Raisio plc, Interim Report, 2 November 2010, at 8.30 a.m.
INTERIM REPORT 1 JANUARY - 30 SEPTEMBER 2010
RAISIO'S GROWTH CONTINUES
July-September 2010, continuing operations
- Raisio's growth continued as planned and profitability remains
stable.
- Net sales grew by nearly 25% amounting to EUR 118.9 million
(Q3/2009:
EUR 95.5 million).
- The EBIT was EUR 6.1 million
(Q3/2009: EUR 7.3 million) accounting for 5.1%
(7.7%) of net sales.
- Strong growth of the
Brands Division continued: net sales +45%.
- Profitability of the feeds
continues to show slow improvement, but the
difficult market situation of
vegetable oil and malt weakened the Business to
Business Division's result.
Outlook remains unchanged
Raisio has moved to a growth phase that covers the years 2010 and 2011.
We
expect a considerable increase in net sales in 2010. Our target is to
maintain
the earlier level of profitability at the beginning of the growth
phase even
though the costs of growth projects impact the Group's result
and the market
situation in Business to Business Division will probably
continue to be
challenging.
Raisio Group's key figures
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| |Q3/2010 | Q3/2009 | Q1-Q3/ | Q1-Q3/ | 2009
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| | | | | 2010 | 2009 |
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Results from | | | | | |
|
| continuing | | | | | |
|
| operations | | | | | |
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|
Net sales | M€ | 118.9 | 95.5 | 325.2 | 284.5 | 375.9
|
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Change in net sales | % | 24.5 | -22.9 | 14.3 | -17.5 | -18.8
|
| | | | | | |
|
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EBIT | M€ | 6.1 | 7.3* | 16.4 | 16.3* | 20.5*
|
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EBIT | % | 5.1 | 7.7* | 5.0 | 5.7* | 5.5*
|
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|
Depreciation and | M€ | 4.2 | 3.7* | 11.8 | 11.5* | 17.0*
|
| impairment | | | | | |
|
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|
EBITDA* | M€ | 10.2 | 11.0* | 28.2 | 27.9* | 37.5*
|
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Net financial | M€ | 0.8 | -0.3* | -2.2 | -0.8* | -0.5*
|
| expenses | | | | | |
|
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Earnings per share | € | 0.03 | 0.03* | 0.07 | 0.07* | 0.09*
|
| (EPS) | | | | | |
|
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|
Earnings per share | € | 0.03 | 0.03* | 0.07 | 0.07* | 0.09*
|
| (EPS). diluted | | | | | |
|
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|
Balance sheet | | | | | |
|
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|
Equity ratio | % | - | - | 69.0 | 68.4 | 73.4
|
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|
Gearing | % | - | - | -18.3 | -23.9 | -46.6
|
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Net | M€ | - | - | -58.7 | -67.2 | -150.2
|
| interest-bearing | | | | | |
|
| debt | | | | | |
|
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Equity per share | € | - | - | 2.04 | 1.80 | 2.06
|
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Gross investments | M€ | | | 48.6** | 7.0 | 10.0
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Share | | | | | |
|
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Market | M€ | - | - | 470.7 | 387.3 | 417.4
|
| capitalisation*** | | | | | |
|
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Enterprise value | M€ | - | - | 397.0 | 320.1 | 257.1
|
| (EV) | | | | | |
|
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EV/EBITDA | | - | - | 10.5 | 8.6 | 6.9
|
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*
Excluding one-off items
** Including the acquisition of Glisten's shares
*** Excluding the company shares held by the Group
The figures for the comparison period are given in brackets in the text.
Chief Executive's Review
“Raisio continues the implementation of its growth strategy. Our
aim is to grow
to become the leading provider of healthy and ecological
snacks in Europe.
Integration of the British Glisten, acquired last
spring, as part of Raisio
Group is proceeding according to plan. We are
actively working to implement new,
strategically suitable acquisitions. At the
Group level, we aim to maintain the
profitability of 5% also during the
growth phase.
