Componenta Corporation Financial Statements 1 January 31 December - - PowerPoint PPT Presentation

▶
componenta corporation
SMART_READER_LITE
LIVE PREVIEW

Componenta Corporation Financial Statements 1 January 31 December - - PowerPoint PPT Presentation

Dec 26, 2022 109 likes •452 views

Componenta Corporation Financial Statements 1 January 31 December 2008 `~=c=p `~=c=p 1 28.1.2009 2008 in brief Net sales were MEUR 681.4 (634.7). Comparable

slide-1
SLIDE 1

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

1

Componenta Corporation

Financial Statements 1 January – 31 December 2008

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

slide-2
SLIDE 2

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

2

2008 in brief

  • Net sales were MEUR 681.4 (634.7). Comparable growth in net sales was

8.3%.

  • Operating profit excluding one-time items was MEUR 47.9 (34.9).
  • Profit after financial items excluding one-time items was MEUR 19.2 (14.9).
  • Operating profit improved from the previous year, mainly in consequence of

higher volumes and greater efficiency in business operations.

  • For the last quarter in 2008 the net result remained negative as

expected.

  • The net sales decreased by 23%
  • Sharp and rapid decrease in raw material prices were combined with small

number of deliveries

  • Costs due to adaptation of the number of personnel
  • Costs due to raw materials and adaptation of the number of personnel were

approximately MEUR 7.

  • At the end of the year the Group had unused credit facilities of

MEUR 63.

  • The Board of Directors proposal for dividend is 50 (50) cents per share.
slide-3
SLIDE 3

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

3

Income statement 2008

MEUR 2008 2007 1 - 12 1 - 12 Net sales 681.4 634.7 Operating profit excluding one-time items 47.9 34.9 Financial income and expenses

  • 28.7
  • 20.0

Result after financial items, excluding one-time items 19.2 14.9 One-time items

  • 0.6

7.8 Result after one-time items 18.6 22.7 Net result excluding one-time items 14.4 11.4 Net result 13.9 21.6 Earnings per share, EUR, excluding one-time items 1.28 1.01 Earnings per share, EUR 1.24 1.97

slide-4
SLIDE 4

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

4

Income statement Q4/2008

MEUR 2008 2007 Q4 Q4 Net sales 125.3 162.9 Operating profit excluding one-time items

  • 6.0

8.8 Financial income and expenses

  • 10.1
  • 5.7

Result after financial items, excluding one-time items

  • 16.1

3.1 One-time items

  • 0.2
  • 4.2

Result after financial items

  • 16.3
  • 1.1

Net result excluding one-time items

  • 12.4

2.6 Net result

  • 12.6
  • 1.0

Earnings per share, EUR, excluding one-time items

  • 1.07

0.25 Earnings per share, EUR

  • 1.08
  • 0.09
slide-5
SLIDE 5

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

5

Quarterly net sales development 2004 – 2008

20 40 60 80 100 120 140 160 180 200 220

Q 1 / 4 Q 2 / 4 Q 3 / 4 Q 4 / 4 Q 1 / 5 Q 2 / 5 Q 3 / 5 Q 4 / 5 Q 1 / 6 Q 2 / 6 Q 3 / 6 Q 4 / 6 Q 1 / 7 Q 2 / 7 Q 3 / 7 Q 4 / 7 Q 1 / 8 Q 2 / 8 Q 3 / 8 Q 4 / 8

Me

slide-6
SLIDE 6

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

6

Key ratios

MEUR 31.12.2008 31.12.2007 Equity ratio, % (preferred capital note in equity) 27.8 31.4 Return on equity, % 14.5 23.0 Return on equity, % (excluding one-time items) 14.9 12.1 Return on investment, % 13.6 11.9 Return on investment, % (excluding one-time items) 13.7 9.8 Net interest bearing debt, MEUR (preferred capital note in equity) 211.2 187.4 Net gearing, % (preferred capital note in equity) 168.9 120.2 Order book, MEUR 73.6 129.0 Investments in production facilities, MEUR 42.3 23.6 Personnel at the end of 2008 (including leased personnel) 4,163 5,064

slide-7
SLIDE 7

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

7

Cash flow 2008

MEUR 2008 2007 Cash flow from operations before change in net working capital, financing and taxes 68,6 57,5 Change in net working capital

