Espoo, Finland, 2016-08-04 13:30 CEST (GLOBE NEWSWIRE) --
EFORE PLC Stock Exchange Release August 4, 2016 14.30 p.m.
Preliminary net sales for the first half of 2016 is EUR 39,5 million (EUR 47,2 million.) and preliminary adjusted operating result is EUR -2,6 million(EUR 0,7 million). Efore's Half year report (January – June 2016) will be published on Wednesday, August 10, 2016, as previously announced.
Efore Plc downgrades its financial estimate for 2016 published on May 24, 2016.
New financial estimate is:
The Company estimates its net sales of financial year 2016 to be lower than in the previous year (2015: EUR 89,9 million) and adjusted operating result to be lower than last year (2015: EUR -1,6 million)due to the new forecasts which indicate lower sales than earlier estimated. However H2/2016 adjusted operating result will not be as low as in the corresponding period of last year (H2/2015: EUR -2,3 million).
Previous financial estimate was:
The Company estimates its net sales of financial year 2016 to be lower than in the previous year (2015: EUR 89,9 million), and adjusted operating result (old term results from operating activities without one-time items) to be negative, but better than in the previous year (2015: EUR -1,6 million).
Efore Plc prepares outsourcing of manufacturing as well as manufacturing support functions at the Suzhou plant in China with selected EMS partners, as earlier disclosed on March 30, 2016.
The target of the outsourcing is to improve Efore’s cost structure and flexibility as well as to improve the company’s ability to expand its customer base in new markets. As a result of this, the company can allocate more resources especially in sales and in core competencies of product development.
The target is to finalize the outsourcing negotiations during the third quarter of 2016.
Furthermore, the company has started actions to reduce its fixed cost structure.
Efore will publish its half year report on August 10, 2016.
EFORE PLC
Jorma Wiitakorpi
President and CEO
For further information please contact on August 4, 2016 at 15.00 – 16.00 p.m. Jorma Wiitakorpi, President and CEO, tel. +358 40 175 8510.
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 2015, consolidated net sales totalled EUR 89,9 million and the Group's personnel averaged 887. The company's share is quoted on the Nasdaq Helsinki Ltd. www.efore.com