Panostaja Oyj Stock Exchange bulletin 12.3.2009 10.00 a.m PANOSTAJA GROUP INTERIM REPORT 1 November 2008 - 31 January 2009 Net turnover stood at EUR 28.8 million (EUR 26.0 million), equivalent to 11% growth. There was an operating loss of EUR -0.6 million (EUR 0.5 million). Earnings per share (basic) were -1.2 cents (1.5 cents). Equity per share was EUR 0.76 (EUR 0.71). The equity ratio was 33.0% (34.5%). The speedy downturn in the global economy weakened the Group's profitability despite the corrective measures taken. The Group's net turnover and operating profit for the financial year are expected to surpass that for the previous financial year, despite a weaker first quarter. This Interim Report was prepared in compliance with the recognition and measurement principles of the International Financial Reporting Standards (IFRS) and in accordance with the same accounting policies as the financial statements for 2008. GROUP FINANCIAL PERFORMANCE Panostaja Group's net turnover for the quarter just ended was EUR 28.8 million (EUR 26.0 million). Growth in net turnover resulted from acquisitions made during the previous financial year, accounting for EUR 4.5 million of the turnover for the reporting period. Turnover for the Group's largest segment in terms of turnover (Wholesale Trade) during the first quarter fell by EUR -0.8 million, as that segment's corporate customers adjusted their purchases to the poorer levels of demand. The fall in turnover for the joinery industry segment (EUR -0.6 million) was affected by the slowdown in (private) house building. The Group's operating loss was EUR -0.6 million (EUR 0.5 million), while profit before taxes was EUR -1.0 million (EUR 0.2 million). The operating margin was -2.0% (2.1%). The speedy downturn in the global economy weakened the Group's profitability despite the corrective measures taken. The normal season fluctuation associated with Panostaja's reporting periods increased because several corporate customers discontinued their activities around the end of the year. Profitability was mainly down in the Other Business segment, where the operating loss grew by EUR -0.8 million. Most of the increase in that segment's loss was due to the investment in Lukkoexpert Security Oy's enterprise resource planning system, whose delay slowed down the completion of the company's delivery projects and delayed billing for them. The Group's net financial expenditure was about EUR -0.4 million (EUR 0.4 million). It employed an average of 761 (727) staff during the reporting period. INVESTMENTS AND FINANCING The Group's gross capital expenditure during the first quarter was EUR 2.8 million (EUR 8.8 million). The most important investment during the reporting period was the acquisition of Puztec Oy. The Group's cash flow during the reporting period fell by EUR -0.4 million. Its liquidity, despite negative cash flow and the investments made, was good. Furthermore, storage development work is under way in the Group, being organised by Vallog Oy, which aims at optimising the value of inventories in Panostaja's five business segments (subgroups). The Group's cash and cash equivalents and short-term investments of EUR 40.5 million (EUR 33.9 million) enabled the realisation of the growth strategy. The Group's equity ratio was 33.0% (34.5%) and interest-bearing net liabilities stood at EUR 21.0 million (EUR 18.3 million). Panostaja Oyj's convertible subordinated loan accounted for EUR 17.2 million (EUR 18.7 million) of the net liabilities. The Annual General Meeting on 26 January 2009 adopted a proposal on a distribution of dividends. Dividends were distributed at EUR 0.12 per share. The record date for dividend distribution was 29 January 2009 and the payment date would be from 5 February 2009. A total of EUR 5.6 million was paid in dividends to the parent shareholders. CHANGES TO THE GROUP STRUCTURE During the reporting period Panostaja Oyj bought the entire share capital of Puztec Oy, which supplies tube conveyor systems. A total of 64% of the share capital became owned by Panostaja on 2 January 2009 and the rest will transfer by 1 May 2009. With the acquisition, Panostaja expanded its business segment that specialises in environmental technology. Puztec Oy designs, manufactures and markets community and bio-waste tube conveyor systems and disposal shafts. The company's turnover in the financial year 2008 was around EUR 2 million and its premises are located in Kivenlahti, in Espoo. In the reporting period Panostaja Oyj reported that Digital Printing Services was a new segment. It is formed from the Kopijyvä Group. Kopijyvä Oy is one of Finland's biggest companies providing digital printing services. In the financial