Aldata announces a return to growth in revenue from Q3 2010 and a return to an
operating profit for the quarter
* As reported in previous quarters, business conditions within the retail
sector remain difficult
* Despite this, Aldata reports increased third quarter revenues compared to
the previous year and an operating profit for Q3 2011
* The full year outlook remains unchanged with net sales expected to be
somewhat below the 2010 level and the full year 2011 EBIT to decrease from
the 2010 level due to additional costs triggered by the change in control
Aldata in Q3 2011 (compared to Q3 2010)
* Net sales increased by 4.0% to EUR 17.8 million (EUR 17.1 million)
* Gross profit decreased by 2.5% to EUR 15.6 million (EUR 16.0 million)
* Operating profit (EBIT) increased to EUR 0.5 million (EUR 0.1 million).
Operating profit (EBIT) included one-off costs for EUR 0.1 million due to
the completion of the mandatory public tender offer.
* Operating profit (EBIT) excluding non-recurring items was EUR 0.6 million
* Profit before taxes was EUR 1.0 million (EUR -1.1 million)
* Net profit was EUR 1.1 million (EUR -1.2 million) and earnings per share,
EPS, were
0.015 euros (-0.018 euros)
* Cash flow from operating activities was EUR -1.2 million (EUR -0.8 million)
* Cash, cash equivalents and marketable securities amounted to EUR 5.1 million
(EUR 4.3 million) and the Group had interest-bearing loans of EUR 12.0
million (EUR 11.2 million)
Aldata in January - September 2011 (compared to January - September 2010)
* Net sales were EUR 51.7 million (EUR 54.0 million)
* Gross profit was EUR 45.9 million (EUR 49.0 million)
* Operating profit (EBIT) was EUR 0.1 million (EUR 1.0 million). Operating
profit (EBIT) included one-off costs for EUR 0.1 million due to the
completion of the mandatory public tender offer.
* Operating profit (EBIT) excluding non-recurring items was EUR 0.2 million
* Profit before taxes was EUR -0.4 million (EUR 0.9 million)
* Net profit was EUR -0.6 million (EUR 0.1 million) and earnings per share,
EPS, were
-0.010 euros (0.002 euros)
Bertrand Sciard, President and CEO
When reporting the previous quarter results in August, I mentioned that our
pipeline remained solid, that I expected to see positive impact from our cost
control actions and that the Q2 results had been negatively impacted by delays
in closing some transactions that were previously forecast to close.
I am pleased to announce that in Q3 we were able to close some of the larger
transactions being forecast and so I am able to report a return to revenue
growth compared to the same quarter in 2010 and a return to profitability.
Despite our good revenue performance, our order backlog reduced slightly to EUR
26.1 million from EUR 26.8 million at the end of Q2, which shows we are still
experiencing good demand for our offerings.
We have received a net EUR 0.5 million of tax charges, interest costs and
unrealized foreign exchange gains in Q3, all of which combined to generate an
increased net profit for Q3 2011.
Although Q3 generated a cash outflow from operating activities of EUR 1.2
million, the cumulative position for the first three quarters of 2011 is a cash
inflow of EUR 2.0 million, which compares favorably to a net cash inflow of EUR
0.7 million for the first three quarters of 2010.
Symphony Technology Group's public tender offer period ended on 23 September and
on 6 October Aldata was notified that Symphony owns 90.1% of Company's shares.
This has triggered a number of change in control clauses which have resulted in
a positive impact of EUR 0.1 million on operating results in Q3 and which is now
forecast to add additional costs of EUR 1.9 million in Q4.
As noted in the stock exchange release of 28 October 2011, the change in control
has triggered a breach in our banking covenant which has resulted in the
requirement to repay the credit facility mainly by the end of March 2012. We are
engaged in a number of discussions with various providers to ensure that Aldata
has a facility in place to provide for the working capital needs of the business
in due course.
Aldata in the third quarter of 2011
July - September 2011 financial performance
The Group's net sales were EUR 17.8 million (EUR 17.1 million), which represents
an increase of EUR 0.7 million compared to third quarter net sales in the
previous year. Product sales, which include licenses for standard products,
licenses for customer specific developments and maintenance revenues, accounted
for 68% (63%) of total net sales. Consulting services accounted for 29% (35%),
and third party licenses and hardware accounted for 3% (2%).
