STOCK EXCHANGE RELEASE
April 28, 2009 at 1:10 pm
* Amer Sports Q1/09 net sales decreased by 2% to EUR 355.3 million.
In local currencies net sales decreased by 7%. Sales in EMEA
increased by 2% in local currencies, but contracted by 15% in the
Americas and were at last year's level in Asia Pacific.
* EBIT was EUR -6.9 million (0.0). Earnings per share were EUR
-0.15 (-0.07). The weakened result reflects challenging market
conditions particularly in the USA.
* Amer Sports' full-year outlook is clouded by the uncertainty in
consumer demand in general. Visibility will improve during Q2 when
the pre-orders in winter sports equipments are collected, but the
uncertainty surrounding the Fitness segment's performance will
remain high throughout the year. Due to the prevailing uncertainty,
Amer Sports has decided to give further guidance after the
pre-order season in winter sports equipment is over (Previous
outlook: the company's results in 2009 are anticipated to improve.)
1-3/ 1-3/ Change
EUR million 2009 2008 % %*) 2008
Net sales 355.3 363.0 -2 -7 1,576.6
Gross profit 143.8 145.6 -1 633.0
EBIT -6.9 0.0 78.9
Financing income and expenses -7.5 -6.9 -9 -33.3
Earnings before taxes -14.4 -6.9 45.6
Net result -10.8 -5.2 34.0
Earnings per share, EUR -0.15 -0.07 0.47
*) In local currency terms
ROGER TALERMO, PRESIDENT AND CEO:"The sporting goods business entered 2009 under the same cloud of
uncertainty that is oppressing almost all consumer businesses. As a
result, retailers have become extremely cautious about ordering new
products and they have been destocking. Furthermore, besides slower
consumer demand in general, consumers have also been moving to lower
price points in their attempt to cut spending. The current headwinds
in the trading conditions are clearly more obvious in the US than in
Europe. In local currencies Amer Sports sales during the first
quarter increased by 2% in EMEA but declined by 15% in the Americas:
consequently the Group sales fell by 7%."Our Apparel and Footwear business continued its strong progress by
growing 18% during the first quarter in local currencies. However,
based on the current order book, we believe the strong growth trend
we have seen in this business will not continue during the next
couple of quarters. The Winter Sports Equipment business had a good
end to the winter season with sales at last year's level. More
importantly, however, due to the excellent snow conditions last
winter, the sell-through of winter sports equipment was good and it
has improved the preconditions for the retailers to make orders for
the next season. The sharp sales decline we saw last year in our
Fitness business continued during the first quarter, with weakness in
both the consumer as well as the commercial business. The weakness
reflects both tight credit markets and a 'wait and see' attitude by
customers that are concerned by the general economic outlook."With retailers now generally taking a very cautious stance in
ordering anything, the outlook is clearly less predictable than
normally. We will continue to work hard on protecting our bottom-line
and market positions. Our key priority in 2009 is strengthening the
balance sheet and further gain efficiencies."
NET SALES AND EBIT
Amer Sports net sales decreased by 2% to EUR 355.3 million (363.0).
In local currencies net sales decreased by 7%.
Net sales by business segment were as follows: Winter and Outdoor 46%
(Winter Sports Equipment 10%), Ball Sports 40% and Fitness 14%.
Winter and Outdoor and Ball Sports sales were at last year's level.
Net sales of Fitness decreased by 16%. In local currency terms,
Winter and Outdoor net sales were at last year's level, Ball Sports
decreased by 8% and Fitness decreased by 25%.
The split of net sales by geographical segment was as follows: the
Americas 46%, EMEA 44% and Asia Pacific 10%. Sales in Asia Pacific
increased by 9%, were at last year's level in EMEA and decreased in
the Americas by 5%. In local currency terms, net sales increased by
2% in EMEA, were at last year's level in Asia Pacific, and decreased
15% in the Americas.
The Group's EBIT was EUR -6.9 million (0.0). The weakened result
reflects challenging market conditions particularly in the USA.
Earnings before taxes were EUR -14.4 million (-6.9). Earnings per
share were EUR -0.15 (-0.07). Net financial expenses amounted to EUR
-7.5 million (-6.9).
