TRAINERS' HOUSE PLC STOCK EXCHANGE RELEASE 11 FEBRUARY 2010 AT 8:30
Trainers' House's last quarter was the most profitable in 2009.
Operating profit from operations for the last quarter amounted to EUR 0.9
million or 13.3% of net sales (EUR 2.4 million, 20.2% of net sales). Cash flow
from operating activities increased by EUR 0.3 million from the previous year,
amounting to EUR 1.7 million (EUR 1.4 million).
Operating profit from operations for the whole year totalled EUR 1.3 million or
4.8% of net sales (EUR 7.3 million, 16.5% of net sales). Cash flow from
operating activities amounted to EUR 3.5 million (EUR 4.1 million).
Net result for 2009 was EUR -7.0 million. Financial performance is burdened by
non-recurring restructuring expenses of EUR 1.2 million from spring 2009, as
well as the following items not affecting cash flow: depreciation resulting
from the allocation of the purchase price of Trainers' House Oy totalling EUR
2.0 million, a goodwill write-down in the amount of EUR 0.8 million resulting
from the divestment of the Group's German operations, and a write-down in
deferred tax assets totalling EUR 3.7 million.
The Board of Directors proposes that no dividend be paid for 2009.
January-December:
Net sales amounted to EUR 27.6 million (EUR 44.2 million)
Operating profit from operations, before non-recurring items and depreciation
resulting from the allocation of acquisition cost, was EUR 1.3 million (EUR 7.3
million)
Operating result after these items was EUR -2.7 million (EUR 4.3 million), or
-9.7% of net sales (9.7%)
Cash flow from operating activities amounted to EUR 3.5 million (EUR 4.1
million)
Earnings per share were EUR -0.10 (EUR 0.02)
October-December:
Net sales amounted to EUR 6.9 million (EUR 11.7 million)
Operating profit from operations, before non-recurring items and depreciation
resulting from the allocation of acquisition cost, was EUR 0.9 million (EUR 2.4
million)
Operating result after these items was EUR 0.4 million (EUR 1.8 million), or
6.0% of net sales (15.0%)
Cash flow from operating activities amounted to EUR 1.7 million (EUR 1.4
million)
Earnings per share were EUR -0.05 (EUR 0.01)
Key figures at the end of the period under review:
Liquid assets totalled EUR 1.9 million (EUR 7.7 million)
Interest-bearing liabilities amounted to EUR 16.7 million (21.8 million) and
interest-bearing net debts totalled EUR 14.8 million (14.2 million)
Net gearing was 28.9% (22.9%)
The equity ratio was 66.5% (65.1%)
OUTLOOK FOR THE FUTURE
The operating environment is expected to continue as challenging and difficult
to estimate due to the late-cycle nature of the company's business. Due to
structural reasons the net sales of the first half of the year are expected to
decrease compared to the comparable period of last year. As a result of the
restructuring and cost savings achieved in 2009 the operating profit before
non-recurring items and depreciations resulting from the allocation of
acquisition costs is expected to improve from the comparable period of last
year.
CEO JARI SARASVUO
First the unpleasant facts: operations not part of the strategy melted like fat
during morning exercise. The sacrifices have been unpleasant but necessary. Our
net sales have nearly halved, and our operating result looks sad after
non-recurring items and write-downs.
The situation isn't that bleak if you look at how healthy our remaining
operations are. Before non-recurring items and write-downs, our operating
profit was EUR 1.3 million.
The areas most important for our future success have grown stronger. While our
business almost halved, the core of the strategy became harder. Nevertheless, I
can understand those who unable to share our view after just looking at our
financial performance.
With a profit of EUR four million (EUR 7.3 million in 2008), our training
business was remarkably strong in the current economic situation. This result
stands any comparison in Finland and abroad. Naturally, more training business
has been made during easier times, and at even greater profit.
The engine of sales growth for our customers, Ignis, also performed
impressively. Our customers need more customer meetings and tenders in order to
fully benefit from training. The net sales of Ignis increased by 32 % (EUR 2.7
million in 2009) and profit from operations by 94 % (EUR 0.358 million in
2009).
The decision to integrate management systems offered as SaaS solutions into
management through training has turned out to be correct. The number of people
using our SaaS solutions is growing at a fair rate. SaaS services have been
sold to more than 160 customers and over 7,000 users, either based on
fixed-term agreements, or agreements valid until further notice.
