Earnings per share increased by 100 per cent during the year under review and were EUR 1.80. The return on investment exceeded the set strategic target and was 27.7 per cent. The group's balance sheet is healthy and its net debt/equity ratio (gearing) was -40.7 per cent. The order stock increased and was EUR 335.7 million. The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 1.00 and an additional dividend of EUR 0.50 per share be paid.
Consolidated Earnings and Balance Sheet
The recession in the world economy, which began in 2001, continued during 2003. The recession had an impact on the Jaakko Pöyry Group's clients and their investment activity. Totalling 411.6 million, consolidated net sales were at the previous year's level (407.0 million). Consolidated earnings increased clearly during the financial year owing to the strengthening of the Group's market position and actions to streamline the cost structure during the period 2001-2003. Profit before extraordinary items was EUR 35.8 (18.1) million, including a gain of EUR 11.0 million from the sale of Jaakko Pöyry Group Oyj's headquarter property. Earnings per share were EUR 1.80 (0.90).
The target for the Group's return on investment is 20 per cent; in 2003 the return on investment was 27.7 (14.5) per cent.
The consolidated balance sheet is healthy. The equity ratio improved to 52.3 (51.0) per cent. The net debt/equity ratio (gearing) was -40.7 (-5.6) per cent.
Prospects
The general market situation and economic growth are recovering. Economic growth is expected to strengthen during 2004. The Jaakko Pöyry Group's order stock, balance sheet structure and market position improved during 2003. Consolidated net sales will increase clearly during 2004. Profit before extraordinary items is estimated to improve in 2004, if the capital gain of EUR 11 million from the sale of the head office property in 2003 is disregarded in the comparison.
The auditor's report is dated February 9, 2004.
Dividend
The Board of Directors proposes to the Annual General Meeting on March 3, 2004 that a dividend of EUR 1.00 (0.60) per share be paid for the year 2003. The dividend will be payable on March 15, 2004. Due to the Group's good liquidity the Board proposes that an additional dividend of EUR 0.50 per share be paid. This additional dividend will be payable on November 30, 2004.
Annual General Meeting
Jaakko Pöyry Group Oyj's Annual General Meeting of Shareholders will be held on March 3, 2004 at the Pöyry House, Vantaa, Finland. A complete invitation to the Annual General Meeting will be published as a separate notice on February 10, 2004 at 9.00 a.m. Finnish time.
Enclosures
Board of Directors' report for the year ended December 31, 2003
Consolidated statement of income and balance sheet, statement of changes in financial position and contingent liabilities
Key figures for the Group
JAAKKO PÖYRY GROUP OYJ
Erkki Pehu-Lehtonen
President and CEO
Teuvo Salminen
Deputy to President and CEO
The full report including tables can be downloaded from the following link:
