KYRO CORPORATION STOCK EXCHANGE RELEASE 9 MAY 2007 8.30
a.m.
January-March key figures
- Agreement on sale of Energy business takes effect on 1 July 2007
- The Group's business divided into Continuing Operations (Glaston
Technologies and parent company Kyro Corporation, reported here as
Glaston) and Discontinued Operations (Energy)
- Kyro Corporation changes to Glaston Corporation on 1 June 2007; a
new corporate identity has been launched
- A new organisational model and redivision of business areas will
be outlined in a separate release
- Due to a change in revenue recognition practice, restated figures
are given for comparison with 2006
- Glaston's net sales EUR 58.2 (45.9) million
- Operating profit EUR 1.7 (-1.2, excluding non-recurring items)
million
- Profit before taxes EUR 1.9 (1.7) million
- Profit (after taxes) EUR 0.6 (-1.4) million
- New machine orders EUR 42.5 (29.0) million
- Glaston's order book EUR 92.5 (69.4) million
PRESIDENT & CEO MIKA SEITOVIRTA:"Glaston's year started on a positive note and order intake is above
the previous year's level. The first quarter was good for Bavelloni
and Tamglass Glass Processing, and safety glass machine orders in
Northern Asia and the EMA area also grew. The North American market
developed more weakly than expected. The strategically important OSP
order intake exceeded its targets, with the Chinese market being
particularly strong. In addition, efficiency programmes being carried
out in Bavelloni and Tamglass Glass Processing have progressed
according to plan, and an estimated EUR 4.5 million savings will be
realised this year," says Seitovirta.
In safety glass machines, on the other hand, unforeseen expenses for
new products and product series launched in 2006 contributed to a
weakening of profitability in the early part of the year. A weaker US
dollar also adversely affected the result.
After Sales business volume and profitability improved due to good
development of spare part and accessory sales.
Improving profitability is our number one priority. The result was
improved, but still remained unsatisfactory.
Overall, Glaston has made a bright start to 2007. The Energy business
area solution now being finalised gives us the opportunity to focus
completely on building a profit-seeking, customer-oriented Glaston",
continues Seitovirta.
CHANGE IN REPORTING PRACTICE
The Energy business area consists of the electricity and heat
generating gas-fired combi power plant of Kyro Power Oy. On
29 September 2006, Kyro signed with M-real Corporation an agreement
by which Kyro has the right to sell and M-real the right to buy the
energy business operations in summer 2007, when the existing energy
delivery contract between the companies expires. This transaction
will be completed on 1 July 2007. Glaston announced details of the
sale of its Energy business area in a separate stock exchange release
on 7 May 2007.
Kyro's figures are in this report divided into Continuing Operations
and Discontinued Operations. Continuing Operations consists of the
Glaston Technologies business area and the operations of the parent
company, Kyro Corporation. In due course they will become Glaston,
which in this interim report is Kyro's only reporting segment.
The 2006 interim report and annual financial statement figures of
Continuing Operations have been restated to correspond to the
accounting principles introduced in the Group on 1 January 2007.
The Discontinued Operations' Energy business area figures are
published in accordance with the reporting practice of the IFRS 5
standard Discontinued Operations. Energy's result is presented in a
single line in the consolidated income statement. Energy's
non-current assets held for sale and liabilities relating to
non-current assets held for sale have been presented separately in
the balance sheet. Both income statement and balance sheet items have
been presented in more detail in the table to be found at the end of
this release.
CHANGE IN REVENUE RECOGNITION PRACTICE
The proportion of the Group's turnover accounted for by glass
processing machines sold as customer-tailored and comprehensive
deliveries has grown significantly. In consequence of this, from
1 January 2007 the Group will recognise such glass processing machine
deliveries on the basis of degree of completion of the delivery in
accordance with IAS 11 standard Construction Contracts. Revenue
recognition according to IAS 11 better describes the nature and
forecastability of the operations in question.
Comparison data for 2006 have been restated to correspond with the
new recognition practice in accordance with the IFRS 8 standard. The
effects of the restatements in the Group's 2006 income statement and
balance sheet have been presented at the end of this release.
In terms of the restated 2006 financial statements, EUR 15.8 million
in net sales, and correspondingly EUR 4.4 million in operating
profit, were transferred to the previous financial period. Kyro's
equity ratio for 2006 fell by 0.3 percentage points 61.9 per cent.
Because income from glass processing machines will be recognised more
quickly due to the new recognition practice, inventories,
interest-free debt (advances received) and order book will fall. On
the other hand, trade receivables will grow.
The change in revenue recognition practice will have no impact on the
Group's profit-making capacity in future.
KYRO'S NET SALES, OPERATING PROFIT AND ORDER BOOK
In January-March Kyro's Continuing Operations', i.e. Glaston's, net
sales grew by EUR 12.3 million, 26.8 per cent, and totalled EUR 58.2
(45.9) million. Operating result grew by EUR 2.9 million and was
EUR 1.7 (-1.2, excluding non-recurring items) million, representing
2.9 (-2.7) per cent of net sales. Figures presented as comparison
data for the first quarter 2006 are resta ted. In terms of the
comparison quarter, EUR 9.0 million of net sales and EUR 4.3 million
of operating profit were transferred to the previous year.
Result before taxes was EUR 1.9 (-1.7) million. The result for the
financial period was EUR 0.6 (-1.4) million. Net financial items
totalled EUR 0.2 (0.2) million. This includes interest, dividend and
other financial income of EUR 0.7 (0.5) million, and interest and
other financial expenses of EUR -0.5 (0.3) million.
Kyro's Discontinued Operations' result for the financial period was
EUR 1.5 (1.2) million.
Return on invested capital was 10.8 (0.2) per cent. Earnings per
share were EUR 0.03 (0.00) and equity per share was EUR 1.71 (1.63).
First quarter net sales grew significantly, despite the adverse
impact of a weakened US dollar. In addition to the US dollar,
operating profit was further burdened by unforeseen expenses for new
safety glass machines launched in 2006.
Tamglass Glass Processing successfully transferred raw glass price
increases into the prices of its own products. The reorganisation
programme has advanced in all respects according to plan.
The pre-processing and safety glass markets, apart from North
America, have developed favourably. The European safety glass market
was clearly better than the previous year, but still below the level
of 2005. The pre-processing machine market showed slight growth. The
Chinese market was clearly at a higher level than in the
corresponding quarter of 2006. Rest of the APAC area developed more
slowly.
Glaston's net sales, operating profit and order book, EUR million
Net sales Operating profit Order book
1-3/2007 1-3/2006 1-3/2007 1-3/2006 3/2007 3/2006
Glaston 58.2 45.9 1.7 -1.2 92.5 69,4
Non-recurring items -0.7
Total 58.2 45.9 1.7 -1.9 92.5 69,4
FINANCING
The Group's financial standing is good. On 31 March 2007, the equity
ratio was 59.1 (on 31 December 2006 61.9) per cent. Cash flow from
Kyro's Continuing Operations was EUR -3.2 (1.7) million, and cash
flow from investments was EUR -1.7 (-2.1) million. Cash flow from
financing was 1.8 (-0.2) million euros, including dividends paid
during the period worth 6.5 (12.2.) million euros.
Cash flow from Discontinued Operations was 4.6 (0.4) million euros.
The Group's liquid funds on 31 March 2007 totalled EUR 12.0 (on 31
December 2006 10.5) million. Interest-bearing net liabilities
amounted to EUR 3.4 (-12.6) million. Gearing stood at 2.5 (-9.8) per
cent.
CAPITAL EXPENDITURE
The Group's capital expenditure in January-March totalled EUR 1.7
(2.3) million. This figure includes capitalised product development
costs of EUR 0.6 million as well as routine repair and maintenance
investments.
ORGANISATION AND PERSONNEL
Mika Seitovirta M.Sc.(Econ.) became the Group's new President and CEO
on 1 January 2007.
The Group had 1,193 (1,247) employees on 31 March 2007. The number of
Group employees working in Finland was 425 (448), while the number
working abroad was 768 (799). The average number of employees was
1,205 (1,240).
