CRAMO'S STRONG FIRST-QUARTER PERFORMANCE - INTERIM REPORT FOR Q1/2007
Consolidated sales: EUR 107.3 (83.6) million, up 28.4%
Consolidated operating profit before amortisation on intangible assets from
acquisitions (EBITA): EUR 16.7 (9.8) million, up 69.3%.
Consolidated operating profit (EBIT): EUR 15.6 (8.8) million, up 77.6%
Earnings per share, undiluted EUR 0.29 (0.14), diluted, EUR 0.28 (0.14).
Four acquisitions, divestment of Dutch operations.
In 2007, the Group expects its sales to show solid growth together with a
steady EBITA-% improvement.
--------------------------------------------------------------------------------
| KEY FIGURES AND RATIOS | 31.3.07 | 31.3.06 | Change % | 31.12.06 |
| (EUR 1,000) | | | | |
--------------------------------------------------------------------------------
| Sales, EUR 1,000 | 107,297 | 83,591 | 28.4 | 402,425 |
--------------------------------------------------------------------------------
| Operating profit before | 16,657 | 9,836 | 69.3 | 72,834 |
| amortisation on intangible | | | | |
| assets resulting from | | | | |
| acquisitions(EBITA) | | | | |
--------------------------------------------------------------------------------
| Operating profit (EBIT) | 15,590 | 8,778 | 77.6 | 68,569 |
--------------------------------------------------------------------------------
| Profit before tax (EBT) | 11,627 | 5,784 | 101.0 | 56,585 |
--------------------------------------------------------------------------------
| Profit for the period | 8,721 | 4,283 | 103.6 | 41,944 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share (EPS) | 0.32 | 0.18 | 75.4 | 1.50 |
| before amortisation on | | | | |
| intangible | | | | |
| assets resulting from | | | | |
| acquisitions, | | | | |
| diluted, EUR | | | | |
--------------------------------------------------------------------------------
| Earnings per share (EPS), | 0.29 | 0.14 | 101.0 | 1.39 |
| undiluted, EUR | | | | |
--------------------------------------------------------------------------------
| Earnings per share (EPS), | 0.28 | 0.14 | 100.0 | 1.36 |
| diluted, EUR | | | | |
--------------------------------------------------------------------------------
| Equity per share, EUR | 9.75 | 8.57 | 13.8 | 9.66 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Equity ratio, % | 39.1 | 37.1 | | 38.2 |
--------------------------------------------------------------------------------
| Gearing, % | 106.9 | 116.9 | | 104.6 |
--------------------------------------------------------------------------------
| Net interest-bearing | 318,867 | 301,074 | 5.9 | 305,643 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| Gross capital expenditure, | 40,834 | 27,594 | 48.0 | 111,864 |
| EUR 1,000 | | | | |
--------------------------------------------------------------------------------
| % of sales | 38.1 | 33.0 | | 27.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Average personnel | 2,000 | 1,648 | 21.4 | 1,828 |
--------------------------------------------------------------------------------
COMMENT OF FINANCIAL PERFORMANCE IN THE FIRST QUARTER OF 2007
Cramo Group's consolidated sales and profitability continued to develop
favourably during the reporting period. Sales and profitability increased in
all market areas. Year on year, sales rose by 28.4 per cent, to EUR 107.3
million (83.6). This improvement was due to good market conditions, the mild
winter weather with its favourable effect on construction, positive price
development, a higher rental equipment utilisation rate and successful
equipment investments in the main market areas.
Consolidated operating profit before amortisation on intangible assets
resulting from acquisitions (EBITA) were 16.7 (9.8) million, accounting for 15.5
(11.8) per cent of consolidated sales. EBITA increased by 69.3 per cent year on
year, thanks to a strong demand, a higher rental equipment utilisation rate and
successful cost control. The Group now also sees part of the benefits of the big
merger in 2006.
OUTLOOK FOR THE NEXT 12 MONTHS
The economic climate is expected to remain favourable with respect to the
Group's business environment. Growth in construction and major infrastructure
projects in industry and the public sector will fuel growth in the equipment
rental business. The growth in Nordic construction is expected to continue its
growth and to stabilise on a slightly lower level compared to the level of 2006.
Central and Eastern Europe are expected to see sustained strong growth in
construction. Equipment rental services should expand at a faster rate compared
to general growth in construction, due to increasing penetration rates for these
services. Demand for modular space is also expected to continue its increase in
the near term, supported by active internal relocations, demographic changes and
industry needs for increasingly flexible building solutions.
Strong demand in all of the Group's main markets will continue to require
substantial investment growth in 2007. The Group intends to further enhance its
already strong position in the Nordic markets.
Due to its larger size and favourable profit performance, Cramo also has greater
opportunities to expand its operations into new market areas. The Group will
continue to map out its growth potential in Central and Eastern Europe.
The most significant near-term uncertainties are associated with general
cyclical and economic trends, changes in interest and foreign-exchange rates as
well as the successful completion of acquisitions.
In 2007, Cramo expects its sales to show solid growth together with a steady
EBITA-% improvement.
SALES AND PROFIT
Cramo Plc is a service company specialising in equipment rental services, as
well as the rental and sale of modular space. Its equipment rental services
comprise construction machinery and equipment rentals and rental-related
services. These rental-related services include construction-site and
installation services. As one of the industry's leading service providers in the
Nordic countries and Central and Eastern Europe, Cramo Plc operates in Finland,
Sweden, Norway, Denmark, Estonia, Latvia, Lithuania, Poland, the Czech Republic
and Russia.
Cramo's consolidated sales and profitability continued to develop favourably
during the reporting period.
Year on year, sales rose by 28.4 per cent, to EUR 107.3 million (83.6), this
improvement being due to good market conditions, the mild winter weather with
its favourable effect on construction, positive price development, a higher
rental equipment utilisation rate and successful equipment investments in main
market areas.
The equipment rental business reported sales of EUR 91.3 (69.8) million, up by
30.8 per cent, with Central and Eastern Europe showing best growth.
The modular space business posted sales of EUR 17.8 (14.2) million, up by 25.5
per cent, boosted by strong demand and a favourable price development.
Inter-segment sales (equipment rental and modular space) came to EUR 1.8 (0.3)
million.
Consolidated operating profit before amortisation on intangible assets from
acquisitions (EBITA) was 16.7 (9.8) million, 15.5 (11.8) per cent of
consolidated sales. EBITA increased by 69.3 per cent year on year, on good
demand, higher rental equipment utilisation rate and successful cost control.
Consolidated operating profit (EBIT) was EUR 15.6 (8.8) million, representing
14.5 (10.5) per cent of consolidated sales.
