Skive, Denmark, 2015-04-29 14:19 CEST (GLOBE NEWSWIRE) --
Dantherm posted revenue of DKK 93m for Q1 2015 compared with DKK 100m for Q1 2014. An operating loss (EBIT) of DKK 6.1m (Q1 2014: DKK -18.3m) was posted, negatively impacted by DKK 6.2m (Q1 2014: DKK -13.8m) from the Telecom segment. As announced in 2014, an agreement on the divestment of the Telecom segment has been signed. Closing has not yet been completed. The outlook for the year as a whole is reaffirmed.
Torben Duer, President & CEO:
“Overall, Dantherm’s operating results for Q1 2015 were unsatisfactory, primarily due to the loss-making Telecom business. The HVAC business posted better results for Q1 2015 than in 2014, among other things due to the cost cuts implemented. The start to the year is traditionally characterised by low levels of activity, and increasing levels of activity are expected for the rest of the year.”
Agreement on divestment of Telecom business segment
- As reported in company announcement no. 3 of 24 March 2014, Dantherm has entered into an agreement on the divestment of the Telecom business segment. Contrary to expectations, the buyer has not yet been able to complete the transaction, and the criteria for classifying the Telecom business as a discontinuing activity are therefore not deemed to have been fulfilled even though the transaction is still expected to go ahead.
Financing and capital structure
- As announced in company announcement no. 2 of 27 March 2015, in March Dantherm renegotiated its agreement on committed facilities with the primary credit institutions. The credit institutions have undertaken to extend the committed facilities until January 2016. With the current operating conditions and the agreed committed facilities, cash management has a high priority in the dialogue with the primary credit institutions.
- The Dantherm management will continue to assess the potential for further strengthening Dantherm’s capital base.
Development in Q1 2015
- Revenue totalled DKK 93m relative to DKK 100m in Q1 2014.
- An operating loss (EBIT) of DKK 6.1m (Q1 2014: DKK -18.3m was posted), negatively impacted by DKK 6.2m (Q1 2014: DKK -13.8m) from the Telecom segment.
Outlook for 2015
Dantherm is reaffirming the outlook for 2015 of an improved operating profit (EBIT) of approx. DKK 5-10m based on the same level of revenue as in 2014.
The outlook for 2015 is based on the divestment of the Telecom business going ahead. If, contrary to expectations, the transaction is not completed, the operating profit (EBIT) outlook before any impairment of goodwill is unchanged.
Any enquiries concerning this announcement can be directed to President & CEO Torben Duer on tel. +45 99 14 90 14.
