9 99 182
- eliminations -3 219 -3 820 -15.7 -5 431
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 307 321 79 437 286.9 149 374
Operating profit before impairment 15 326 -1 912 -3 072
losses
% of net sales 5.0 -2.4 -2.1
Operating profit 12 626 -1 912 -3 072
% of net sales 4.1 -2.4 -2.1
Assets 258 339 68 266 242 028
Liabilities 57 659 12 935 49 616
Net assets 200 681 55 331 192 412
Investments 1 402 1 097 1 910
Depreciation 11 597 3 643 6 524
Average personnel 755 344 418
Impairment losses 2 700
Flexibles
EUR 1 000 1-9/2012 1-9/2011 Change % 1-12/2011
-------------------------------------------------------------------------
Net sales 39 329 49 789 -21.0 64 848
Operating -1 484 167 -69
profit
% of net sales -3.8 0.3 -0.1
Assets 38 541 46 235 44 372
Liabilities 8 122 11 077 11 175
Net assets 30 419 35 159 33 197
Investments 230 1 795 1 851
Depreciation 2 184 2 314 3 049
Average 462 488 479
personnel
Non-allocated items 1-9/2012 1-9/2011 1-12/2011
EUR 1 000
-------------------------------------------------------------------------
Net sales -712 -723 -873
Operating profit -2 023 -725 -1 688
Assets 5 378 -1 243 51 685
Liabilities 128 348 63 694 168 557
Investments 564 184 203
Depreciation 1 026 32 262
Average personnel 9 11 10
NET SALES BY MARKET AREA
EUR 1000 1-9/2012 1-9/2011 1-12/2011
-------------------------------------------------------------------------
-------------------------------------------------------------------------
Finland 17 938 20 802 27 547
Europe, other 154 880 97 453 141 622
North and South America 163 962 8 617 41 665
Other countries 9 158 1 631 2 515
-------------------------------------------------------------------------
-------------------------------------------------------------------------
Net sales, total 345 938 128 503 213 350
QUARTERLY IV/2011 I/2012 II/2012 III/2012 IV/2011-II
FIGURES I/2012
EUR 1 000
--------------------------------------------------------------------------------
Net sales
Wiping
- Codi Wipes 13 116 13 118 12 278 12 161 50 672
- Nonwovens 58 433 85 673 89 394 97 917 331 416
- eliminations -1 611 -1 333 -1 175 -711 -4 830
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Total 69 937 97 458 100 496 109 366 337 258
Flexibles 15 059 13 906 12 766 12 658 54 388
Non-allocated -149 -278 -180 -255 -862
items
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Net sales, 84 847 111 087 113 082 121 769 430 785
total
Operating
profit
Wiping -260 3 751 3 874 8 146 15 511
% of net sales -0.4 3.8 3.9 7.4 4.1
Flexibles -69 -576 -816 -576 -2 037
% of net sales -0.5 -4.1 -6.4 -4.5 -3.7
Non-allocated 672 -468 -664 -891 -1 351
items
--------------------------------------------------------------------------------
Operating 344 2 707 2 394 6 679 12 123
profit before
non-recurring
costs
% of net sales 0.4 2.4 2.1 5.5 2.8
Non-recurring -2 702 484 -2 700 -445 -5 363
items
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Operating -2 359 3 190 -306 6 234 6 760
profit, total
% of net sales -2.8 2.9 -0.3 5.1 1.6
Net financial -938 -2 731 -2 494 -2 954 -9 117
expenses
--------------------------------------------------------------------------------
Profit before -3 297 459 -2 800 3 280 -2 358
income taxes
TAXES FOR THE PERIOD UNDER REVIEW
Income tax expense is calculated on the basis of taxable results and income tax
rates by country.
