Kyro Corporation STOCK EXCHANGE RELEASE 7 February 2007 8.30 a.m.
KYRO'S YEAR-END STRONGER THAN LAST - ENHANCED PERFORMANCE FROM EFFICIENCY
MEASURES
2006 Key Data
- Group net sales EUR 268.9 (266.7) million
- Comparable operating profit EUR 22.0 (23.0) million
- Comparable profit before taxes EUR 22.3 (21.9) million
- Profit after taxes EUR 12.1 (22.4) million, earnings per share EUR 0.15
(0.28)
- Glastons new machine orders EUR 175.9 (177.8) million
- Order book 31 December 2006: Group EUR 127.5 (140.7) million, Glaston
EUR 111.2 (108.8) million
- Group efficiency programmes generate net savings of EUR 4.5 million in 2007
- Board of Directors proposal for dividend EUR 0.09 per share
KYRO GROUP STRUCTURE
Kyros business areas are Glaston Technologies and Energy. The main business
area, Glaston Technologies, consists of the Glass Machinery Group and Tamglass
Glass Processing Ltd.
The Glass Machinery Group is the world market leader in glass processing
machines. The Glass Machinery Groups products are glass pre-processing
machines as well as safety glass machines for the architectural and automotive
industries. The group consists of Tamglass, the technology and market leader in
safety glass machines; Uniglass, which manufactures flat tempering machines;
the leading supplier of glass pre-processing machines Bavelloni, which also
produces stone processing machines; and DiaPol, which manufactures tools for
glass and stone pre-processing.
Tamglass Glass Processing focuses on markets in Finland and neighbouring
countries and is the leading comprehensive supplier of glass processing
products in Finland. Its safety and insulating glass products sold under the
Tamglass brand as well as its balcony systems are supplied to the building,
window and door industries, specialty vehicle manufacturers and construction
projects.
Kyros second business area is Energy, which consists of the electricity and
heat generating gas-fired combi power plant of Kyro Power Oy.
THE GROUPS EFFICIENCY PROGRAMMES
In 2006 the Group initiated efficiency programmes which Kyro now estimates will
have a positive impact on profits of EUR 4.5 million in the current year. To
support future growth, it was decided to increase Bavellonis maintenance and
service personnel at the end of the year, as a result of which the net
personnel reductions of Bavellonis efficiency programme are smaller than
anticipated. The estimated six million euros in savings, therefore, have been
adjusted downward. The costs of the measures, EUR 5.3 million, were recognised
in full during 2006. The related provisions were 1.6 EUR million.
In September, Bavelloni began a programme to boost the efficiency of its
Italian operations, which led, among other things, to the closure of the
Bergamo assembly plant. The programme also includes other productivity-raising
operational and process changes, with arrangements affecting personnel. The
outcome of negotiations relating to these measures was a reduction of 59 jobs,
mainly in connection with the factory closure.
As part of the programme, the distribution logistics in Europe of Bavellonis
tools and spare parts were enhanced. The areas three tool and spare parts
warehouses were centralised in Italy, from where they can be delivered to
European customers more quickly than before.
Measures taken in the Glass Processing Group included the restructuring of
Tamglass Finton, the merger of three Glass Processing Group companies into one
company, and the personnel reductions, a total of 36 employees, that followed
from these.
NET SALES AND PROFIT
The Kyro Groups net sales were EUR 268.9 (266.7) million in 2006. The
Groups comparable operating profit was EUR 22.0 (23.0) million, representing
8.2% (8.6%) of net sales.
Comparable operating profit does not include non-recurring items totalling
EUR 5.6 million recognised in 2006 for the above-mentioned efficiency
programmes. They consist of EUR 1.3 million for the Glass Processing Group
restructuring and EUR 4.0 million for the Bavelloni efficiency programme. In
addition, a non-recurring item of EUR 0.3 million was recognised for the
Energy business areas Partner project.
Comparable profit before taxes was EUR 22.3 (21.9) million, representing 8.3%
(8.2%) of net sales.
Taking into account the recognised non-recurring items, profit before taxes
was EUR 16.7 (34.3) million. Profit for the financial period was EUR 12.1
(22.4) million. This includes a EUR 1.8 million tax refund from previous
years. Return on invested capital was 12.1% (26.1%). Earnings per share were
EUR 0.15 (0.28) and equity per share was EUR 1.75 (1.76).
