Espoo, Finland, 2015-12-14 15:15 CET (GLOBE NEWSWIRE) --
EFORE PLC Stock Exchange Release December 14, 2015 4.15 p.m.
Efore Plc lowers its financial estimate for 2015. The company will write off capitalized product development costs as a result of the customer’s decision not to continue to develop a certain product line. Furthermore, in connection with inventory and balance sheet review it has been recognized other items to be expensed in 2015.
In a challenging market situation it is not possible to compensate costs with sales and as a consequence, the operating result forecast is lowered.
New financial estimate is:
The Company estimates its net sales of financial year 2015 to be EUR 86 to 92 million and results from operating activities without one-time items to be EUR 1-2 million negative.
Previous financial estimate was:
The Company estimates its net sales of financial year 2015 to be EUR 86 to 92 million and results from operating activities without one-time items to be at break-even level or mildly positive.
Efore continues a cost saving and efficiency improvement programme started during the summer. The company structure has been streamlined and the organisation has been flattened through integration of business units. Furthermore, the cost structure of certain products has been improved and there are production efficiency improvements both at Tunisia and Suzhou plants. The results of these measures will begin to show mainly during 2016.
Efore will publish its financial statement report 2015 on February 12, 2016.
EFORE PLC
Heikki Viika
President and CEO
For further information please contact Heikki Viika, President and CEO, tel. +358 9 4784 6312.
DISTRIBUTION
Nasdaq Helsinki Oy
Principal media
Efore Group
Efore Group is an international company which develops and produces demanding power products. Efore's head office is based in Finland and its production units are located in China and Tunisia. Sales and marketing operations are located in Europe, United States and China. In the fiscal year ending in December 2014, consolidated net sales totalled EUR 85,3 million and the Group's personnel averaged 914. The company's share is quoted on the Nasdaq OMX Helsinki Ltd. www.efore.com