INFORMATION ON RELATED PARTIES
Suominen has related party relationships with the members of the Board of
Directors, and the members of the Corporate Executive Team, and Ahlstrom
Corporation. The company has no investments in associated companies. Salaries
paid to the related parties amounted to EUR 1 253 thousand, obligatory pension
payments EUR 77 thousand and share-based payments EUR 7 thousand.
Other related-party transactions 1-9/2012 1-9/2011 1-12/2011
EUR 1 000
---------------------------------------------------------------
Sales of goods and services 15 046 1 402
Purchases of goods and services 38 723 1 517
Trade and other receivables 1 502 5 337
Trade and other payables 2 626 2 370
Other related-party transactions are transactions with Ahlstrom.
MOVEMENTS IN BORROWINGS
EUR 1 000 1-9/2012 1-9/2011
-----------------------------------------------------------------------------
Total borrowings on 1 January 161 730 61 282
Current loans from financial institutions on 1 January 19 929 17 000
Change in current loans from financial institutions 1 342 4 345
-----------------------------------------------------------------------------
Current loans from financial institutions on 30 September 21 271 21 345
Commercial papers on 1 January 988
Change in commercial papers
-----------------------------------------------------------------------------
Commercial papers on 30 September 988
Non-current loans on 1 January 139 961 37 294
Change in non-current loans -38 249 -2 272
-----------------------------------------------------------------------------
Non-current loans on 30 September 101 712 35 022
Capital loans on 1 January 1 840 6 000
Change in capital loans -920 -2 000
-----------------------------------------------------------------------------
Capital loans on 30 September 920 4 000
Total borrowings on 30 September 123 903 61 356
CHANGES IN FIXED ASSETS
1-9/2012 1-9/2011 1-12/2011
EUR 1 000 Tangibl Intangi Tangib Intangi Tangibl Intangi
e ble le ble e ble
--------------------------------------------------------------------------------
Carrying value at the 139 886 13 146 53 873 776 53 873 776
beginning of the period
Business combinations 89 124 12 584
Investments 1 666 530 2 808 171 3 678 220
Decreases -1 402 -864 -1 226
Depreciation -13 658 -1 150 -5 826 -163 -9 399 -436
Translation differences and -1 533 191 -1 356 3 836 2
other changes
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Carrying value at the end 124 959 12 717 48 635 784 139 886 13 146
of the period
CONTINGENT LIABILITIES
EUR 1 000 1-9/2012 1-9/2011 12/2011
----------------------------------------------------------------------
For own debt
Secured loans 120 138 49 607 158 264
Given pledges
Real estate mortgages 27 045 26 045 27 045
Floating charges 204 008 50 000 194 414
Pledged subsidiary shares and loans 217 657 82 982 217 812
Other own commitments
Operating leases, real estates 30 693 11 906 29 532
Operating leases, machinery and equipment 3 072 4 862 3 482
Guarantee commitments 1 215 1 277 1 432
NOMINAL AND FAIR VALUES OF DERIVATIVE FINANCIAL INSTRUMENTS
EUR 1 000 1-9/2012 1-9/2011 12/2011
------------------------------------------------------
Currency derivatives
Nominal value 27 526 5 237 8 501
Fair value -116 69 11
Interest rate derivatives
Nominal value 75 873 9 333 76 492
Fair value -1 278 -81 -216
Electricity derivatives
Nominal value 2 525 3 435 2 860
Fair value -470 -132 -458
Helsinki, 22 October 2012
SUOMINEN CORPORATION
Board of Directors
For additional information, please contact:
Mrs Nina Kopola, President and CEO, tel. +358 (0)10 214 300
Mr. Arto Kiiskinen, Vice President and CFO, tel. +358 (0)10 214 300
Suominen supplies industry and retailers with nonwovens wet wipes, and flexible
packaging for use in consumer products that people us every day - through two
business areas: Wiping and Flexibles.
Distribution:
NASDAQ OMX Helsinki Ltd.
Main media
www.suominen.fi
© 2024 Nasdaq, Inc. All Rights Reserved |