Espoo, Finland, 2015-02-26 08:00 CET (GLOBE NEWSWIRE) --
Aspocomp Group Plc, Financial Statement release, February 26, 2015 at 9:00 a.m.
Key figures 2014 in brief
- Net sales: EUR 21.0 million (EUR 19.3 million 1-12/2013)
- Operating result before depreciation (EBITDA): EUR -0.3 million (0.8)
- Operating profit excluding non-recurring items (EBIT): EUR -0.4 million (-1.9)
- Earnings per share (EPS): EUR -0.31 (-0.28)
- Operational cash flow: EUR -0.1 million (0.7)
Key figures 10-12/2014 in brief
- Net sales: EUR 4.1 million (EUR 4.4 million 10-12/2013)
- Operating result before depreciation (EBITDA): EUR -1.1 million (-0.1)
- Operating profit (EBIT): EUR -1.6 million (-0.5)
- Earnings per share (EPS): EUR -0.25 (-0.24)
In 2015, net sales are expected to be between EUR 20 and 25 million and operating profit excluding non-recurring items between EUR 0.0 and 2.0 million.
CEO’S REVIEW:
“Full-year net sales amounted to EUR 21.0 million, a year-on-year increase of EUR 1.7 million. Operating profit excluding non-recurring items increased by EUR 1.5 million from the previous year, but was still EUR -0.4 million in the red. Cash flow from operations amounted to EUR -0.07 million.
Sales growth was very strong in the first half of the year, but deliveries slowed down significantly in the second half. During the review year, the weakest net sales were seen in October-December, EUR 4.1 million. Sales decreased mainly because telecommunications customers had placed overlarge orders at the beginning of the year. In other respects, both the circuit board market and demand remained at a reasonable level.
As part of our new sharpened strategy, Finnish production and development activities were centralized at the Oulu plant. As a result, a decision was made to close the Teuva plant. The company’s number of employees will decrease by nearly a third. The restructuring resulted in non-recurring costs of approximately EUR 1.5 million, which were recognized in the company’s 2014 result. The enhanced operating model is expected to yield annual savings of approximately EUR 0.9 million.
Under the renewed strategy, Aspocomp focuses on improved services and closer cooperation with customers. We strive to make every effort to facilitate and assist our customers with technology solutions and printed circuit board supplies by utilizing cost-effective and competitive high-volume production lines in Asia. We also provide strong support to our customers with their product development and new product ramp-up. High-speed design, short lead times, flexible production and customized products are characteristic features of R&D series. These products will be delivered mainly from Finland, where we will continue to invest in, develop and maintain the latest and the most demanding production technology.
Customer base expansion has been Aspocomp’s main focus in 2014, aiming to reduce our dependence on individual customers and market segments. Acquisition of new customers will continue to play the key role in the future and our goal is to build a more diversified and demand-stable customer base over the next two years.”
NET SALES AND EARNINGS 1-12/2014
Net sales amounted to EUR 21.0 million, a year-on-year increase of approximately 9 percent. The five largest customers accounted for 63 percent of net sales (67% 1-12/2013). In geographical terms, 89 percent of net sales were generated in Europe (88%), 10 percent in Asia (12%) and 1 percent in North America (0%).
Sales growth was very strong in the first half of the year, but deliveries slowed down significantly in the second half. Sales decreased mainly because telecommunications customers had placed overlarge orders at the beginning of the year. In other respects, both the circuit board market and demand remained at a reasonable level.
The operating result was EUR -2.0 million (EUR -0.7 million 1-12/2013) including non-recurring items. Operating profit excluding non-recurring items was EUR -0.4 million (EUR -1.9 million 1-12/2013), a year-on-year increase of EUR 1.5 million.
Non-recurring items were costs associated with the exchange of the CEO, EUR 0.2 million, expenses related to the closing of the Teuva factory, EUR 1.2 million, and the Oulu plant restructuring costs, EUR 0.2 million.
Net financial expenses for the review period amounted to EUR 0.1 million (EUR 0.1 million 1-12/2013). Earnings per share were EUR -0.31 (EUR -0.28).