CAPITAL EXPENDITURE
The Group's capital expenditure on fixed assets totaled EUR 8.7
million (6.5). The Group's depreciation was EUR 8.4 million (7.6).
RESEARCH AND DEVELOPMENT
EUR 13.9 million (14.6) was invested in research and development,
representing 3.9% of net sales.
FINANCIAL POSITION AND CASH FLOW
Amer Sports interest bearing liabilities at the end of March were EUR
581.6 million (535.4), consisting of short-term debt of EUR 151.9
million and long-term debt of EUR 429.7 million. Liquid assets
amounted to EUR 54.4 million (34.4) at the end of the period. The
Group's net debt was EUR 527.2 million (501.0).
Amer Sports has a EUR 325 million committed revolving credit
facility, maturing in 2011 and 2012, of which EUR 245 million has
been used. Furthermore, the company has, as of January 1, 2009,
committed revolving credit facilities of EUR 60 million maturing in
2010.
In 2007, Amer Sports issued two private placement bonds for Finnish
institutional investors. The total amount of the bonds, maturing in
2009 and 2011, is EUR 150 million. Besides the bond maturing in 2011
and committed revolving credit facilities, the long-term debt
consists of a USD 100 million term loan as a part of the originally
EUR 575 million loan syndicate of 2005, maturing in 2011 and 2012,
and a EUR 31.4 million pension loan.
Short-term financing is mainly raised with a domestic commercial
paper program, of which EUR 70 million had been used at the end of
March.
In March, Amer Sports Corporation issued a EUR 60 million hybrid bond
in order to strengthen the Group's capital structure and to repay
existing debt. The coupon rate of the bond is 12.0% per annum. The
bond has no maturity but the company may call the bond after three
years. Hybrid bond is a bond that is subordinated to the company's
other debt obligations and will be treated as equity in the IFRS
financial statements. The hybrid bond holding does not confer the
right to vote at shareholder meetings and will not dilute the
holdings of the current shareholders.
The equity ratio at the end of March was 36.9% (31.4%) and gearing
was 95% (112%).
Net cash flow from operating activities after interest and taxes was
EUR 64.1 million (118.1). Net cash flow from investing activities was
EUR -9.6 million (-3.9).
BUSINESS SEGMENTS
WINTER AND OUTDOOR
1-3/ 1-3/ Change
EUR million 2009 2008 % %*) 2008
Net sales
Winter Sports Equipment 37.0 36.9 0 -1 378.9
Apparel and Footwear 82.5 71.0 16 18 277.9
Cycling 27.2 33.5 -19 -21 114.2
Sports Instruments 17.7 20.6 -14 -16 89.8
Net sales, total 164.4 162.0 1 1 860.8
EBIT -10.9 -14.6 25 28 41.1
*) In local currency terms
In January-March, net sales were at last year's level in local
currency terms. The breakdown of net sales was as follows: Apparel
and Footwear 50%, Winter Sports Equipment 22%, Cycling 17% and Sports
Instruments 11%. EMEA accounted for 70%, the Americas for 21%, and
Asia Pacific for 9% of net sales. Sales in local currencies were up
5% in EMEA, down 8% in Asia Pacific, and down 8% in the Americas.
The EBIT of EUR -10.9 million improved by 28% versus last year in
local currencies. The improvement reflects the lower cost level in
the Winter Sports Equipment business and the strong growth in sales
of Apparel and Footwear.
Business areas
Half of the segmental sales in the first quarter are related to the
Apparel and Footwear business, which delivers the majority of its
spring/summer collection during the first three months of the year.
The sales grew by 18%, the growth being balanced over Salomon
footwear, Salomon apparel and gear as well as Arc'teryx. Weakness in
North America was well compensated by success in the Central European
markets. The sell-through of the key outdoor and trail running
footwear products continues to be strong. The order intake for the
fall/winter collection is more cautious than for the spring/summer
season. Production commitments are being scaled down to reduce the
inventory risks and improve cash flow.