Net financial items totalled EUR 0.3 (1.2) million. This includes interest,
dividend and other financial income of EUR 2.2 (2,4) million, and interest
and other financial expenses of EUR 1.9 (3.7) million.
The Groups order book on 31 December 2006 was EUR 127.5 (140.7) million.
In 2006 Kyro, commenting on its future prospects, stated that both the
previous years net sales and comparable operating profit were expected to
grow. After the third quarter, the estimate was adjusted by mentioning that
certain significant delivery projects had been postponed to 2007 and that
realising the target level would be substantially decided by other orders in
the latter part of the year. Kyro increased its net sales, but comparable
operating profit fell slightly from the previous year, as the profitability
of the above-mentioned other orders at the end of the year proved to be
weaker than expected.
Business areas net sales, operating profit and order book, EUR million
Net sales Operating profit Order book 31.12
2006 2005 2006 2005 2006 2005
Glaston Technologies 234.7 238.9 18.1 22.1 111.2 108.8
Energy 34.1 27.6 6.5 6.4 16.3 31.9
Non-recurring items -5.6 12.5
Parent company, 0.1 0.2 -2.5 -5.5
other operations and
eliminations
Group, total 268.9 266.7 16.5 35.5 127.5 140.7
FINANCING
The Groups financial standing is good. Equity ratio on 31 December 2006 was
62.2% (64.4%). Cash flow from business operations was EUR 0.4 (22.6) million.
Cash flow from investments was EUR 8.0 million. The most significant item of
cash flow from financing was a total of EUR 13.4 (5.6) million in dividends
paid in the spring. Cash flow also includes EUR 7.3 million in taxes for 2005
paid in 2006, including e.g. EUR 2.9 million taxes on capital gains from the
sale of hydropower operations in December 2005.
The Groups liquid funds on 31 December 2006 totalled EUR 10.5 (26.3)
million. Interest-bearing net liabilities amounted to EUR 3.0 (24.7)
million (assets greater than interest-bearing liabilities). Gearing stood at
2.2% (17.7%).
MANAGEMENT OF BUSINESS RISKS
World economy and customer structure
Cyclical fluctuations in the world economy have a rather minor impact on the
machine sales of Kyros main business area, because the geographical
diversification of operations means that economic conditions in Europe, Asia
and America even each other out. In addition, cyclical economic conditions for
different end-customers, such as the building, automotive and furniture
industries, balance each other. Growing building renovation business evens out
cyclical variations in the construction sector.
Maintenance business of the main business area Glaston is growing and this
helps smooth out fluctuations in machine sales.
Owing to the above factors, customer structure is strongly diversified and no
single customer contributes more than a few per cents to Glastons total annual
turnover.
Markets situation and competition
Glaston is a leading supplier in a sector that is expanding globally. The
proportion of safety glass used in construction is continually growing.
Tightening official regulations are driving growth in safety glass sales still
further. Environmental questions such as the energy efficiency of buildings and
the high added value glass products associated with it also represent a
development trend that supports growth in Glastons high technology machines.
Glastons machine manufacturing units are located in Finland, Italy, the United
States, China and Brazil. In terms of Finland, Italy and United States the
political risk is low, while China and Brazil are clearly countries where the
political risk is higher. At the end of 2006, Kyro was not aware of any
political risk that could have a substantial impact on its operations.
As the technology and market leader in safety glass machines, the Group is in a
strong competitive position in all of its main market areas. Glaston
continually develops its operations and products in order to remain competitive
also in the more inexpensively priced segment of the machine market.
In terms of pre-processing machines, the competitive situation is noticeably
more uniform, because the market is highly fragmented.
Production
The Groups production is structured so as to be flexible. Machine
manufacturing is based on own product development, assembly and a strong
subcontracting network, which can adjust capacity flexibly. In production,
materials and components that have several suppliers are used in order to
minimise availability risks. A common model has also been introduced through
company acquisitions into other units e.g. in Italy.
Financing
The Groups strong financial position represents a good foundation for the
management of financial risks. To ensure the availability of funding, the Group
has adequate credit facilities for its business operations, which can be called
upon if necessary. Most of the Groups net sales and costs are euro-
denominated, so the direct foreign exchange risk is small relative to total net
sales. The proportion of net sales and costs in US dollars has fallen
significantly in recent years, which in turn has reduced the Groups foreign
exchange risk.