For more than two years, the company suffered from the so-called Babel effect.
Our core functions couldn't find a common language because people were located
much too far from one another, both in terms of their physical work environment
and worldviews, for the implementation of the strategy. The solutions
concerning premises and technology that we adopted at the end of the year will
solve this problem.
Aurë entuluva! Day shall come again.
For more information, please contact:
Mirkka Vikström, CFO, tel. 050 376 1115
Press conference:
Trainers' House will hold a press and analyst conference regarding the
financial statements bulletin on 11 February, at noon-1 pm, at the company's
office located at Niittymäentie 7, Espoo. Those wishing to participate should
contact Vladimira Belik, tel. 050 376 1431 or e-mail
vladimira.belik@trainershouse.fi.
REVIEW OF OPERATIONS
Strategy
Trainers' House is a technology-assisted training company that offers
business-critical services to its customers. In addition to training, the
company utilizes marketing and management systems to leverage training. Our
mission, helping our customers grow, is relevant in the current period of slow
economic growth.
The company's areas of expertise, the gathering and processing of market
information, marketing, and training and systems know-how together form an
integrated Growth System. The idea of the Growth System is to improve the
overall productivity of customers by influencing their chances of success in
marketing, sales and the management of customer-oriented work.
Changes in business operations and corporate structure
Trainers' House carried out codetermination negotiations in March 2009. The
negotiations were concluded on 24 March and resulted in the dismissal of 57
employees. After negotiations, another 67 people left the company through other
arrangements. At the end of the year, the Group employed 227 people.
Personnel reductions affected the area of high price pressure, subcontracting
work. After the merger of Trainers' House and Satama, subcontracting services
have been cut systematically, while additional resources have been allocated in
services that create value for customers and in SaaS product development.
At the beginning of 2010, all personnel working at the company's three Helsinki
offices moved to new premises located in Niittykumpu, Espoo. Combining
operations will create strategic advantages: gathering employees into new,
appropriate premises will facilitate cooperation within Trainers' House and
will provide new kinds of opportunities for developing operations. Our Espoo
office currently has more than 200 employees. The other office is located in
Tampere, with 21 employees at the end of 2009.
During the first quarter, Trainers' House closed down its Turku office and its
non-strategic international offices in Düsseldorf, Stockholm and St.
Petersburg.
SaaS services
Trainers' House provides business-critical growth management services. These
services are based on SaaS services, which deliver quantifiable results on
productivity growth in marketing, sales and strategic management. SaaS services
enable our customers to reduce the cost of additional sales and to improve
their chances of success.
During the financial year, SaaS services were sold to over 6,000 users. Some of
the SaaS agreements concluded are fixed-term agreements supporting specific
training programmes, while others are valid until further notice.
SaaS products currently in production include BLARP, a growth management
system; Lähde (Source), a prospecting tool; Sydän (Heart), a management system
for company culture; and Pulssi (Pulse), a product designed to support training
and to facilitate the monitoring of target achievement in customer
organizations.
Sydän has raised particular interest among our customers. Sydän combines
Trainers' House's more than ten years of experience in intranets and electronic
working environments into a quickly deployable solution. Sydän can be deployed
as quickly as in one month. It covers 80% of the most typical intranet needs,
including today's community features. Compared to project investment, the
special benefit of Sydän is cost efficiency.
During 2009, the development costs of SaaS products amounted in total to EUR
1.3 million. These development costs have been recognized as expenses.
FINANCIAL PERFORMANCE
Fourth quarter 2009
The last quarter was the most profitable in 2009. Net sales amounted to EUR 6.9
million (EUR 11.7 million). Operating profit from operations (result before
depreciation resulting from the allocation of the purchase price of Trainers'
House Oy) amounted to EUR 0.9 million, or 13.3% of net sales (EUR 2.4 million,
or 20.2%). Cash flow from operating activities amounted to EUR 1.7 million (EUR
1.4 million).
The training business continued to be profitable also in the fourth quarter.
Its operating profit from operations totalled EUR 1.3 million. Excluding the
development costs of SaaS products, the company's other business operations
broke even.
Sales picked up a little during the last quarter. Compared to the previous
months, December sales were at a good level.
Financial year 2009
Net sales for the financial year amounted to EUR 27.6 million (EUR 44.2
million). We adjusted our cost structure radically during the financial year,
mainly through personnel reductions. Despite a significant decrease in net
sales, our operating profit from operations before non-recurring items remained
in the black thanks to the restructuring. Our operating profit from operations
was EUR 1.3 million or 4.8% of net sales (EUR 7.3 million, 16.5% of net sales).
