Vantaa, Finland, 2012-02-16 08:00 CET (GLOBE NEWSWIRE) --
Note! Figures in brackets, unless otherwise indicated, refer to the corresponding period a year earlier.
OCTOBER–DECEMBER 2011 HIGHLIGHTS
- Ramirent net sales EUR 186.8 (150.1) million, up 24.4% (up 23.7% at comparable exchange rates)
- EBITDA EUR 55.0 (36.9) million or 29.4% (24.6%) of net sales
- EBIT EUR 25.5 (11.3) million or 13.6% (7.5%) of net sales
- Cash flow after investments EUR 15.9 (24.2) million
- Net debt EUR 262.8 (176.6) million and gearing 80.6% (55.6%)
JANUARY–DECEMBER 2011 HIGHLIGHTS
- Ramirent net sales EUR 649.9 (531.3) million, up 22.3% (20.1% at comparable exchange rates)
- EBITDA EUR 181.8 (127.4) million or 28.0% (24.0%) of net sales
- EBIT EUR 74.1 (29.7) million or 11.4% (5.6%) of net sales
- Net result EUR 44.7 (14.6) million and EPS EUR 0.41 (0.13)
- Gross capital expenditure EUR 242.2 (62.0) million
- Cash flow after investments EUR −52.0 (48.0) million
- The Board proposes a dividend of EUR 0.28 (0.25) per share for the year 2011
RAMIRENT 2012 OUTLOOK
In 2012, net sales are expected to increase and the result before taxes is expected to improve compared to 2011.
| Key figures | ||||||
| (MEUR) | 10–12/11 | 10–12/10 | CHANGE | 1–12/11 | 1–12/10 | CHANGE |
| Net sales | 186.8 | 150.1 | 24.4% | 649.9 | 531.3 | 22.3% |
| EBITDA | 55.0 | 36.9 | 49.1% | 181.8 | 127.4 | 42.6% |
| % of net sales | 29.4% | 24.6% | 28.0% | 24.0% | ||
| EBIT | 25.5 | 11.3 | 126.6% | 74.1 | 29.7 | 149.3% |
| % of net sales | 13.6% | 7.5% | 11.4% | 5.6% | ||
| Earnings per share (EPS), (basic and diluted), EUR | 0.16 | 0.07 | 140.3% | 0.41 | 0.13 | 206.9% |
| Gross capital expenditure | 45.9 | 18.1 | 153.6% | 242.2 | 62.0 | 290.7% |
| Gross capital expenditure,% of net sales | 24.6% | 12.1% | 37.3% | 11.7% | ||
| Cash flow after investments | 15.9 | 24.2 | −34.3% | −52.0 | 48.0 | N/A |
| Invested capital at the end of period | 591.2 | 495.6 | 19.3% | |||
| Return on invested capital (ROI), % 1) | 15.7% | 8.6% | ||||
| Return on equity (ROE), % 1) | 13.9% | 4.7% | ||||
| Net debt | 262.8 | 176.6 | 48.8% | |||
| Gearing, % | 80.6% | 55.6% | ||||
| Equity ratio, % | 40.7% | 48.0% | ||||
| Personnel at end of period | 3,184 | 3,048 | 4.5% | |||
| 1) The figures are calculated on a rolling twelve month basis. | ||||||
MAGNUS ROSÉN, RAMIRENT CEO:
“In total, Ramirent attained 22.3% growth in sales in 2011 and our operating profit (EBIT) showed an increase of 149.3% compared to 2010. In 2011, we kept our focus on our existing markets, growing market share and size both organically and through acquisitions. We invested significantly in the acquisitions and the outsourcing deals, but were also simultaneously able to control the level of capital expenditure spent on new equipment fleet. As main drivers for organic growth we were more efficient in utilising our fleet, and our dynamic, solution-based offering yielded more in the markets. The Group’s profit development was supported by higher utilisation and rental rates that improved during the year based on the recovery in market activity especially in the second half of the year. Regionally we also continued to optimize our outlet network, ending the year with 406 depots. We also executed our growth strategy through nine acquisitions and two outsourcing deals in 2011. Ramirent continues to hold the number one position in 5 out of its 6 geographical segments, as the competitive environment continues to witness a trend towards consolidation.
Activity remained strong in the fourth-quarter in most of Ramirent’s markets, especially in the Nordic countries and in the Europe East segment. In segment Europe Central, Poland was the clear growth engine while market development was weaker in Hungary, Czech and Slovakia. Sales continued to increase in the fourth quarter compared to last year supported by favourable mild winter weather conditions. The high utilisation rates supported the profit development and price levels remained stable in the fourth quarter. We also continued to execute our growth strategy during the fourth quarter through two acquisitions in Sweden and one outsourcing deal in Denmark.
With our eyes directed at 2012, there are major uncertainties relating to general growth prospects in the economy, and these uncertainties may affect the demand for rental products and services. Due to the prevailing state of the markets, the visibility is low. We continue to carefully monitor the development of our market environment and maintain a high preparedness to act upon possible changes in market conditions. We will continue with our current strategic objectives and the work carried out in 2011 to support organic expansion in selected product groups and customer segments. Both the industrial, public and the private sectors offer further potential for Ramirent. Our priority remains on improving price realization and to further develop our service offering in support of this.