The equipment rental business recorded an EBITA of EUR 15.4 (9.0) million, which
is 16.9 (12.9) per cent of sales and a year on year improvement of 71.3 per
cent. The modular space business posted EBITA of EUR 4.8 (2.8) million, or 26.7
(19.5) per cent of sales, up by 71.9 per cent year on year.
Profit before tax came to EUR 11.6 (5.8) million and net profit for the period
totalled EUR 8.7 (4.3) million. Undiluted earnings per share were EUR 0.29
(0.14) and diluted earnings per share EUR 0.28 (0.14). Year on year, diluted
earnings per share increased by 100.0 per cent.
Return on investment on a rolling 12-month basis (ROI) stood at 12.6 per cent
and return on equity on a rolling 12-month basis (ROE) at 22.6 per cent.
CAPITAL EXPENDITURE AND DEPRECIATION/AMORTISATION
The gross capital expenditure of EUR 40.8 (27.6) million was mainly allocated to
the purchase of rental equipment. Company acquisitions carried out during the
reporting period are not included in gross capital expenditure.
Reported depreciation on property, plant and equipment, and software totalled
EUR 14.3 (11.9) million. Amortisation on intangible assets from acquisitions
totalled EUR 1.1 million. On 31 March 2007, goodwill totalled EUR 150.7 million,
of which EUR 2.0 million represented preliminary goodwill from company
acquisitions during the period.
FINANCIAL POSITION AND BALANCE SHEET
The Group showed a positive cash flow of EUR 27.4 (12.9) million from operating
activities. The cash flow used in investing activities came to EUR -40.6 (-23.5)
million. The cash flow used in financing activities was EUR -13.3 (26.0)
million. On 31 March 2007, cash and cash equivalents amounted to EUR 14.4 (38.1)
million, with a net change of EUR -26.5 (15.5) million.
Cramo Group's interest-bearing liabilities on 31 March 2007 totalled EUR 333.3
(339.2) million. The Group has used interest-rate swaps of around EUR 149.6
million to hedge its non-current loans, and applies hedge accounting to the
amount of EUR 148.0 million.
On 31 March 2007, Group net interest-bearing liabilities totalled EUR 318.9
(301.1) million while gearing stood at 106.9 (116.9) per cent.
On the same date, the consolidated balance sheet total came to EUR 769.9 (707.9)
million and the equity ratio was 39.1 (37.1) per cent.
GROUP STRUCTURE
At the end of the reporting period, Cramo Group consisted of the following
operating companies: Cramo Plc (parent company) and its subsidiary Cramo Holding
B.V.'s subsidiaries in Sweden, Norway, Denmark, the Netherlands, Estonia,
Latvia, Lithuania and Poland; Tilamarkkinat Oy; and Suomen Tähtivuokraus Oy and
its subsidiaries in Poland, the Czech Republic and Russia. In April the Group's
Dutch operations were sold.
A network of some 250 depots provide equipment rental services. Tilamarkkinat in
Finland and Cramo Instant in Sweden, Denmark and Norway are engaged in the
modular space business. Tilamarkkinat Oy was renamed Cramo Instant Oy on 1 April
2007.
The Group simplified its legal structure. On 1 April 2007, the parent company
Cramo Plc's equipment rental operations within Finland were transferred to Cramo
Finland Oy, a subsidiary wholly owned by the parent company. On the same date,
other operating Group subsidiaries outside Finland were transferred to Cramo
Plc's direct ownership. In Sweden, the Group's non-operating subsidiaries were
wound up and operating subsidiaries combined their operations. The Group will
continue to simplify its legal structure during the second quarter of 2007.
BUSINESS DEVELOPMENT
On 1 January 2007, UAB Aukstumines Sisteoms (AS), Lithuania's leading access
equipment rental company acquired in December 2006 by UAB Cramo, Cramo's
Lithuanian subsidiary, became a Cramo Group company. Its integration with the
Group was successful, in accordance with plan.
In Norway, Cramo expanded its operations at the beginning of the year by
acquiring two companies. On 2 January 2007, Cramo's Norwegian subsidiary, Cramo
AS, acquired Hamar Liftutleie AS. The acquired company's sales came to EUR 2.0
million in 2006. On 4 January 2007 Cramo AS purchased all shares in Kongsberg
Maskinutleije AS. This company had sales of EUR 0.65 million in 2006. Both
acquired companies' personnel have continued to work with the Cramo Group. Both
companies have been consolidated into Cramo Group's accounts since 1 January
2007.
On 1 March 2007, Cramo Plc bought the equipment rental and sales operations from
Jyväskylän Konevuokraamo Oy, which has one depot. Jyväskylän Konevuokraamo was
consolidated into Cramo Group on 1 March 2007.
On 13 March 2007, Cramo Sverige AB, Cramo Plc's wholly owned subsidiary, agreed
to purchase all shares in Göby AB. Operating in Northern Sweden, this company
specialises in the rental of site huts, mast climbing platforms and electrical
installation equipment. Its some 500 rental site huts, all in good condition,
will strengthen Cramo Sweden's offerings in a site-hut market situation
characterised by demand exceeding supply. In addition, the company has an
extensive customer base. Göby's sales were around EUR 3.5 million in 2006.
Göby's two depots in Sundsvall were integrated as part of Cramo's operations on
1 May 2007.
On 21 March 2007, Jaston Groep B.V. agreed to acquire Cramo Nederland B.V., the
Group's Dutch subsidiary. This divestment took effect on 11 April 2007. The
resulting capital gain is estimated at roughly four million euros. The final
capital gain will be determined on the basis of financial statements prepared in
connection with the deal's implementation. The parties have agreed not to
disclose the purchase price. Operating in the Netherlands and with a staff of
90, Cramo Nederland, posted sales of around EUR 12.6 million in 2006. This
divestment of the Dutch operations is part of the Group's strategy of focusing
on its core market area in the Nordic countries and on the fast growing Central
and Eastern European equipment rental services markets. The divestment of Cramo
Nederland B.V. will have a positive effect on the relative profitability
(EBITA-%) of the Cramo Group in 2007.
The costs related to the change of the Cramo brand name were 1.5 million euros
in the quarter. In total, EUR 4.3 million in costs and EUR 0.2 million in
depreciation are expected related to the change of the Cramo brand during 2007.
Cramo has the ambition of growing into one of Europe's three largest equipment
rental services companies through both organic growth and acquisitions. The
Group aims to rank among the two largest industry players in each of its market
areas, develop into the preferred supplier from the customer's perspective and
be one of the most profitable companies in the industry.
HUMAN RESOURCES
During the reporting period, Group staff averaged 2,000 (1,648). The equipment
rental business had an average of 1,767 (1,464) employees and the modular space
business 233 (184) employees.