The Group's gross profit was EUR 15.6 million (EUR 16.0 million), which
represents an 88% (94%) gross margin. Operating profit, EBIT, totalled EUR 0.5
million (EUR 0.1 million) and operating profit excluding expenses for option
plans and restricted share units (RSU) was EUR 0.4 million (EUR 0.2 million).
Pre-tax profit was EUR 1.0 million (EUR -1.1 million), net profit was EUR 1.1
million (EUR -1.2 million) and earnings per share, EPS, were 0.015 EUR (-0.018
EUR).
Research and development costs in the third quarter totalled EUR 2.3 million
(EUR 2.3 million), of which EUR 0.2 million (EUR 0.1 million) or 10.3 % were
capitalized. EUR 0.2 million (EUR 0.1 million) of capitalized development costs
were amortized.
Aldata's reported order backlog includes product and third party product sales
that will be recognized as revenues during the following twelve months. At the
end of September 2011, the order backlog was EUR 26.1 million (EUR 24.9 million
at the end of September 2010 and EUR 27.6 million at the end of year 2010).
Business units in Q3 2011
Net sales of the Supply Chain Management (SCM) Software business unit were EUR
12.8 million (EUR 12.1 million). The gross profit was EUR 11.2 million (EUR
11.2 million) and the operating profit, EBIT, was EUR 0.9 million (EUR 0.6
million).
Net sales of the Category Optimization business unit were EUR 2.5 million (EUR
2.5 million). The gross profit was EUR 2.5 million (EUR 2.5 million) and the
operating profit, EBIT, was EUR 0.2 million (EUR -0.4 million).
Net sales of the Mid-Size Market business unit were EUR 2.5 million (EUR 2.5
million). The gross profit was EUR 1.9 million (EUR 2.3 million) and the
operating profit, EBIT, was EUR -0.3 million (EUR 0.4 million).
There were no internal sales between the Group's business segments. Unallocated
costs, the Group's shared items netted, decreased the Group's operating profit,
EBIT, by EUR 0.3 million (EUR 0.6 million).
Finance and investments
Cash flow from operating activities in the third quarter was EUR -1.2 million
(EUR -0.8 million) and net cash flow was EUR -0.1 million (EUR -0.7 million).
The Group's capital expenditure on hardware and software purchases amounted to
EUR 0.2 million (EUR 0.2 million) in third quarter of the year.
Research and development
In the third quarter Aldata's research and development costs were EUR 2.3
million (EUR 2.3 million). A total of EUR 0.2 million (EUR 0.1 million) of
development costs were capitalized during the quarter. EUR 0.2 million (EUR 0.1
million) of capitalized development costs were amortized in the quarter.
Aldata in January-September of 2011
January-September 2011 financial performance
The Group's net sales were EUR 51.7 million (EUR 54.0 million), which represents
an decrease of EUR 2.3 million compared to first three quarters' net sales in
the previous year. Product sales, which include licenses for standard products,
licenses for customer specific developments and maintenance revenues, accounted
for 63% (60%) of total net sales. Consulting services accounted for 33% (36%)
and third party licenses and hardware accounted for 4% (4%).
The Group's gross profit was EUR 45.9 million (EUR 49.0 million), which
represents an 89% (91%) gross margin. Operating profit, EBIT, totalled EUR 0.1
million (EUR 1.0 million) and operating profit excluding expenses for option
plans and restricted share units (RSU) was EUR 0.0 million (EUR 1.2 million).
Pre-tax profit was EUR -0.4 million (EUR 0.9 million), net profit was EUR -0.6
million (EUR 0.1 million) and earnings per share, EPS, were -0.010 euros (0.002
euros).
Research and development costs in the financial period totalled EUR 6.9 million
(EUR 7.2 million), of which EUR 0.6 million (EUR 0.2 million) or 8.1% were
capitalized. EUR 0.6 million (EUR 0.4 million) of capitalized development costs
were amortized.
Taxes for the period were EUR 0.2 million (EUR 0.7 million).
Business units in January-September 2011
Net sales of the Supply Chain Management (SCM) Software business unit were EUR
35.9 million (EUR 37.9 million). The gross profit was EUR 32.6 million (EUR
34.8 million) and the operating profit, EBIT, was EUR 1.6 million (EUR 1.1
million).
Net sales of the Category Optimization business unit were EUR 7.1 million (EUR
7.2 million). The gross profit was EUR 6.8 million (EUR 6.8 million) and the
operating profit, EBIT, was EUR 0.6 million (EUR 0.4 million).