THE GROUP’S KEY FIGURES
| 10-12/14 | 10-12/13 | Change | 1-12/14 | 1-12/2013 | Change | |||
| Net sales, M€ | 4,1 | 4,4 | -7 | % | 21,0 | 19,3 | 9 | % |
| EBITDA, M€ | -1,1 | -0,1 | -1,0 | M€ | -0,3 | 0,8 | -1,1 | M€ |
| Operating profit excluding non-recurring items | -0,3 | -0,8 | 0,5 | M€ | -0,4 | -1,9 | 1,5 | M€ |
| % of net sales | -6 % | -18 % | 11,7 | ppts | -2 % | -10 % | 7,7 | ppts |
| Operating profit, M€ | -1,6 | -0,5 | -1,1 | M€ | -2,0 | -0,7 | -1,2 | M€ |
| % of net sales | -40 % | -12 % | -27,6 | ppts | -9 % | -4 % | -5,5 | ppts |
| Pre-tax- profit, M€ | -1,7 | -0,5 | -1,1 | M€ | -2,0 | -0,8 | -1,2 | M€ |
| % of net sales | -41 % | -12 % | -28 | ppts | -10 % | -4 % | -6 | ppts |
| Profit/loss for the period, M€ | -1,6 | -1,5 | -0,1 | M€ | -2,0 | -1,8 | -0,2 | M€ |
| % of net sales | -39 % | -34 % | -5 | ppts | -9 % | -9 % | 0 | ppts |
| Earnings per share, € | -0,25 | -0,24 | -0,01 | € | -0,31 | -0,28 | -0,03 | € |
| Investments, M€ | 0,3 | 0,1 | 0,2 | M€ | 0,9 | 1,9 | -1,0 | M€ |
| % of net sales | 7 % | 2 % | 5,0 | ppts | 4 % | 10 % | -5,6 | ppts |
| Cash, end of the period | 0,7 | 2,4 | -1,6 | M€ | 0,7 | 2,4 | -1,6 | M€ |
| Equity / share, € | 1,66 | 1,96 | -0,30 | € | 1,66 | 1,96 | -0,3 | € |
| Equity ratio, % | 71 % | 71 % | 1 | ppts | 71 % | 71 % | 1 | ppts |
| Gearing, % | 5 % | -3 % | 8 | ppts | 5 % | -3 % | 8 | ppts |
| Personnel, end of the period | 144 | 152 | -8 | persons | 144 | 152 | -8 | persons |
OUTLOOK FOR THE FUTURE
As Aspocomp’s business is still dependent on prototypes and quick-turn deliveries, the company’s order book is very short. As a result, business development is difficult to predict and profit forecasts involve significant uncertainties.
In 2015, net sales are expected to be between EUR 20 and 25 million and operating profit excluding non-recurring items between EUR 0.0 and 2.0 million.
BOARD OF DIRECTORS’ DIVIDEND PROPOSAL AND ANNUAL GENERAL MEETING
The Board of Directors will propose to the Annual General Meeting to be held on March 26, 2015, that no dividend be paid for the financial year January 1, 2014 – December 31, 2014 and that the parent company’s loss EUR 3,557,491.98 be transferred to the retained earnings account. According to the financial statements dated on December 31, 2014 the parent company’s distributable funds totaled approximately EUR 10.7 million.
PUBLICATION OF FINANCIAL RELEASES
This stock exchange release is a summary of the Aspocomp Group’s financial statements bulletin 2014 and includes the most relevant information of the report. The complete report is attached to this release as a pdf file and is also available on the company’s website at www.aspocomp.com.
ASPOCOMP GROUP PLC
Board of Directors
Additional information:
For further information, please contact Mikko Montonen, CEO, tel. +358 20 775 6860, mikko.montonen(at)aspocomp.com.
Distribution:
Nasdaq OMX Helsinki
Major media
www.aspocomp.com
Aspocomp – PCB technology company
Aspocomp develops and sells PCB manufacturing services, focusing on the end-to-end fulfillment of customers’ PCB needs. Our seasoned professionals help customers to create the most optimal PCB designs, both in terms of performance and cost. Our trimmed production lines produce the most challenging designs with the shortest lead-times in the industry. Operating as a service business, we provide one-stop access to technology solutions and competitive products for all PCB technologies.
A printed circuit board (PCB) is the principal interconnection method in electronic devices. PCBs are used for electrical interconnection and as a component assembly platform in most electronic applications. Aspocomp’s PCBs are used in many applications, such as telecommunication networks and devices, automotive electronics, security and medical systems, chipset development and industrial automation.
www.aspocomp.com
Some statements in this stock exchange release are forecasts and actual results may differ materially from those stated. Statements in this stock exchange release relating to matters that are not historical facts are forecasts. All forecasts involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performances or achievements of the Aspocomp Group to be materially different from any future results, performances or achievements expressed or implied by such forecasts. Such factors include general economic and business conditions, fluctuations in currency exchange rates, increases and changes in PCB industry capacity and competition, and the ability of the company to implement its investment program.