The end of the season 2008/09 provided no surprises to the Winter
Sports Equipment business, with sales at last year's level. The
expense level is clearly lower due to the restructuring, and the
industrial synergies will be visible in the 2009/10 product
deliveries. The pre-order season is still ongoing, alpine Europe and
Scandinavia benefiting from good winter conditions especially in
cross-country skiing, while ordering in North America is slow which
is impacting especially the snowboard business. The final changes to
the new industrial structure were completed during the first quarter.
Bicycle component manufacturer Mavic's deliveries to OEM
manufacturers were sharply lower in the first quarter, as the whole
supply chain reduced its inventories anticipating softer markets.
Mavic also had capacity constrains in high end wheels due to the
recall of R-SYS front wheels announced in January 2009. The net sales
were thus 21% lower than last year in local currencies. This is the
first year with Mavic-branded apparel and gear in the markets, and
their sales are progressing according to expectations.
Net sales of Sports Instruments were 16% below last year's level in
local currencies. The decline in net sales reflects the economic
environment, with especially the diving market being affected. On the
other hand, in the training category consumer demand was good and saw
double-digit growth compared to the previous year. A large cost
savings program has been initiated to protect Suunto's profitability.
BALL SPORTS
1-3/ 1-3/ Change
EUR million 2009 2008 % %*) 2008
Net sales
Racquet Sports 63.9 62.6 2 -4 227.0
Team Sports 59.3 58.0 2 -9 189.9
Golf 19.7 23.4 -16 -17 78.6
Net sales, total 142.9 144.0 -1 -8 495.5
EBIT 11.5 15.7 -27 -33 37.0
*) In local currency terms
In January-March Ball Sports' net sales of EUR 142.9 million declined
by 8% in local currencies. The breakdown of net sales was as follows:
Racquet Sports 45%, Team Sports 41% and Golf 14%. Of the net sales,
the Americas generated 64%, EMEA 24% and Asia 12%. On a currency
neutral basis, Asia Pacific grew by 12% and EMEA and the Americas
declined by 3% and 13%, respectively.
The EBIT of EUR 11.5 million is 8% of net sales. The EBIT declined by
33% versus last year in local currency terms by volume declines and
margin pressures. The margin challenges are driven by a combination
of economic pressures and change in sales mix.
Business areas
In local currencies, the Racquet Sports division declined by 4%. In a
local currencies Asia grew by 13%, EMEA was at last year's level and
the Americas declined by 12%. The growth in Asia is driven by the
expanded distribution in China and a strengthening position in the
badminton category. The decline in the Americas is primarily driven
by the United States where net sales are adversely impacted by the
economic recession. In the United States, retailers continue to
remain cautious and consumers are seeking value trading down to lower
price points.
In local currencies, Team Sports declined by 9%. Asia grew by 47% in
local currencies. The EMEA and Americas declined by 6% and 10%,
respectively. 85% of the Team Sports business is conducted in the
United States. Therefore, the overall net sales for Team Sports are
being heavily impacted by the economic recession. In the United
States, the discount retailers continue to perform well and the
higher priced premium segments are experiencing declines.
The Golf segment saw a 17% decline versus the previous year in local
currencies. The net sales declines by region are Americas 26%, Asia
16% and EMEA 7%. Market research shows the Golf industry has declined
more than other sport categories as a result of the economic
recession and the higher cost of participation. Manufacturers are
focused on providing value to the consumer at lower price points.
FITNESS
1-3/ 1-3/ Change
EUR million 2009 2008 % %*) 2008
Net sales 48.0 57.0 -16 -25 220.3
EBIT -3.4 3.7 - - 3.8
*) In local currency terms
In January-March, Fitness' net sales declined by 25% in local
currencies to EUR 48.0 million. The Americas accounted for 77%, EMEA
for 16%, and Asia Pacific for 7% of net sales. In local currency
terms, sales were down 12% in EMEA, 27% in Asia Pacific and 27% in
the Americas.
EBIT decreased to EUR -3.4 million (3.7) due to the significant fall
in sales and lower gross margins resulting from a lower capacity
utilization rate and pricing pressure. Precor will continue to focus
on cost savings to return to profitability.