The Group hedges all operational foreign exchange risks as they arise. In
addition, significant foreign currency equity items of subsidiaries are hedged.
The main objectives of foreign currency hedging are safeguarding earnings and
cash flow as well as ensuring predictability. Indirect foreign exchange risks
may arise as the euro strengthens against other currencies, such as the US
dollar. Price competition in markets outside the eurozone is growing and might
impact negatively on the profitability of products being offered for sale. Some
of the risks have been covered through the diversification of production over
different foreign exchange areas.
In long-term contracts concluded by the Energy business area, deliveries have
been hedged by linking them to fuel costs. In electricity hedging, the Groups
main principle has been to hedge each open position for a period of 12 months.
Risk of loss or damage
The Groups parent company is responsible for the insurance cover of Group
units. Insurance is used to eliminate potential losses resulting from the
realisation of disruption, fire and similar risks. Risks relating to transport
and installation have been insured like the other product liabilities of
products sold. To minimise risks, the Group has comprehensive insurance cover,
which is re-examined annually.
CAPITAL EXPENDITURE
The Kyro Groups capital expenditure totalled 12.0 (11.4) million in 2006.
This includes the construction costs of a factory in China and the extension
of the head office in Finland (totalling c. EUR 4.0 million), obligatory
product development capitalisations under IFRS (EUR 3.4 million) as well as
normal repair and maintenance investments.
ORGANISATION AND PERSONNEL
In October 2006 Kyro announced that Kyros President and CEO Pentti Yliheljo
was to retire. Mika Seitovirta succeeded Yliheljo as President and CEO of Kyro
and Tamglass on 1 January 2007. Pentti Yliheljos expertise will be continue to
available to the Group until 30 June 2007.
The Kyro Group had 1,211 (1,222) employees on 31 December 2006. The number of
Group employees working in Finland was 427 (441), while the number working
abroad was 784 (781). The average number of employees was 1,264 (1,218), with
the growth in personnel being due mainly to recruitment of maintenance and
installation staff in the early part of the year.
Personnel
31.12.2006 31.12.2005 31.12.2004
Glaston Technologies 1 180 1 191 1 175
Energy 22 24 23
Kyro Corporation 9 7 10
Kyro Group 1 211 1 222 1 208
Salaries and bonuses 44,6 43,3 41,7
SHARES AND SHARE PRICES
A total of 6,978,316 (18,054,297) Kyro Corporation (KRO1V) shares were traded
in the period January-December, representing 8.8% (22.8%) of the total number
of shares. The lowest price paid for a share on the Helsinki Stock Exchange
was EUR 3.75 and the highest price EUR 4.84. The average price during the
period was EUR 4.33.
ACQUISITION AND DISPOSAL OF OWN SHARES
The Annual General Meeting on 16 March 2006 authorised the Board of Directors
to acquire the companys own shares for the purpose of using them as
consideration in possible acquisitions, to finance investments or other
industrial arrangements or to be disposed of in other ways or to be
invalidated.
According to the authorisation the Board of Directors may acquire the companys
own shares using assets available for distribution of profits, provided that
the combined nominal value of the acquired shares together with any shares
already in the possession of the company corresponds to a maximum of 10 per
cent of the companys total share capital at the moment of acquisition. Shares
can be acquired or sold in public trading on the Helsinki Stock Exchange at the
market value of the shares at the time in question.
Authorisations to acquire and dispose of the companys own shares are valid for
a period of one year from the decision of the Annual General Meeting on
16 March 2006. On 31 December 2006, Kyro Corporation held a total of 329,904
(329,904) of its own shares, acquired on the basis of earlier authorisations.
The company did not exercise the authorisation in 2006.
GLASTON TECHNOLOGIES NET SALES, OPERATING PROFIT AND ORDER BOOK
Glaston Technologies net sales totalled EUR 234.7 (238.9) million in January-
December. Comparable operating profit was EUR 18.1 (22.1) million, representing
7.7% (9.3%) of net sales. Comparable operating profit does not include the non-
recurring items totalling EUR 5.3 million recognised in the period under review
for the business area.
Glaston received new machine orders totalling EUR 175.9 (177.8) million. The
order book was EUR 111.2 (108.8) million at the end of the year. The order book
for pre-processing machines grew slightly compared to the previous year, and
the order book for safety glass machines correspondingly fell slightly.