The geographical distribution of personnel is: Finland 34.4 per cent, Sweden
31.1 per cent, Western Europe 13.5 per cent and Other Europe 21.1 per cent.
Human resource development continued to focus on the development of sales and
customer service skills.
PERFORMANCE BY BUSINESS SEGMENT
Cramo Plc's business consists of the following two business segments: equipment
rental and modular space. The equipment rental business segment is also reported
by geographic segments: Finland, Sweden, Western Europe (Norway, Denmark and,
until 31 March 2007, the Netherlands) and Other Europe (Estonia, Latvia,
Lithuania, Poland, the Czech Republic and Russia).
EQUIPMENT RENTAL
The equipment rental business posted sales of EUR 91.3 (69.8) million, up by
30.8 per cent year on year. Sales by geographic segment were as follows: Finland
16.2 (18.0) per cent, Sweden 51.1 (52.5) per cent, Western Europe 20.8 (20.4)
per cent and Other Europe 11.8 (9.0) per cent.
The equipment rental business made an operating profit (EBITA) of EUR 15.4 (9.0)
million, up by 71.3 per cent.
The business segment's major customers operate in the construction sector and
the manufacturing industry. In addition, the segment provides services to the
public sector and private customers.
Finland
In Finland, the equipment rental business reported sales of EUR 14.8 (12.6)
million, showing an increase of 18.0 per cent, while the operating profit
(EBITA) amounted to EUR 1.2 (0.6) million, 8.0 (4.8) per cent of sales. EBITA
rose by 97.8 per cent.
First-quarter sales and profit developed as planned. Demand for equipment rental
services has continued to grow throughout the whole of Finland. Several major
construction projects are underway in the Helsinki Metropolitan Area.
Of the services related to equipment rental services, in the first quarter Cramo
made dedicated efforts to develop its electrical and heating installation
services further. These services began to sell well.
Based on forecasts by the Federation of Finnish Construction Industries RT,
Finnish construction will grow by 3.5 per cent this year and 2.5 per cent next
year. This forecast for 2007 issued in April is one percentage point higher than
the previous forecast. Commercial construction is expected to show the most
significant growth. RT predicts that residential construction will expand by
roughly four per cent. Civil engineering projects will continue growing, but as
new road construction projects are expected towards the end of the year, growth
in civil engineering projects is likely to accelerate next year. The
availability of skilled labour will restrain construction growth, especially in
growth centres in southern Finland.
Sweden
In Sweden, the equipment rental business posted sales of EUR 46.6 (36.6)
million, up by 27.3 per cent, while the operating profit (EBITA) came to EUR 9.9
(6.5) million, accounting for 21.1 (17.8) per cent of sales. EBITA improved by
51.3 per cent.
The rental business made good progress during the period. Demand remained strong
during the first quarter and the Group managed to increase its prices.
Successful investments in 2006 in the development of machinery and equipment,
the depot network and service concepts contributed to the reported good profit
performance, alongside favourable market conditions. Cramo has continued to make
investments in 2007. The rental fleet utilisation rate remained high.
In April, the Swedish Construction Federation (Sveriges Byggindustrier) revised
up its forecast for total construction growth in 2007 from four to seven per
cent. According to the same forecast, this growth will stay at three per cent in
2008. Residential construction and civil engineering projects should show the
most vigorous growth during the current year. The availability of labour and
equipment may, however, restrain growth.
Western Europe
Cramo's equipment rental business in Western Europe covers its Norwegian, Danish
and, until 31 March 2007, Dutch operations.
In Western Europe, the equipment rental business reported sales of EUR 19.0
(14.3) million, up by 33.3 per cent, and an operating profit (EBITA) of EUR 1.6
(1.0) million, accounting for 8.6 (6.7) per cent of sales. EBITA was up by 70.4
per cent. In Western Europe excluding the Netherlands, the equipment rental
business reported sales of EUR 16.0 (11.4) million, up by 40.7 per cent, and an
operating profit (EBITA) of EUR 1.4 (0.9) million, 9.0 (8.0) per cent of sales.
EBITA excluding the Netherlands was up by 57.6 per cent. The business of
Netherlands is consolidated into the Cramo Group until 31 March 2007.
Both Norway and Denmark showed a positive development. Extensive projects are
currently underway in Norway, especially infrastructure projects in the energy
sector. Including company acquisitions, the Group added three new depots in
Norway.
In Denmark, construction grows steadily, with growth shifting away from
residential construction towards the construction of office buildings. In
Denmark, the Group seeks growth primarily by investing in its equipment fleet
and opening new depots.
Other Europe
The Cramo Group's equipment rental business' sales in Other Europe is generated
in Estonia, Latvia, Lithuania, Poland, the Czech Republic and the St. Petersburg
region in Russia.
In Central and Eastern Europe, the equipment rental business reported sales of
EUR 10.8 (6.3) million, up by 71.5 per cent, and an operating profit (EBITA) of
EUR 2.7 (0.9) million, 25.1 (14.5) per cent of sales. EBITA rose by 197.9 per
cent.
Equipment rental operations in Central and Eastern Europe developed very
favourably, with the mild and short winter stimulating construction and many new
projects rescheduled for an earlier launch.
In particular, demand for access equipment and basic construction-site equipment
saw an increase. The Group increased its supply of access equipment in Poland
and the Czech Republic. In Poland, where a large number of major construction
projects will soon be launched, the Group also began the rental of construction
equipment.
In the first quarter, the Group opened a total of five rental depots in
Lithuania, Poland and Latvia. As a result of the acquisition of UAB Aukstumines
Sistemos of Lithuania, the Group became the industry market leader in the
country.
Demand for rental services in Central and Eastern Europe is boosted by booming
construction and an increasing rental penetration rate. International
construction firms' strengthening position in the market has increased demand
for equipment rental services.
A report released in December by VTT (The State Technical Research Centre of
Finland) forecasts construction in Russia to grow by approximately six per cent
in 2007, or at the same rate as the GDP. In late 2006, Euroconstruct forecasts
2007 construction in Poland to grow by around eight per cent and by 8-13 per
cent in the Baltic countries. However, there will be major regional variations
at national level.
MODULAR SPACE
The modular space business reported sales of EUR 17.8 (14.2) million, up by 25.5
per cent over the same period a year ago, and an operating profit (EBITA) of EUR
4.8 (2.8) million, 26.7 (19.5) per cent of sales. EBITA rose by 71.9 per cent.
Sales were exceptionally high, due to a major sales agreement during the
reporting period.
The increase in demand that begun late in 2006 continued and the Group's modular
space utilisation rates remained high, as expected. The first quarter recorded
markedly stronger order books compared to the same period a year ago. Higher
purchase prices in the construction industry were also reflected in increases in
the Group's modular space prices.