SHARES AND SHARE PRICES
A total of 1,294,298 (3,150,052) Kyro Corporation (KRO1V) shares were
traded in the period January-March, representing 1.6 (4.0) per cent
of the total number of shares. The lowest price paid for a share on
the Helsinki Exchanges was EUR 3.90 and the highest price EUR 4.53.
The average price during the period was EUR 4.19.
DECISIONS OF THE ANNUAL GENERAL MEETING
The Annual General Meeting of Kyro Corporation held on 13 March 2007
decided on the matters pertaining to the Annual General Meeting under
Article 14 of the Articles of Association. The meeting approved the
financial statements for 2006 and released the Board of Directors and
the President & CEO from liability for the financial year. The Annual
General Meeting decided, in accordance with a proposal of the Board
of Directors and based on the confirmed balance sheet, that a
dividend of EUR 0.09 per share, a total of EUR 7.1 million, be
distributed for the financial period ending 31 December 2006.
The Annual General Meeting decided to amend Article 1 relating to the
company's business name, so that the company's business name becomes
Glaston Oyj Abp (in English, Glaston Corporation). The new business
name will be adopted as of 1 June 2007.
In addition, it was decided to amend the Articles of Association in
accordance with the new Companies Act, with Article 3 relating to the
minimum and maximum share capital and nominal value of shares being
deleted. Article 4 relating to the book-entry system was amended, so
that those items other than the mention of the company's shares
belonging to the book entry system were deleted. Article 7 of the
Articles of Association was amended, so that signing of the business
name was changed to right of representation. Adjustments required by
the new Companies Act were made to Article 12 relating to the
invitation to attend a meeting of shareholders and to Article 14
relating to the business of the Annual General Meeting.
The Annual General Meeting authorised the Board of Directors to
acquire the company's own shares up to a maximum of 7,605,096 shares.
The shares can be acquired to develop the company's capital
structure, in financing or implementing possible company acquisitions
or other arrangements, as part of the company's or its subsidiaries
incentive schemes or to be retained by the company or otherwise
disposed of or invalidated.
The Annual General Meeting also decided to authorise the Board of
Directors to decide on the issuing of new shares and own shares
and/or the disposal of own shares in the company's possession either
against payment or without payment. By virtue of the authorisation,
the Board of Directors is entitled to decide on the issuing of a
maximum of 7,935,000 new shares and/or the disposal of a maximum of
7,935,000 own shares possessed by the company, yet so that the total
number of shares issued and/or disposed of can be a maximum of
7,935,000 shares.
Shares can be issued or disposed of in exception to shareholders'
pre-emptive subscription rights without payment only if the company
has a substantial financial reason for doing so and the interests of
all the company's shareholders are taken into account. The Board of
Directors may also decide on a free share issue to the company
itself.
The authorisation is valid until the end of the 2009 Annual General
Meeting. On 31 March 2007, Kyro Corporation held a total of 329,904
(329,904) of its own shares, acquired on the basis of earlier
authorisations. The company did not exercise the new authorisation in
January-March.
As of the end of Annual General Meeting, the members of Board of
Directors for the next one-year period are Andreas Tallberg, Claus
von Bonsdorff, Klaus Cawén, Jan Hasselblatt, Carl-Johan Rosenbröijer
and Christer Sumelius. The Board of Directors elected Andreas
Tallberg as Chairman of the Board of Directors and Christer Sumelius
as Deputy Chairman. KPMG Wideri Oy Ab continues as the auditor of
Kyro Corporation, with Sixten Nyman, Authorised Public Accountant, as
the responsible auditor.
EVENTS AFTER THE REVIEW PERIOD
On 13 April 2007, Paolo Ceni was appointed Managing Director of
Bavelloni, which is part of Glaston. The appointment was announced a
separate release. Glaston's Vice President, Global Sales, Kaj
Appelberg, left the Kyro Group on 19 April 2007.
Kyro announced on 7 May 2007 that an agreement on the sale of the
Group's Energy business area will be completed on 1 July 2007.
A statement of Glaston's new organisational structure and redivision
of business areas has been announced in a separate release issued
today, 9 May 2007.
UNCERTAINTIES IN THE NEAR FUTURE
Glaston's general, long-term risks have been extensively discussed in
the 2006 financial statements. The Group considers the uncertainties
in the near future to include:
The trend of the US market and the US dollar exchange rate.