Our focus remains on empowering people and deploying the synergies of the one company structure without taking the entrepreneurial spirit out of it. We are looking for growth primarily in our existing market areas, which offer additional potential. We will continue to develop our operational excellence through the common Ramirent platform to strengthen the synergies within our Group and our capabilities for controlled expansion. We continue to monitor and assess acquisitions in the market and continue to see interest from customers to discuss fleet outsourcing arrangements.
Entering 2012, we have prepared actions for different future market scenarios. We aim to be cautious in capital expenditure spending, to have strict cost control and to maintain a strong balance sheet. Adding to this our strong product offering and an extensive outlet network, we believe that we are in a good position to adapt to possible changes in market conditions during 2012.”
MARKET OUTLOOK 2012
Overall, the new residential construction market is expected to weaken in 2012 while renovation and infrastructure construction markets are expected to develop more favourably, especially in the Nordic countries. However, Ramirent maintains a cautious stance since uncertainties in the macroeconomic development persist.
According to the forecast published by the Confederation of Finnish Construction Industries RT in October 2011, construction output is expected to be at the same level and according to VTT construction output will decrease by 2.2% in 2012 in Finland.
According to forecast published by the Swedish Construction Federation in 8 February 2012, construction output will decrease by 1% in 2012 in Sweden.
According to the forecast published by Euroconstruct in November 2011, construction is expected to grow by 6% in 2012 in Norway and by 4% in 2012 in Denmark. In Europe East countries construction is expected to increase by 8% in 2012 in Estonia, by 0–5% in Russia and decrease by 4% in Latvia and Lithuania. In Europe Central countries Euroconstruct forecasts construction to grow by 4% in 2012 in Poland, by 3% in Slovakia but decrease by 2% in Hungary and by 4% in Czech Republic.
PROPOSAL OF THE BOARD ON THE USE OF DISTRIBUTABLE FUNDS
The parent company’s distributable equity on December 31, 2011 is EUR 418,439,549.35, of which the net profit from the financial year 2011 is EUR 15,364,949.38.
The Board of Directors proposes to the Annual General Meeting 2012 that a dividend of EUR 0.28 (0.25) per share be paid for the financial year 2011. The proposed dividend will be paid to shareholders registered in Ramirent’s shareholder register maintained by Euroclear Finland Ltd on the record date 2 April 2012. The Board of Directors proposes that the dividend be paid on 11 April 2012.
ANNUAL GENERAL MEETING 2012
Ramirent Plc’s Annual General Meeting will be held on Thursday 28 March 2012, at 4:30 p.m. at Fennia II in Scandic Marina Congress Centre (address: Katajanokanlaituri 6), Helsinki, Finland. Ramirent Plc’s Annual Report will be published on the Company’s website on 2 March 2012. The stock exchange release to convene the AGM 2012 will be published on the Company’s website on 2 March 2012.
NEW DISCLOSURE PROCEDURE
Ramirent Plc follows the new disclosure procedure enabled by Standard 5.2b published by the Finnish Financial Supervision Authority and hereby publishes its Financial Statement Bulletin enclosed to this stock exchange release. Ramirent Plc’s Financial Statement Bulletin is attached to this release in pdf-format. Financial Statement Bulletin is also available on the company’s web site at www.ramirent.com.
ANALYST AND PRESS BRIEFING
A briefing for investment analysts and the press will be arranged on Thursday 16 February 2012 at 11.00 a.m. Finnish time at Palace Gourmet, cabinet Merisali (visiting address: Eteläranta 10, 10th fl., Helsinki).
WEBCAST AND CONFERENCE CALL
You can participate in the analyst briefing on Thursday 16 February 2012 at 11.00 a.m. Finnish time through a live webcast at www.ramirent.com and conference call. Dial-in number: +44 (0)20 3003 2666 and conference password Ramirent Financial Bulletin 2011. A recording of the webcast will be available at www.ramirent.com later the same day.
FINANCIAL CALENDAR 2012
Ramirent observes a silent period during 21 days prior to the publication of annual and interim financial results.
Annual Report 2011
2 March 2012
Annual General Meeting 2012
28 March 2012
Interim Report January–March 2012
10 May 2012 at 9:00 a.m.
Interim Report January–June 2012
9 August 2012 at 9:00 a.m.
Interim Report January–September 2012
2 November 2012 at 9:00 a.m.
The financial information in this stock exchange release has not been audited.
Vantaa, 15 February 2012
RAMIRENT PLC
Board of Directors
FURTHER INFORMATION
CEO Magnus Rosén
tel.+358 20750 2845, magnus.rosen@ramirent.com
CFO Jonas Söderkvist
tel.+358 20750 3248, jonas.soderkvist@ramirent.com
DISTRIBUTION
NASDAQ OMX Helsinki
Main news media
www.ramirent.com
Ramirent is a leading equipment rental group delivering Dynamic Rental Solutions™ that simplify business. We serve a broad range of customers, including construction and process industries, shipyards, the public sector and households. In 2011, Group net sales totalled EUR 650 million. The Group has some 3,200 employees at some 406 permanent outlets in thirteen countries. Ramirent is listed on the NASDAQ OMX Helsinki Ltd.
