Efore - Inside information

Efore Plc lowers its estimate of operating result for 2017

EFORE PLC  Stock Exchange Release   December 14, 2017  09.00 a.m.


Efore Plc lowers its estimate of operating result for 2017

Efore Plc downgrades its estimate of the operating result for 2017 due to weaker than estimated development of net sales during the latter part of the year.

Previous financial estimate was:
Due to the financial situation of the Group and the structural changes currently taking place, giving earnings guidance is exceptionally challenging but the operating result and the cash flow from operating activities for 2017 are estimated to be positive.

New financial estimate is:
Due to the financial situation of the Group and the structural changes currently taking place, giving earnings guidance is exceptionally challenging but the Company estimates that the cash flow from operating activities for 2017 will be positive and the operating result will be slightly negative.

The operating result for the latter part of the year 2017 will show a loss and as a result of this the operating result for the whole year 2017 will be slightly negative. Especially in November-December the net sales development of certain product groups has been weaker than anticipated. The operating result for the latter part of the year will however be clearly better than the operating result at the corresponding period in 2016 and 2015.

The measures to reduce the fixed costs have progressed mainly according to the plans and since spring 2016 the annual level of the fixed costs has decreased by almost EUR 7 million. Furthermore, the actions to lighten the balance sheet have progressed positively and will continue in 2018. As a result of these actions, the cash flow from the operating activities will be positive already in 2017.


EFORE PLC

Jorma Wiitakorpi
President and CEO

For further information please contact Jorma Wiitakorpi, President and CEO, Dec. 14, 2017 at 9.30 – 10.30 a.m., tel. +358 40 175 8510.

DISTRIBUTION  

Nasdaq Helsinki Oy
Principal media


Efore Group

Efore is an international Group which develops and produces demanding power products. Efore's head office is based in Finland and its R&D functions are located in Finland, Sweden, Italy and China. Sales and marketing operations are located in Europe, United States and China. In the financial year ending in December 2016, consolidated net sales totalled EUR 75.4 million and the Group's personnel averaged 679. The parent company's share is quoted on the Nasdaq Helsinki Ltd.www.efore.com