The price trend and availability of raw materials and components.
The completion of the Bavelloni and Tamglass Glass Processing
efficiency programmes according to plan.
FUTURE PROSPECTS
In the early months of 2007, the level of Glaston's order book is
good. Based on current market prospects and the savings achieved by
the previous year's efficiency measures, Glaston expects to increase
its net sales and operating profit in 2007.
Helsinki, 9 May 2007
KYRO CORPORATION
BOARD OF DIRECTORS
Additional information about the interim report can be obtained from
Kyro Group's President & CEO Mika Seitovirta and Chief Financial
Officer Kimmo Lautanen, tel. +358 9 5422 3300.
Investor relations:
IR and Communications Manager Emmi Berlin, tel. +358 400 903 260 /
emmi.berlin@kyro.fi, IR pages at the Internet address www.kyro.fi.
Distribution
Helsinki Stock Exchange, key media
Kyro Group
Consolidated Income Statement, EUR
million Restated Restated
1-3/2007 1-3/2006 1-12/2006
Continuing Operations
Net sales 58,2 45,9 218,9
Other operating income 0,2 0,8 2,4
Operating expenses 55,3 46,5 205,0
Non-recurring items 0,7 5,2
Depreciation 1,4 1,5 5,4
Operating result 1,7 -1,9 5,6
% of net sales 2,9 -4,1 2,6
Operating result excluding
non-recurring items 1,7 -1,2 10,9
% of net sales 2,9 -2,7 5,0
Financial income and expenses 0,2 0,2 0,3
Result before taxes 1,9 -1,7 5,9
Income tax -1,3 0,4 -1,7
Result for the financial period,
Continuing Operations 0,6 -1,4 4,2
Discontinued Operations
Profit for the financial period,
Discontinued Operations 1,5 1,3 4,8
Result for the financial period 2,1 -0,1 8,9
Distribution of result for financial
period
To parent company shareholders 2,1 -0,1 8,9
To minority 0,0 0,0 0,0
Earnings per share, euros, Continuing
Operations 0,01 -0,02 0,05
Earnings per share, euros,
Discontinued Operations 0,02 0,02 0,06
Earnings/share, euros, total 0,03 0,00 0,12
Consolidated Balance Sheet, EUR
million 31.3.2007 31.3.2006 31.12.2006
Assets
Non-current assets 108,0 124,5 123,2
Inventories 47,8 50,9 49,5
Trade and other receivables 68,3 72,6 66,9
Assets recognised at fair value
through profit and loss 0,0 0,2 0,1
Cash and cash equivalents 12,0 15,9 10,5
Non-current assets held-for-sale 14,6
Assets, total 250,7 264,2 250,2
Shareholders' equity and liabilities
Shareholders' equity attributable to
parent company shareholders 135,1 129,4 140,1
Minority interest 0,0 0,0 0,0
Shareholders' equity, total 135,2 129,5 140,1
Non-current interest-bearing
liabilities 0,6 1,3 0,6
Non-current interest-free liabilities 14,5 15,1 14,9
Current interest-bearing liabilities 15,0 3,7 7,4
Current interest-free liabilities 85,2 114,7 87,1
Liabilities relating to non-current
assets held for sale 0,4
Shareholders' equity and liabilities,
total 250,7 264,2 250,2
Kyro Group
Restated Restated
Financial indicators 31.3.2007 31.3.2006 31.12.2006
Number of shares, 1,000 79350 79350 79350
- of which outstanding 79020 79020 79020
Return on invested capital, % 10,8 0,2 8,8
Return on equity, % 6,1 -0,3 6,3
Equity ratio, % 59,1 57,6 61,9
Gearing, % 2,5 -9,8 -1,9
Equity per share, EUR 1,71 1,63 1,77