year 2008 the Kopijyvä Group was reported as part of the Other Business segment. Following the change, Panostaja's six business segments are now: Industrial Services, the Joinery Industry, Wholesale Trade, Takoma, Digital Printing Services, and Other Business. In the preliminary ruling on the Equity Rebate in respect of Takoma Oyj shares in spring 2008, the Tax Office for Major Corporations decided on the basis of an overall assessment that Panostaja was a capital investor (venture capital company) within the meaning of section 6 of the Finnish Business Tax Act. In its regular taxation practices in 2007 the Tax Office for Major Corporations regarded Panostaja Oy as the capital investor alluded to and taxed the company on certain profits from the sale of shares in fixed assets. Panostaja Oyj disputes the interpretation by the tax authorities and during the reporting period submitted a claim for rectification over the matter to the Tax Rectification Board. As part of its chosen strategy for growth and focus on core activities, Panostaja Oyj on 23 October 2008 announced that it was exploring the possible cash realisation of the properties owned by the Group, although the Group's current cash flows are adequate for creating growth. The exploratory work was meant to end in December 2008, but because of the situation in the financial markets, it will continue into 2009. EVENTS SUBSEQUENT TO THE REPORTING PERIOD None. ADMINISTRATION, ANNUAL GENERAL MEETING AND MANAGEMENT At an extraordinary general meeting on 10 November 2008 it was decided to combine the A and B share series into one. At the same time, Panostaja Oyj organised a bonus share issue for A series shareholders, in which one (1) new Panostaja share would be issued free for every 13 A shares held. After the series were combined and after the share issue an A series shareholder would thus own 14 Panostaja shares for each 13 A shares previously held, instead of the A shares. Each share would now carry one vote and the same shareholder rights. The new shares were entered in the Trade Register on 14 November 2008 and trading in the combined shares began the same day. At the extraordinary general meeting on 10 November 2008 it was decided to amend the Articles of Association. The new Articles of Association were recorded in the Trade register on 14 November 2008. Panostaja Oyj's Annual General Meeting was held on 16 January 2009. Mr. Matti Koskenkorva, Mr. Jukka Ala-Mello, Mr. Hannu Tarkkonen, Mr. Hannu Martikainen and Mr. Hannu Ketola were re-elected to Panostaja Oyj's Board of Directors. As soon as the Annual General Meeting was concluded, the Board of Directors convened for their organisational meeting and appointed Mr. Matti Koskenkorva Chairman of the Board and Mr. Jukka Ala-Mello Deputy Chairman of the Board. As auditors, the AGM elected Mr. Eero Suomala, APA, and PricewaterhouseCoopers Oy, APA, with Mr. Janne Rajalahti, APA, as the responsible auditor. The AGM approved the financial statements presented for the financial year 1 November 2007 - 31 October 2008 and the Board's proposal to transfer the profit for the period to retained earnings and to distribute EUR 0.12 per share in dividends. The record date for dividend distribution was 29 January 2009 and the payment date was as from 5 February 2009. In addition, the AGM granted discharge in respect of the members of the Board of Directors and the Chief Executive Officer. In addition, the Annual General Meeting revoked the authorisation regarding the acquisition of its own shares given at its General Meeting on 18 December 2007 and authorised the Board of Directors to decide on the acquisition of its own shares, with the maximum number to be acquired set at 4,740,311 or less, which, together with the other shares held by or pledged to the company or its subsidiaries, would be a maximum of one tenth of all the company shares, i.e. 4,740,311. The shares are to be acquired at the going market price in public trading organised by NASDAQ OMX Helsinki Oy not in proportion to shareholders' holdings. The acquisition of shares will be consistent with NASDAQ OMX Helsinki Oy and APK Finnish Central Securities Depository rules. The authorisation will be in effect for 18 months from the date it was announced. The Board exercised the authority it was given at the General Meeting of 18 December 2007 and acquired 222,109 of the company's own shares during the reporting period. It also received 37,160 of the company's own shares in the bonus share issue organised when the share series were combined. SHARE CAPITAL AND OWN SHARES At the end of the reporting period, Panostaja Oyj's share capital stood at EUR 5,529,081.60. The numbers of shares amounted