Several factors weakening the
profitability of the Business to Business Division
were realized
simultaneously in the review period. In case the present factors
affecting
the Business to Business Division's operations remain substantially
unchanged, we are prepared for temporary further weakening in the Division's
profitability before year-end.
During the growth phase, we are proceeding according to plan. Our
growth
projects increase the cost base and, regrettably, the Business
to Business
Division cannot contribute to the implementation of Raisio's
strategy. At the
same time, we are pleased to have been able to maintain
the profitability of the
whole Group at the target level.”
RESULT FROM THE GROUP'S CONTINUING OPERATIONS
Net sales
Raisio Group's net sales from continuing
operations in July-September totalled
EUR 118.9 million (Q3/2009: EUR 95.5
million), which is 24.5% more than in the
comparison period. Net sales of
the Brands Division were EUR 63.0 million (EUR
43.5 million), those of the
Business to Business Division EUR 56.3 million (EUR
54.2 million) and those
of other operations EUR 0.2 million (EUR 0.2 million).
The main driver of
net sales growth was the merger of Raisio UK with Raisio
Group reporting.
In
January-September, net sales was EUR 325.2 million (EUR 284.5 million),
which
is 14.3% more than in the corresponding period in 2009. Net sales from
outside
Finland represented 42.9% (33.7%) of the total, amounting to EUR
139.5 million
(EUR 96.0 million).
Result
Raisio's EBIT from continuing operations in
July-September was EUR 6.1 million
(EUR 7.3 million and, including one-off
items EUR 7.0 million) accounting for
5.1% (7.7% and, including one-off
items, 7.4%) of net sales. A donation of EUR
250,000 to the University of
Turku was included in the third quarter EBIT of
2009. The EBIT of the
Brands Division amounted to EUR 6.5 million (EUR 7.3
million), that of
the Business to Business Division EUR 0.0 million (EUR 0.3
million) and
that of other operations EUR -0.4 million (EUR -0.5 million and,
including
one-off items, EUR -0.8 million).
In
January-September, the Group's EBIT was EUR 16.4 million (EUR 16.3 million
and, including one-off items, EUR 15.3 million). Regardless of the Business
to
Business Division's result, the Group's EBIT is line with the company's
objective, i.e. 5% of net sales.
Depreciations and impairments, allocated to operations in the
income statement,
amounted to EUR 4.2 million (EUR 3.7 million) in
July-September and to EUR 11.8
million (EUR 11.5 million) in
January-September.
The third-quarter pre-tax
result was EUR 6.8 million (EUR 7.0 million and,
including one-off
items, EUR 6.8 million). The Group's pre-tax result for
January-September was EUR 14.3 million (EUR 15.6 million and, including
one-off
items, EUR 14.4 million). Net financial items for July-September
totalled EUR
0.8 million (EUR -0.3 million and, including one-off items,
EUR -0.3 million).
The net financial items for January-September totalled
EUR -2.2 million (EUR
-0.8 million and, including one-off items, EUR -0.9
million). Raisio's post-tax
result from continuing operations totalled EUR
4.9 million in July-September
(EUR 5.2 million and, including one-off
items, EUR 5.0 million). The post-tax
result for January-September totalled
EUR 10.2 million (EUR 11.2 million and,
including one-off items, EUR 10.3
million). Earnings per share for
July-September were EUR 0.03
(EUR 0.03 and, including one-off items, EUR 0.03)
and for January-September
EUR 0.07 (EUR 0.07 and, including one-off items, EUR
0.07).
Balance sheet and
cash flow
Raisio's
balance sheet total at the end of September amounted to EUR 465.8
million (31 December 2009: EUR 444.2 million). Shareholders' equity totalled
EUR
319.9 million at the end of September (31 December 2009: EUR 322.0
million),
while equity per share was EUR 2.04 (31 December 2009: EUR
2.06).
The Group's interest-bearing debt was EUR 73.5 million
at the end of September
(31 December 2009: EUR 62.8 million). Net
interest-bearing debt was EUR -58.7
million (31 December 2009: EUR -150.2
million). The equity ratio totalled 69.0 %
(31 December 2009: 73.4%) and net
gearing was -18.3% (31 December 2009: -46.6%).