Net sales of the Mid-Size Market business unit were EUR 8.8 million (EUR 8.9
million). The gross profit was EUR 6.5 million (EUR 7.4 million) and the
operating profit, EBIT, was EUR -0.6 million (EUR 1.0 million).
There were no internal sales between the Group's business segments. Unallocated
costs, the Group's shared items netted, decreased the Group's operating profit,
EBIT, by EUR 1.5 million (EUR 1.6 million).
Finance and investments
Cash flow from operating activities in January-September 2011 was EUR 2.0
million (EUR 0.7 million) and net cash flow was EUR 1.8 million (EUR -1.3
million).
At the end of September 2011, Aldata Group's cash, cash equivalents and
marketable securities amounted to EUR 5.1 million (EUR 4.3 million) and total
assets were EUR 56.4 million (EUR 54.4 million). The Group had interest-bearing
debt of EUR 12.2 million (EUR 11.2 million) and interest-bearing net liabilities
totalled EUR 7.1 million (EUR 6.1 million). Short-term receivables totalled EUR
24.7 million (EUR 23.0 million). The Group's solvency ratio was 33.9% (36.4%),
gearing was 37.3% (30.7%), and shareholders' equity per share was EUR 0.275 (EUR
0.286).
The Group's capital expenditure on tangible and intangible assets amounted to
EUR 1.2 million (EUR 3.3 million) during the first three quarters. A total of
EUR 0.6 million (EUR 0.4 million) of development costs were capitalized during
the period.
Research and Development
Aldata's research and development costs in January-September 2011 were EUR 6.9
million (EUR 7.2 million) and made up 13% (13%) of net sales. A total of EUR
0.6 million (EUR 0.2 million) of development costs were capitalized during the
period. EUR 0.6 million (EUR 0.4 million) of capitalized development costs were
amortized.
At the end of the review period 116 (129) employees were involved in R&D
activities which represents 22% (24%) of the Group's total employed personnel.
In addition Aldata had 94 (100) contracted offshore resources involved in R&D
activities. These resources are located in Paris, France, in Espoo, Finland and
in Bangalore, India.
Personnel
Aldata Group employed 519 (540) persons at the end of September 2011, and on
average had 526 (528) employees during the period.
+---------------------+-----------------+-----------------+
| |30 September 2011|30 September 2010|
+---------------------+-------+---------+-------+---------+
|By Business Unit |Persons|% |Persons|% |
+---------------------+-------+---------+-------+---------+
|SCM Software |346 |67 |367 |68 |
+---------------------+-------+---------+-------+---------+
|Category Optimization|64 |12 |65 |12 |
+---------------------+-------+---------+-------+---------+
|Mid-Size Market |94 |18 |92 |17 |
+---------------------+-------+---------+-------+---------+
|Group Administration |15 |3 |16 |3 |
+---------------------+-------+---------+-------+---------+
|Total |519 |100 |540 |100 |
+---------------------+-------+---------+-------+---------+
Approximately 45% of personnel were employed by Aldata companies in France, 15%
in Finland, 11% in Germany, 10% in the US, 8% in the UK, 6% in Sweden, 4% in
Slovenia and 1% in Russia.
Share performance and ownership
The highest price of the Aldata Solution Oyj share during January - September
2011 was EUR 0.63 and the lowest price EUR 0.43. The average price was EUR 0.58
and the closing price EUR 0.63. The trading volume on the Helsinki Stock
Exchange was EUR 40.0 million and altogether 67.9 million shares were traded,
which represents 99% of the shares. Aldata Solution Oyj has 68.7 million shares
outstanding. The number of shares outstanding has remained unchanged during the
period.
The number of shareholders was 3,978 and the free float was 100% of the share
capital at the end of September 2011. A total of 55.3% of Aldata Solution Oyj's
shares were owned by foreign investors at the end of the period.
Aldata Solution Oyj has one share series and all the Company's shares carry
equal voting and dividend rights.
Risks and uncertainty factors
Near term risks and uncertainties
Near term risks and uncertainties are considered by Aldata to be risks that may
materialize in the next two quarters.
