OKMETIC OYJ STOCK EXCHANGE RELEASE 26 JULY 2011 AT 8.00 A.M.
OKMETIC INTERIM REPORT 1 JANUARY - 30 JUNE 2011
Unless otherwise stated, figures in parenthesis refer to the corresponding
period in the previous year.
APRIL-JUNE IN BRIEF:
- Net sales amounted to 21.7 (19.7) million euro, up 10.5%.
- Operating profit was 2.6 (2.5) million euro corresponding to 12.0% of net
sales.
- Profit for the period was 2.6 (3.0) million euro.
- Basic earnings per share were 0.15 (0.18) euro.
- Net cash flow from operations amounted to 5.5 (1.9) million euro.
JANUARY-JUNE IN BRIEF:
- Net sales amounted to 43.8 (36.2) million euro, up 21.0%.
- Operating profit was 5.4 (3.3) million euro corresponding to 12.4% of net
sales.
- Profit for the period was 5.3 (4.0) million euro.
- Profit for the period was improved by 0.7 million euro due to recognition of
deferred tax assets relating to tax losses carried forward.
- Basic earnings per share were 0.32 (0.24) euro.
- Net cash flow from operations amounted to 4.2 (4.3) million euro.
PROJECTIONS FOR 2011
The company's order backlog is at a good level considering the time of year, and
the price level of silicon wafers is stable. Sensor industry, in particular MEMS
products intended for consumer applications, is at a steady growth regarding
updated forecasts. The development of the semiconductor market is partly
dependent on factors of macro economy, which are quite uncertain at the time
this is written. The growth forecasts for the semiconductor market have been
adjusted downwards in relation to the forecasts of the beginning of the year,
but the forecasts still promise market growth. On the solar cell market a strong
corrective movement has moderated the demand in May-June, which has led to a
clearly lower price level.
The net sales and operating profit for 2011 are estimated to exceed the level of
2010. Reaching these estimates means that the current positive market situation
must not see any significant changes during the second half of the year.
PRESIDENT KAI SEIKKU:
"Okmetic's net sales continued to grow in the second quarter. However, the net
sales' growth rate slowed down compared to the first quarter of 2011, being a
good 10%. The reason was partly the strong corresponding period in 2010 and
partly the global slowing of the semiconductor market during the second quarter.
By contrast, the net cash flow was at a record level in April-June, when in
January-March exceptional non-recurring items weighed down the net cash flow.
The January-June net sales of 43.8 million euro (up 21.0%) and operating profit
of 5.4 million euro (up 66.2%) strengthened clearly compared to the previous
year, like the company predicted in the beginning of April. The challenging
fundamentals of macro economy and the weakening of the solar cell industry's
market in May-June, which has considerably lowered the price levels throughout
the solar cell industry's supply chain, will create uncertainty for the rest of
the year. The distinct effects of the natural disaster in Japan in March on the
semiconductor industry are still difficult to estimate. Okmetic serves around
150 customers globally, hence it may be safe to assume that the disaster will
strain the business operations of the company just like the electronics industry
on average.
In January-June, the relative share of sensor wafers of total sales was at last
year's level (44%), whereas the share of semiconductor wafers (36%) went down
from the level of first half of 2010 (42%). In April, Okmetic published a two-
year investment programme, in which the company invests around 30 million euro
in extending the Vantaa plant, in particular, to significantly increase the
capacity of demanding SOI wafers, and to strengthen the market leadership in the
heavily growing MEMS sensor wafers. At the same time, the focus of the Vantaa
production plant will shift towards the long-term investment objective, that is,
sales and production of sensor wafers. The construction work in Vantaa will
start according to schedule in autumn 2011.
The silicon wafer market has normalised after the extremely strong growth that
followed the 2008-2009 downturn. Okmetic aims at growing its market shares in
this situation, as well. This means, in addition to the implementation of the
SOI investment, investments in sales, technical customer support, and contract
manufacturing, that is, fab lite capacity. The company's flexible operational
model on the solar cell market and long-term supply agreements protect
technology sales in the prevalent uncertain market situation."