Investments, EUR million 1,7 2,3 12,0
Personnel at end of year 1193 1247 1211
Personnel (average) 1205 1240 1264
Order book, Continuing Operations, EUR
million 92,5 69,4 97,8
Statement of change in
consolidated shareholders'
equity
Shareholders'equity
attributable to parent
company shareholders
Share Fair
Share premium Translation value Own Re-tained Minor-ity Share-holders'
EUR million capit-al account differences fund shares earn-ings Total inte-rest equity, total
Shareholders'
equity
1.1.2007 12,7 25,3 0,4 -0,2 -1,0 102,8 140,1 0,0 140,1
Cash flow
hedgings,
less taxes:
Profits and
losses
recognised in
shareholders'
equity 0,3 0,3 0,3
Translation
differences -0,3 -0,3 -0,3
Profits or
losses from
hedging
of net
investments
in foreign
units,
less taxes 0,1 0,1 0,1
Profit for
the financial
period 2,1 2,1 2,1
Income and
expenses
recognised in
the period,
total -0,2 0,3 2,1 2,2 0,0 2,2
Dividend
distribution -7,1 -7,1 -7,1
Shareholders'
equity
31.3.2007 12,7 25,3 0,2 0,1 -1,0 97,8 135,1 0,0 135,2
Share Fair
Share premium Translation value Own Re-tained Minor-ity Shareholders'
EUR million capital account differences fund shares earn-ings Total inter-est equity, total
Shareholders'
equity
1.1.2006 12,7 25,3 1,5 -1,6 -1,0 102,0 139,0 0,0 139,0
Adjustment 5,3 5,3 5,3
Adjusted
shareholders'
equity
1.1.2006 12,7 25,3 1,5 -1,6 -1,0 107,3 144,3 0,0 144,3
Cash flow
hedgings,
less taxes:
Profits and
losses
recognised in
shareholders'
equity -1,1 -1,1 -1,1
Translation
differences -0,3 -0,3 -0,3
Profit for
the financial
period -0,1 -0,1 0,0 -0,1
Income and
expenses
recognised in
the period,
total -0,3 -1,1 -0,1 -1,5 -1,5
Dividend
distribution -13,4 -13,4 -13,4
Adjusted
shareholders'
equity
31.3.2006 12,7 25,3 1,2 -2,6 -1,0 93,8 129,4 0,0 129,5
Kyro Group
Consolidated cash flow statement,
EUR 1000
Restated Restated
1.1.-31.3.2007 1.1.-31.3.2006 1.1.-31.12.2006
Cash flow from business operations,
Continuing Operations
Profit for the financial period 0,6 -1,4 4,2
Adjustments 1,3 4,2 1,2
Cash flow before change in working
capital 1,9 2,9 5,5
Change in working capital -3,1 0,2 -3,1
Cash flow from operations before
financial items and
taxes -1,2 3,1 2,4
Operating result excluding
non-recurring items 0,0 0,2 0,8
Dividends
received 0,0 0,0 0,0
Interest
paid -0,1 -0,1 -1,0
Taxes
paid -1,9 -1,5 -7,5
Cash flow from business
operations -3,2 1,7 -5,2
Cash flow from investments, Continuing
Operations
Investments in tangible and intangible
assets -1,8 -2,2 -10,9
Proceeds from the sale of tangible and
intangible assets 0,1 2,8
Proceeds from disposal of
available-for-sale equity investments 3,2
Change in long-term loan receivables 0,1 1,1
Taxes on proceeds of disposal of
energy business operations in 2005 -2,9
Cash flow from
investments -1,7 -2,1 -6,9
Cash flow from financing, Continuing
Operations
Drawings of short-term loans 8,3 1,9 5,6
Repayments of long-term loans -0,6
Dividends paid -6,5 -12,2 -13,4
Cash flow from financing 1,8 -10,2 -8,4
Discontinued Operations
Cash flow from business operations 4,6 0,4 4,7
Cash flow from investments 0,0 0,0 0,1