Symphony Technology Group's shareholding exceeding 50% triggered a breach in
Aldata's banking covenant that has resulted in Aldata being required to repay
the full amount of its credit facility by the end of March 2012, with an interim
payment due by the end of December 2011. Aldata is currently in discussions with
potential interested parties to arrange a replacement facility. In addition,
Aldata's cash flow is seasonal with a large amount of sales invoices being
raised in January for the annual maintenance and support fees, which are
normally paid before the end of Q1. These two actions combined means that Aldata
feels the repayment of the credit facility will not impact the short-term
viability of the company. However, should Aldata not be able to replace this
credit facility by the end of March, or if the collection of the annual
maintenance and support invoices proves to be unusually difficult or delayed in
2012, there is a risk that repaying the credit facility may put Aldata into a
difficult cash position.
General uncertainties about the macro-economic climate are likely to affect the
retail industry. In periods of uncertainty companies tend to be less willing to
commit to large capital expenditure or start new projects for fear of negatively
impacting operations if the project were to be unsuccessful. Long-term decisions
tend to be subject to closer scrutiny and increased attention given to ROI
calculations and payback justifications. This is likely to delay the decision
making process, and may even cause certain projects to be put on hold for an
indeterminate period. This is largely what we have experienced in the first half
of the year and if this trend continues in the second half, Aldata may not be
able to deliver its expected full year revenue or operating profit.
Aldata accounts for its revenue in accordance with IFRS guidelines, meaning
license revenue is typically booked on contract signature whereas services and
maintenance revenue is booked over the life of the project. This means that
software licenses revenue is more risky and harder to forecast. The management
team completes regular reviews and assessments of the software pipeline to
mitigate this risk, although it is not possible to remove the risk completely.
The economic environment has increased the number of companies which face
financial problems and could be seen as a contributing factor to the increased
time taken to settle invoices. This might increase Aldata's risk to be able to
collect payment for its services provided. Aldata looks to mitigate this risk by
using business standard credit assessment and credit control policies to ensure
any potential risks are highlighted at an early stage and any necessary action
to reduce the risk is taken.
A large proportion of Aldata's services revenue is done on a time and materials
basis. If there were to be a weakening in demand, as seen at the start of 2009,
this would lead to lower utilization and pressure on margins if Aldata was
unable to adjust its cost base fast enough.
Long-term risks and uncertainties
Risks and uncertainty factors associated with Aldata's business are mainly
related to general economic development and more specifically to the retail
software market. The recession affected Aldata's operations during the last 2
years, and any recent signs of a recovery have reduced significantly. If the
anticipated recovery doesn't happen or there is a deterioration of the economic
situation, this may result in delays to both ongoing or new large projects and
investment decisions. Aldata feels that its flexible business model will enable
it to react quickly to both any expected upturns or downturns in the future.
Business risk management is a key target of the operational management. Through
it the Company aims to ensure that the key risks to which business operations
are exposed are identified and monitored for preventative action. Business risks
are monitored within the Company by the President and CEO, the Corporate
Management Team and the Management Council.
The company's risk level is regularly observed by the Corporate Management Team
through a weekly phone conference call, through formal written reporting by the
Management Council twice a month and through regular in person meetings of the
Corporate Management Team and the Management Council during the year. In
addition to this, risks are charted when deemed necessary and specific ad hoc
teams will be built to address any clearly identified potential risks.
With the increased importance of the US market to Aldata, the group will become
more exposed to currency risk resulting from the movement between the Euro and
the US dollar. Aldata is currently exposed to two types of exchange rate risk;
one impacting its operating result based on the valuation of its US based
revenues and costs; and one impacting its financial result, due to exchange
gains or losses on Euro denominated loans and intercompany balances owed to or
from Aldata's US subsidiaries. Aldata currently chooses not to hedge against
either of these risks. It believes there is a natural hedge built into the
operating result risk due to the US based cost structure that it carries, which
materially offsets its US based revenues. This means that whilst the risk to
Aldata's operating profit is reduced to a level that Aldata feels is acceptable,
there is a risk to the level of revenue that Aldata reports that is directly
affected by exchange rate. Aldata is reviewing its strategy around whether to
hedge against these intercompany loans as a way to mitigate the risk in the
future.
Goodwill was tested during the last quarter of 2010 and has been reviewed at the
end of Q3. In accordance with the results of testing for impairment, no
depreciation of goodwill was made. The impairment testing is based on projected
future cash flows and if the respective country's projected cash flows do not
occur as planned in the medium term, it is possible that the goodwill allocated
to one of the country's unit will need to be impaired. No new impairment tests
have been completed at the end of Q3 2011 for France, Germany and Apollo as the
businesses are on or close to their projected future cash flows. For Cosmic, the
growth rate of 5% used for impairment testing remains below the growth rate used
in the forecast to estimate the revised earn out element of the acquisition cost
and therefore no impairment adjustment is necessary.