The market situation is unchanged since the previous quarter of last
year with the general economic climate being the largest performance
driver.
Consumer products sales were impacted by significant lower consumer
spending due to the uncertain economic environment. Consumer sales
were affected by both the overall withdrawal from discretionary
spending by many families and by a significant reduction in the
number of specialty dealers compared to the prior year.
Demand for commercial equipment for both North America and EMEA were
impacted as customers are deferring purchase decisions in the light
of the financial uncertainty. Availability of credit and financing
(i.e. leasing) are also having an impact particularly in Europe. The
distribution lost due to the bankruptcy of 2 major dealers has not
yet been replaced. The commercial business decline is driven by tight
credit markets which are making it more difficult for small customers
to lease equipment and by a "wait and see" attitude of other
customers that are concerned about the general economic outlook.
Additionally, many customers are putting new projects on hold which
is restricting the business to replacement sales rather than the new
facility sales that have driven the industry in the last few years.
PERSONNEL
At the end of March, the Group employed 6,293 people (6,351). The
Group employed an average of 6,272 people (6,319) during the review
period.
+-----------------------------------------------------------------+
| | March 31, 2009 | March 31, 2008 | Change % |
|--------------------+----------------+----------------+----------|
| Winter and Outdoor | 3,776 | 3,746 | 1 |
|--------------------+----------------+----------------+----------|
| Ball Sports | 1,695 | 1,700 | 0 |
|--------------------+----------------+----------------+----------|
| Fitness | 751 | 838 | -10 |
|--------------------+----------------+----------------+----------|
| Headquarters | 71 | 67 | 6 |
|--------------------+----------------+----------------+----------|
| Total | 6,293 | 6,351 | -1 |
+-----------------------------------------------------------------+
+-----------------------------------------------------------+
| | March 31, 2009 | March 31, 2008 | Change % |
|--------------+----------------+----------------+----------|
| EMEA | 3,421 | 3,419 | 0 |
|--------------+----------------+----------------+----------|
| Americas | 2,300 | 2,393 | -4 |
|--------------+----------------+----------------+----------|
| Asia Pacific | 572 | 539 | 6 |
|--------------+----------------+----------------+----------|
| Total | 6,293 | 6,351 | -1 |
+-----------------------------------------------------------+
SHARES AND SHAREHOLDERS
At the end of March Amer Sports had 12,385 registered shareholders
(12,300). Nominee registered represented 41.7% (45.0%) of the shares.
During the period, a total of 13.6 million Amer Sports shares were
traded on the NASDAQ OMX Helsinki to a total value of EUR 77.5
million. The share turnover was 18.8% (of the average number of
shares excluding own shares).
At the close of the review period, the last trade in Amer Sports
Corporation shares was EUR 4.99. The high for the period on the
NASDAQ OMX Helsinki was EUR 6.66 and the low EUR 4.69. The average
share price was EUR 5.68.
On March 31, 2009, the company had a market capitalization of EUR
362.8 million excluding own shares. The company has 340,900 own
shares. The number of own shares corresponds to 0.5% of all Amer
Sports shares.
Major changes in holdings, January-March 2009
Amer Sports Corporation received information on February 19, 2009 to
the effect that Novator Finland Oy has converted all of its NASDAQ
OMX forward contracts into direct holdings in shares of Amer Sports
Corporation on February 18, 2009. After settlement of the NASDAQ OMX
forward contracts concerning 7,000,000 shares in Amer Sports
Corporation, Novator Finland Oy then held 14,688,900 shares
representing 20.11% of the shares and voting rights in Amer Sports
Corporation.
Amer Sports Corporation received information on February 19, 2009 to
the effect that the Danske Bank A/S Helsinki Branch's share capital
and voting rights of Amer Sports fell under 5% (1/20) on February 23,
2009 due to a transaction completed on February 18, 2009. The Danske
Bank A/S Helsinki Branch held then 0 shares in Amer Sports
Corporation.
The stock exchange announcements on major changes in shareholdings
can be found on Amer Sports' web pages, www.amersports.com/investors.