The vast majority of sales generated by the modular space business come from the
Finnish and Swedish markets. In addition, the Group operates in Norway and
Denmark. While its Finnish operations involve the rental, sale and manufacture
of modular space, the Group's Swedish, Norwegian and Danish operations cover
only modular space rental and sale. Rental operations account for some 70 per
cent of sales.
Modular space refers to highly prefabricated and pre-equipped building modules
that can be moved as space requirements change. The most important applications
include schools, day-care centres and offices, as well as expansion investments
in industry. During the reporting period, the public sector in particular showed
an increasing need for new premises.
SALES BY GEOGRAPHICAL SEGMENT
Cramo Group's secondary segment reporting format is based on geographical
segments. During the period, Finland generated EUR 25.2 (19.0) million and 22.9
(22.7) per cent of consolidated sales, Sweden EUR 54.8 (44.0) million and 49.9
(52.7) per cent, Western Europe EUR 19.0 (14.3) million and 17.3 (17.1) per
cent, and Other Europe EUR 10.8 (6.3) million and 9.8 (7.5) per cent. These
figures include both the equipment rental business and the modular space
business.
SHARES AND SHARE CAPITAL
On 31 March 2007, Cramo Plc had a share capital of EUR 24,774,447.78 and a total
number of shares of 30,585,738.
During the reporting period a total of 362,596 shares were subscribed for, based
on Cramo's 2002A/B stock options, at a per-share subscription price of EUR 3.47.
Upon the entry into force of the Finland's new Companies Act on 1 September
2006, the share's stated value stood at EUR 0.81. Share capital increases of a
total of EUR 293,702.76, due to share subscriptions, were registered in the
Trade Register on 8 March, 12 April and 8 May 2007. Trading with the new shares
began on 9 March, 13 April and 9 May 2007.
The company's share capital now totals EUR 24,834,753.09 and the number of
shares is 30,660,189.
STOCK OPTIONS 2006A
Based on the Extraordinary General Meeting's authorisation on 20 November 2006,
the Board of Directors decided to grant stock options to the Group's key
employees. The number of these stock options granted totalled 813,000. The
remaining stock options were issued to Kiinteistö Oy RK-Kehä, a wholly owned
subsidiary, which may grant them to the Group's existing or future key employees
at a later date.
The stock options 2006 entitle their holders to subscribe for a total of
3,000,000 new Cramo Plc shares. The share subscription period for the 2006A
stock option is between 1 October 2009 and 31 January 2011, the 2006B stock
option between 1 October 2010 and 31 January 2012 and the 2006C stock option
between 1 October 2011 and 31 January 2013. The share subscription price for the
2006A stock option amounts to EUR 14.51, or the trade-weighted average price of
Cramo Plc's share quoted on the Helsinki Stock Exchange between 1 and 31 October
2006; for the 2006B stock option, the trade-weighted average price of Cramo
Plc's share quoted on the Helsinki Stock Exchange between 1 and 31 October 2007;
and for the 2006C stock option, the trade-weighted average price quoted on the
Helsinki Stock Exchange between 1 and 31 October 2008. The amount of annual
dividend will be deducted from the subscription price. The Board of Directors
shall, however, under exceptional economical circumstances have the right to
increase the share subscription price of shares that may be subscribed pursuant
to stock options 2006B and 2006C. In allocating options, the Board intends to
favour good performers and those investing options gains in the company's
shares.
NEW PROFIT DISTRIBUTION POLICY
At its meeting on 27 February 2007, the Board of Directors decided on a new
profit distribution policy. Accordingly, Cramo Plc's profit-distribution goal is
to distribute around a third of the Group's annual profit in terms of share
buybacks and/or dividends. The target is to maintain a steadily improving flow
of dividends, while also taking into account the Group's investment requirements
for growth.
CHANGES IN SHAREHOLDINGS
The reporting period saw no changes in company shareholdings as referred to in
Section 9 or 10, Chapter 2 of the Securities Market Act.
VALID BOARD AUTHORISATIONS
The Board has no valid authorisations to issue convertible bonds, increase share
capital or buy back treasury shares.
EVENTS AFTER THE BALANCE SHEET DATE
Cramo Plc's Annual General Meeting (AGM) of 18 April 2007 considered the matters
assigned to the AGM as stipulated in the Articles of Association, and adopted
the parent company and consolidated financial statements for 2006.
As proposed by the Board, the AGM decided that a per-share dividend of EUR 0.50
be distributed to shareholders.
The AGM discharged Board members and the CEO from liability for the financial
year 2006.
The AGM re-elected Gunnar Glifberg, Stig Gustavson, Eino Halonen, Hannu Krogerus
and Juhani Nurminen to the Board of Directors and elected Esko Mäkelä a new
Board member. Esko Mäkelä, Teollisuusneuvos (Finnish honorary title), M.Sc.
(Tech.) and MBA, acted as Executive Vice President and CFO at YIT Corporation
between 1987 and 2006. Stig Gustavson, Hannu Krogerus, Esko Mäkelä and Juhani
Nurminen are deemed independent of the company and its major shareholders.
Gunnar Glifberg is deemed independent of major shareholders, but as the
President and CEO of Cramo AB until the autumn 2005, he is deemed dependent of
the company until the autumn of 2008. Eino Halonen is deemed independent of the
company, but as the President and CEO of Suomi Mutual Life Assurance Company he
is dependent of a major shareholder.
At its first meeting on 18 April 2007, the Board elected Stig Gustavson Chairman
and Eino Halonen Vice Chairman. It decided to set up an Audit Committee and a
Nomination and Compensation Committee, electing Eino Halonen (Chairman), Esko
Mäkelä and Juhani Nurminen to the Audit Committee and Stig Gustavson (Chairman),
Gunnar Glifberg and Hannu Krogerus to the Nomination and Compensation Committee.
The AGM elected auditors to the company: Tomi Englund, Authorised Public
Accountant, and Ernst & Young Oy, a firm of Authorised Public Accountants.
On 17 April 2007, Suomi Mutual Life Assurance Company notified Cramo Plc that
its shareholding in Cramo Plc had decreased to less than three-twentieths on 16
April 2007. Following this notification, it held 4,590,440 Cramo Plc shares,
which is 14.98 per cent of all shares and votes.
On 2 May 2007 Cramo Finland Oy, a fully owned subsidiary of Cramo Plc, and
JM-Alltrans Oy signed an agreement concerning the purchase of the assets of the
company. The assets purchased include the rental fleet and related customer
agreements. JM-Alltrans began its activities in 1993 and is mainly concentrated
in the rental of compact construction machinery with one depot.