Aldata's growth strategy includes expansion via making suitable company
purchases. If the current business environment remains challenging, the
opportunity to fulfill this strategy may decrease in case no suitable purchase
targets are found or the business profits due to already materialized company
purchases don't fulfill the expectations. Aldata's inability to fulfill its
desire to make company purchases may have a negative impact on Aldata's business
and its financial status and outcome may weaken.
Outlook
The recent economic turmoil has increased the overall risk for the recovery of
the retail software market.
Both the license and services pipeline for the fourth quarter of the year 2011
remain healthy and it is expected that the benefits of certain cost cutting
measures carried out in the second and third quarters of 2011 will have a
positive impact on the remainder of the year.
The full year outlook is unchanged with net sales expected to be somewhat below
the 2010 level and the full year 2011 EBIT to decrease from the 2010 level due
to additional costs triggered by the change in control.
Events after the review period
On 6 October 2011 Aldata issued a stock exchange release concerning a redemption
notice and claim under chapter 18 of the Finnish Companies act that it had
received from Symphony Technology II-A, L.P, to redeem all the shares held by
any other remaining shareholders in Aldata.
On 7 October 2011 Aldata issued a stock exchange release concerning the Board of
Director's decisions that following the receipt of the chapter 18 notice, the
share subscription period with respect to all outstanding stock options issued
under Stock Option Scheme 2008A-F and Stock Option Scheme 2008G will be reopened
for a period of two weeks, beginning on Monday 10 October 2011 and ending on
Friday 21 October 2011.
On 19 October 2011 Aldata issued a stock exchange release stating that Mr.
Pertti Ervi and Mr. Tommy H. Karlsson had resigned at their own will from the
positions as members of the Board of Directors of Aldata Solution Oyj, and that
the resignation would take effect immediately.
On 19 October 2011 Aldata issued a stock exchange release announcing that Aldata
Solution Oyj's Board of Directors had elected Ms. Michele Fitzpatrick as the
Vice Chairman of the Board and that the Board of Directors had also made the
decision that the separate Audit Committee would be dissolved and that the Board
of Directors as a whole would take over the duties of the Audit Committee.
On 28 October 2011 Aldata issued a stock exchange release concerning the breach
of the change in control clause in its credit facility covenant due to Symphony
Technology Group exceeding 50% ownership, and the resulting requirement to repay
the amount of the credit facility, partly by 31 December 2011 and fully by 31
March 2012. Aldata has not breached any financial banking covenant and will
pursue re-financing negotiations for the agreements terminated.
There were no other significant events after the review period.
Helsinki, November 17, 2011
Aldata Solution Oyj
Board of Directors
Further information:
Bertrand Sciard, President and CEO, tel. +358 10 820 8000 / Aldata Solution Oyj
Graham Howell, CFO, tel. +33 633 057 620
About Aldata
Aldata is a global leader in retail and distribution optimization. Our software
and service solutions help retailers, distributors and manufacturers
dramatically improve their business performance. We optimize categories, space,
supply, logistics, and consumer engagement to increase our customers' revenue
and margins, reduce time, cost and waste, and enhance on-shelf availability,
service, and retention.
Founded in 1988, Aldata has an unparalleled track record of delivering
successful projects for the world's largest retail and consumer brands, national
wholesale and distribution organizations, and regional store chains. Aldata
Solution is a public company quoted on NASDAQ OMX Helsinki Ltd with the
identifier ALD1V.
Discover more about Aldata's customers, our solutions, and the multi-skilled
global team that supports them atwww.aldata.com
Distribution:
NASDAQ OMX Helsinki Ltd
Media
www.aldata.com
TABLE PART
Calculation methods
This interim report has been prepared in accordance with IFRS standards and the
same accounting principles as in 2010 financial statements. New or renewed
standards and interpretations have been adopted since the beginning of 2011
according to the description in the annual report for 2010 but have not had any
impact on the figures reported. The report does not comply with all requirements
of IAS 34, Interim Financial Reporting. Key figure calculations remain unchanged
and have been presented in 2010 Financial Statements.