Cash flow from operating activities amounted to EUR 3.5 million (EUR 4.1
million).
The operating profit from operations of the training business for 2009 was EUR
4.1 million. Excluding investments in SaaS products, the company's other
business operations were loss-making.
In the first quarter, a restructuring provision of EUR 1.4 million was made to
cover costs resulting from personnel reductions and the divestment of
international operations. EUR 0.8 million of the restructuring provision has
been used to cover actual expenses, while EUR 0.2 million was dissolved and
recognized as income during the second and third quarters. On 31 December 2009,
EUR 0.3 million of the provision remained unused. The unused provision is
expected to cover the remaining costs resulting from the restructuring.
EUR 10.2 million of the purchase price of Trainers' House Oy has been allocated
in intangible assets with a limited useful life. This item is depreciated over
a period of five years. At the end of the period under review, these intangible
assets totalled EUR 5.0 million. The remaining portion of this item will be
depreciated as follows: EUR 2.0 million in 2010, EUR 1.6 million in 2011 and
EUR 1.4 million in 2012.
On 30 September 2009, the company's balance sheet contained deferred tax assets
from losses carried forward in the amount of EUR 7.1 million. Tax loss
carry-forwards must be utilized within 10 years from their recognition. About
one third of the company's tax loss carry-forwards will expire in 2011, and the
rest in 2012. At its meeting on 11 January 2010, the company's Board of
Directors reviewed the principles used in recognizing deferred tax assets, and
decided to make a non-recurring write-down of EUR 3.7 million in deferred tax
assets in the financial statements for 2009. The write-down was based on a
revised estimate of the company's taxable income in 2010-2012. The write-down
has no effect on operating profit or cash flow.
In the first quarter, the Group's goodwill was written down in the amount of
EUR 0.8 million, which corresponds to the value of the Group's divested German
operations. The write-down has no effect on cash flow. No other goodwill
write-downs were made based on the results of the impairment testing carried
out at the end of 2009.
The comparative figures used for reporting operating profit include the
reported operating profit as well as operating profit before depreciation of
allocated acquisition cost related to the acquisition of Trainers' House Oy and
non-recurring items (=operating profit from operations). According to the
company's management, these figures provide a more accurate view of the
company's productivity.
The following table itemizes the Group's key figures (in thousands of euros):
2009 2008
Net sales 27,647 44,237
Expenses
Personnel-related
expenses -15,574 -22,042
Other expenses -9,971 -13,837
EBITDA 2,102 8,359
Depreciation of
non-current assets -785 -1,050
Operating profit before
depreciation of
allocation of acquisition cost 1,318 7,308
% of net sales 4.8 16.5
Depreciation of allocation
of acquisition cost -2,033 -3,011
Operating profit/loss before
non-recurring items -716 4,298
% of net sales -2.6 9.7
Non-recurring items **) -1,979
EBIT -2,695 4,298
% of net sales -9.7 9.7
Financial income and expenses -1,155 -1,690
Profit/loss before tax -3,850 2,607
Tax *) -3,167 -1,252
Profit/loss for the period -7,016 1,355
% of net sales -25.4 3.1
*) A write-down in deferred tax assets totalling EUR 3.7 million has been
recognized in the income statement. The tax included in the income statement is
deferred. Taxes recognized in the income statement have no effect on cash flow,
because the company's balance sheet contains deferred tax assets from losses
carried forward. No deferred tax assets have been recognized from losses made
during 2009.
**) Non-recurring items include a restructuring provision in the amount of EUR
1.2 million, and a write-down in the Group's goodwill in the amount of EUR 0.8
million.
The following table itemizes the distribution of net sales and shows the
quarterly profit/loss from the beginning of 2008 (in thousands of euros):
Q108 Q208 Q308 Q408 2008 Q109 Q209 Q309 Q409 2009
Net sales 12009 12318 8216 11694 44237 8619 6916 5180 6932 27647
Operating profit
before depreciation
of acquisition
cost *) 2259 2192 495 2363 7308 −46 253 190 921 1318
Operating profit 1458 1390 -307 1757 4298 -2759 -156 -193 413 -2695
*) excluding non-recurring items
LONG-TERM OBJECTIVES
The long-term objectives of Trainers' House remain unchanged:
The company will target 15% annual organic growth and 15% operating profit, and
will aim to pay a steady dividend.