  • 4,2

11,0 Cash flow from operations before financing and taxes 64,4 68,5 Cash flow from operations 29,4 42,6 Cash flow from investments

  • 40,6
  • 38,6

Cash flow from financing activities

  • 8,7

7,2 Change in liquid assets

  • 20,0

11,2

slide-8
SLIDE 8

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

8

Wvstahl Sorte 8/package recycled metal (EUR/ton)

(Source: Wvstahl)

233,40 228,90 389,00 315,00 283,60 222,50 216,30 427,20 429,30 399,90 258,80 184,80 279,20 157,00 112,50 218,90 135,90 161,50 253,30247,50 109,40

316,91 212,50 131,61 217,79 200,98 238,90 103,11 112,73

60 80 100 120 140 160 180 200 220 240 260 280 300 320 340 360 380 400 420 440 460

2001 2 3 4 5 6 7 8 9 10 11 12 2002 2 3 4 5 6 7 8 9 10 11 12 2003 2 3 4 5 6 7 8 9 10 11 12 2004 2 3 4 5 6 7 8 9 10 11 12 2005 2 3 4 5 6 7 8 9 10 11 12 2006 2 3 4 5 6 7 8 9 10 11 12 2007 2 3 4 5 6 7 8 9 10 11 12 2008 2 3 4 5 6 7 8 9 10 11 12

EUR / ton

WV Stahl Sorte 8 (EUR/ton) WV Stahl Sorte 8 Yearly average

slide-9
SLIDE 9

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

9

Development in exchange rates Turkish lira

Source: Reuters

slide-10
SLIDE 10

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

10

Development in exchange rates Great Britain pound

Source: Reuters

slide-11
SLIDE 11

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

11

Development in exchange rates Swedish crown

Source: Reuters

slide-12
SLIDE 12

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

12

20 40 60 80 100 120 140 160 Q1/07 Q2/07 Q3/07 Q4/07 Q1/08 Q2/08 Q3/08 Q4/08

Foundries and machine shops Turkey Other business

Order book quarterly

Me

  • 42.9%
slide-13
SLIDE 13

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

13

Operating profit and result after financial items excluding one-time items quarterly

  • 10
  • 5

5 10 15 20 25

I II III IV

  • 10
  • 5

5 10 15 20 25

2007 2008 2007 % 2008 %

  • 20
  • 16
  • 12
  • 8
  • 4

4 8 12 16 20

I II III IV

2007 2008

Operating profit excluding one-time items Result after financial items excluding one-time items

MEUR MEUR

slide-14
SLIDE 14

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

14

Equity ratio, %

5 10 15 20 25 30 35 40

31.12.2007 31.12.2008 Preferred capital note in equity Preferred capital note in debt

%

slide-15
SLIDE 15

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

15

Personnel by country including leased personnel

Finland 1,101 1,083 The Netherlands 880 760 Turkey 2,578 1,864 Sweden 505 457

31.12.2007 31.12.2008

slide-16
SLIDE 16

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

16

Division of sales

50 100 150 200 250 300 Foundries Machine shops Turkey Other business 1-12 2007 1-12 2008

Sales by division excluding one-time items

MEUR

Sales by market area 2008

Germany 15% UK 12% Turkey 12% Sweden 15% Finland 15% France 7% Italy 6% USA 3% Other countries 4% Benelux 11%

slide-17
SLIDE 17

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

17

Heavy trucks

28% (27%)

Off-road

35% (36%)

Diesel & wind

7 % (5%)