OUTLOOK FOR THE NEXT 12 MONTHS
The economic climate is expected to remain favourable with respect to the
Group's business environment. Growth in construction and major infrastructure
projects in industry and the public sector will fuel growth in the equipment
rental business. The growth in Nordic construction is expected to continue its
growth and to stabilise on a slightly lower level compared to the level of 2006.
Central and Eastern Europe are expected to see sustained strong growth in
construction. Equipment rental services should expand at a faster rate compared
to general growth in construction, due to increasing penetration rates for these
services. Demand for modular space is also expected to continue its increase in
the near term, supported by active internal relocations, demographic changes and
industry needs for increasingly flexible building solutions.
Strong demand in all of the Group's main markets will continue to require
substantial investment growth in 2007. The Group intends to further enhance its
already strong position in the Nordic markets.
Due to its larger size and favourable profit performance, Cramo also has greater
opportunities to expand its operations into new market areas. The Group will
continue to map out its growth potential in Central and Eastern Europe.
The most significant near-term uncertainties are associated with general
cyclical and economic trends, changes in interest and foreign-exchange rates as
well as the successful completion of acquisitions.
In 2007, Cramo expects its sales to show solid growth together with a steady
EBITA-% improvement.
The data in this Interim Report is based on unaudited figures.
TABLES
This Financial Report has been prepared in accordance with IAS 34: Interim
Financial Reporting. The same accounting policies and definitions of key
financial figures have been adopted as in Cramo Plc´s annual financial report
for 2006. The Group has applied the following standards, amendments and
interpretations from 1 January 2007: IAS 1, Presentation of Financial
Statements, IFRS 7, Financial Instruments: Disclosures, IFRS 8, Operating
Segments, IFRIC 8, 11 and 12. Changes are not assessed to be significant on
Cramo's financial figures.
--------------------------------------------------------------------------------
| CONSOLIDATED BALANCE SHEET | 31.3.07 | 31.3.06 | Change % | 31.12.06 |
| (EUR 1,000) | | | | |
--------------------------------------------------------------------------------
| ASSETS | | | | |
--------------------------------------------------------------------------------
| NON-CURRENT ASSETS | | | | |
--------------------------------------------------------------------------------
| Property, plant and equipment | 391,833 | 332,457 | 17.9 | 367,950 |
--------------------------------------------------------------------------------
| Goodwill | 150,731 | 150,404 | 0.2 | 152,802 |
--------------------------------------------------------------------------------
| Other intangible assets | 93,588 | 94,681 | -1.2 | 95,452 |
--------------------------------------------------------------------------------
| Available-for-sale | 318 | 313 | 1.6 | 320 |
| investments | | | | |
--------------------------------------------------------------------------------
| Receivables | 1,606 | 649 | 147.5 | 559 |
--------------------------------------------------------------------------------
| Deferred income tax assets | 3,039 | 10,181 | -70.2 | 2,423 |
--------------------------------------------------------------------------------
| TOTAL NON-CURRENT ASSETS | 641,115 | 588,685 | 8.9 | 619,506 |
--------------------------------------------------------------------------------
| CURRENT ASSETS | | | | |
--------------------------------------------------------------------------------
| Inventories | 16,669 | 14,297 | 16.6 | 15,788 |
--------------------------------------------------------------------------------
| Trade and other receivables | 97,736 | 66,818 | 46.3 | 93,779 |
--------------------------------------------------------------------------------
| Cash and cash equivalents | 14,387 | 38,110 | -62.2 | 41,823 |
--------------------------------------------------------------------------------
| TOTAL CURRENT ASSETS | 128,792 | 119,225 | 8.0 | 151,390 |
--------------------------------------------------------------------------------
| TOTAL ASSETS | 769,907 | 707,911 | 8.8 | 770,896 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EQUITY AND LIABILITIES | | | | |
--------------------------------------------------------------------------------
| EQUITY | | | | |
--------------------------------------------------------------------------------
| Share capital | 24,774 | 24,342 | 1.8 | 24,508 |
--------------------------------------------------------------------------------
| Share issue | 258 | 0 | | 143 |
--------------------------------------------------------------------------------
| Share premium fund | 186,712 | 185,285 | 0.8 | 185,836 |
--------------------------------------------------------------------------------
| Fair value reserve | 117 | 117 | 0.0 | 117 |
--------------------------------------------------------------------------------
| Hedging fund | 3,718 | 2,472 | 50.4 | 3,301 |
--------------------------------------------------------------------------------
| Translation differences | -1,873 | 310 | -704.2 | 2,818 |
--------------------------------------------------------------------------------
| Retained earnings | 84,640 | 44,936 | 88.4 | 75,521 |
--------------------------------------------------------------------------------
| TOTAL EQUITY | 298,346 | 257,462 | 15.9 | 292,244 |
--------------------------------------------------------------------------------
| RESERVES | | | | |
--------------------------------------------------------------------------------
| Reserves | 323 | 610 | -47.0 | 348 |
--------------------------------------------------------------------------------
| NON-CURRENT LIABILITIES | | | | |
--------------------------------------------------------------------------------
| Deferred income tax | 54,193 | 47,685 | 13.6 | 51,829 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| Interest bearing liabilities | 300,212 | 303,851 | -1.2 | 306,968 |
--------------------------------------------------------------------------------
| CURRENT LIABILITIES | | | | |
--------------------------------------------------------------------------------
| Trade and other payables | 83,791 | 62,971 | 33.1 | 79,008 |
--------------------------------------------------------------------------------
| Interest bearing liabilities | 33,042 | 35,331 | -6.5 | 40,499 |
--------------------------------------------------------------------------------
| TOTAL LIABILITIES | 471,238 | 449,839 | 4.8 | 478,304 |
--------------------------------------------------------------------------------
| TOTAL EQUITY AND LIABILITIES | 769,907 | 707,911 | 8.8 | 770,896 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONSOLIDATED INCOME STATEMENT | 1-3/07 | 1-3/06 | Change % | 1-12/06 |
| 1 January - 31 December 2006 | | | | |
| (EUR 1,000) | | | | |
--------------------------------------------------------------------------------
| SALES | 107,297 | 83,591 | 28.4 | 402,425 |