KEY FIGURES
1,000 euro 1.4.- 1.4.- 1.1.- 1.1.- 1.1.-
30.6.11 30.6.10 30.6.11 30.6.10 31.12.10
Net sales 21,747 19,688 43,802 36,209 80,907
Operating
profit before
depreciation
(EBITDA) 4,217 4,197 8,642 6,684 17,102
Operating profit 2,606 2,481 5,434 3,270 10,421
% of net sales 12.0 12.6 12.4 9.0 12.9
Profit for
the period 2,582 2,987 5,306 4,013 9,952
Basic earnings
per share, euro 0.15 0.18 0.32 0.24 0.60
Net cash flow
from operating
activities 5,503 1,874 4,166 4,291 16,594
Net interest-
bearing
liabilities -10,792 -8,120 -10,792 -8,120 -18,047
Equity ratio, % 78.3 77.9 78.3 77.9 76.6
Average number
of personnel
during the period 377 353 362 341 345
MARKETS
Customer industries sensor, semiconductor, and solar cell industries
Sensor industry
In 2011, the sale value of sensor industry is estimated to grow 10-16 percent
compared to the sale value of 2010 (7.1-8.6 billion US dollars). One of the
fastest growing sectors is MEMS products for consumer applications such as
microphones, gyroscopes, and picoprojectors (IHS, ISuppli, Yole). Nowadays,
silicon-on-insulator (SOI) technology is widely used in the manufacture of these
next generation products, and the share of SOI technology is estimated to
continue its growth. Okmetic is amongst the pioneering suppliers who provide
products and services based on SOI technology to the sensor industry.
Semiconductor industry
The forecasts of the current year for the semiconductor industry's sales in US
dollars have come down clearly during the year, and have adjusted to the level
of 5-7 percent annual growth (ISuppli, Gartner, SIA). The company's view is that
the industry's estimates for the entire year might still be too high. In the
latter half of this year, a return to the market cycles typical of the industry
is expected, but the annual growth is forecast to continue in the next few years
(SIA, Gartner). The semiconductor demand is increased by the popularity of
consumer devices, smart phones, and new tablet computers. The increase in the
silicon wafer demand is estimated to exceed in numbers the annual growth of
semiconductor units (Semico). The growth rate of power semiconductors is
estimated to exceed the semiconductor market average (IC Insights).
Solar cell industry
The changes in feed-in tariffs in Europe and the uncertainty related to them
have lead to the moderation of demand during the beginning of the year. This has
caused oversupply, rise of stock levels, and significant decline of prices
throughout the industry's supply chain. (Bloomberg New Energy Finance)
The unfavourable market situation is expected to continue in the coming months
until the stock levels of the supply chain lower to a normal level.
Silicon wafer market
According to the report published in May 2011 by SMG, the group of silicon wafer
suppliers in SEMI, the volume of wafer shipments in the silicon wafer industry
in the first quarter of 2011 declined one percent from the volumes of the last
quarter of 2010. However, when compared to the first quarter of 2010 the
shipment volumes rose 3.3 percent.
Okmetic's central customer areas in the silicon wafer market
In line with its strategy, Okmetic seeks for special areas of the entire silicon
wafer market that have greater growth rates than the market average and in which
the company has special know-how. Okmetic supplies primarily 150mm and 200mm
wafers. The sensor/MEMS industry is Okmetic's central growth area. The MEMS
market grows as the portable consumer products, automotive electronics, and
industrial process control increase.
In the semiconductor market, Okmetic's growth areas include discrete and power
semiconductors. The growth areas of these markets are i.a. components used in
the production of renewable energy, increasing automotive electronics, portable
consumer products, developing applications of the medical and well-being
industries as well as industrial process controlling.
SALES
In January-June, Okmetic's net sales increased by 21.0 (27.6) percent from the
previous year amounting to 43.8 (36.2) million euro. The growth of net sales was
supported especially by good sensor industry demand. Okmetic succeeded to
increase its market share in the product groups which are important to the
company.
Sales per customer area
1.4.- 1.4.- 1.1.- 1.1.- 1.1.-
30.6.11 30.6.10 30.6.11 30.6.10 31.12.10
Sensors 43% 45% 44% 44% 43%
Semiconductors 39% 42% 36% 42% 42%
Technology 18% 13% 20% 14% 15%
In January-June, the value of sensor wafer sales was 25.2 percent higher than in
the corresponding period last year.