Sales of safety glass machines, as expected, were strongest in the final
quarter. However, the volume of safety glass machines delivered was lower
than the previous year, which reduced the Glass Machinery Groups net sales
and profitability. In safety glass machines, unanticipated costs arising from
new products and product series contributed to weakening the profitability of
deliveries made. In the final quarter, Tamglass initiated a programme of
measures, which continues still, to improve the efficiency of delivery
processes and to minimise their cost in future.
Tamglass Glass Processings net sales grew slightly from the previous year.
Its profitability improved, but remained unsatisfactory. This was due in
particular to European-wide delivery difficulties with raw glass at the end
of the year. A rise in the price of raw glass and uneven availability caused
a rise in Tamglass Glass Processings costs.
GLASTON TECHNOLOGIES - GLASS MACHINERY GROUP
Market and sales
Overall, the general market situation for glass processing machines was
positive in 2006. The number of new pre-processing machine orders grew in the
EMA, the Asia-Pacific area and in South America. The volume of safety glass
machine orders was slightly lower than the previous year in all the main
market areas, except for South America. In the fourth quarter, sales in the
EMA area and Asia grew strongly.
Investment decisions on safety glass machines were postponed, particularly in
Europe at the beginning of the year. Although the number of new orders grew
towards the end of the year, the total was less than the previous year. The
volume of new orders for pre-processing machines grew slightly. The offer book,
i.e. demand, for both pre-processing machines and safety glass machines was
high throughout the year.
Safety glass machine orders in the architectural segment picked up after a
lacklustre start to the year. New orders for safety glass machines in the
automotive segment grew towards the end of year, but overall their sales fell
clearly short of the previous years level.
Sales of joint deliveries and combinations of pre-processing and safety glass
machines (the One-Stop-Partner concept) exceeded targets by the third quarter
as well as the previous years level, and totalled EUR 12 million. The OSP
order intake at the end of the year totalled EUR 18.8 million. Most OSP orders
were received from the Middle East.
The volume of new orders received by Uniglass, which focuses on flat tempering
machines, was on the previous years level in 2006.
New products
The first deliveries of products launched in 2005, such as Bavellonis new pre-
processing lines, were scheduled for late 2006.
The most significant new products of the year were presented at Düsseldorfs
Glasstec Fair in October. Tamglass launched a new Sonic flat tempering machine
as well as APC, the industrys first fully automatic process control system for
flat tempering machines. Bavelloni launched a series of modular cutting lines,
a high-capacity CNC centre called NRG, and the super-fast PowerSeam edge
grinding machine. All products were very well received, and the EUR 27.8
million sales at the fair were a Glaston record.
Maintenance and service business, and tools
In 2006 the following areas of Glaston Technologies maintenance and service
business grew: maintenance agreements, modernisations and accessories, and
spare parts. Sales of used machines were low and, when these are included, the
overall growth in maintenance and service business was less than one per cent.
Excluding sales of used machines, however, overall growth was eight per cent.
The maintenance contract book for safety glass machines grew by 16%. Growth in
maintenance and service business for pre-processing machines was over 19%.
During the Glasstec fair, Bavelloni introduced its first maintenance agreement
model, which means that Glaston now offers maintenance agreements for both pre-
processing and safety glass machines. Easy Life, a maintenance and service
concept offered by Tamglass and Bavelloni, is the only one of its kind in the
business and thus a significant competitive advantage. Bavellonis sales of
spare parts and other maintenance products grew during the year.
Glastons tool sales grew slightly. Glastons market share grew, and it
launched a number of new tool products during the year. Manufacturing in Brazil
began in line with targets. Manufacturing will also begin in China in 2007.
Measures will be taken to improve local service levels and cost-effectiveness.
GLASTON TECHNOLOGIES - TAMGLASS GLASS PROCESSING LTD
Market and sales
Tamglass Glass Processings market situation was positive throughout the year
mainly due to an active construction sector in Finland. Volumes remained good
and grew towards the end of the year.
Project sale references in the final quarter included the Prisma shopping
centre in Lohja, the apartment block company Villa Aquarius in Tampere and the
real-estate company Airport in Vantaa.
Restructuring and development projects
Tamglass Fintons balcony systems sales and installation business was
transferred to partners, after which Tamglass Safety Glass Ltd, Tamglass
Insulating Glass Ltd and Tamglass Finton Oy were merged into a single, legally
distinct company at the turn of the year. At the same time the Glass Processing
Group changed its name to Tamglass Glass Processing Ltd. The companys new
business areas are Architectural Glass, Window and Furniture Glass, and Special
Automotive Glass.