CONSOLIDATED INCOME STATEMENT MEUR MEUR Change % MEUR
Jan-Sep/ Jan-Sep/
2011 2010 Total 2010
Net sales 51,7 54,0 -4,2 % 73,1
Other operating income 0,5 0,6 -12,0 % 0,7
Operating expenses -50,8 -52,5 -3,1 % -70,7
Depreciations and impairments -1,4 -1,3 14,1 % -1,8
Operating profit 0,1 1,0 -94,0 % 1,3
Financial items -0,5 -0,1 233,9 % -0,1
Profit before taxes -0,4 0,9 -145,6 % 1,2
Income taxes -0,2 -0,7 -75,2 % -1,2
Minority interest -0,1 0,0 490,0 % 0,0
Profit for the financial period -0,7 0,1 -638,2 % 0,0
Earnings per share, EUR -0,010 0,002 0,000
Earnings per share, EUR (EPS), adjusted
for dilution effect -0,010 0,002 0,000
Attributable to:
Equity holders of the Company -0,7 0,1 0,0
Minority interest 0,0 0,0 0,0
Statement of comprehensive income:
Net profit for the period -0,7 0,1 0,0
Other comprehensive income:
Translation differences 0,1 0,1 0,0
Total comprehensive income -0,7 0,2 0,0
Total comprehensive income attributable
to:
Equity holders of the Company -0,7 0,2 0,0
Minority interest 0,0 0,0 0,0
CONSOLIDATED BALANCE SHEET MEUR MEUR MEUR
30 Sep 30 Sep 31 Dec
2011 2010 2010
ASSETS
NON-CURRENT ASSETS
Goodwill 19,0 18,9 19,0
Capitalized development cost 2,7 2,8 2,7
Intangible assets 1,8 2,4 2,3
Tangible assets 1,2 1,3 1,1
Investments 0,1 0,1 0,1
Other long-term assets 0,6 0,4 0,5
Deferred tax assets 0,8 1,0 0,8
NON-CURRENT ASSETS TOTAL 26,2 26,9 26,5
CURRENT ASSETS
Inventories 0,4 0,2 0,3
Short-term receivables 24,7 23,0 26,0
Cash and cash equivalents 5,1 4,3 3,3
CURRENT ASSETS TOTAL 30,2 27,5 29,6
ASSETS TOTAL 56,4 54,4 56,1
SHAREHOLDERS' EQUITY AND LIABILITIES
Shareholders' equity 18,9 19,7 19,8
Minority interest 0,2 0,1 0,1
Long-term loans 3,5 4,2 4,1
Short-term loans 33,8 30,5 32,1
EQUITY AND LIABILITIES TOTAL 56,4 54,4 56,1
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 1000 EUR
Equity
Share holders of Own
Share premium Translation Retained parent Minority equity
TEUR capital fund difference earnings company interest total
--------------------------------------------------------------------------------
EQUITY 1.1.2010 687 19 154 694 -1 320 19 215 89 19 305
Share based
payments
recognised
against equity 0 0 0 267 267 0 267
Comprehensive
income 0 0 64 127 191 16 207
--------------------------------------------------------------------------------
EQUITY 30.9.2010 687 19 154 758 -926 19 673 105 19 779
--------------------------------------------------------------------------------
EQUITY 1.1.2011 687 19 154 772 -869 19 745 123 19 868
Share based
payments
recognised
against equity 0 0 0 -121 -121 0 -121
Comprehensive
income 0 0 -50 -684 -734 96 -638
--------------------------------------------------------------------------------
EQUITY 30.9.2011 687 19 154 722 -1 673 18 890 220 19 110
CONSOLIDATED CASH FLOW STATEMENT
MEUR MEUR MEUR
Jan-Sep/ Jan-Sep/ Jan-Dec
2011 2010 2010
Cash flow from operating activities
Operating result 0,1 1,0 1,3
Adjustment to operating result 1,2 1,1 1,9
Change in working capital 1,1 -1,4 -3,2
Interest received and other financial income 0,1 0,4 0,3