Cash flow from financing 0,0 0,0 0,0
Cash flow from Discontinued Operations 4,6 0,4 4,8
Change in cash and cash equiv. 1,5 -10,3 -15,7
Cash and cash equiv. at beginning of
period 10,5 26,3 26,3
Cash and cash equiv. at end of
financial period 12,0 15,9 10,5
Contingent liabilities, EUR million 31.3.2007 31.3.2006 31.12.2006
Company mortgages 0,2 0,2 0,2
Other own liabilities 5,0 7,4 5,6
Kyro Group
Consolidated
Income Statement,
EUR million
by quarter
Re-stated Re-stated
1-3/ 1-3/ 4-6/ 4-6/
2006 Change 2006 2006 Change 2006
Continuing
Operations
Net sales 54,9 -9,0 45,9 55,3 -2,7 52,7
Other operating
income 0,8 0,8 0,2 0,2
Operating
expenses 51,2 -4,7 46,5 50,8 -2,5 48,3
Non-recurring
items 0,7 0,7 0,0 0,0
Depreciation 1,5 1,5 1,5 1,5
Operating result 2,4 -4,3 -1,9 3,3 -0,1 3,2
% of net sales 4,3 -4,1 5,9 6,0
Operating result
excluding
non-recurring
items 3,0 -4,3 -1,2 3,3 -0,1 3,2
% of net sales 5,5 -2,7 5,9 6,0
Financial income
and expenses 0,2 0,2 -0,2 -0,2
Result before
taxes 2,5 -4,3 -1,7 3,0 -0,1 2,9
Income tax -0,9 1,2 0,4 0,5 0,1 0,7
Result for the
financial period,
Continuing
Operations 1,6 -3,0 -1,4 3,6 0,0 3,6
Discontinued
Operations
Profit for the
financial period,
Discontinued
Operations 1,3 1,3 0,9 0,9
Result for the
financial period 2,9 -3,0 -0,1 4,5 0,0 4,5
Distribution of
result for
financial period
To parent company
shareholders 2,9 -3,0 -0,1 4,5 0,0 4,5
To minority 0,0 0,0 0,0 0,0 0,0 0,0
Earnings per
share, euros,
Continuing
Operations 0,02 -0,04 -0,02 0,05 0,00 0,05
Earnings per
share, euros,
Discontinued
Operations 0,02 0,02 0,01 0,01
Consolidated
Income Statement,
EUR million
by quarter
Re-stated Re-stated
7-9/ 7-9/ 10-12/ 10-12/
2006 Change 2006 2006 Change 2006
Continuing
Operations
Net sales 51,3 5,0 56,3 73,1 -9,2 64,0
Other operating
income 0,7 0,7 0,7 0,7
Operating
expenses 48,3 3,8 52,1 66,1 -7,9 58,2
Non-recurring
items 1,1 1,1 3,5 3,5
Depreciation 1,5 1,5 1,0 1,0
Operating result 1,2 1,2 2,4 3,2 -1,3 1,9
% of net sales 2,4 4,3 4,4 3,0
Operating result
excluding
non-recurring
items 2,3 1,2 3,5 6,7 -1,3 5,5
% of net sales 4,4 6,2 9,2 8,5
Financial income
and expenses 0,5 0,5 -0,2 -0,2
Result before
taxes 1,7 1,2 2,9 3,0 -1,3 1,7
Income tax -0,6 -0,3 -1,0 -2,0 0,2 -1,8
Result for the
financial period,
Continuing
Operations 1,1 0,9 2,0 1,0 -1,0 0,0
Discontinued
Operations
Profit for the
financial period,
Discontinued
Operations 1,5 1,5 1,1 1,1
Result for the
financial period 2,6 0,9 3,5 2,1 -1,0 1,1
Distribution of
result for
financial period
To parent company
shareholders 2,6 0,9 3,5 2,1 -1,0 1,1
To minority 0,0 0,0 0,0 0,0 0,0 0,0
Earnings per
share, euros,
Continuing
Operations 0,01 0,01 0,02 0,01 -0,01 0,00
Earnings per
share, euros,
Discontinued
Operations 0,02 0,02 0,01 0,01
Consolidated
Income Statement,
EUR million
cumulative at end
of period Re-stated Re-stated
1-3/ 1-3/ 1-6/ 1-6/
2006 Change 2006 2006 Change 2006
Continuing
Operations
Net sales 54,9 -9,0 45,9 110,2 -11,6 98,6
Other operating
income 0,8 0,8 1,0 1,0
Operating
expenses 51,2 -4,7 46,5 102,0 -7,3 94,8
Non-recurring
items 0,7 0,7 0,7 0,7
Depreciation 1,5 1,5 2,9 2,9