RESOLUTIONS OF THE ANNUAL GENERAL MEETING
At the Amer Sports Corporation Annual General Meeting held March 5,
2009, the following resolutions were approved:
Adoption of the annual accounts
The Annual General Meeting (AGM) approved Amer Sports Corporation's
financial statements and consolidated financial statements for 2008.
Resolution on use of the profit shown on the balance sheet and the
payment of dividend
The AGM resolved to distribute a dividend of EUR 0.16 per share be to
paid for the financial year ended December 31, 2008. The dividend was
paid to shareholders who were registered on the list of shareholders
maintained by Euroclear Finland Ltd (former Finnish Central
Securities Depository Ltd) as of Tuesday, March 10, 2009, which was
the record date for the dividend payment. The dividend was paid on
Tuesday, March 17, 2009.
Resolution on the discharge of the members of the Board of Directors
and the CEO
The AGM granted the members of the Board of Directors and the
company's President discharge from liability for the financial year
2008.
Resolution on the remuneration of the members of the Board of
Directors
The AGM approved that the remuneration payable to the members of the
Board to be elected at the Annual General Meeting for the term until
the close of the Annual General Meeting in 2010 be unchanged from the
year 2008 as follows: Chairman EUR 80,000, Vice Chairman EUR 50,000,
and other members EUR 40,000. No extra remuneration is paid for
attending board meetings nor committee meetings. 40% of the annual
remuneration is being paid in the form of the company's shares and
60% in cash.
Resolution on the number of the members of the Board of Directors
The AGM confirmed that the number of Board members is to be seven
(7).
Resolution on the board composition
The AGM re-elected Anssi Vanjoki, Ilkka Brotherus, Pirjo Väliaho,
Martin Burkhalter, Christian Fischer and Bruno Sälzer as members of
the Board of Directors and appointed Hannu Ryöppönen as a new board
member. The Board's term of service will run until the close of the
2010 Annual General Meeting.
Resolution on the remuneration of the auditor
The AGM decided that the auditor's fee will be paid as invoiced.
Election of auditor
The AGM elected the Authorized Public Accountant
PricewaterhouseCoopers Oy to act as the auditor of the company. The
auditor in charge of the audit was elected to be Mr Jouko Malinen,
Authorized Public Accountant.
Authorizing the Board of Directors to decide issuance of shares
The AGM authorized the Board of Directors to decide on issuing new
shares on the following terms and conditions:
New shares may be issued and the company's own shares held by the
company may be conveyed against payment ("Share Issue against
Payment") to the company's shareholders in proportion to their
current shareholdings in the company. By virtue of the authorization,
the Board of Directors is entitled to decide on issuing a maximum of
7,000,000 new shares. The subscription price of the new shares shall
be recorded under the invested non-restricted equity fund.The
authorization to issue shares is valid until two (2) years from the
date of the decision of the Annual General Meeting.
BOARD OF DIRECTORS WORKING ORDER
At its organizing meeting immediately following the Annual General
Meeting, the Board of Directors unanimously appointed Anssi Vanjoki
as Chairman and Ilkka Brotherus as Vice Chairman.
Pirjo Väliaho (Chairman of the Committee), Anssi Vanjoki, Bruno
Sälzer and Christian Fischer were elected as members of the
Compensation Committee.
Ilkka Brotherus (Chairman of the Committee), Anssi Vanjoki and Martin
Burkhalter were elected as members of the Nomination Committee.
Hannu Ryöppönen (Chairman of the Committee), Ilkka Brotherus and
Martin Burkhalter were elected as members of the Audit Committee.
EXTRAORDINARY GENERAL MEETING
On March 5, 2009, Amer Sports Corporation's shareholder Novator
Finland Oy demanded that an Extraordinary General Meeting of Amer
Sports Corporation to be convened as soon as possible to elect a new
Board of Directors for the company to replace the members of the
Board of Directors elected in the Annual General Meeting held on
March 5, 2009, and to consider the proposal to insert a new Section 5
in the Articles of Association, Nomination Committee. Novator Finland
Oy also proposed that the Extraordinary General Meeting decide upon
remuneration of the members of the Nomination Committee in accordance
with the new provision of the Articles of Association if its proposal
is adopted.