Tamglass Glass Processing will continue developing its operations, for example,
by refining its production processes and supplementing its machine stock during
2007. The measures will boost the groups efficiency and improve its reference
value as a Glass Machinery Group customer.
ENERGY
Net sales, operating profit and order book
The net sales of the Energy business area totalled EUR 34.1 (27.6) million in
2006. Comparable operating profit was EUR 6.5 (6.4) million, representing
18.9% (23.2%) of net sales. Both net sales and operating profit were again
boosted mainly by a rise in energy prices.
Kyro Powers order book was EUR 16.3 (31.9) million on 31 December 2006. The
halving of the order book is explained by the expiry in summer 2007 of
significant delivery agreements that are included in the order book.
Development of the energy market
The year under review was, due to weather conditions a dry summer and a warm
rainy autumn and winter very volatile in the energy market. Prices of
electricity and emissions rights fluctuated from record highs to very low
levels.
Energy production
Kyro Powers gas-fired combi power plant operated without interruption
throughout the entire year.
Development of operations
At the end of September, Kyro signed with M-real Corporation an agreement by
which Kyro has the right to sell and M-real the right to buy Kyro Powers gas-
fired combi power plant and associated business operations in summer 2007 when
the current deliver contract ends. If the deal is implemented, it will not,
despite a positive non-recurring cash flow, have any direct financial impact.
EVENTS AFTER THE REVIEW PERIOD
Bavellonis Managing Director Paolo Sandri resigned for personal reasons in
January. Sandris duties will be handled for the time being by Kaj Appelberg,
who is Glastons President of Sales.
Kyro has decided to establish in China two joint ventures with a local company,
NST, to manufacture glass pre-processing machine tools.
Kyro appointed Ari Himma as its Vice President, Human Resources.
All events after the review period have been communicated in January.
FUTURE PROSPECTS
The industrys most extensive customer service network, widest product range
and the One-StopPartner concept create for Glaston Technologies good
opportunities to fulfil customers needs better than before. Glaston
Technologies is the world technology and market leader in a growing sector.
At the beginning of 2007, the level of Glastons order book is good. Based on
positive market prospects and savings generated by the previous years
efficiency measures, Kyro is again aiming to increase the net sales and
comparable operating profit of Glaston, its main business area.
Helsinki, 7 February 2007
Kyro Corporation
Board of Directors
Additional information about the financial statement can be obtained from
Kyro Groups President and CEO Mika Seitovirta or Chief Financial Officer
Vesa Hopia, tel. +358 3 382 3111.
Investor relations:
Kyro Corporation, IR and Communications Manager Emmi Watkins, tel. +358 400
903 260 / emmi.watkins@kyro.fi, IR pages at the Internet address www.kyro.fi.
Distribution
Helsinki Exchanges, key media
KYRO GROUP 1-12/2006, INCOME STATEMENT AND BALANCE SHEET
Compa- Comparable
rable
10-12 10-12 10-12 10-12 1-12 1-12
/2006 /2006 /2005 /2006 /2006 /2005
Consolidated Income
Statement,
EUR million
Net sales 81.7 81.7 82.5 268.9 268.9 266.7
Other operating 2.0 2.0 13.1 7.0 7.0 14.9
income
Operating expenses 73.9 77.5 74.8 246.5 252.1 237.4
Depreciation 1.5 1.5 2.4 7.3 7.3 8.7