Taking the recent restructuring into consideration, we expect to achieve these
goals using our Growth System concept and along with the internationalization
of Trainers' House.
FINANCING, INVESTMENTS AND SOLVENCY
Cash flow before financial items totalled EUR 4.7 million (EUR 5.6 million) and
cash flow after financial items was EUR 3.5 million (EUR 4.1 million).
Cash flow from investments totalled EUR -0.3 million (EUR 0.9 million).
Cash flow from financing was EUR -9.0 million (EUR -14.5 million). Total cash
flow amounted to EUR -5.8 million (EUR -9.5 million).
The largest items affecting cash flow from financing were the repayment of a
loan related to the acquisition of Trainers' House Oy totalling EUR 5.0 million
and a dividend paid out in the amount of EUR 3.4 million.
On 31 December 2009, the Group's liquid assets totalled EUR 1.9 million (7.7
million). The equity ratio was 66.5% (65.1%). Net gearing was 28.9% (22.9%). At
the end of the period under review, the company had EUR 16.7 million of
interest-bearing debt (EUR 21.8 million).
In January 2010, the company issued a hybrid capital bond in the amount of EUR
5 million.
Financial risks
Currency risks are insignificant, because Trainers' House operates principally
in the euro zone. Interest rate risk is managed by covering part of the risk
with hedging agreements. A bad debt provision, which is booked on the basis of
ageing and case-specific risk analyses, covers risks to accounts receivable.
SHORT-TERM BUSINESS RISKS AND FACTORS OF UNCERTAINTY
During the under review, the risks in the company's operating environment
increased, business operations became more challenging, and it became more
difficult to estimate future developments. The operations of Trainers' House
are hindered by the unequivocal cost cuts made by some customers.
Short-term risks
The Group's goodwill and deferred tax assets recognized in the balance sheet
were retested for impairment at the end of the financial year.
In the first quarter, the Group's goodwill was written down in the amount of
EUR 0.8 million, which corresponds to the value of the Group's divested German
operations. No other goodwill write-downs were made based on the results of the
impairment testing carried out at the end of the financial year.
If the company's profitability should fail to develop as predicted, or if
external factors beyond the company's control, such as interest rates, should
change significantly, there is a risk that some of the Group's goodwill may
have to be written down. However, any such write-down would not affect the
company's cash flow.
At the end of the third quarter, the balance sheet of Trainers' House Plc
contained deferred tax assets from losses carried forward in the amount of EUR
7.1 million. At its meeting on 11 January 2010, the company's Board of
Directors reviewed the principles used in recognizing deferred tax assets, and
decided to make a non-recurring write-down of EUR 3.7 million in deferred tax
assets in the financial statements for 2009. The write-down was based on a
revised estimate of the company's taxable income in 2010-2012. The write-down
had no effect on the company's operating profit or cash flow.
If the company's taxable income does not reach approximately EUR 13 million in
2010-2012, there is a risk that some of the EUR 3.4 million in deferred tax
assets recognized in the balance sheet of Trainers' House Plc cannot be
utilized and may have to be written down. However, any such write-down would
not affect the company's cash flow.
In connection with the merger of Trainers' House Oy and Satama Interactive Plc,
the company concluded a loan agreement in the amount of EUR 40 million. At the
balance sheet date, the company had loans related to this loan agreement in the
amount of EUR 16.5 million. The loan agreement contains standard covenants,
including one concerning the ratio of net debt to EBITDA.
In order to ensure that it will fulfil the financial covenant in the loan
agreement concerning the ratio of net debt to EBITDA, the company issued a
hybrid capital bond in the amount of EUR 5.0 million on 15 January 2010.
About risks
Trainers' House is an expert organization. Market and business risks are part
of regular business operations, and their extent is difficult to define.
Typical risks in this field are associated with, for example, general economic
development, distribution of the clientele, technology choices and development
of the competitive situation and personnel expenses. Risks are managed through
the efficient planning and regular monitoring of sales, human resources and
business costs, enabling a quick response to changes in the operating
environment.
Furthermore, Trainers' House aims to improve its risk tolerance by designing
services that are not easily affected by economic fluctuations.
The success of Trainers' House as an expert organization also depends on its
ability to attract and retain skilled employees. Personnel risks are managed
with competitive salaries and incentive schemes as well as investments in
employee training, career opportunities and general job satisfaction.