Interest paid and other financial expenses -0,3 -0,4 -0,4
Taxes paid -0,2 -0,1 -0,1
Net cash from operating activities 2,0 0,7 -0,1
Cash flow from investing activities
Group companies acquired 0,0 -2,0 -2,1
Investments in tangible and intangible assets -1,1 -0,7 -0,8
Net cash used in investing activities -1,1 -2,7 -3,0
Cash flow before financing activities 0,9 -2,0 -3,1
Cash flow from financing activities
Short-term loans, received 2,0 0,8 1,0
Short-term loans, repayments -1,0 0,0 0,0
Leasing liability, payments -0,1 0,0 -0,2
Share issue 0,0 0,0 0,0
Net cash used in financing activities 0,9 0,8 0,8
Net cash flow, total 1,8 -1,3 -2,3
Change in cash and cash equivalents 1,8 -1,3 -2,3
Cash and cash equivalents in the beginning of the
period 3,3 5,6 5,6
Net foreign exchange difference 0,0 0,0 0,0
Cash and cash equivalents at the end of the period 5,1 4,3 3,3
NOTES TO THE INTERIM REPORT
COMMITMENTS AND CONTINGENCIES MEUR MEUR MEUR
30 Sep 2011 30 Sep 2010 31 Dec 2010
Loans from financial institutions 12,0 10,8 11,0
Mortgages 5,4 5,4 5,4
Leasing liabilities 12,7 6,7 6,6
Guarantees on behalf of company debt 0,1 0,1 0,1
Jan-Sep/ Jan-Sep/
KEY FIGURES, MEUR 2011 2010 Total 2010
Scope of Operations
Net sales, MEUR 51,7 54,0 73,1
Average number of personnel 526 528 530
Gross capital expenditure, MEUR 1,2 3,3 5,2
Gross capital expenditure, % of net sales 2,3 6,1 7,1
Profitability
Operating profit , MEUR 0,1 1,0 1,3
Operating profit, % of net sales 0,1 1,9 1,8
Profit before taxes and minority interest, MEUR -0,4 0,9 1,2
Profit before taxes and minority interest, % of net
sales -0,8 1,6 1,7
Return on equity, % (ROE) -4,0 1,0 0,2
Return on investment, % (ROI) 5,1 13,7 13,6
Financial Standing
Quick ratio 0,8 0,8 0,9
Current ratio 0,9 0,9 0,9
Equity ratio, % 33,9 36,4 35,6
Interest-bearing net debt, MEUR 7,1 6,1 8,0
Gearing, % 37,3 30,7 40,1
Per Share Data
Earnings per share, EUR (EPS) -0,010 0,002 0,000
Earnings per share, EUR (EPS), adjusted for
dilution effect -0,010 0,002 0,000
Shareholders' equity per share, EUR 0,275 0,286 0,287
SEGMENT INFORMATION, MEUR
Jan-Sep/ Jan-Sep/
BUSINESS SEGMENTS 2011 2010 Total 2010
Net sales to external customers
Supply Chain Management Software 35,9 37,9 50,9
Category Optimization 7,1 7,2 10,0
Mid-Size Market 8,8 8,9 12,2
Total 51,7 54,0 73,1
Operating result, continuing operations
Supply Chain Management Software 1,6 1,1 2,1
Category Optimization 0,6 0,4 0,7
Mid-Size Market -0,6 1,0 0,8
Total 1,6 2,5 3,6
Unallocated items -1,5 -1,6 -2,3
Operating profit 0,1 1,0 1,3
Financial income and expenses -0,5 -0,1 -0,1
Result before taxes and minority interest -0,4 0,9 1,2
Taxes -0,2 -0,7 -1,2
Minority interest -0,1 0,0 0,0
Result from continuing operations -0,7 0,1 0,0
Result for the financial period -0,7 0,1 0,0
INCOME STATEMENT MEUR MEUR MEUR MEUR MEUR
QUARTERLY FIGURES Q3/2011 Q2/2011 Q1/2011 Q4/2010 Q3/2010
Net sales 17,8 16,6 17,4 19,0 17,1
Other operating income 0,2 0,1 0,2 0,1 0,4
Operating expenses -16,9 -16,8 -17,1 -18,3 -17,0
Depreciations and impairments -0,5 -0,5 -0,5 -0,5 -0,5