On April 7, 2009 Amer Sports Corporation Board of Directors summoned
the company's shareholders to the company's Extraordinary General
Meeting to be held at 2 pm on Tuesday, April 28, 2009.
On April 17, 2009 the Board of Directors of Amer Sports Corporation
decided to cancel the Extraordinary General Meeting after receiving
notice of Novator Finland Oy's cancellation of its demand for an
Extraordinary General Meeting.
The documentation and press releases of the General Meetings are
available on the company's website www.amersports.com.
BUSINESS RISKS AND UNCERTAINTY FACTORS
Amer Sports Corporation's short-term risks are particularly
associated with consumer demand in North America and Europe. Further
information on the company's business risks and uncertainty factors
is available at the company's web site on
www.amersports.com/investors.
OUTLOOK FOR 2009
Amer Sports' full-year outlook is clouded by the uncertainty in
consumer demand in general. Visibility will improve during Q2 when
the pre-orders in winter sports equipments are collected, but the
uncertainty surrounding the Fitness segment's performance will remain
high throughout the year. Due to the prevailing uncertainty, Amer
Sports has decided to give further guidance after the pre-order
season in winter sports equipment is over (Previous outlook: the
company's results in 2009 are anticipated to improve.)
TABLES
The interim report has been prepared in compliance with IAS 34.
Accounting policies and the calculation of key figures have been
presented in the Group's 2008 Annual Report. The effects of adopting
the new IFRS standards and amendments to the Group's financial
statements are found in the accounting policies.
Unaudited
EUR million
CONSOLIDATED RESULTS
1-3/2009 1-3/2008 Change % 2008
NET SALES 355.3 363.0 -2 1,576.6
Cost of goods sold -211.5 -217.4 -943.6
GROSS PROFIT 143.8 145.6 -1 633.0
License income 2.4 4.0 14.3
Other operating income 2.6 1.9 18.9
R&D expenses -13.9 -14.6 -55.6
Selling and marketing expenses -104.8 -103.3 -406.2
Administrative and other expenses -37.0 -33.6 -125.5
EARNINGS BEFORE INTEREST
AND TAXES -6.9 0.0 78.9
% of net sales -1.9 0.0 5.0
Financing income and expenses -7.5 -6.9 -9 -33.3
EARNINGS BEFORE TAXES -14.4 -6.9 45.6
Taxes 3.6 1.7 -11.6
NET RESULT -10.8 -5.2 34.0
Attributable to:
Equity holders of the parent
company -10.8 -5.2 33.9
Minority interests 0.0 0.0 0.1
Earnings per share, EUR -0.15 -0.07 0.47
Earnings per share, diluted, EUR -0.15 -0.07 0.47
Adjusted average number of shares
in
issue less own shares, million 72.7 72.3 72.5
Adjusted average number of shares
in
issue less own shares, diluted,
million 72.7 72.6 72.5
Equity per share, EUR 7.62 6.13 6.95
ROCE, % *) 7.1 5.6 7.9
ROE, % -8.1 -4.4 6.7
Average rates used:
EUR 1.00 = USD 1.30 1.49 1.47
*) 12 months' rolling average
The relative proportion of the estimated tax charge for the full
financial year has been charged against the result for the period.