Risks are discussed in more detail in the annual report and on the company's
website at: www.trainershouse.fi > Investors.
AUTHORIZATIONS BY THE BOARD OF DIRECTORS
The Annual General Meeting authorized the Board of Directors to decide on the
repurchase of the company's own shares. Under the authorization, whether on one
or on several occasions, a maximum of 6,500,000 shares, which corresponds to
approximately 9.56% of the company's shares, may be acquired. The authorization
shall remain in force until 30 June 2010. At the same time the AGM
countermanded the earlier comparable authorization. The authorization had not
been exercised on 31 December 2009.
The Board of Directors is otherwise authorized to decide on all conditions
related to the acquisition of own shares, including the manner of acquisition
of shares. The authorization does not exclude the right of the Board of
Directors to decide on a directed acquisition of own shares as well, if there
is significant financial reason for the company to do so.
The AGM authorized the Board to decide on a share issue including the
conveyance of own shares, and the issue of special rights. With these
authorizations related to share issue and/or issue of special rights, whether
on one or on several occasions, a maximum of 13,000,000 new shares may be
issued and/or treasury shares may be transferred, which corresponds to
approximately 19.11% of the company's shares. The authorization shall remain in
force until 30 June 2010. At the same time the AGM countermanded the earlier
comparable authorization. The authorization had not been exercised on 31
December 2009.
The Board of Directors is otherwise authorized to decide on all terms regarding
the share issue and issue of special rights, including the right to also decide
on a directed share issue and a directed issue of special rights. Shareholders'
pre-emptive subscription rights can be deviated from, provided that there is
significant financial reason for the company to do so.
PERSONNEL
At the end of the period under review, the Group employed 227 (340) people, of
whom 227 (334) were located in Finland.
BOARD OF DIRECTORS
Appointed by the previous Annual General Meeting, the Board of Directors of
Trainers' House Plc has included the following persons: Aarne Aktan (Chairman),
Tarja Jussila, Kai Seikku and Matti Vikkula.
The Board of Directors convened 14 times in 2009. The attendance rate was 95.2%.
ACTING MANAGEMENT
The CEO of Trainers' House Plc is Jari Sarasvuo. Jarmo Lönnfors and Vesa
Honkanen act as Senior Vice Presidents. Mirkka Vikström acts as the company's
CFO.
SHARES AND SHARE CAPITAL
The shares of Trainers' House Plc are listed on NASDAQ OMX Helsinki Ltd under
the symbol TRH1V.
At the end of the period under review, Trainers' House Plc had issued
68,016,704 shares and the company's registered share capital amounted to EUR
880,743.59. No changes took place in the number of shares or share capital
during the period under review.
In accordance with the decision of the Annual General Meeting, Trainers' House
paid a dividend of EUR 0.05 per share on 3 April 2009. The dividend paid
totalled EUR 3.4 million, or 251.0% of the profit for 2008.
Share performance and trading
During the period under review, a total of 20.6 million shares, or 30.3% of the
average number of all company shares (22.9 million shares or 33.7%), were
traded on the Helsinki Exchanges for a value of EUR 11.5 million (EUR 26.0
million). The period's highest share quotation was EUR 0.71 (EUR 1.44), the
lowest EUR 0.42 (EUR 0.52) and the closing price EUR 0.44 (EUR 0.55). The
weighted average price was EUR 0.56 (EUR 1.13). At the closing price on 31
December 2009, the company's market capitalization was EUR 29.9 million (EUR
37.4 million).
STAFF INCENTIVE SCHEMES
Trainers' House Plc has one option programme for its personnel, included in the
personnel's commitment and incentive scheme.
The Annual General Meeting held on 29 March 2006 decided to commence an
employee option programme involving 2,000,000 warrants. Due to the resulting
subscriptions, the share capital of Trainers' House Plc may increase by a
maximum of EUR 42,046.98 and the number of shares by a maximum of 2,000,000.
Half of the warrants are titled 2006A and the other half 2006B.
The subscription period for shares converted under the 2006A warrants ran from
1 September 2008 to 28 February 2009. No shares were subscribed under the 2006A
warrants. The subscription period for shares converted under the 2006B warrant
began on 1 September 2009 and will end on 28 February 2010. The
dividend-adjusted subscription price after dividend payment is EUR 1.08 for
shares converted under the 2006B warrant. No shares have been subscribed under
the 2006B warrants.