The resumption of semiconductor industry's good economic trend had a positive
influence on the semiconductor wafer sales. In January-June, the sale value of
these wafers was 6.5 percent higher than in the corresponding period last year.
In January-June, technology sales comprised mainly of solar crystal sales. The
solar cell industry's market change had only minor effects on Okmetic's
operations.
Sales per market area
1.4.- 1.4.- 1.1.- 1.1.- 1.1.-
30.6.11 30.6.10 30.6.11 30.6.10 31.12.10
North America 36% 44% 36% 42% 43%
Europe 28% 25% 30% 27% 25%
Asia 37% 31% 34% 31% 32%
In January-June, sales per market area were distributed quite evenly. The
proportion of Europe and Asia of the total net sales grew during the period
under review.
PROFITABILITY
April-June
In April-June, Okmetic's operating profit was 2.6 (2.5) million euro. The
operating profit accounted for 12.0 (12.6) percent of net sales. Profit for the
period amounted to 2.6 (3.0) million euro. Basic earnings per share were 0.15
(0.18) euro.
January-June
In January-June, Okmetic's operating profit was 5.4 (3.3) million euro. The
operating profit accounted for 12.4 (9.0) percent of net sales. Profit for the
period amounted to 5.3 (4.0) million euro. The profit for the period was
improved by 0.7 million euro due to recognition of deferred tax assets relating
to tax losses carried forward. Basic earnings per share were 0.32 (0.24) euro.
FINANCING
The company's financial situation is good. In January-June, net cash flow from
operations amounted to 4.2 (4.3) million euro.
On 30 June 2011, the company's liabilities amounted to 1.0 (1.0) million euro.
At the end of the period, cash and cash equivalents amounted to 11.8 (9.1)
million euro. On 30 June 2011, the company's cash and cash equivalents exceeded
interest-bearing liabilities by 10.8 million euro (on 30 June 2010, cash and
cash equivalents were 8.1 million euro higher than interest-bearing
liabilities).
Return on equity amounted to 18.2 (15.9) percent. The company's equity ratio was
78.3 (77.9) percent. Equity per share was 3.49 (3.13) euro.
INVESTMENTS
In January-June, Okmetic's capital expenditure amounted to 5.9 (0.1) million
euro.
Okmetic used its call option in January to purchase ten crystal growing furnaces
owned by a Norwegian company NorSun, and located at the Vantaa production plant.
The total amount of the investment was 3.3 million euro.
In April, Okmetic's board of directors approved plans to increase the group's
SOI wafer production capacity by extending the Vantaa plant. The around 30
million euro investment includes the plant extension and different kinds of
production equipment.
This investment, together with the on-going SOI equipment investments, more than
triples the Vantaa plant's current SOI wafer production capacity.
PRODUCT DEVELOPMENT
In January-June, the company expensed 1.2 (1.0) million euro in product
development projects. Product development costs accounted for 2.7 (2.7) percent
of net sales. The product development costs have not been capitalised. Product
development has been allocated to sensor wafers and crystal growing that are
important to Okmetic.
PERSONNEL
On average, Okmetic employed 362 (341) people in January-June. At the end of the
period, 349 of the company's employees worked in Finland, 37 in the US, and
three in Japan.
OKMETIC'S CORPORATE GOVERNANCE
Okmetic Oyj's annual general meeting, which was held on 7 April 2011, adopted
the financial statements for 2010 and discharged the company's management from
liability. It was decided that a dividend of 0.30 euro per share would be
distributed for 2010. The dividend was paid on Tuesday 19 April 2011. The annual
general meeting decided also, in accordance with the proposal of the board of
directors, to authorise the board of directors to decide upon its discretion on
the payment of an additional dividend, should the company's financial situation
permit this. The additional dividend, including any number of separate decisions
on dividend payment, may amount up to a maximum of 0.40 euro per share and
15,000,000 euro in total. Moreover, the general meeting approved the proposal of
the board of directors to authorise the board of directors to decide on the
repurchase and/or the acceptance as pledge of the company's own shares,
transferring rights to the company's own shares, issuance of shares and issuance
of special rights entitling to shares.