Operating profit 0,5 -0,5 0,1 0,3 0,1
Financial items 0,4 -0,3 -0,6 0,0 -1,1
Profit before taxes 1,0 -0,8 -0,5 0,3 -1,1
Income taxes 0,1 -0,1 -0,2 -0,4 -0,2
Minority interest 0,0 0,0 0,0 0,0 0,0
Profit for the financial period 1,0 -1,0 -0,7 -0,1 -1,2
INCOME STATEMENT MEUR MEUR MEUR MEUR MEUR
CUMULATIVE 1-9/11 1-6/11 1-3/11 1-12/10 1-9/10
Net sales 51,7 34,0 17,4 73,1 54,0
Other operating income 0,5 0,4 0,2 0,7 0,6
Operating expenses -50,8 -33,8 -17,1 -70,7 -52,5
Depreciations and impairments -1,4 -1,0 -0,5 -1,8 -1,3
Operating profit 0,1 -0,5 0,1 1,3 1,0
Financial items -0,5 -0,9 -0,6 -0,1 -0,1
Profit before taxes -0,4 -1,4 -0,5 1,2 0,9
Income taxes -0,2 -0,3 -0,2 -1,2 -0,7
Minority interest -0,1 -0,1 0,0 0,0 0,0
Profit for the financial period -0,7 -1,7 -0,7 0,0 0,1
BALANCE SHEET MEUR MEUR MEUR MEUR MEUR
30.9.11 30.6.11 31.3.11 31.12.10 30.9.10
ASSETS
NON-CURRENT ASSETS
Goodwill 19,0 19,0 19,0 19,0 18,9
Capitalized development cost 2,7 2,6 2,6 2,7 2,8
Intangible assets 1,8 2,0 2,1 2,3 2,4
Tangible assets 1,2 1,3 1,3 1,1 1,3
Investments 0,1 0,1 0,1 0,1 0,1
Other long-term assets 0,6 0,6 0,6 0,5 0,4
Deferred tax assets 0,8 0,8 0,8 0,8 1,0
NON-CURRENT ASSETS TOTAL 26,2 26,4 26,5 26,5 26,9
CURRENT ASSETS
Inventories 0,4 0,2 0,3 0,3 0,2
Short-term receivables 24,7 25,4 26,1 26,0 23,0
Cash and cash equivalents 5,1 5,1 8,4 3,3 4,3
CURRENT ASSETS TOTAL 30,2 30,8 34,9 29,6 27,5
ASSETS TOTAL 56,4 57,1 61,4 56,1 54,4
SHAREHOLDERS' EQUITY AND LIABILITIES
Shareholders' equity 18,9 18,7 19,5 19,8 19,7
Minority interest 0,2 0,2 0,1 0,1 0,1
Non-current liabilities 3,5 3,6 4,0 4,1 4,2
Current liabilities 33,8 34,7 37,8 32,1 30,5
Liabilities 37,3 38,2 41,8 36,2 34,7
EQUITY AND LIABILITIES TOTAL 56,4 57,1 61,4 56,1 54,4
KEY FIGURES, MEUR Q3/2011 Q2/2011 Q1/2011 Q4/2010 Q3/2010
QUARTERLY FIGURES
Scope of Operations
Net sales, MEUR 17,8 16,6 17,4 19,0 17,1
Average number of personnel 520 523 535 530 527
Gross capital expenditure, MEUR 0,2 0,5 0,5 0,2 0,2
Gross capital expenditure, % of net
sales 1,2 3,3 2,9 1,1 1,2
Profitability
Operating profit , MEUR 0,5 -0,5 0,1 0,3 0,1
Operating profit, % of net sales 3,0 -3,3 0,4 1,5 0,3
Profit before taxes and minority
interest, MEUR 1,0 -0,8 -0,5 0,3 -1,1
Profit before taxes and minority
interest, % of net sales 5,5 -5,1 -3,1 1,7 -6,2
Return on equity, % (ROE) -4,0 -16,9 -14,2 0,2 1,0
Return on investment, % (ROI) 5,1 0,7 1,4 13,6 13,7
Financial Standing
Quick ratio 0,8 0,8 0,9 0,9 0,8
Current ratio 0,9 0,9 0,9 0,9 0,9
Equity ratio, % 33,9 33,1 32,1 35,6 34,8
Interest-bearing net debt, MEUR 7,1 5,7 2,3 8,0 6,1
Gearing, % 37,3 30,0 11,8 40,1 33,0
Per Share Data
Earnings per share, EUR (EPS) 0,015 -0,014 -0,011 -0,002 -0,018
Earnings per share, EUR (EPS), adjusted
for dilution effect 0,015 -0,014 -0,010 -0,002 -0,018
Shareholders' equity per share, EUR 0,275 0,272 0,285 0,287 0,286
[HUG#1564570]
ALDATA SOLUTION OYJ'S INTERIM REPORT JANUARY-SEPTEMBER 2011 (UNAUDITED)
| Source: Aldata Solution Oyj
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