--------------------------------------------------------------------------------
| Other operating income | 994 | 391 | 154.2 | 3,507 |
--------------------------------------------------------------------------------
| Change in inventories in | 774 | 779 | -0.6 | -184 |
| finished goods and in work | | | | |
| in progress | | | | |
--------------------------------------------------------------------------------
| Production for own use | 3,124 | 621 | 403.1 | 7,754 |
--------------------------------------------------------------------------------
| Materials and services | -23,483 | -16,473 | 42.6 | -74,256 |
--------------------------------------------------------------------------------
| Employee benefits | -23,697 | -19,293 | 22.8 | -83,773 |
--------------------------------------------------------------------------------
| Depreciation | -14,291 | -11,924 | 19.9 | -51,060 |
--------------------------------------------------------------------------------
| Amortisation on intangible | -1,067 | -1,058 | 0.9 | -4,265 |
| assets resulting from | | | | |
| acquisitions | | | | |
--------------------------------------------------------------------------------
| Other operating expenses | -34,061 | -27,856 | 22.3 | -131,579 |
--------------------------------------------------------------------------------
| OPERATING PROFIT | 15,590 | 8,778 | 77.6 | 68,569 |
--------------------------------------------------------------------------------
| % of sales | 14.5 | 10.5 | | 17.0 |
--------------------------------------------------------------------------------
| Finance costs (net) | -3,963 | -2,994 | 32.4 | -11,984 |
--------------------------------------------------------------------------------
| PROFIT BEFORE TAXES | 11,627 | 5,784 | 101.0 | 56,585 |
--------------------------------------------------------------------------------
| % of sales | 10.8 | 6.9 | | 14.1 |
--------------------------------------------------------------------------------
| Income taxes | -2,906 | -1,501 | 93.6 | -14,641 |
--------------------------------------------------------------------------------
| PROFIT FOR THE PERIOD | 8,721 | 4,283 | 103.6 | 41,944 |
--------------------------------------------------------------------------------
| % of sales | 8.1 | 5.1 | | 10.4 |
--------------------------------------------------------------------------------
| Earnings per share, | 0.29 | 0.14 | 101.0 | 1.39 |
| undiluted, EUR | | | | |
--------------------------------------------------------------------------------
| Earnings per share, | 0.28 | 0.14 | 100.0 | 1.36 |
| diluted, EUR | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CHANGE | Share | Share | Share | Fair | Hedgin | Trans- | Retai- | Total |
| S | Capi- | Issue | Premiu | va-l | g | lation | ned | |
| IN | tal | | m | ue | fund | Diffe- | Ear- | |
| GROUP' | | | | Re-s | | rence | nings | |
| S | | | | er-v | | | | |
| EQUITY | | | | e | | | | |
| (EUR | | | | | | | | |
| 1,000) | | | | | | | | |
--------------------------------------------------------------------------------
| Share | 24,234 | 32 | 1,607 | 117 | | 114 | 28,027 | 54,131 |
| capita | | | | | | | | |
| l 1.1. | | | | | | | | |
| 2006 | | | | | | | | |
--------------------------------------------------------------------------------
| Trans- | | | | | | 196 | | 196 |
| lation | | | | | | | | |
| diffe- | | | | | | | | |
| rence | | | | | | | | |
--------------------------------------------------------------------------------
| Hedgin | | | | | 2,472 | | | 2,472 |
| g fund | | | | | | | | |
--------------------------------------------------------------------------------
| Profit | | | | | | | 4,283 | 4,283 |
| for | | | | | | | | |
| the | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Exerci | 32 | -32 | 104 | | | | | 104 |
| se of | | | | | | | | |
| option | | | | | | | | |
| s, | | | | | | | | |
| regist | | | | | | | | |
| e-red | | | | | | | | |
--------------------------------------------------------------------------------
| Exerci | | | | | | | | 0 |
| se of | | | | | | | | |
| option | | | | | | | | |
| s, | | | | | | | | |
| unregi | | | | | | | | |
| s-tere | | | | | | | | |
| d | | | | | | | | |
--------------------------------------------------------------------------------
| Combi- | 560 | | | | | | | 560 |
| ning | | | | | | | | |
| of | | | | | | | | |
| share | | | | | | | | |
| classe | | | | | | | | |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Shares | 12,137 | | 184,15 | | | | | 196,296 |
| of | | | 9 | | | | | |
| Cramo | | | | | | | | |
| Holdin | | | | | | | | |
| g B.V. | | | | | | | | |
--------------------------------------------------------------------------------
| Share | | | -580 | | | | | -580 |
| issue | | | | | | | | |
| costs | | | | | | | | |
| of | | | | | | | | |
| Cramo | | | | | | | | |
| Holdin | | | | | | | | |
| g B.V. | | | | | | | | |
--------------------------------------------------------------------------------
| Reduc- | -12,61 | | | | | | 12,619 | 0 |
| tion | 9 | | | | | | | |
| of par | | | | | | | | |
| value | | | | | | | | |
--------------------------------------------------------------------------------
| Total | 24,344 | 0 | 185,29 | 117 | 2,472 | 310 | 44,929 | 257,462 |
| equity | | | 0 | | | | | |
| at | | | | | | | | |
| 31.3. | | | | | | | | |
| 2006 | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Share | 24,508 | 143 | 185,83 | 117 | 3,301 | 2,818 | 75,521 | 292,244 |
| capita | | | 6 | | | | | |
| l 1.1. | | | | | | | | |
| 2007 | | | | | | | | |
--------------------------------------------------------------------------------
| Trans- | | | | | | -4,619 | | -4,691 |
| lation | | | | | | | | |
| diffe- | | | | | | | | |
| rence | | | | | | | | |
--------------------------------------------------------------------------------
| Hedgin | | | | | 417 | | | 417 |
| g fund | | | | | | | | |
--------------------------------------------------------------------------------
| Profit | | | | | | | 8,721 | 8,721 |
| for | | | | | | | | |
| the | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Exerci | 266 | -888 | 876 | | | | | 254 |
| se of | | | | | | | | |
| option | | | | | | | | |
| s, | | | | | | | | |
| regis- | | | | | | | | |
| tered | | | | | | | | |
--------------------------------------------------------------------------------
| Exerci | | 1,003 | | | | | | 1,003 |
| se of | | | | | | | | |
| option | | | | | | | | |
| s, | | | | | | | | |
| unregi | | | | | | | | |
| s-tere | | | | | | | | |
| d | | | | | | | | |
--------------------------------------------------------------------------------
| Share | | | | | | | 398 | 398 |
| based | | | | | | | | |
| paymen | | | | | | | | |
| ts | | | | | | | | |
--------------------------------------------------------------------------------
| Total | 24,774 | 258 | 186,71 | 117 | 3,718 | -1,873 | 84,640 | 298,346 |
| equity | | | 2 | | | | | |
| at | | | | | | | | |
| 31.3. | | | | | | | | |
| 2007 | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONSOLIDATED CASH FLOW STATEMENT (EUR | 1-3/07 | 1-3/06 | 1-12/06 |
| 1,000) | | | |
--------------------------------------------------------------------------------
| CASH FLOW FROM OPERATING ACTIVITIES | 27,412 | 12,932 | 103,880 |