Operating profit 8.3 4.7 18.4 22.0 16.5 35.5
% of net sales 10.1 5.8 22.3 8.2 6.1 13.3
Financial income -0.2 -0.2 -0.3 0.3 0.3 -1.3
and expenses
Profit before taxes 8.1 4.5 18.2 22.3 16.7 34.2
Income tax -2.4 -6.4 -4.6 -11.9
Profit for the 2.1 11.8 12.1 22.4
financial period
Distribution of
profit for
financial period
To parent company 2.1 11.8 12.1 22.4
shareholders
To minority 0.0 0.0 0.0 0.0
Profit for the 2.1 11.8 12.1 22.4
financial period
Earnings per share, 0.02 0.15 0.15 0,28
EUR
Consolidated 31.12.2006 31.12.2005
Balance Sheet, EUR
million
Assets
Non-current assets 123.2 121,3
Inventories 54.7 59,6
Trade and other 57.1 49,3
receivables
Assets recognised
at fair value
through profit and loss 0.1 0,1
Cash and cash 10.5 26,3
equivalents
Assets, total 245.6 256,5
Shareholders
equity and
liabilities
Shareholders equity 138.0 139.0
attributable to parent
company shareholders
Minority interest 0.0 0,0
Shareholders 138.0 139,0
equity, total
Employee benefit obligations 6.4 6.6
Provisions 7.5 3,2
Non-current interest-bearing 0.9 1.2
liabilities
Non-current non- 7.4 7,8
interest bearing
liabilities
Current interest-bearing 7.2 1.7
liabilities
Current non-interest- 78.3 97.0
bearing liabilities
Shareholders equity 245.6 256.5
and liabilities,
total
Consolidated cash flow statement,
EUR million
31.12.2006 31.12.2005
Cash flow from business operations
Profit for the financial period 12.1 22.4
Adjustments 1.7 17.6
Cash flow before change in working 13.8 40.0
capital
Change in working capital -6.8 -15.8
Cash flow from operations before 6,9 24.2
financial items and taxes
Interest received 0.8 1.2
Dividends received 0.0 0.4
Interest paid -1.0 -1.3
Taxes paid -7.2 -2.0
Cash flow from business operations -0.4 22.6
Cash flow from investments
Investments in tangible and -11.0 -10.3
intangible assets
Proceeds from the sale of tangible 2.8 25.7
and intangible assets
Proceeds from the sale of other 3.2
investments
Taxes in 2005 on proceeds from sale -2.9
of energy operations
Cash flow from investments -8.0 15.4
Cash flow from financing
Change in long-term loan receivables 1.1
Drawings of short-term loans 5.6
Repayments of short-term loans -16.8
Repayments of long-term loans -0.6 -1.0
Dividends paid -13.4 -5.7
Other financing items 5.5
Cash flow from financing -7.3 -17.9
Change in cash and cash equiv. -15.7 20.1
Cash and cash equiv. at beginning of 26.3 6.2
period
Cash and cash equiv. at end of 10.6 26.3
financial period
-15.7 20.1
Key figures
Return on invested capital, % 12.1 26.1
Return on equity, % 8.7 17.1
Equity ratio, % 62.2 64.4
Gearing, % -2.2 -17.7
Investments, EUR million 12.0 11.4
Personnel at end of year 1,211 1,222
Personnel (average) 1,264 1,218
Order book, EUR million 127.5 140.7
Share-related key figures
Earnings per share, EUR 0.15 0.28
Equity per share, EUR 1.75 1.76
Number of shares, 1000 79,350 79,350
- of which outstanding 79,020 79,020
Number of shares, average 79,020 79,020
Share price development, EUR
Average price 4.33 4.25
Lowest 3.75 3.79
Highest 4.84 4.60
Share price at end of year 4.15 4.06
Market value of shares at end of
year,
EUR million 329.3 322.2
Share turnover, no. of shares 6,978,316 18,054,297
Share turnover, % of total no. 8.8 22.8
Share turnover, EUR million 30.2 79.0
Dividend per share, EUR 0.09 0.08
Supplementary dividend per share, 0.09
EUR
Dividend/result, % 60.0 60.7
Effective dividend yield, % 2.2 4.2
P/E ratio 27.7 14.5
Guarantees and contingent
liabilities, EUR million
31.12.2006 31.12.2005
Company mortgages 0.2 0.2
Other own liabilities 5.6 7.1