It was decided that there would be five members on the company's board of
directors. Mr. Tapani Järvinen, Mr. Hannu Martola, Mr. Pekka Salmi and Mr. Henri
Österlund were re-elected as members of the board of directors until the end of
the next annual general meeting, and Ms. Mervi Paulasto-Kröckel was elected as a
new member. The board of directors elected Henri Österlund as its chairman and
Tapani Järvinen as its vice chairman in its organisation meeting held
immediately after the annual general meeting.
Authorised Public Accountant PricewaterhouseCoopers Oy was elected as auditor,
with APA Mikko Nieminen having the principal responsibility.
Authorisations given to the board of directors and other decisions of the annual
general meeting have been notified in a stock exchange release published on 7
April 2011.
REVISION OF THE COMPANY'S LONG-TERM OBJECTIVES
The board of directors approved the company's revised long-term financial
objectives in April. The company's aim is that organic net sales grow a minimum
of 10 percent annually and that operating profit is over 10 percent of net
sales.
The company's previous long-term financial objectives stated that organic net
sales grow a minimum of 6 percent annually and that operating profit is over 10
percent of net sales. At the same time, the company discarded other specifically
defined long-term financial objectives such as a 50 percent equity ratio and
consistent annual dividend distribution.
BUSINESS RISKS IN THE NEAR FUTURE
As the uncertainty in the world economy is increasing, the most significant
factors causing uncertainty for Okmetic's business in the near future are
related to the sensitivity of semiconductor wafer demand to economic
fluctuations and to the rapid and strong changes in the market situation. The
company only has considerable pricing power with its own special products. The
pricing of other wafers is mainly based on global market price. The most common
trade currency in the field is the US dollar. The company's result is affected
by the US dollar's strong currency changes against the euro.
The fact that Okmetic's main production facilities are located in the relatively
expensive euro zone places cost pressure for the company. Other challenges
include maintaining market leadership position in the company's own special
fields, together with meeting the demand gearing towards bigger wafer sizes.
The company risks and uncertainty factors are dealt more profoundly in the
company's annual report of 2010.
SHARES AND SHAREHOLDERS
On 30 June 2011, Okmetic Oyj's paid-up share capital, as entered in the Finnish
trade register, was 11,821,250 euro. The number of shares was 17,287,500. The
shares have no nominal value attached. Each share entitles its holder to one
vote at general meeting. The company has one class of shares.
SHARE PRICE DEVELOPMENT AND TRADING
A total of 6.4 (4.9) million shares were traded between 1 January and 30 June
2011, representing 37.0 (28.8) percent of the weighted average of share total of
17.3 (17.2) million during the period. The lowest quotation of the reporting
period was 5.10 (2.98) euro, and the highest 6.65 (3.85) euro, with the average
being 5.95 (3.30) euro. The closing quotation for the period was 5.75 (3.64)
euro. At the end of the period, the market capitalisation amounted to 99.4
(62.9) million euro.
OWN SHARES
In line with the decisions of the annual general meeting and the board of
directors, Okmetic Oyj transferred 11,711 shares to the board members as payment
of the annual remuneration on 2 May 2011.
At the end of the period, the company held a total of 66,143 shares, which is
approximately 0.4 percent of Okmetic's all shares and votes.
CONDENSED FINANCIAL STATEMENTS AND TABLES 1 JANUARY - 30 JUNE 2011 (unaudited)
ACCOUNTING POLICIES
These interim financial statements have been prepared in accordance with IAS
34, Interim Financial Reporting.
In preparing these interim financial statements, Okmetic has followed the same
accounting policies as in the financial statements for 2010 except for the
effect of changes required by the adoption of the following new or revised
standards and interpretations as of 1 January 2011:
IAS 24 (revised), Related Party Disclosures
IAS 32 (amendment), Financial Instruments: Presentation - Classification of
Rights Issues
IFRIC 19, Extinguishing Financial Liabilities with Equity Instruments
IFRIC 14 (amendment), Prepayments of a Minimum Funding Requirement
Improvements to IFRSs, May 2010
The adoption of the aforementioned standards and interpretations has not had an
effect on the figures presented from the reporting period.