--------------------------------------------------------------------------------
| CASH FLOW FROM INVESTING ACTIVITIES | -40,599 | -23,478 | -96,254 |
--------------------------------------------------------------------------------
| CASH FLOW FROM FINANCING ACTIVITIES | | | |
--------------------------------------------------------------------------------
| Proceeds from issue of share capital | 1,258 | | 787 |
--------------------------------------------------------------------------------
| Dividends paid | | | -7,513 |
--------------------------------------------------------------------------------
| Increase(+)/decrease(-) in liabilities | -14,212 | | -17,066 |
--------------------------------------------------------------------------------
| Increase(+)/decrease(-) in lease | -384 | | 34,610 |
| liabilities | | | |
--------------------------------------------------------------------------------
| CASH FLOW FROM FINANCING ACTIVITIES, TOTAL | -13,338 | 26,024 | 10,818 |
--------------------------------------------------------------------------------
| NET CHANGE IN CASH AND CASH EQUIVALENTS | -26,525 | 15,478 | 18,444 |
--------------------------------------------------------------------------------
| CASH AND CASH EQUIVALENTS AT PERIOD-START | 41,283 | 1,850 | 1,850 |
--------------------------------------------------------------------------------
| Translation difference | -514 | | 302 |
--------------------------------------------------------------------------------
| CASH AND CASH EQUIVALENTS FROM | 143 | 20,782 | 21,227 |
| ACQUISITIONS | | | |
--------------------------------------------------------------------------------
| CASH AND CASH EQUIVALENTS AT PERIOD-END | 14,387 | 38,110 | 41,823 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONTINGENT LIABILITIES (EUR 1,000) | 31.3.07 | 31.3.06 | 31.12.06 |
--------------------------------------------------------------------------------
| On own behalf | | | |
--------------------------------------------------------------------------------
| Mortgages on real estates | 5,663 | 5,663 | 5,663 |
--------------------------------------------------------------------------------
| Mortgages on companies | 77,487 | 75,836 | 77,487 |
--------------------------------------------------------------------------------
| Pledges | 107,212 | 71,386 | 107,212 |
--------------------------------------------------------------------------------
| Other contingent liabilities | 7,065 | 3,740 | 9,795 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| DERIVATIVE | 31.3. | 31.3. | 31.3. | 31.3. | 31.12. | 31.12. |
| FINANCIAL | 07 | 07 | 06 | 06 | 06 | 06 |
| INSTRUMENTS | | | | | | |
| (EUR 1,000) | | | | | | |
--------------------------------------------------------------------------------
| NV = nominal | NV | FV | NV | FV | NV | FV |
| value | | | | | | |
--------------------------------------------------------------------------------
| FV = fair | | | | | | |
| value | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Interest rate | | | | | | |
| derivatives | | | | | | |
--------------------------------------------------------------------------------
| Swaps | 149,636 | +5,024 | 150,000 | +2,400 | 152,803 | +4,461 |
--------------------------------------------------------------------------------
| Options | | | | | | |
--------------------------------------------------------------------------------
| Bought | | | 10,000 | +23 | | |
--------------------------------------------------------------------------------
| Written | | | 10,000 | -8 | | |
--------------------------------------------------------------------------------
| Foreign | | | | | | |
| exchange | | | | | | |
| contracts | | | | | | |
--------------------------------------------------------------------------------
| Forwards | 53,224 | -8 | | | 19,911 | +113 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| KEY FIGURES | 31.3.07 | 31.3.06 | 31.12.06 |
--------------------------------------------------------------------------------
| Value of outstanding | 97,598 | 72,628 | 81,959 |
| orders for modular | | | |
| space EUR 1,000 | | | |
--------------------------------------------------------------------------------
| Value of orders for modular | 87,218 | 65,653 | 74,507 |
| space rental EUR 1,000 | | | |
--------------------------------------------------------------------------------
| Value of orders for sale | 10,380 | 6,975 | 7,452 |
| of modular space, EUR 1,000 | | | |
--------------------------------------------------------------------------------
| Gross capital expenditure, | 40,834 | 27,594 | 111,864 |
| EUR 1,000 | | | |
--------------------------------------------------------------------------------
| % sales | 38.1 | 33.0 | 27.8 |
--------------------------------------------------------------------------------
| Average personnel | 2,000 | 1,648 | 1,828 |
--------------------------------------------------------------------------------
| Earnings per share, | 0.29 | 0.14 | 1.39 |
| undiluted, EUR | | | |
--------------------------------------------------------------------------------
| Earnings per share, | 0.28 | 0.14 | 1.36 |
| diluted 1) EUR | | | |
--------------------------------------------------------------------------------
| Shareholders' equity | 9.75 | 8.57 | 9.66 |
| per share 2), EUR | | | |
--------------------------------------------------------------------------------
| Equity ratio, % | 39.1 | 37.1 | 38.2 |
--------------------------------------------------------------------------------
| Net interest-bearing | 318,867 | 301,074 | 305,643 |
| liabilities, EUR 1,000 | | | |
--------------------------------------------------------------------------------
| Gearing, % | 106.9 | 116.9 | 104.6 |
--------------------------------------------------------------------------------
| Issue-adjusted average | 30,440,609 | 30,036,541 | 30,121,137 3) |
| number of shares | | | |
--------------------------------------------------------------------------------
| Issue-adjusted number of | 30,660,189 | 30,051,901 | 30,332,793 4) |
| shares at the period-end | | | |
--------------------------------------------------------------------------------
| Issue-adjusted average | | | |
| number of Series A shares | | | |
| at the period-end | | | |
--------------------------------------------------------------------------------
| Number of shares adjusted | 31,007,541 | 30,473,670 | 30,811,395 |
| by the dilution effect | | | |
| of share options | | | |
--------------------------------------------------------------------------------
1) Adjusted by the dilution effect of shares entitled by warrants
2) Number of shares registered at the end of the period
3) A and B Series shares
4) B Series shares
INFORMATION BY BUSINESS SEGMENT (EUR 1,000)
The Group's primary segments are equipment rental and modular space. Its
secondary segments are based on the following geographical areas, which are
Finland, Sweden, Western Europe and Other Europe. Sales from the equipment
rental business are also presented by geographic segments. Netherlands' share of
Western Europe is reported separately, as the business of Netherlands is
consolidated into the Cramo Group only until 31 March 2007.