Machine building

15% (14%)

Automotive

14% (17%)

Comparable sales to customer industries 2008

Note: Other sales 1% (1%)

slide-18
SLIDE 18

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

18

10 20 30 40 50 60 70 80 Q1 Q2 Q3 Q4

MEUR

2007 2008

Comparable sales to off-road industry quarterly

  • 20%
slide-19
SLIDE 19

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

19

10 20 30 40 50 60 70 Q1 Q2 Q3 Q4

MEUR

2007 2008

Comparable sales to heavy truck industry quarterly

  • 23%
slide-20
SLIDE 20

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

20

5 10 15 20 25 30 35 Q1 Q2 Q3 Q4

MEUR

2007 2008

Comparable sales to automotive industry quarterly

  • 74%
slide-21
SLIDE 21

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

21

2 4 6 8 10 12 14 Q1 Q2 Q3 Q4

MEUR

2007 2008

Comparable sales to diesel & wind industries quarterly

+ 42%

slide-22
SLIDE 22

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

22

5 10 15 20 25 30 35 Q1 Q2 Q3 Q4

MEUR

2007 2008

Comparable sales to machine building industry quarterly

  • 3%
slide-23
SLIDE 23

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

23

Operating profit excluding one-time items Net sales

Foundries division

20 40 60 80 100 f ff fff fs 2007 2008

  • 2

2 4 6 8 10 12 14 16

I II III IV

  • 2

2 4 6 8 10 12 14 16

2007 2008 2007 % 2008 % jbro jbro B

slide-24
SLIDE 24

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

24

Performance of the Foundries division

  • The division contains the Group’s foundries in Karkkila, Pori, Pietarsaari and

Iisalmi in Finland, and in Weert and Heerlen in the Netherlands.

  • Net sales in 2008 were MEUR 292.6 (241.7) and operating profit MEUR 23.3 or

8.0% of net sales (MEUR 16.7; 6.9%).

  • Higher volumes and greater efficiency in operations contributed positively to the

improvement in the division’s operating profit.

  • Capacity at the Iisalmi foundry was raised to meet growing demand for wind

power components and capacity at the Karkkila foundry was increased for the needs of the production being transferred from Metso’s foundry in Jyväskylä. Both investments were mainly carried out during the third quarter.

  • Because of the sharp increases in raw material prices, during the year

Componenta introduced a new price compensation system, so that the impact of changes in raw material prices is updated on a monthly instead of a quarterly basis as before.

  • Fourth quarter net sales were MEUR 62.3 (64.2) and operating result was

MEUR -0.2, or -0.3% of net sales (MEUR 4.7; 7.3%).

slide-25
SLIDE 25

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

25

Operating profit excluding one-time items Net sales

Machine shops division

  • 1,0
  • 0,5

0,0 0,5 1,0 1,5 2,0 2,5 3,0 3,5 4,0

f ff fff fs

  • 2
  • 1

1 2 3 4 5 6 7 8 2007 2008 2007 % 2008 % jbro jbro

10 20 30 40 50 60 I II III IV OMMT OMMU

B

slide-26
SLIDE 26

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

26

Performance of the Machine shops division

  • The division comprises the machine shops in Främmestad, Sweden, in

Lempäälä and Pietarsaari, Finland, in Orhangazi, Turkey and machine

  • perations in Weert, the Netherlands.
  • Net sales in 2008 were MEUR 189.9 (177.8) and operating profit

MEUR 5.8, or 3.1% of net sales (MEUR 6.5; 3.7%).

  • The new machine shop in Orhangazi was completed during the

summer and the unit’s operations moved into the new premises during the third quarter.