Operating result 2,4 -4,3 -1,9 5,6 -4,4 1,2
% of net sales 4,3 -4,1 5,1 1,2
Operating result
excluding
non-recurring
items 3,0 -4,3 -1,2 6,3 -4,4 1,9
% of net sales 5,5 -2,7 5,7 1,9
Financial income
and expenses 0,2 0,2 0,0 0,0
Result before
taxes 2,5 -4,3 -1,7 5,6 -4,4 1,2
Income tax -0,9 1,2 0,4 -0,3 1,4 1,0
Result for the
financial period,
Continuing
Operations 1,6 -3,0 -1,4 5,2 -3,0 2,2
Discontinued
Operations
Profit for the
financial period,
Discontinued
Operations 1,3 1,3 2,1 2,1
Result for the
financial period 2,9 -3,0 -0,1 7,4 -3,0 4,3
Distribution of
result for
financial period
To parent company
shareholders 2,9 -3,0 -0,1 7,4 -3,0 4,3
To minority 0,0 0,0 0,0 0,0 0,0 0,0
Earnings per
share, euros,
Continuing
Operations 0,02 -0,04 -0,02 0,07 -0,04 0,03
Earnings per
share, euros,
Discontinued
Operations 0,02 0,02 0,03 0,03
Consolidated
Income Statement,
EUR million
cumulative at end
of period Re-stated Re-stated
1-9/ 1-9/ 1-12/ 1-12/
2006 Change 2006 2006 Change 2006
Continuing
Operations
Net sales 161,5 -6,6 154,9 234,6 -15,8 218,9
Other operating
income 1,7 1,7 2,4 2,4
Operating
expenses 150,3 -3,5 146,8 216,4 -11,3 205,0
Non-recurring
items 1,7 1,7 5,2 5,2
Depreciation 4,4 4,4 5,4 5,4
Operating result 6,8 -3,1 3,7 10,1 -4,4 5,6
% of net sales 4,2 2,4 4,3 2,6
Operating result
excluding
non-recurring
items 8,6 -3,1 5,4 15,3 -4,4 10,9
% of net sales 5,3 3,5 6,5 5,0
Financial income
and expenses 0,5 0,5 0,3 0,3
Result before
taxes 7,3 -3,1 4,2 10,3 -4,4 5,9
Income tax -1,0 1,0 0,1 -3,0 1,3 -1,7
Result for the
financial period,
Continuing
Operations 6,3 -2,1 4,2 7,3 -3,2 4,2
Discontinued
Operations
Profit for the
financial period,
Discontinued
Operations 3,6 3,6 4,8 4,8
Result for the
financial period 10,0 -2,1 7,8 12,1 -3,2 8,9
Distribution of
result for
financial period
To parent company
shareholders 10,0 -2,1 7,8 12,1 -3,2 8,9
To minority 0,0 0,0 0,0 0,0 0,0 0,0
Earnings per
share, euros,
Continuing
Operations 0,08 -0,03 0,05 0,09 -0,04 0,05
Earnings per
share, euros,
Discontinued
Operations 0,05 0,05 0,06 0,06
Re-stated Re-stated
Consolidated
Balance Sheet, 31.3. 31.3. 30.6. 30.6.
EUR million 2006 Change 2006 2006 Change 2006
Assets
Non-current
assets 124,5 124,5 123,8 123,8
Inventories 61,7 -10,8 50,9 65,0 -9,4 55,6
Trade and other
receivables 55,5 17,0 72,6 52,0 13,4 65,3
Assets recognised
at fair value
through profit
and loss 0,2 0,2 0,0 0,0
Cash and cash
equivalents 15,9 15,9 5,6 5,6
Assets, total 258,0 6,2 264,2 246,4 4,0 250,4
Shareholders'
equity and
liabilities
Shareholders'
equity
attributable to
parent company
shareholders 127,2 2,3 129,4 131,6 2,3 133,9
Minority interest 0,0 0,0 0,0 0,0 0,0 0,0
Shareholders'
equity, total 127,2 2,3 129,5 131,6 2,3 133,9
Non-current
interest-bearing
liabilities 1,3 1,3 0,7 0,7
Non-current
interest-free
liabilities 15,1 15,1 15,7 15,7
Current
interest-bearing
liabilities 3,7 3,7 4,8 4,8
Current
interest-free
liabilities 110,8 3,9 114,7 93,6 1,7 95,3
Shareholders'
equity and
liabilities,
total 258,0 6,2 264,2 246,4 4,0 250,4
Re-stated Re-stated
Consolidated
Balance Sheet, 30.9. 30.9.
