PRF: Consolidated Unaudited Interim Report of AS PRFoods for 2nd quarter and 6 months of 2015


Tallinn, Estonia, 2015-08-14 16:59 CEST (GLOBE NEWSWIRE) --  

OVERVIEW OF THE ECONOMIC ACTIVITIES

Management commentary:

PRFoods 2nd quarter and 6 months of 2015 results have been positive both for sales and profitability (note one-off positive effect in 2014 from compensation claim against Swedish state). The main factors driving improved profitability from operations are the decrease in raw material prices (while simultaneously affecting negatively the valuation of company’s own biomass), efficiency increase in processing and strong sales efforts in our main markets. We have reduced our overhead costs, which are partly related to the sale of a business units last year. Taking into consideration the macroeconomic situation in our main market Finland and in comparison with our competitors, the performance of PRFoods team in increasing profitability has been excellent. We have finished our main CAPEX programme for current year, installation of new filleting line for total investment of 0.7 million euros. Anticipated payback period is 2 years meaning we expect further increase in efficiency in our production. Capital spending plan by 1.4 million euros for 2015 continues according to schedule. Company is actively innovating to reach new export markets. The forecast for 2015 is 44.2 million euros in revenues and expected EBITDA from business operations is 2.3 million euros. PRFoods continues to be one of the fastest developing food products exporter in the region.
 

The 2nd quarter of 2015 compared to the 2nd quarter of 2014:

For the purpose of comparison continuing operations income statement data for Q2 2014 has been adjusted.

  • Unaudited consolidated sales 11.4 million euros. Increase was 1.2%, i.e. 0.1 million euros
  • Gross margin 11.3%, increase compared with the same period in 2014 was 2.7%
  • EBITDA from business operations 0.4 million euros; increase 0.5 million euros
  • The positive effect of revaluation of biological assets 0.2 million euros (Q2 2014: 0.5 million euros)
  • EBITDA 0.6 million euros; decrease 0.5 million euros*
  • EBIT 0.3 million euros; decrease 0.5 million euros
  • Net profit 0.3 million euros; decrease 0.3 million euros, i.e. 50.7%.

 

6 months of 2015 compared to 6 months of 2014:

For the purpose of comparison continuing operations income statement data for 6 months 2014 has been adjusted.

  • Unaudited consolidated revenue 21.7 million euros. Increase 1.2%, i.e. 0.3 million euros
  • Gross margin 11.7%, increase 0.7 percentage points
  • EBITDA from business operations 0.8 million euros; increase 0.4 million euros
  • The negative effect of revaluation of biological assets 0.8 million euros (6 months 2014: 0.6 million euros)
  • EBITDA  -0.1 million euros; decrease 0.6 million euros*
  • EBIT  -0.6 million euros; decrease 0.5 million euros
  • Net loss -0.2 million euros; decrease 0.1 million euros, i.e. 28.0%.
*Negative effect for the comparison data of EBITDA, EBIT and net profit is caused by the reimbursement of a claim in the amount of 751 thousand euros received in June 2014 from the Swedish Board of Agriculture, recorded in the income statement of Q2 2014 on line “Other business incomes/costs”.  

 

KEY RATIOS

Profit & Loss, EUR mln formula /

comment

          Q1

2015

            Q2

2015

           6m

2015

          Q1

2014

          Q2

2014

            6m

2014

Sales   10.3 11.4 21.7 10.2 11.3 21.5
Gross profit   1.3 1.3 2.5 1.4 1.0 2.4
EBITDA from operations before one-offs and fair value adjustment 0.4 0.4 0.8 0.5 -0.1 0.4
EBITDA profit (-loss) before interest, tax, depreciation and amortisation -0.6 0.6 -0.1 -0.7 1.1 0.5
EBIT operating profit (-loss)  -0.9 0.3 -0.6 -0.9 0.8 -0.1
EBT Profit (-loss) before tax -0.8 0.3 -0.4 -1.2 0.8 -0.4
Net profit (-loss)    -0.5 0.3 -0.2 -0.9 0.6 -0.3
Gross margin  Gross profit / Net sales 12.2% 11.3% 11.7% 13.8% 8.6% 11.0%
Operational EBITDA margin EBITDA from operations/Net sales 4.1% 3.3% 3.7% 4.9% -1.1% 1.7%
EBITDA margin EBITDA /Net sales -5.9% 4.8% -0.3% -6.5% 10.0% 2.2%
EBIT margin EBIT / Net sales -8.6% 2.4% -2.8% -9.2% 7.5% -0.4%
EBT margin EBT / Net sales -7.4% 2.9% -2.0% -11.7% 7.0% -1.8%
Net margin  Net earnings / Net sales -5.2% 2.5% -1.1% -9.2% 5.2% -1.6%
Operating expense ratio Operating expenses / Net sales 11.3% 11.3% 11.31% 12.6% 12.7% 12.69%
Balance Sheet, EUR mln formula 31.12.14 31.03.15 30.06.15 31.12.13 31.03.14 30.06.14
Net debt Short and Long term Loans and Borrowings - Cash -2.6 -3.3 -6.5 13.2 13.6 13.7
Equity   33.7 33.1 33.3 37.3 36.1 37.9
Working capital Current Assets - Current Liabilities 22.8 21.8 21.8 10.1 8.5 9.9
Assets   40.4 39.5 39.4 63.8 63.8 68.5
Liquidity ratio Current Assets / Current Liabilities 5.86 5.72 6.20 1.63 1.47 1.48
Equity ratio  Equity / Total Assets 83% 84% 85% 58% 56% 55%
Gearing ratio Net Debt / (Equity + Net Debt) -8% -11% -24% 26% 27% 27%
Net debt-to-EBITDA Net Debt / EBITDA from operations -6.99 -7.85 -8.14 37.98 27.52 37.10
ROE Net Earnings / Average Equity -4% -2% -1% -2% -3% -1%
ROA Net Earnings / Average Assets -3% -1% 0% -1% -1% -1%