Okmetic has applied hedge accounting as defined in IAS 39 to the electricity
derivative contracts entered into after 1 April 2011 hedging highly probable
forecast cash flows associated with electricity purchases. The effective portion
of changes in the fair value of derivatives that are designated as cash flow
hedges is recognised in other comprehensive income and presented in hedge
reserve, which is included in "Other reserves" in equity. Such accumulated fair
value changes are reclassified to the income statement in the periods when the
hedged cash flow affects profit or loss. The gain or loss relating to the
ineffective portion is recognised immediately in the income statement within
other operating income and expenses.
From the start of 2011 Okmetic has changed the place where changes in fair
values of currency derivative contracts and their realised profits and losses
are presented in the statement of comprehensive income. In line with the new
policy, the changes in the fair values of currency derivative contracts and
their realised profits and losses are presented with the financial income and
expenses. Previously these items were presented with other operating income and
expenses. Okmetic has reported of the change in accounting policies on the
interim report published on 27 April 2011.
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
1,000 euro 1 Apr- 1 Apr- 1 Jan- 1 Jan- 1 Jan-
30 Jun, 30 Jun, 30 Jun, 30 Jun, 31 Dec,
2011 2010 2011 2010 2010
Net sales 21,747 19,688 43,802 36,209 80,907
Cost of sales -17,076 -15,352 -33,015 -29,178 -62,274
Gross profit 4,670 4,336 10,786 7,031 18,633
Other income
and expenses -2,064 -1,854 -5,352 -3,761 -8,212
Operating
profit 2,606 2,481 5,434 3,270 10,421
Financial
income and
expenses -120 506 -652 636 -610
Profit before
tax 2,487 2,987 4,783 3,905 9,811
Income tax 96 -1 524 108 141
Profit for
the period 2,582 2,987 5,306 4,013 9,952
Other
comprehensive
income:
Cash flow
hedges -20 - -20 - -
Translation
differences -56 598 -259 962 624
Other
comprehensive
income for the
period, net of
tax -76 598 -279 962 624
Total
comprehensive
income for
the period 2,506 3,585 5,027 4,975 10,576
Profit for the
period
attributable
to:
Equity holders
of the parent
company 2,582 2,987 5,306 4,013 9,952
Total
comprehensive
income
attributable
to:
Equity holders
of the parent
company 2,506 3,585 5,027 4,975 10,576
Basic earnings
per share,
euro 0.15 0.18 0.32 0.24 0.60
Diluted
earnings per
share, euro 0.15 0.18 0.31 0.24 0.58
CONDENSED CONSOLIDATED BALANCE SHEET
1,000 euro 30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Assets
Non-current assets
Property, plant
and equipment 31,721 30,826 29,069
Other receivables 4,069 3,500 2,441
Total non-current
assets 35,790 34,327 31,510
Current assets
Inventories 10,689 9,169 9,987
Receivables 16,727 14,566 15,674
Financial assets
at fair value through
profit or loss - - 5,004
Cash and cash
equivalents 11,792 9,127 14,043
Total current assets 39,209 32,862 44,708
Total assets 74,998 67,189 76,217
Equity and liabilities
Equity
Equity attributable to
equity holders of the
parent company
Share capital 11,821 11,821 11,821
Other equity 46,832 40,394 46,420
Total equity 58,654 52,215 58,242
Liabilities
Non-current liabilities 1,552 2,655 1,245
Current liabilities 14,792 12,319 16,730
Total liabilities 16,345 14,974 17,976
Total equity and
liabilities 74,998 67,189 76,217
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
1,000 euro 1 Jan- 1 Jan- 1 Jan-
30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Cash flows from operating activities:
Profit before tax 4,783 3,905 9,811
Adjustments 4,706 2,342 6,795
Change in working
capital -4,941 -2,250 210
Financial items -360 188 -279
Tax paid -22 106 58
Net cash from
operating activities 4,166 4,291 16,594
Cash flows from investing activities:
Purchases of property,
plant and equipment -5,886 -89 -2,173
Investments in fixed
income funds 5,016 - -5,000
Net cash used in
investing activities -870 -89 -7,173
Cash flows from financing activities:
Repayments of
long-term borrowings - -1,500 -1,500
Payments of finance
lease liabilities - -31 -39
Share issue - 1,200 1,200
Repurchase of own shares - -1,868 -1,868
Dividends paid -5,043 -834 -834
Net cash used in
financing activities -5,043 -3,033 -3,041
Increase(+) / decrease
(-) in cash and cash
equivalents -1,747 1,168 6,381
Exchange rate changes -504 651 355
Cash and cash
equivalents at the
beginning of the period 14,043 7,307 7,307
Cash and cash
equivalents at the
end of the period 11,792 9,127 14,043
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Equity attributable to equity holders of parent company
Share capital Share Reserve Other Retained Total
pre- for in- re- earnings
mium vested serves
1,000 euro unre- 1)
stricted
equity
Balance at
31 Dec, 2010 11,821 20,045 1,200 1,039 24,137 58,242
Profit for
the period 5,306 5,306
Other com-prehensive
income, net of tax:
Cash flow
hedges -20 -20
Translation
differences -259 -259
Total com-
prehensive
income for
the period -279 5,306 5,027
Share based
payments 428 428
Dividend
distribution -5,043 -5,043
Balance at
30 Jun, 2011 11,821 20,045 1,200 760 24,828 58,654
Balance at
31 Dec, 2009 11,821 20,045 - 415 16,461 48,742
Profit for
the period 4,013 4,013
Other com-prehensive
income, net of tax:
Translation
differences 962 962
Total com-
prehensive
income for
the period 962 4,013 4,975
Share issue 1,200 1,200
Repurchase
of own
shares -1,868 -1,868
Dividend
distribution -834 -834
Balance at
30 Jun, 2010 11,821 20,045 1,200 1,377 17,772 52,215
1)"Other reserves" contains hedge reserve and translation differences.
CHANGES IN PROPERTY, PLANT AND EQUIPMENT
1,000 euro 1 Jan- 1 Jan- 1 Jan-
30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Carrying amount at the
beginning of the period 29,069 33,174 33,174
Additions 6,167 208 2,232
Disposals - - -74
Depreciation -3,207 -3,415 -6,681
Exchange differences -308 859 419
Carrying amount at the
end of the period 31,721 30,826 29,069
DIVIDENDS PAID
In April 2011, the company distributed a dividend of 5.2 million euro of the
profit accrued in 2010 (including dividends distributed for Okmetic Management
Oy, a total of 0.1 million euro) representing a 0.30 euro dividend per share.
In April 2010, the company distributed a dividend of 0.8 million euro of the
profit accrued in 2009 representing a 0.05 euro dividend per share.
COMMITMENTS AND CONTINGENCIES
1,000 euro 30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Loans, secured with
collaterals 1,000 1,000 1,000
Collaterals 8,073 8,073 8,073
Off-balance sheet lease
commitments 236 105 245
Capital commitments 3,027 977 2,190
Nominal values of
derivative contracts
Currency options, call 5,111 4,000 15,244
Currency options, put 2,867 - 18,034
Currency forward
agreements - - -
Electricity derivatives 2,553 1,912 2,038
Interest rate swaps - 5,786 -
Fair values of
derivative contracts
Currency options, call 125 93 184
Currency options, put -15 - -595
Currency forward
agreements - - -
Electricity derivatives 3 -65 544
Interest rate swaps - -188 -
The contract price of the derivatives has been used as the nominal value of the
underlying asset.