EUR million 2006 Change 2006 31.12.2006 Change 31.12.2006
Assets
Non-current
assets 123,7 123,7 123,2 123,2
Inventories 64,1 -12,4 51,8 54,7 -5,3 49,5
Trade and other
receivables 53,9 20,2 74,1 57,1 9,8 66,9
Assets recognised
at fair value
through profit
and loss 0,1 0,1 0,1 0,1
Cash and cash
equivalents 10,5 10,5 10,5 10,5
Assets, total 252,3 7,9 260,2 245,6 4,6 250,2
Shareholders'
equity and
liabilities
Shareholders'
equity
attributable to
parent company
shareholders 133,6 3,2 136,7 138,0 2,1 140,1
Minority interest 0,0 0,0 0,0 0,0 0 0,0
Shareholders'
equity, total 133,6 3,2 136,8 138,0 2,1 140,1
Non-current
interest-bearing
liabilities 0,6 0,6 0,6 0,6
Non-current
interest-free
liabilities 15,7 15,7 14,9 14,9
Current
interest-bearing
liabilities 7,3 7,3 7,4 7,4
Current
interest-free
liabilities 95,0 4,7 99,7 84,7 2,5 87,1
Shareholders'
equity and
liabilities,
total 252,3 7,9 260,2 245,6 4,6 250,2
Kyro Group
Discontinued Operations in notes
Notes to the income statement
Discontinued Operations 1-3/2007 1-3/2006 1-12/2006
Result of energy business operations
Income 8,8 9,0 38,8
Expenses 6,8 7,4 32,4
Profit before taxes 2,1 1,7 6,4
Operating result excluding non-recurring
items -0,5 -0,4 -1,7
Profit after taxes 1,5 1,3 4,8
Notes to the balance sheet
Energy operations' assets classed as
held for sale 31.3.2007
Intangible rights 0,4
Tangible assets 14,0
Inventories 0,2
Assets, total 14,6
Energy operations' liabilities classed
as held for sale 31.3.2007
Accruals and deferred income 0,4
Liabilities, total 0,4
Continuing Operations' restated net sales,
operating result and order book, EUR million
1-3/06 4-6/06 7-9/06 10-12/06 1-3/07
Net sales 45,9 52,7 56,3 64,0 58,2
Operating result excluding
non-recurring items -1,2 3,2 3,5 5,5 1,7
% -2,7 6,0 6,2 8,5 2,9
03/06 06/06 09/06 12/06 03/07
Order book 69,4 81,8 93,8 97,8 92,5
Accounting principles
The interim report has been prepared applying recognition and
valuations principles according to IFRS standards, but in its
preparation not all of the requirements of the IAS 34 standard have
been applied.
The accounting principles of the interim report are the same as those
presented in the financial statements dated 31 December 2006, except
for the following changes:
1 On 1 January 2007, the Group adopted the IFRS 7 standard Financial
Instruments: Disclosures in the Financial Statements and well as the
amendment to the IAS 1 standard relating to capital data to be
presented in the financial statements. The introduction of both
standards chiefly impacts on data to be presented in the notes of the
Group's future financial statements.
2 The proportion of the Group's turnover accounted for by glass
processing machines sold as customer-tailored and comprehensive
deliveries has grown significantly, and in consequence of this, from
1 January 2007 the Group will recognise such glass processing machine
deliveries on the basis of degree of completion of the delivery in
accordance with IAS 11 standard Construction Contracts. Comparison
data have been restated to correspond with the new recognition
practice. The effect of the restatement on financial statement
figures reported in this interim report are presented in the separate
tables.
The same calculation principles as in the 2006 financial statements
have been applied in the calculation of the key figures presented in
this interim report. The calculation principles for key figures are
outlined in the previous year's financial statements.
The data presented in the interim report are unaudited.