  • Fourth quarter net sales were MEUR 40.8 (46.8) and operating result

was MEUR -0.2, or -0.5 % of net sales (MEUR 1.3; 2.8%).

slide-27
SLIDE 27

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

27

10 20 30 40 50 60 70 80 I II III IV 2007 2008

Operating profit excluding one-time items Net sales

Turkey division

jbro jbro

  • 15
  • 10
  • 5

5 10 15 20

f ff fff fs

  • 15
  • 10
  • 5

5 10 15 20 2007 2008 2007 % 2008 %

B

slide-28
SLIDE 28

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

28

10 20 30 40 50 60 70 80 I II III IV 2007 2008

Operating profit excluding one-time items and variations in exchange rates Net sales

Turkey division (cont.)

jbro jbro

  • 15
  • 10
  • 5

5 10

f ff fff fs

  • 30
  • 20
  • 10

10 20 2007 2008 2007 % 2008 %

B

slide-29
SLIDE 29

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

29

Performance of the Turkey division

  • The Turkey division comprises the iron foundry in Orhangazi and the

aluminium foundry and production unit for aluminium wheels in Manisa.

  • Net sales in 2008 were MEUR 242.7 (225.7) and operating profit was

MEUR 19.9, corresponding to 8.2% of net sales (MEUR 10.4; 4.6%).

  • The division’s financial performance improved during the year mainly

due to higher volumes and greater efficiency in operations.

  • Changes in the value of the Turkish lira improved the operating profit in

the first quarter by EUR 7.1 million, weakened it during the second and third quarters by EUR 4.3 million, and improved it again in the fourth quarter by EUR 3.4 million.

  • Swift changes in raw material prices and costs related to the adaptation
  • f number of personnel in the fourth quarter had an effect of

approximately MEUR 5

  • Fourth quarter net sales were MEUR 30.4 (51.0) and operating result

was MEUR -4.2, or -13.8% of net sales (MEUR 3.0; 5.9%).

slide-30
SLIDE 30

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

30

Other business

  • 4,0
  • 3,0
  • 2,0
  • 1,0

0,0 1,0 2,0

I II III IV 2007 2008

jbro=

Operating profit excluding one-time items

slide-31
SLIDE 31

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

31

Performance of other business

  • Other business comprises the Componenta Wirsbo forges in Sweden,

the sales and logistics company Componenta UK in Great Britain, real estate companies and the Group’s administrative functions.

  • Other Business had an operating profit in 2008 excluding one-time

items of MEUR -1.7 (1.6).

slide-32
SLIDE 32

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

32

Prospects for 2009

  • Componenta’s prospects for 2009 are based on general external

financial indicators, order forecasts given by customers, and on Componenta’s order intake and order book.

  • Demand prospects in most of the Group’s customer sectors are

uncertain at the beginning of 2009, due to the global economic recession.

  • The slow down in construction in the USA and Europe has reduced

demand in the off-road sector. Demand for mining machinery has taken a downward turn, due mainly to the recent fall in the prices of raw materials.

  • Production volumes for heavy trucks are expected to decline

significantly in 2009.

  • The uncertainty in the financial markets and the economic recession

have considerably cut demand in the automotive industry in Europe.

  • The demand outlook in the diesel and wind power sectors remains
  • good. Demand in the machine building industry is expected to fall.
slide-33
SLIDE 33

28.1.2009

`~ëíáåÖ=cìíìêÉ=pçäìíáçåë

33

Prospects for 2009 (cont.)

  • Componenta’s order book at the end of fourth quarter of 2008 stood at

EUR 74 (129) million, more than 40% lower than at the same time in the previous year.

  • Componenta has significantly decreased the use of leased personnel in

the Netherlands and Turkey and decided upon lay-offs and redundancies in Sweden, Finland and Turkey. On the whole the combined effect of reduction of amount of leased personnel as well as lay-offs and redundancies is 1,600 people.

  • Componenta Group’s 2009 net sales are expected to fall 30% and the

result after financial items, excluding one-time items, is expected to decline significantly from the 2008 figure.

  • The Group’s cash flow is expected to be clearly positive due to the

major reduction in working capital and the low level of investments.