STATEMENT OF COMPREHENSIVE INCOME
1-3/2009 1-3/2008 2008
Net result -10.8 -5.2 34.0
Other comprehensive income
Translation differences 8.6 -17.7 4.3
Cash flow hedges 4.0 -3.4 -4.7
Income tax related to components of
other
comprehensive income -1.0 0.9 1.2
Other comprehensive income, net of tax 11.6 -20.2 0.8
Total comprehensive income 0.8 -25.4 34.8
Total comprehensive income attributable to:
Equity holders of the parent company 0.8 -25.4 34.7
Minority interest 0.0 0.0 0.1
NET SALES BY BUSINESS SEGMENT
1-3/2009 1-3/2008 Change % 2008
Winter and Outdoor 164.4 162.0 1 860.8
Ball Sports 142.9 144.0 -1 495.5
Fitness 48.0 57.0 -16 220.3
Total 355.3 363.0 -2 1,576.6
EBIT BY BUSINESS SEGMENTS
1-3/2009 1-3/2008 Change % 2008
Winter and Outdoor -10.9 -14.6 25 41.1
Ball Sports 11.5 15.7 -27 37.0
Fitness -3.4 3.7 3.8
Headquarters -4.1 -4.8 15 -3.0
Total -6.9 0.0 78.9
GEOGRAPHIC BREAKDOWN OF NET SALES
1-3/2009 1-3/2008 Change % 2008
Americas 163.8 173.1 -5 677.8
EMEA 156.5 157.7 -1 723.0
Asia Pacific 35.0 32.2 9 175.8
Total 355.3 363.0 -2 1,576.6
CONSOLIDATED CASH FLOW STATEMENT
1-3/2009 1-3/2008 2008
EBIT -6.9 0.0 78.9
Adjustments to cash flow from operating
activities and
depreciation 8.4 7.0 20.6
Change in working capital 81.9 123.8 -42.6
Cash flow from operating activities before
financing
items and taxes 83.4 130.8 56.9
Interest paid and received -9.5 -7.4 -31.9
Income taxes paid -9.8 -5.3 -14.5
Cash flow from operating activities 64.1 118.1 10.5
Company acquisitions -1.2 - -2.5
Company divestments - 2.6 3.6
Capital expenditure on non-current tangible
and
intangible assets -8.7 -6.5 -43.1
Proceeds from sale of tangible non-current
assets 0.3 0.0 27.4
Cash flow from investing activities -9.6 -3.9 -14.6
Dividends paid -11.8 -36.3 -36.4
Hybrid bond 60.0 - -
Change in net debt and other financial items -120.3 -111.1 42.8
Cash flow from financing activities -72.1 -147.4 6.4
Liquid funds at 1 Jan 72.1 68.0 68.0
Translation differences -0.1 -0.4 1.8
Change in liquid funds -17.6 -33.2 2.3
Liquid funds at 31 Mar/31 Dec 54.4 34.4 72.1
CONSOLIDATED BALANCE SHEET March 31, March 31, December
2009 2008 31, 2008
Assets
Goodwill 287.3 259.3 279.3
Other intangible non-current assets 211.1 204.7 207.5
Tangible non-current assets 134.5 132.5 135.3
Other non-current assets 61.5 66.5 65.9
Inventories and work in progress 335.5 301.5 346.0
Receivables 424.9 423.5 555.8
Cash and cash equivalents 54.4 34.4 72.1
Assets 1,509.2 1,422.4 1,661.9
Shareholders' equity and liabilities
Shareholders' equity 556.8 447.4 508.1
Long-term interest-bearing liabilities
*) 429.7 217.5 434.9
Other long-term liabilities 14.0 17.6 22.0
Current interest-bearing liabilities*) 151.9 317.9 252.8
Other current liabilities 315.1 340.4 389.0
Provisions 41.7 81.6 55.1
Shareholders' equity and liabilities 1,509.2 1,422.4 1,661.9
Equity ratio. % 36.9 31.4 30.6
Gearing. % 95 112 121
EUR 1.00 = USD 1.33 1.58 1.39
*) Used committed revolving credit facilities maturing in 2011 and
2012 are presented under long-term interest-bearing liabilities.
Comparative information for 2008 has been restated accordingly.
