Solid performance in 2009 exceeded expectations
The comments regarding the financial performance (pro forma, historical
accounting policies) in 2009 are based on pro forma numbers for the EAC Group
and EAC Foods relative to 2008 without inflation adjustment and translated at
VEF/USD 2.15.
“EAC's results for 2009 are better than expected despite the fact that all of
our businesses were affected by the global economic downturn. We owe this,
among others, to a targeted effort from our businesses to quickly adapt
activity levels to the changing market conditions. That is very satisfactory,”
says Niels Henrik Jensen, President and CEO.
• Group revenue reached DKK 6.2bn, up 18 per cent
• Operating profit (EBIT) was DKK 657m, an increase of 4 per cent
• Net profit for the year was DKK 376m, a decrease of 25 per cent
• ROIC was 29.7 per cent compared to 37.7 per cent
EAC Foods achieved strong underlying performance in 2009 and focused on
expanding and optimising the production capacity, and EAC Industrial
Ingredients achieved a strong recovery in the second half of 2009 and
strengthened the regional platform for future growth. EAC Moving & Relocation
Services experienced a temporary set-back due to the global economic downturn -
new services and geographical expansion were added to drive future growth.
Outlook for 2010
The outlook for 2010 is based on hyperinflated numbers (IAS 29) for EAC Foods,
and the devaluation of the Bolivar. The 2009 illustrative numbers are
hyperinflated 2009 accounts translated at VEF/USD 4.30).
At the beginning of 2010, the Venezuelan government introduced a new
multi-tiered currency system combined with a substantial devaluation. The
macroeconomic and political situation in Venezuela is uncertain, and changes in
the assumptions stated are likely to occur and may significantly affect the
outlook.
Assuming an average DKK/USD exchange rate of 550.00 for 2010, expectations are:
- Revenue of around DKK 5.8bn (2009 illustrative: DKK 4.3bn)
- Earnings before interests, taxes depreciations and amortisation (EBITDA) of
around DKK 450m (2009 illustrative: DKK 393m)
- Operating profit (EBIT) of around DKK 300m (2009 illustrative: DKK 284m)
The Supervisory Board will propose to the Annual General Meeting that a
dividend of DKK 5.00 per share will be paid for the financial year 2009.
The annual report is accessible at EAC's website www.eac.dk.
Yours sincerely,
The East Asiatic Company Ltd. A/S
(A/S Det Østasiatiske Kompagni)
For additional information, please contact:
President & CEO Niels Henrik Jensen
+45 3525 4300
nhj@eac.dk
Group CFO Michael Østerlund Madsen
+45 3525 4300
mom@eac.dk