KEY FIGURES SHOWING FINANCIAL PERFORMANCE
1,000 euro 1 Jan- 1 Jan- 1 Jan-
30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Net sales 43,802 36,209 80,907
Change in net sales
compared to the previous
year's period, % 21.0 27.6 48.8
Export and foreign
operations share
of net sales, % 94.4 95.9 95.8
Operating profit before
depreciation (EBITDA) 8,642 6,684 17,102
% of net sales 19.7 18.5 21.1
Operating profit 5,434 3,270 10,421
% of net sales 12.4 9.0 12.9
Profit before tax 4,783 3,905 9,811
% of net sales 10.9 10.8 12.1
Return on equity, % 18.2 15.9 18.6
Return on investment, % 16.1 15.8 18.2
Non-interest-bearing
liabilities 15,345 13,967 16,976
Net interest-bearing
liabilities -10,792 -8,120 -18,047
Net gearing ratio, % -18.4 -15.6 -31.0
Equity ratio, % 78.3 77.9 76.6
Capital expenditure 6,167 208 2,232
% of net sales 14.1 0.6 2.8
Depreciation 3,207 3,415 6,681
Research and development
expenditure 1,184 985 2,110
% of net sales 2.7 2.7 2.6
Average number of
personnel during
the period 362 341 345
Personnel at the
end of the period 389 373 342
KEY FIGURES PER SHARE
Euro 30 Jun, 30 Jun, 31 Dec,
2011 2010 2010
Basic earnings
per share 0.32 0.24 0.60
Diluted earnings
per share 0.31 0.24 0.58
Equity per share 3.49 3.13 3.49
Dividend per share - - 0.30
Dividends/earnings, % - - 51.7
Effective dividend
yield, % - - 5.7
Price/earnings(P/E) - - 8.9
Share performance(1 Jan-)
Average trading price 5.95 3.30 4.22
Lowest trading price 5.10 2.98 2.98
Highest trading price 6.65 3.85 5.70
Trading price at the
end of the period 5.75 3.64 5.29
Market capitalisation
at the end of the
period, 1,000 euro 99,403 62,927 91,451
Trading volume
(1 Jan-)
Trading volume,
transactions, 1,000 pcs 6,397 4,939 14,009
In relation to weighted
average number of
shares, % 37.0 28.8 81.4
Trading volume,
1,000 euro 38,058 16,279 59,124
The weighted average
number of shares during
the period under review
adjusted by the share
issue, 1,000 pcs 17,288 17,150 17,220
The number of shares at
the end of the period
adjusted by the share
issue, 1,000 pcs 17,288 17,288 17,288
When calculating earnings per share (EPS) and equity, Okmetic's own shares in
its possession and Okmetic's shares owned by Okmetic Management Oy are deducted
from the amount of shares.
QUARTERLY KEY FIGURES
1,000 euro 10-12/ 7-9/ 4-6/ 1-3/
2011 2011 2011 2011
Net sales 21,747 22,055
Compared to previous
quarter, % -1.4 -4.4
Compared to corresponding
period last year, % 10.5 33.5
Operating profit 2,606 2,828
% of net sales 12.0 12.8
Profit before tax 2,487 2,296
% of net sales 11.4 10.4
Net cash flow generated
from:
Operating activities 5,503 -1,337
Investing activities 1,035 -1,905
Financing activities -5,043 -
Increase/decrease in cash
and cash equivalents 1,495 -3,243
Personnel at the end
of the period 389 351
1,000 euro 10-12/ 7-9/ 4-6/ 1-3/
2010 2010 2010 2010
Net sales 23,072 21,626 19,688 16,521
Compared to previous
quarter, % 6.7 9.8 19.2 19.6
Compared to corresponding
period last year, % 67.0 77.7 45.4 11.3
Operating profit 3,440 3,712 2,481 788
% of net sales 14.9 17.2 12.6 4.8
Profit before tax 2,972 2,934 2,987 918
% of net sales 12.9 13.6 15.2 5.6
Net cash flow generated
from:
Operating activities 6,730 5,573 1,874 2,417
Investing activities -6,536 -547 -66 -23
Financing activities -3 -5 -2,406 -627
Increase/decrease in cash
and cash equivalents 191 5,021 -599 1,767
Personnel at the end
of the period 342 340 373 329
MAJOR SHAREHOLDERS ON 30 JUNE 2011
Shares, Share,
pcs %
Ilmarinen Mutual Pension
Insurance Company 1,540,729 8.9
Mandatum Life Insurance Company
Limited 803,000 4.6
The State Pension Fund 600,000 3.5
Veritas Pension Insurance
Company Ltd. 489,609 2.8
Varma Mutual Pension
Insurance Company 477,175 2.8
Okmetic Management Oy 400,000 2.3
Etra-Invest Oy Ab 400,000 2.3
Nordea Nordic Small Cap Fund 370,660 2.1
Aktia Secura Fund 361,681 2.1
Sijoitusrahasto Taaleritehdas
Arvo Markka Osake 225,100 1.3
Kaleva Mutual Insurance
Company 212,700 1.2
Sijoitusrahasto Aktia Capital 181,512 1.1
EQ Pikkujättiläiset /
EQ Rahastoyhtiö 146,003 0.8