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
Fund Fair Total
Pre- for Trans- value Retai- Mino- share-
mi- own lation and ned rity Hyb- hol-
Share um sha- diffe- other ear- inte- rid ders'
capital fund res rences reserves nings Total rests bond equity
Balance at
Jan 1,
2008 289.3 15.0 -7.5 -66.8 -2.7 278.9 506.2 3.5 - 509.7
Total
comp-
rehensive
income -17.7 -2.5 -5.2 -25.4 -25.4
Dividend
distribution -36.3 -36.3 -36.3
Warrants 0.3 0.3 0.3
Warrants
exercised 2.9 -2.9 0.0 0.0
Other
change in
minority
interest 0.0 -0.9 -0.9
Balance at
Mar 31,
2008 292.2 12.1 -7.5 -84.5 -5.2 237.7 444.8 2.6 - 447.4
Balance at
Jan 1,
2009 292.2 12.1 -5.7 -62.5 -6.2 275.6 505.5 2.6 - 508.1
Total
comp-
rehensive
income 8.6 3.0 -10.8 0.8 0.8
Dividend
distribution -11.8 -11.8 -11.8
Hybrid
bond -0.3 -0.3 60.0 59.7
Balance at
Mar 31,
2009 292.2 12.1 -5.7 -53.9 -3.2 253.0 494.5 2.6 60.0 556.8
CONTINGENT LIABILITIES AND SECURED ASSETS, CONSOLIDATED
March 31, March 31, December
2009 2008 31, 2008
Mortgages pledged 0.0 2.6 0.0
Guarantees 10.0 4.9 8.5
Liabilities for leasing and rental
agreements 113.6 94.1 106.6
Other liabilities 49.3 42.5 46.1
There are no guarantees of contingencies given for the management of
the company, the shareholders or the associated companies.
DERIVATIVE FINANCIAL INSTRUMENTS
March 31, March 31, December 31,
2009 2008 2008
Nominal value
Foreign exchange forward contracts 678.9 498.2 604.3
Forward rate agreements 0.0 0.0 0.0
Interest rate swaps 225.2 213.3 221.9
Fair value
Foreign exchange forward contracts 5.0 11.5 -1.1
Forward rate agreements 0.0 0.0 0.0
Interest rate swaps -8.3 -4.0 -7.6
QUARTERLY BREAKDOWNS OF NET SALES AND EBIT
Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2
NET SALES 2009 2008 2008 2008 2008 2007 2007 2007
Winter and Outdoor 164.4 326.6 267.6 104.6 162.0 304.9 280.6 100.2
Ball Sports 142.9 110.0 110.6 130.9 144.0 107.0 109.9 150.4
Fitness 48.0 58.7 55.0 49.6 57.0 85.2 72.3 59.7
Total 355.3 495.3 433.2 285.1 363.0 497.1 462.8 310.3
Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2
EBIT 2009 2008 2008 2008 2008 2007 2007 2007
Winter and Outdoor -10.9 36.7 45.7 -26.7 -14.6 35.2 48.9 -28.8
Ball Sports 11.5 3.4 6.6 11.3 15.7 8.0 5.4 15.0
Fitness -3.4 -2.3 2.8 -0.4 3.7 13.0 8.1 6.2
Headquarters -4.1 -2.6 -3.6 8.0 -4.8 -2.5 -3.3 -5.2
Total -6.9 35.2 51.5 -7.8 0.0 53.7 59.1 -12.8
All forecasts and estimates presented in this report are based on the
management's current judgment of the economic environment. The actual
results may differ significantly.
AMER SPORTS CORPORATION
Board of Directors
For further information, please contact:
Mr Tommy Ilmoni, Vice President, IR and Corporate Communications,
tel. +358 9 7257 8233
Mr Pekka Paalanne, Executive Vice President & CFO, tel. +358 9 7257
8212
Mr Roger Talermo, President and CEO, tel. +358 9 7257 8210
TELEPHONE CONFERENCE
An English-language telephone conference call for investors and
analysts will be held on Tuesday, April 28, 2009 at 3:00 pm Finnish
time. To participate in the conference call, please call +44 20 3003
2666 (UK/international dial-in number). The conference can also be
followed from a direct transmission on the internet, at
www.amersports.com. A recorded version will later be available at the
same address: replay number +44 (0)208 196 1998 and access code
6801881 #. No press conference will be held at Amer Sports
headquarters.
AMER SPORTS 2009 FINANCIAL CALENDAR
- Capital Markets Day on May 27-28
- Q2 on Thursday, August 6
- Q3 on Thursday, October 29
AMER SPORTS CORPORATION
Communications
Ms Maarit Mikkonen
Communications Manager
Tel. +358 9 7257 8306, e-mail: maarit.mikkonen@amersports.com
www.amersports.com
DISTRIBUTION
NASDAQ OMX Helsinki
Major media
www.amersports.com