The Board of Directors has decided to create a new long-term incentive scheme
for key employees.
CHANGES IN OWNERSHIP
During 2009, the company became aware of two notices of change in ownership
exceeding the disclosure threshold. Information on notices of change in
ownership is available on the company's website at www.trainershouse.fi >
Investors.
Exemption
As required by the terms and conditions of the exemption granted by the Finnish
Financial Supervision Authority, the combined shareholding of Mr. Sarasvuo and
Isildur Oy in Trainers' House declined to 30% or under by 30 June 2009.
Information on the exemption, the company's ownership structure and major
shareholders is available on the company's website at www.trainershouse.fi >
Investors.
EVENTS AFTER THE REVIEW PERIOD
On 15 January 2010, Trainers' House Plc published a stock exchange release
stating that company is issuing a EUR 5 million domestic hybrid bond.
EUR 1 million of the bond was subscribed by domestic investors and EUR 4
million by major shareholders of Trainers' House Plc based on their
underwriting commitments. The coupon rate of the bond is 10.00% per annum. The
bond has no maturity but the company may call the bond after three years.
The hybrid bond will strengthen Trainers' House Plc's capital structure and
enhance its financial position. The arrangement will also enhance the ratio of
net debt to EBITDA.
A hybrid bond is an instrument which is subordinated to the company's other
debt obligations and which is treated as equity in the IFRS financial
statements. Hybrid bonds do not confer to their holders the right to vote at
shareholder meetings and do not dilute the holdings of the current
shareholders.
CONDENSED FINANCIAL STATEMENTS AND NOTES
This report was compiled in accordance with the IAS 34 standard.
Amendments to and interpretations of published standards, as well as the new
standards effective as of 1 January 2008 are presented in detail in the
Financial Statements for 2008. Adoption of the standards did not cause any such
impact on the accounting principles applied to the financial statements that
would have called for retroactive changes to previous years' figures.
As of 1 January 2009, the Group has adopted the following new and revised
standards: IFRS 8 Operating Segments, and IAS 1 Presentation of Financial
Statements. In producing this interim report, Trainers' House has applied the
same accounting principles for key figures as in its Financial Statements for
2008. The calculation of key figures is described on page 45 of the Financial
Statements included in the Annual Report 2008.
The figures given for 2009 in this Financial Statements bulletin are audited.
INCOME STATEMENT, IFRS (kEUR)
Group Group Group Group
01/10- 01/10- 01/01- 01/01-
31/12/09 31/12/08 31/12/09 31/12/08
NET SALES 6,932 11,694 27,647 44,237
Other income from operations 24 4 101 214
Costs:
Materials and services 869 1,435 3,726 5,434
Personnel-related
expenses 3,435 5,317 16,022 22,042
Depreciation 656 858 2,818 4,061
Impairment 804
Other operating expenses 1,583 2,331 7,073 8,617
Operating profit/loss 413 1,757 -2,695 4,298
Financial income and expenses -382 -332 -1,155 -1,690
Profit/loss before tax 31 1,425 -3,850 2,607
Tax -3,566*) -654*) -3,167*) -1,252*)
PROFIT/LOSS FOR THE PERIOD -3,534 771 -7,016 1,355
Other comprehensive income:
Exchange differences on translating
foreign operations 7 -4 11 -8
Cash flow hedges 67 -242 -121 -231
Income tax relating to components
of other comprehensive income -18 63 31 60
Other comprehensive income
for the year, net of tax 57 -183 -79 -179
TOTAL COMPREHENSIVE
INCOME FOR THE YEAR -3,478 588 -7,095 1,176
Profit attributable to:
Owners of the parent company - 3,534 771 -7,016 1,355
Total comprehensive income attributable to:
Owners of the parent company -3,478 588 -7,095 1,176
Earnings per share:
Undiluted earnings/share (EUR) -0.05 0.01 -0.10 0.02
Diluted earnings/share (EUR) -0.05 0.01 -0.10 0.02
*) The tax included in the income statement is deferred.