--------------------------------------------------------------------------------
| Sales by business segment (EUR | 1-3/07 | 1-3/06 | Change % | 1-12/06 |
| 1,000) | | | | |
--------------------------------------------------------------------------------
| Equipment rental | | | | |
--------------------------------------------------------------------------------
| - Finland | 14,814 | 12,554 | 18.0 | 60,227 |
--------------------------------------------------------------------------------
| - Sweden | 46,636 | 36,635 | 27.3 | 174,721 |
--------------------------------------------------------------------------------
| - Western Europe | 19,000 | 14,255 | 33.3 | 66,319 |
--------------------------------------------------------------------------------
| - Other Europe | 10,814 | 6,307 | 71.5 | 38,446 |
--------------------------------------------------------------------------------
| Equipment rental, total | 91,264 | 69,751 | 30.8 | 339,713 |
--------------------------------------------------------------------------------
| - between the segments | -43 | -70 | -38.6 | -421 |
--------------------------------------------------------------------------------
| Modular space | 17,807 | 14,188 | 25.5 | 65,513 |
--------------------------------------------------------------------------------
| - between the segments | -1,730 | -278 | 552.3 | -2,382 |
--------------------------------------------------------------------------------
| Eliminations | -1,773 | -347 | 411.0 | -2,803 |
--------------------------------------------------------------------------------
| Sales, total | 107,297 | 83,591 | 28.4 | 402,425 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Netherlands' share of Western | 2,954 | 2,848 | 3.7 | 12,607 |
| Europe | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Operating profit (EBITA) | 1-3/07 | 1-3/06 | Change % | 1-12/06 |
| before amortisation on | | | | |
| intangible assets resulting | | | | |
| from acquisitions by | | | | |
| business segment (EUR | | | | |
| 1,000) | | | | |
--------------------------------------------------------------------------------
| Equipment rental | | | | |
--------------------------------------------------------------------------------
| - Finland | 1,189 | 601 | 97.8 | 10,370 |
--------------------------------------------------------------------------------
| - Sweden | 9,857 | 6,517 | 51.3 | 35,875 |
--------------------------------------------------------------------------------
| - Western Europe | 1,638 | 961 | 70.4 | 8,447 |
--------------------------------------------------------------------------------
| - Other Europe | 2,717 | 912 | 197.9 | 11,991 |
--------------------------------------------------------------------------------
| Equipment rental, total | 15,401 | 8,991 | 71.3 | 66,683 |
--------------------------------------------------------------------------------
| Modular space | 4,755 | 2,766 | 71.9 | 14,949 |
--------------------------------------------------------------------------------
| Non-allocated Group | -3,229 | -1,921 | 68.1 | -8,614 |
| activities | | | | |
--------------------------------------------------------------------------------
| Eliminations | -270 | | | -183 |
--------------------------------------------------------------------------------
| Operating profit, total | 16,657 | 9,836 | 69.3 | 72,834 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Netherlands' share of | 193 | 44 | 338.6 | 1,788 |
| Western Europe | | | | |
--------------------------------------------------------------------------------
Non-allocated Group activities include costs of group management and group
finance and control as well as other group-level activities. In the first
quarter of 2007 the non-allocated Group activities include also costs related to
the change of the Cramo brand amounting to 1.5 million euros.
--------------------------------------------------------------------------------
| EBITA-% by business segment | 1-3/07 | 1-3/06 | Change % | 1-12/06 |
--------------------------------------------------------------------------------
| Equipment rental | | | | |
--------------------------------------------------------------------------------
| - Finland | 8.0 | 4.8 | | 17.2 |
--------------------------------------------------------------------------------
| - Sweden | 21.1 | 17.8 | | 20.5 |
--------------------------------------------------------------------------------
| - Western Europe | 8.6 | 6.7 | | 12.7 |
--------------------------------------------------------------------------------
| - Other Europe | 25.1 | 14.5 | | 31.2 |
--------------------------------------------------------------------------------
| Equipment rental, total | 16.9 | 12.9 | | 19.6 |
--------------------------------------------------------------------------------
| Modular space | 26.7 | 19.5 | | 22.8 |
--------------------------------------------------------------------------------
| Non-allocated Group activities | | | | |
--------------------------------------------------------------------------------
| EBITA-%, total | 15.5 | 11.8 | | 18.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Netherlands' share of Western | 6.5 | 1.5 | | 14.2 |
| Europe | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Sales by geographical segment | 1-3/07 | 1-3/06 | Change % | 1-12/06 |
| (EUR 1,000); sales generated | | | | |
| by both the equipment rental | | | | |
| business and the modular | | | | |
| space | | | | |
| business are included in the | | | | |
| geographical segments. | | | | |
--------------------------------------------------------------------------------
| Finland | 25,163 | 19,005 | 32.4 | 91,671 |
--------------------------------------------------------------------------------
| Sweden | 54,812 | 44,032 | 24.5 | 206,094 |
--------------------------------------------------------------------------------
| Western Europe | 19,000 | 14,255 | 33.3 | 70,803 |
--------------------------------------------------------------------------------
| Other Europe | 10,814 | 6,307 | 71.5 | 38,451 |
--------------------------------------------------------------------------------
| Eliminations | -2,490 | -8 | 31025.0 | -4,595 |
--------------------------------------------------------------------------------
| Sales, total | 107,297 | 83,591 | 28.4 | 402,425 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Netherlands' share of | 2,954 | 2,848 | 3.7 | 12,607 |
| Western Europe | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| FINANCIAL | 1-3/07 | 10-12/06 | 7-9/06 | 4-6/06 | 4-06/3/07 | 1-12/06 |
| PERFORMANCE | Actual | Actual | Actual | Actual | Actual | Actual |
| BY QUARTERS | | | | | | |
--------------------------------------------------------------------------------
| Sales | 107,29 | 116,588 | 105,500 | 96,746 | 426,131 | 402,425 |
| | 7 | | | | | |
--------------------------------------------------------------------------------
| EBITA | 16,657 | 22,914 | 25,007 | 15,078 | 79,656 | 72,834 |
--------------------------------------------------------------------------------
| EBITA-% | 15.5 | 19.7 | 23.7 | 15.6 | 18.7 | 18.1 |
--------------------------------------------------------------------------------
RELATED PARTY TRANSACTIONS
During the reporting period there were no material transactions with related
parties.
BRIEFING
Cramo will hold a briefing for equity analysts, investors and the media at the
Bank restaurant, Meeting Point, Unioninkatu 22, 22 May 2007, starting at 11.00
a.m.
Cramo will publish its H1/2007 Interim Report on Thursday, 16 August 2007.
The data in this Interim Report is based on unaudited figures.
CRAMO PLC
Vesa Koivula
President and CEO
Tel.: +358 10 66110, +358 40 510 5710
Martti Ala-Härkönen
CFO
Tel.: +358 10 66110, +358 40 737 6633
DISCLAIMER
This report includes certain forward-looking statements based on the
management's expectations at the time they are made. These involve risks and
uncertainties and are subject to change due to changes in general economic and
industry conditions.
DISTRIBUTION
Helsinki Stock Exchange
Major media
www.cramo.com