to 47,403,110. In accordance with the decisions taken at the AGM on 18 December 2007 and by the Board of Directors, on 19 December 2008 Panostaja Oyj distributed a total of 7,430 shares to the Board members as payment of their attendance allowance. The number of own shares held by the company at the end of the reporting period was 991,590. The number of own shares was equivalent to 2.1% of the total number of shares and votes at the end of the reporting period. SUBORDINATED LOAN The amount of the 2006 convertible subordinated loan outstanding at the end of the reporting period was EUR 17,212,500, entitling holders to subscribe for a total of 10,125,000 new shares. The convertible subordinated loan was not used to subscribe for any new shares during the reporting period. SHARE PERFORMANCE AND HOLDINGS Panostaja Oyj share prices varied during the reporting period between EUR 1.00 and EUR 1.25. The equity turnover for shares was 2,669,671, equivalent to 5.9% of the share capital. The price at the end of January was EUR 1.01. The market value of the company's share capital was EUR 47.9 million at the end of January, when the company had 3,005 (1,962) shareholders. Panostaja Oyj's holdings altered when the new (shares) issued in the bonus issue were recorded in the Trade Register. On 14 November Panostaja Oy received the following notifications in connection with the change in share ownership: Matti Koskenkorva's holding went under 15% of the votes carried by the shares of Panostaja Oyj. His holding is 6,124,453 shares, which is 12.9% of Panostaja Oyj's equity capital and votes. Maija Koskenkorva's holding exceeded 10% of the votes carried by the shares of Panostaja Oyj. Her holding is 5,071,742 shares, which is 10.7% of Panostaja Oyj's equity capital and votes. Olli Halmevuo's holding went under 5% of the votes carried by the shares of Panostaja Oyj. His holding is 2,013,715 shares, which is 4.2% of Panostaja Oyj's equity capital and votes. SHORT-TERM RISKS AND UNCERTAINTIES Panostaja Group's most significant risks were described in the previous financial statements. Short-term risks relate in particular to the successful integration of acquired companies. The dramatic economic downturn is causing customer demand to weaken and a risk of bad debts in some segments. OUTLOOK FOR THE REST OF THE FINANCIAL YEAR The Panostaja Group will continue to focus on the business idea in line with its core business strategy and on the development of existing business areas. The retirement of the baby-boomers, the ever more dramatic changes in the business environment and internationalisation will result in a large number of business purchases over the next few years. Panostaja's operating conditions, available capital resources and liquid assets are a good basis for intense expansion of operations. The increasing number of SMEs operating in traditional industries will enable both further expansion into new business areas and growth in existing business areas. The dramatic global economic downturn is having its effect on Finland. Expectations for the current business sectors are closely tied to the economic outlook for corporate customers. The prospects for the different business areas in the Panostaja Group vary from weakening to cautiously positive. The downturn in the building sector is having an effect on some of the Panostaja Group business areas, although the company has begun to take corrective action in good time. The investments in reporting and monitoring systems made in the previous financial year will make us more able to respond and react. The current economic climate is also an opportunity for acquisitions and the Panostaja Group strategy for growth is intended to be realised through controlled acquisitions, especially in existing business areas. The Group's turnover and profit this financial year are expected to surpass that for the previous financial year, despite a weaker first quarter. Panostaja Oyj Board of Directors For further information, please contact Mr. Juha Sarsama, CEO, on (tel.) 040 774 2099. Panostaja Oyj Juha Sarsama CEO All forecasts and estimates in this Interim Report are based on the current views of the management of the Group and the managers of the business areas on the economic climate and developments and the actual results may be significantly different. The data provided in this Interim Report is unaudited. FINANCIAL INFORMATION CONSOLIDATED INCOME STATEMENT -------------------------------------------------------------------------------- | | 11/08-1/09 | 11/07-1/08 | 11/07-10/08 | -------------------------------------------------------------------------------- | (EUR 1,000) | 3 months | 3 months | 12 months | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net turnover | 28,769 | 25,970 | 121,133 | -------------------------------------------------------------------------------- | Other operating income | 224 | 177 | 757 | -------------------------------------------------------------------------------- | Total expenses | 28,698 | 24,931 | 111,881 | -------------------------------------------------------------------------------- | Depreciation, amortisation and | 872 | 670 | 3,602 | | impairment | | | | -------------------------------------------------------------------------------- | Operating profit/loss | -577 | 546 | 6,407 | -------------------------------------------------------------------------------- | Financial income and expenses | -414 | -394 | -2,058 | -------------------------------------------------------------------------------- | Share of profit of associates | 0 | 0 | 45 | -------------------------------------------------------------------------------- | Profit before taxes | -991 | 152 | 4,394 | -------------------------------------------------------------------------------- | Income taxes | 0 | 70 | 1,635 | -------------------------------------------------------------------------------- | Profit/loss from continuing | -991 | 222 | 2,759 | | operations | | | | -------------------------------------------------------------------------------- | Profit/loss from discontinued | 0 | 742 | 11,038 | | operations | | | | -------------------------------------------------------------------------------- | Profit for the period | -991 | 964 | 13,797 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Attributable to: | | | | -------------------------------------------------------------------------------- | Equity holders of the parent | -909 | 674 | 12,694 | | company | | | | -------------------------------------------------------------------------------- | Minority interest | -82 | 290 | 1,103 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per share on | -0.020 | -0.002 | 0.037 | | continuing operations, EUR - | | | | | basic | | | | -------------------------------------------------------------------------------- | Earnings per share on | -0.012 | 0.002 | 0.046 | | continuing operations, EUR - | | | | | diluted | | | | -------------------------------------------------------------------------------- | Earnings per share on | 0.000 | 0.017 | 0.247 | | discontinued operations, EUR - | | | | | basic | | | | -------------------------------------------------------------------------------- | Earnings per share on | 0.000 | 0.014 | 0.201 | | discontinued operations, EUR - | | | | | diluted | | | | -------------------------------------------------------------------------------- | Earnings per share on | -0.020 | 0.015 | 0.284 | | continuing and discontinued | | | | | operations, EUR - basic | | | | -------------------------------------------------------------------------------- | Earnings per share on | -0.012 | 0.016 | 0.247 | | continuing and discontinued | | | | | operations, EUR - diluted | | | | -------------------------------------------------------------------------------- CONSOLIDATED BALANCE SHEET -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | (EUR 1,000) | 01/2009 | 01/2008 | 10/2009 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | ASSETS | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Non-current assets | | | | -------------------------------------------------------------------------------- | Intangible assets | 29,689 | 18,135 | 29,519 | -------------------------------------------------------------------------------- | Property, plant and equipment | 19,192 | 20,359 | 18,770 | -------------------------------------------------------------------------------- | Interests in associates | 1,810 | 973 | 1,787 | -------------------------------------------------------------------------------- | Other non-current assets | 7,274 | 365 | 4,797 | -------------------------------------------------------------------------------- | Interest-bearing receivables | 69 | 0 | 65 | -------------------------------------------------------------------------------- | Total non-current assets | 58,034 | 39,832 | 54,938 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Current assets | | | | -------------------------------------------------------------------------------- | Stocks | 24,119 | 21,958 | 22,991 | -------------------------------------------------------------------------------- | Trade and other non-interest-bearing | 18,921 | 18,811 | 22,552 | | receivables | | | | -------------------------------------------------------------------------------- | Short-term investments | 0 | 1,806 | 0 | -------------------------------------------------------------------------------- | Cash and cash equivalents | 40,534 | 32,133 | 46,081 | -------------------------------------------------------------------------------- | Total current assets | 83,574 | 74,708 | 91,561 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total assets | 141,607 | 114,540 | 146,499 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | EQUITY AND LIABILITIES | | | | -------------------------------------------------------------------------------- | Share capital | 5,529 | 5,424 | 5,529 | -------------------------------------------------------------------------------- | Other equity | 29,858 | 26,102 | 36,712 | -------------------------------------------------------------------------------- | Total | 35,387 | 31,526 | 42,241 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Minority interest | 11,234 | 7,771 | 11,562 | -------------------------------------------------------------------------------- | Total equity | 46,621 | 39,297 | 53,803 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Liabilities | | | | -------------------------------------------------------------------------------- | Deferred tax liabilities | 1,753 | 1,582 | 1,729 | -------------------------------------------------------------------------------- | Convertible loan | 16,906 | 18,113 | 16,878 | -------------------------------------------------------------------------------- | Non-current liabilities | 41,160 | 31,971 | 41,119 | -------------------------------------------------------------------------------- | Current liabilities | 35,166 | 23,577 | 32,970 | -------------------------------------------------------------------------------- | Total liabilities | 94,986 | 75,243 | 92,696 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Total equity and liabilities | 141,607 | 114,540 | 146,499 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- CASH FLOW STATEMENT -------------------------------------------------------------------------------- | | 01/2009 | 01/2008 | 10/2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow from operating activities | -433 | 2,719 | 3,751 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Cash flow used in investing activities | -2,660 | -1,533 | -4,470 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Increase in creditors | 696 | 15,700 | 30,400 | -------------------------------------------------------------------------------- | Decrease in creditors | -2,818 | -19,371 | -20,574 | -------------------------------------------------------------------------------- | Dividends paid | -24 | -4,399 | -4,263 | -------------------------------------------------------------------------------- | Other changes in equity | -244 | -450 | -99 | -------------------------------------------------------------------------------- | Total cash flow from financing activities | -2,389 | -8,520 | 5,464 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Change in cash and cash equivalents | -5,482 | -7,335 | 4,745 | -------------------------------------------------------------------------------- CONSOLIDATED STATEMENT OF CHANGES IN EQUITY -------------------------------------------------------------------------------- | (EUR 1,000) | Sha | Shar | Inves | Tran | Reta | Minor | Total | | | | re | e | ted | sla | ined | ity | | | | | cap | prem | unres | tion | earn | inter | | | | | ita | ium | trict | diff | ings | est | | | | | l | acco | ed | ere | | | | | | | | unt | equit | nces | | | | | | | | | y | | | | | | | | | | fund | | | | | | -------------------------------------------------------------------------------- | Shareholders' | 5,4 | 4,64 | 12,82 | 35 | 12,3 | 4,290 | 39,560 | | | equity as at 1 | 24 | 7 | 5 | | 39 | | | | | November 2007 | | | | | | | | | -------------------------------------------------------------------------------- | Share-based | | | 21 | | | | 21 | | | incentive | | | | | | | | | | schemes | | | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | 674 | 290 | 964 | | | period | | | | | | | | | -------------------------------------------------------------------------------- | Total income and | | | 21 | | 674 | 290 | 985 | | | expenses | | | | | | | | | | recorded for the | | | | | | | | | | financial year | | | | | | | | | -------------------------------------------------------------------------------- | Dividends paid | | | | | -3,9 | -,429 | -4,399 | | | | | | | | 70 | | | | -------------------------------------------------------------------------------- | Acquisition of | | | -450 | | | | -450 | | | own shares | | | | | | | | | -------------------------------------------------------------------------------- | Currency | | | | -19 | | | -19 | | | translation | | | | | | | | | | differences | | | | | | | | | -------------------------------------------------------------------------------- | Acquisition of | | | | | | 3,620 | 3,620 | | | minority | | | | | | | | | | interests | | | | | | | | | -------------------------------------------------------------------------------- | Shareholders' | 5,4 | 4,64 | 12,39 | 16 | 9,04 | 7,771 | 39,297 | | | equity as at 31 | 24 | 7 | 6 | | 3 | | | | | January 2008 | | | | | | | | | -------------------------------------------------------------------------------- | Shareholders' | 5,5 | 4,64 | 12,40 | -6 | 19,6 | 11,56 | 53,804 | | | equity as at 1 | 29 | 7 | 3 | | 69 | 2 | | | | November 2008 | | | | | | | | | -------------------------------------------------------------------------------- | Share-based | | | 23 | | | | 23 | | | incentive | | | | | | | | | | schemes | | | | | | | | | -------------------------------------------------------------------------------- | Profit for the | | | | | -909 | -82 | -991 | | | period | | | | | | | | | -------------------------------------------------------------------------------- | Total income and | | | 23 | | -909 | -82 | -968 | | | expenses | | | | | | | | | | recorded for the | | | | | | | | | | financial year | | | | | | | | | -------------------------------------------------------------------------------- | Dividends paid | | | | | -5,5 | -260 | 5,829 | | | | | | | | 69 | | | | -------------------------------------------------------------------------------- | Acquisition of | | | -252 | | | | -252 | | | own shares | | | | | | | | | -------------------------------------------------------------------------------- | Sale of own | | | 8 | | | | 8 | | | shares | | | | | | | | | -------------------------------------------------------------------------------- | Currency | | | | -155 | | | -155 | | | translation | | | | | | | | | | differences | | | | | | | | | -------------------------------------------------------------------------------- | Acquisition of | | | | | | 13 | 13 | | | minority | | | | | | | | | | interests | | | | | | | | | -------------------------------------------------------------------------------- | Shareholders' | 5,5 | 4,64 | 12,18 | -161 | 13,1 | 11,23 | 46,621 | | | equity as at 31 | 29 | 7 | 2 | | 90 | 4 | | | | January 2009 | | | | | | | | | -------------------------------------------------------------------------------- KEY INDICATORS -------------------------------------------------------------------------------- | | 01/2009 | 01/2008 | 10/2008 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Equity per share, EUR | 0.76 | 0.71 | 0.93 | -------------------------------------------------------------------------------- | Average number of shares during the period | 46,343 | 44,113 | 44,760 | | (000's) | | | | -------------------------------------------------------------------------------- | Number of shares at end of period (000's) | 47,403 | 44,113 | 46,076 | -------------------------------------------------------------------------------- | Share issues / convertible during the period | 0 | 0 | 875 | | (000's) | | | | -------------------------------------------------------------------------------- | Average number of shares (000's)- diluted | 56,468 | 55,142 | 54,885 | -------------------------------------------------------------------------------- | Return on equity (ROE), % | -7.9 | 9.8 | 29.6 | -------------------------------------------------------------------------------- | Return on investment (ROI), % | 0.3 | 8.9 | 18.5 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Gross capital expenditure | | | | -------------------------------------------------------------------------------- | on non-current assets (MEUR) | 2.8 | 8.8 | 24.2 | -------------------------------------------------------------------------------- | % of net turnover | 3.5 | 27.7 | 19.9 | -------------------------------------------------------------------------------- | Interest-bearing liabilities | 62,024 | 52,361 | 64,189 | -------------------------------------------------------------------------------- | Equity ratio, % | 33.0 | 34.5 | 36.8 | -------------------------------------------------------------------------------- | Average number of employees | 761 | 727 | 646 | -------------------------------------------------------------------------------- Key indicators have been calculated eliminating own shares held by the company. GROUP'S QUARTERLY PERFORMANCE -------------------------------------------------------------------------------- | (EUR | IFRS | IFRS | IFRS | IFRS | IFRS | IFRS | IFRS | IFRS | | million) | | | | | | | | | -------------------------------------------------------------------------------- | | Q2/07 | Q3/07 | Q4/07 | Q1/08 | Q2/08 | Q3/08 | Q4/08 | Q1/09 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net turnover | 10.2 | 23.1 | 25.7 | 26.0 | 28.4 | 31.0 | 35.8 | 28.8 | -------------------------------------------------------------------------------- | Other | 0.1 | 0.2 | 0.4 | 0.2 | 0.1 | 0.1 | 0.4 | 0.2 | | operating | | | | | | | | | | income | | | | | | | | | -------------------------------------------------------------------------------- | Total | 10 | 21.1 | 24.0 | 24.9 | 26.6 | 28.3 | 31.9 | 28.7 | | expenses | | | | | | | | | -------------------------------------------------------------------------------- | Depreciation | 0.2 | 0.4 | 0.7 | 0.7 | 0.7 | 1.2 | 1.0 | 0.9 | | and | | | | | | | | | | amortisation | | | | | | | | | -------------------------------------------------------------------------------- | Operating | 0.1 | 1.8 | 1.4 | 0.5 | 1.2 | 1.6 | 3.2 | -0.6 | | profit | | | | | | | | | -------------------------------------------------------------------------------- | Financial | -0.2 | -0.4 | -0.5 | -0.4 | -0.6 | -0.7 | -0.4 | -0.4 | | items | | | | | | | | | -------------------------------------------------------------------------------- | Profit | -0.1 | 1.4 | 0.9 | 0.1 | 0.6 | 0.9 | 2.8 | -1.0 | | before taxes | | | | | | | | | -------------------------------------------------------------------------------- | Taxes | 0.0 | 0.3 | 0.2 | -0.1 | 0.9 | 0.6 | 0.2 | 0.0 | -------------------------------------------------------------------------------- | Minority | 0.6 | 0.4 | 0.3 | 0.3 | 0.7 | -0.4 | 0.5 | -0.1 | | interest | | | | | | | | | -------------------------------------------------------------------------------- | Profit from | -0.6 | 1.8 | 0.7 | 0.0 | -0.7 | 1.9 | 1.6 | -0.9 | | continuing | | | | | | | | | | operations | | | | | | | | | -------------------------------------------------------------------------------- | Profit from | 2.0 | 0.7 | 0.7 | 0.7 | 1.7 | 8.1 | 0.5 | 0.0 | | discontinued | | | | | | | | | | operations | | | | | | | | | -------------------------------------------------------------------------------- | Profit for | 1.4 | 2.5 | 1.4 | 0.7 | 1.0 | 10.0 | 2.1 | -0.9 | | the period | | | | | | | | | -------------------------------------------------------------------------------- CONTINGENT LIABILITIES EUR 1,000 01/2009 01/2008 2008 Collateral given on behalf of Group companies Mortgages 8,234 9,317 8,621 Floating charges 30,955 21,540 30,905 Pledges given 48,182 31,078 48,734 Other liabilities 93 3,936 93 Amounts payable under lease contracts Payable within one year 2,044 679 1,716 Payable after one year but within five years 3,939 726 4,505 Total 5,983 1,405 6. 221 Liabilities have been measured at the nominal or book value of collateral. SEGMENT INFORMATION The Group's primary reporting segment is the business segment. The Group reported on six business segments for the financial year. The Group does not have a secondary reporting segment. -------------------------------------------------------------------------------- | EUR 1,000 | 1/2009 | 1/2008 | -------------------------------------------------------------------------------- | NET TURNOVER | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Industrial services | 4,736 | 4,569 | -------------------------------------------------------------------------------- | Joinery industry | 1,360 | 1,982 | -------------------------------------------------------------------------------- | Wholesale trade | 9,304 | 10,113 | -------------------------------------------------------------------------------- | Takoma | 4,581 | 4,639 | -------------------------------------------------------------------------------- | Digital services | 3,079 | 0 | -------------------------------------------------------------------------------- | Other | 5,996 | 4,846 | -------------------------------------------------------------------------------- | Eliminations | -287 | -179 | -------------------------------------------------------------------------------- | Total | 28,769 | 25,970 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | OPERATING PROFIT/LOSS | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Industrial services | 146 | 381 | -------------------------------------------------------------------------------- | Joinery industry | -161 | -72 | -------------------------------------------------------------------------------- | Wholesale trade | 336 | 594 | -------------------------------------------------------------------------------- | Takoma | 16 | 36 | -------------------------------------------------------------------------------- | Digital services | 278 | 0 | -------------------------------------------------------------------------------- | Other | -1,192 | -393 | -------------------------------------------------------------------------------- | Total | -577 | 546 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- SEGMENT INFORMATION BY QUARTER -------------------------------------------------------------------------------- | (EUR million) | Q3/07 | Q4/07 | Q1/08 | Q2/08 | Q3/08 | Q4/08 | Q1/09 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net turnover | | | | | | | | -------------------------------------------------------------------------------- | Industrial | 5.0 | 5.2 | 4.6 | 5.2 | 6.3 | 6.3 | 4.7 | | services | | | | | | | | -------------------------------------------------------------------------------- | Joinery industry | 2.2 | 2.5 | 2.0 | 2.2 | 1.6 | 1.7 | 1.4 | -------------------------------------------------------------------------------- | Wholesale trade | 10.1 | 12.6 | 10.1 | 11.3 | 11.7 | 12.3 | 9.2 | -------------------------------------------------------------------------------- | Takoma | 0.0 | 0.0 | 4.6 | 4.6 | 4.1 | 5.1 | 4.6 | -------------------------------------------------------------------------------- | Digital printing | 0.0 | 0.0 | 0.0 | 0.0 | 2.7 | 3.2 | 3.0 | | services | | | | | | | | -------------------------------------------------------------------------------- | Other | 5.8 | 5.2 | 4.6 | 5.1 | 4.6 | 7.2 | 5.9 | -------------------------------------------------------------------------------- | Total | 23.1 | 25.7 | 26.0 | 28.4 | 31.0 | 35.8 | 28.8 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Operating | | | | | | | | | profit/loss | | | | | | | | -------------------------------------------------------------------------------- | Industrial | 1.0 | 0.5 | 0.4 | 0.2 | 0.7 | 1.0 | 0.1 | | services | | | | | | | | -------------------------------------------------------------------------------- | Joinery industry | 0.2 | 0.3 | -0.1 | 0.2 | 0.0 | 0.1 | -0.2 | -------------------------------------------------------------------------------- | Wholesale trade | 0.6 | 0.8 | 0.6 | 0.0 | 1.6 | 0.6 | 0.3 | -------------------------------------------------------------------------------- | Takoma | 0.0 | 0.0 | 0.0 | 0.4 | 0.2 | 0.5 | 0.0 | -------------------------------------------------------------------------------- | Digital printing | 0.0 | 0.0 | 0.0 | 0.0 | 0.1 | 0.6 | 0.3 | | services | | | | | | | | -------------------------------------------------------------------------------- | Other | 0.0 | -0.2 | -0.4 | 0.4 | -1.0 | 0.4 | -1.1 | -------------------------------------------------------------------------------- | Total | 1.8 | 1.4 | 0.5 | 1.2 | 1.6 | 3.2 | -0.6 | -------------------------------------------------------------------------------- Panostaja Oyj is a multi-sector holding company. The company invests in Finnish small and medium-sized enterprises operating in traditional industries. Investments are mostly carried out through acquisitions. The Panostaja Group invests business resources and strategic know-how in companies. The objective is to raise the target company to become a major player in its field according to a pre-determined schedule. Once this schedule has elapsed, the enterprise continues to operate as an independent growth company. At present, the company operates in 13 business areas. Oy Alfa-Kem Ab manufactures and markets industrial chemicals, cleaning agents and institutional kitchen detergents. Ecosir Oy, Kospa Oy and Puztec Oy are companies specialising in solutions for waste management and property maintenance equipment. The Heatmasters Group delivers metal heat treatment services in Finland and internationally and manufactures, develops and markets heat treatment technology. Fittings companies Suomen Helakeskus Oy and Seinäjoen Rakennustarvike ja Lukko Oy are key wholesalers of construction and furniture fittings in Finland. Fastenings companies Helsingin Laaturuuvi Oy, Porin Pultti Oy and Ruuvipojat Oy serve retailers throughout Finland. KL-Varaosat specialises in the import, wholesale and retail of OEM spare parts and accessories for Mercedes-Benz and BMW cars. Kopijyvä Oy is one of Finland's biggest companies providing digital printing services. LukkoExpert Security Oy is an expert in locks, door automation and security technology and services. Lämpö-Tukku Oy specialises in wholesale heating, plumbing and ventilation equipment. Suomen Puunjalostus Oy operates in the joinery industry, solid wood interior doors and wooden staircases being its main products. Takoma Oyj is a listed mechanical engineering Group based on an entrepreneur-driven business model. Toimex Oy manufactures and sells heating, plumbing and ventilation supports. Vallog Oy specialises in Finnish metal industry manufacturing and logistics services.