BALANCE SHEET, IFRS (kEUR)
Group Group
31/12/09 31/12/08
ASSETS
Non-current assets
Property, plant and equipment 506 781
Goodwill 50,968 51,772
Other intangible assets 15,028 17,246
Other financial assets 3 3
Other receivables 513 26
Deferred tax receivables 3,458 7,120
Total non-current assets 70,477 76,947
Current assets
Inventories 12 14
Accounts receivable and
other receivables 4,862 10,708
Cash and cash equivalents 1,858 7,664
Total current assets 6,733 18,386
TOTAL ASSETS 77,209 95,333
SHAREHOLDERS' EQUITY AND LIABILITIES
Equity attributable to equity holders of the parent company
Share capital 881 881
Premium fund 13,943 13,943
Hedging reserve -260 -171
Distributable non-restricted
equity fund 31,872 31,872
Translation differences -11
Retained earnings 4,921 15,339
Total shareholders' equity 51,357 61,853
Long-term liabilities
Deferred tax liabilities 3,800 4,328
Other long-term liabilities 15,336 16,639
Accounts payable and
other liabilities 6,717 12,514
Total liabilities 25,853 33,481
TOTAL SHAREHOLDERS' EQUITY AND
LIABILITIES 77,209 95,333
CASH FLOW STATEMENT, IFRS (kEUR)
Group Group
01/01- 01/01-
31/12/09 31/12/08
Profit/loss for the period -7,016 1,355
Adjustments to profit for the period 8,051 6,616
Change in working capital 3,670 -2,366
Financial items -1,166 -1,457
Cash flow from operations 3,539 4,147
Investments in tangible and
intangible assets -335 -352
Capital gains on tangible and
intangible assets 134
Capital gains on other investments 1,199
Change in the additional trade price -99
Cash flow from investments -335 882
Share issue subject to charges 491
Dividend distribution -3,401 -2,721
Increase/decrease in long-term loans -1,371 -12,254
Increase/decrease in short-term loans -3,750
Increase/decrease in long-term
receivables -487 -2
Cash flow from financing -9,009 -14,485
Change in cash and cash equivalents -5,806 -9,456
Opening balance of cash
and cash equivalents 7,664 17,120
Closing balance of cash
and cash equivalents 1,858 7,664
CHANGE IN SHAREHOLDERS' EQUITY (kEUR)
Equity attributable to equity holders of the parent company
Dis-
tribu-
table Trans-
Hed- non-re lation
ging stric- dif-
Share Share Premium re- ted fe- Retained
capital issue fund serve equity rence earning Total
Equity 01/01/2008 867 256 13,228 31,348 -2 16,551 62,247
Other comprehensive income -171 -8 1,355 1,176
Stock options used 14 -256 715 473
Share-based payments 153 153
Taxes related to bookings
to shareholders' equity 524 524
Dividends paid -2,721 -2,721
Equity 30/09/2008 881 13,943 -171 31,872 -11 15,339 61,853
Equity 01/01/2009 881 13,943 -171 31,872 -11 15,339 61,853
Other comprehensive income -89 11 -7,016 -7,095
Dividends paid -3,401 -3,401
Equity 30/09/2009 881 13,943 -260 31,872 4,921 51,357
RESTRUCTURING PROVISION (kEUR) Group Group
01/01- 01/01-
31/12/09 31/12/08
Provisions 1 January 0 64
Provisions increase 1,400
Provisions used -1,054 -64
Provisions 31 December 346 0
PERSONNEL Group Group
01/01- 01/01-
31/12/09 31/12/08
Average number of personnel 281 375
Personnel at the end of the period 227 340
COMMITMENTS AND CONTINGENT LIABILITIES (kEUR)
Group Group
31/12/09 31/12/08
Collaterals and contingent liabilities
given for own commitments 15,877 3,187
Interest rate swaps
Fair value -349 -255
Nominal value 15,926 17,393
OTHER KEY FIGURES Group Group
31/12/09 31/12/08
Equity-to-assets ratio (%) 66.5 65.1
Net gearing (%) 28.9 22.9
Shareholders' equity/share (EUR) 0.76 0.91
Return on equity (%) -12.4 2.2
Return on investment (%) -3.4 5.2
Helsinki, 11 February 2010
TRAINERS' HOUSE PLC
BOARD OF DIRECTORS
For more information, please contact:
Mirkka Vikström, CFO, tel. 050 376 1115
DISTRIBUTION
OMX Nordic Exchange, Helsinki
Main media
www.trainershouse.fi - Investors
TRAINERS' HOUSE'S FINANCIAL STATEMENTS BULLETIN FOR 1 JANUARY - 31 DECEMBER 2009
| Source: Trainers' House Oyj