 

Consolidated statement of financial position

EUR '000 30/06/2015 31/12/2014 30/06/2014
ASSETS      
Cash and cash equivalents 7,321 3,330 1,882
Receivables and prepayments 6,845 12,014 11,437
Inventories 7,027 6,563 12,114
Biological assets 4,850 5,583 5,204
Total current assets 26,043 27,490 30,637
       
Deferred income tax 103 103 568
Long-term financial investments 160 134 135
Investments property 0 0 2,084
Tangible fixed assets 6,942 6,484 12,759
Intangible assets 6,185 6,218 22,336
Total non-current assets 13,390 12,939 37,882
TOTAL ASSETS 39,433 40,429 68,519
       
EQUITY AND LIABILITIES      
Loans and borrowings 206 198 7,412
Payables 3,997 4,493 13,315
Total current liabilities 4,203 4,691 20,727
       
Loans and borrowings 648 555 8,179
Deferred tax liabilities 265 457 564
Government grants 968 1,054 1,155
Total non-current liabilities 1,881 2,066 9,898
TOTAL LIABILITIES 6,084 6,757 30,625
       
Share capital 19,342 19,342 19,342
Share premium 16,026 16,026 16,026
Treasury shares -216 -117 0
Statutory capital reserve 6 6 6
Currency translation reserve 466 441 643
Retained profit (-loss) -2,275 -2,026 1,877
TOTAL EQUITY 33,349 33,672 37,894
TOTAL EQUITY AND LIABILITIES 39,433 40,429 68,519

 

Consolidated statement of profit or loss and other comprehensive income

EUR '000 Q2 2015 Q2 2014 6m 2015 6m 2014
Sales 11,438 11,300 21,737 21,473
Cost of goods sold -10,150 -10,331 -19,194 -19,104
Gross profit 1,288 969 2,543 2,369
         
Operating expenses -1,291 -1,440 -2,459 -2,725
  Selling and distribution expenses -954 -956 -1,792 -1,830
  Administrative expenses -337 -484 -667 -895
Other income/expenses 96 813 151 886
Fair value adjustment on biological assets 179 504 -849 -625
Operating profit (-loss) 272 846 -614 -95
Financial income 81 0 229 11
Financial expenses -27 -53 -56 -312
Profit (-loss) before tax 326 793 -441 -396
Income tax -36 -205 192 50
Net profit (-loss) for the year from continuing operations 290 588 -249 -346
         
Net profit for the year from discontinuing operations (attributable to equity holders of the company) 0 1,699 0 1,497
Net profit (loss) 290 2,287 -249 1,151
Other comprehensive income (-expense) that might subsequently classified to profit or loss:        
Foreign currency translation differences 8 -72 25 -105
 incl continued operations 8 -40 25 -68
incl discontinued operations 0 -32 0 -37
Total comprehensive income (-expense) 298 2,215 -224 1,046
Profit (-loss) per share (€) 0.01 0.06 -0.01 0.03
 incl continued operations 0.01 0.02 -0.01 -0.01
 incl discontinued operations 0.00 0.04 0.00 0.04
         
Diluted profit (-loss) per share (€) 0.01 0.06 -0.01 0.03
 incl continued operations 0.01 0.02 -0.01 -0.01
 incl discontinued operations 0.00 0.04 0.00 0.04

 

         Indrek Kasela
         AS PRFoods
         Member of the Management Board
         T: +372 6033 800
         indrek.kasela@prfoods.ee
         www.prfoods.ee


Attachments

PRF_interim_6m2015.pdf PRF_6m2015.pdf