Mutual Fund Evli Finnish
Equity 142,700 0.8
OP-Finland Small Firms Fund 112,700 0.7
SR Arvo Finland Value 110,611 0.6
Kiilholma Antti Tapio 93,808 0.5
Virtanen Yhtiöt Oy 91,485 0.5
Stenhäll Turo 75,000 0.4
Okmetic Oyj 66,143 0.4
Nominee registered shares 2,988,911 17.3
Others 7,397,973 42.8
Total 17,287,500 100.0
DEFINITIONS OF KEY FINANCIAL FIGURES
Operating profit before depreciation = Operating profit + depreciation
(EBITDA)
Return on equity (ROE), % = Profit/loss for the period from
continuing operations x 100/
------------------------------------------
Equity(Average for the period)
Return on investment (ROI), % = (Profit/loss before tax + interest and
other financial expenses) x 100/
------------------------------------------
Balance sheet total - non-interest
bearing liabilities(average for the
period)
Equity ratio, % = Equity x 100/
------------------------------------------
Balance sheet total - advances received
Net interest-bearing liabilities = Interest-bearing liabilities - cash and
cash equivalents
Net gearing ratio, % = (Interest-bearing liabilities - cash and
cash equivalents) x 100/
------------------------------------------
Equity
Earnings per share = Profit/loss for the period attributable
to equity holders of the parent company/
------------------------------------------
Adjusted weighted average number of
shares in issue during the period
Equity per share = Equity attributable to equity holders of
the parent company/
------------------------------------------
Adjusted number of shares at the end of
the period
Dividend per share = Dividend for the period/
------------------------------------------
Adjusted number of shares at the end of
the period
Effective dividend yield, % = Dividend per share x 100/
------------------------------------------
Trading price at the end of the period
Price/earnings ratio (P/E) = Last adjusted trading price at the end of
the period/
------------------------------------------
Earnings per share
Average trading price = Total traded amount in euro/
------------------------------------------
Adjusted number of shares traded during
the period
Market capitalisation at the end of = Number of shares at the end of the period
the period x trading price at the end of the period
Trading volume = Number of shares traded during the
period/
------------------------------------------
Weighted average number of shares during
the period
All figures of the financial tables are rounded, and consequently the sum of
individual figures can deviate from the presented sum figure. The figures are
unaudited.
The future estimates and forecasts in this interim report are based on company
management's current knowledge. Actual events and results may differ from the
estimates presented here.
OKMETIC OYJ
Board of directors
For further information, please contact:
President Kai Seikku, Okmetic Oyj,
tel. +358 400 200 288, email: kai.seikku@okmetic.com
Senior Vice President, Finance, IT, and Communications
Juha Jaatinen, Okmetic Oyj, tel. +358 9 5028 0286,
email: juha.jaatinen@okmetic.com
Distribution:
NASDAQ OMX Helsinki
Principal media
www.okmetic.com
OKMETIC IN BRIEF
Take it higher
Okmetic is a technology company which supplies tailor-made silicon wafers for
sensor and semiconductor industries and sells its technological expertise to the
solar cell industry. Okmetic provides its customers with solutions that boost
their competitiveness and profitability.
Okmetic's silicon wafers are part of a further processing chain that produces
end products that improve human interaction and quality of life. Okmetic's
products are based on high-tech expertise that generates added value for
customers, innovative product development and an extremely efficient production
process.
Okmetic has a global customer base and sales network, production plants in
Finland and the US and contract manufacturers in Japan and China. Okmetic's
shares are listed on NASDAQ OMX Helsinki under the code OKM1V. For more
information on the company, please visit our website at www.okmetic.com.
[HUG#1533242]