Derivatives contracts
Value of underlying assets
Forward currency contracts 17.3 14.1
Electricity contracts 3.0 9.6
Fair value
Forward currency contracts
Positive fair value 0.3 0.0
Negative fair value -0.1 -0.3
Electricity contracts
Positive fair value 0.0 0.0
Negative fair value -0.2 -2.1
Business areas net sales,
operating profit and order book,
EUR million
Net sales 1-3/05 4-6/05 7-9/05 10-12/05
Glaston Technologies 50.7 60.6 52.8 74.8
Energy 8.0 5.1 6.8 7.7
Parent company, other operations 0.1 0.1 0.1 0.0
and eliminations
Group, total 58.7 65.8 59.6 82.5
Operating profit 1-3/05 4-6/05 7-9/05 10-12/05
Glaston Technologies 4.5 6.2 5.8 5.5
Operating profit % 9.0 10.3 11.1 7.4
Energy 2.0 1.1 1.5 14.3
Operating profit % 25.1 20.5 22.4 185.9
Parent company, other operations -1.4 -1.6 -1.1 -1.4
and eliminations
Group, total 5.1 5.7 6.3 18.4
Operating profit % 8.7 8.7 10.5 22.3
Order book 03/05 6/05 9/05 12/05
Glaston Technologies 114.5 122.1 119.4 108.8
Energy 24.6 23.2 23.0 31.9
Group, total 139.1 145.3 142.4 140.7
Business areas net
sales, operating
profit and order
book, EUR million
Compa- Compa- Compa-
rable rable rable
Net sales 1-3 1-3 4-6 7-9 7-9 10-12 10-12
/06 06 /06 /06 /06 /06 /06
Glaston 54.8 54.8 55.3 51.3 51.3 73.2 73.2
Technologies
Energy 8.9 8.9 7.6 9.0 9.0 8.5 8.5
Parent 0.1 0.1 0.1 0.1 0.1 0.0 0.0
company,
other
operations
and
eliminations
Group, total 63.8 63.8 63.0 60.4 60.4 81.7 81.7
Operating 1-3 1-3 4-6 7-9 7-9 10-12 10-12
profit /06 /06 /06 /06 /06 /06 /06
Glaston 3.2 3.8 4.5 1.8 2.8 3.4 7.0
Technologies
Operating 5.7 7.0 8.1 3.5 5.5 4.6 9.5
profit %
Energy 1.6 1.6 1.1 1.9 1.9 1.8 1.8
Operating 18.1 18.1 14.8 21.5 21.5 20.7 21.5
profit %
Parent -0.7 -0.7 -1.2 -0.5 -0.1 -0.4 -0.5
company,
other
operations
and
eliminations
Group, total 4.0 4.7 4.5 3.2 4.6 4.7 8.3
Operating 6.3 7.4 7.1 5.4 7.7 5.8 10.1
profit %
Order book 03 03 06 09 09 12 12
/06 /06 /06 /06 /06 /06 /06
Glaston 100.0 100.0 98.2 111.8 111.8 111.2 111.2
Technologies
Energy 31.9 31.9 31.9 24.0 24.0 16.3 16.3
Group, total 131.9 131.9 130.1 135.8 135.8 127.5 127.5
Statement of changes in consolidated
shareholders equity
Shareholders equity
attributable to parent
company shareholders
EUR Share Share Fair Trans- Own Retai- Mino- Sha-
million capi- Premi- value latio Sha- ned rity rehol-
tal um fund n dif- res assets Total inte- ders
fund fer- rest equity
ences total
Shareholde 12.7 25.3 -0.1 -1.0 84.7 121.6 0.5 122.2
rs equity
31.12.2004
Impact of 0.5 0.5 0.9 -0.5 0.4
introducti
on of IAS
32 and 39
Adjusted 12.7 25.3 0.5 -0.1 -1.0 85.2 122.6 0.0 122.6
shareholde
rs equity
1.1.2005
Cash flow
hedgings,
less
taxes:
Profits or -2.0 -2.0 -2.0
losses
recognised
in
shareholde
rs equity
Translatio 1.6 1.6 1.6
n
difference
s
Profit for 22.4 22.4 0.0 22.4
the
financial
period
Income and -2.0 1.6 22.4 22.0 22.0
expenses
recognised
in the
period,
total
Dividend -5.5 -5.5 -5.5
distributi
on
Shareholde 12.7 25.3 -1.6 1.5 -1.0 102.0 139.0 0.0 139.0
rs equity
31.12.2005
Cash flow
hedgings,
less
taxes:
Profits or 1.4 1.4 1.4
losses
recognised
in
shareholders'
equity
Translation -1.4 -1.4 0.0 -1.4
differences
Profits or 0.3 0.3 0.3
losses
from
hedging of
net
investments in
foreign
units,
less taxes
Net income 0.0 0.0
recognised
directly
in
shareholde
rs equity
Profit for 12.1 12.1 0.0 12.1
the
financial
period
Income and 1.4 -1.1 12.1 12.4 0.0 12.4
expenses
recognised
in the
period,
total
Dividend -13.4 -13.4 -13.4
distributi
on
Shareholde
rs equity
31.12.2006 12.7 25.3 -0.2 0.4 -1.0 100.7 138.0 0.0 138.0