Return on investment was 5.4%
(31 December 2009: 6.1%).
Cash flow from business
operations was EUR 15.2 million (Q3/2009: EUR 21.3
million) in
July-September and EUR 10.3 million (EUR 27.6 million) in
January-September.
Working capital amounted to EUR 80.0 million at the end of the review
period
(Q3/2009: EUR 82.2 million). Raisio's interest-bearing financial
assets amounted
to some EUR 132 million at the end of the review period.
Including securities
investments, the Group's financial assets totalled
approximately EUR 147 million
at the end of the review period.
Investments
Gross investments in the third quarter,
excluding investments in securities,
were EUR 2.1 million (EUR 3.0
million) accounting for 1.8% (3.2%) of net sales.
Gross investments of the
Brands Division were EUR 0.6 million (EUR 1.1 million),
those of the Business
to Business Division EUR 1.3 million (EUR 1.7 million) and
those of other
operations EUR 0.2 million (EUR 0.3 million).
Gross
investments in January-September were EUR 48.6 million (EUR 7.0 million).
The
largest investment of 2010 has been the acquisition of Glisten's shares.
Raisio paid EUR 22.2 million for Glisten's share capital and financed the
repayment of Glisten's credits at the time of acquisition, granted by
financial
institutions, in a total amount of EUR 36.5 million. Raisio has
also invested in
new, consumer-friendly and easy-to-use packages by renewing
packaging lines in
Finland.
Research and development
The basis of Raisio's research and development is
to provide consumers and
customers with products and solutions that meet
their requirements. Recent
research evidence and new product
applications are given emphasis in the
Benecol's product development.
In the review period, the research and
development of foods focused
on new type of innovative Elovena snacks and
packaging technology. In
the feeds, the focus remains on ensuring the well-being
of animals, improving
the effectiveness and profitability of livestock
production as well
as reducing environmental impacts.
In October,
after the review period, Raisio published carbon footprint
calculations on its feeds. Carbon footprint calculation and measuring of the
environmental impacts of feeds have improved Raisio's knowledge on its own
production chain. These measures also help reduce the environmental
impacts of
livestock production with the use of more effective feeding
solutions. The
impact of environmental issues is even more significant
in the feed chain than
in Raisio's brands business due to remarkably larger
raw material flows. Carbon
footprint calculation of feeds provides reliable
source information to the
customer industry's product development
helping them to meet consumer needs.
Environmental impacts of food
production will determine consumer choices even
more in the future. We will
also continue the carbon footprint calculation and
labelling of our foods.
The Group's
investment in research and development in July-September totalled
EUR 1.5
million (EUR 1.3 million), or 1.3% (1.3%) of net sales. The research
and
development investments of the Brands Division were EUR 1.2 million (EUR
0.9
million) and those of the Business to Business Division EUR 0.3
million (EUR 0.3
million). The Group's investment in research and development
in
January-September totalled EUR 4.4 million (EUR 4.3
million), or 1.4% of net
sales (1.5%).
SEGMENT INFORMATION
BRANDS DIVISION
Net sales of the Brands Division grew
by 45% amounting to EUR 63.0 million (EUR
43.5 million). The main driver of
net sales growth was the merger of Glisten,
Raisio's business operations in
Western Europe, with the Group's financial
reporting. In the review
period, the sales of Elovena, Sunnuntai and Carlshamn
developed favourably.
Net sales of the Brands Division were EUR 170.9 million
(EUR 132.1 million)
in January-September, representing year-over-year growth of
almost 30%. The
Division accounted for 52% of the Group's net sales.
The third
quarter EBIT of the Brands Division was EUR 6.5 million (EUR 7.3
million) accounting for 10.3% (16.8%) of net sales. The January-September
EBIT
was EUR 17.1 million (EUR 17.7 million) accounting for 10.0% (13.4%) of
net
sales.
Local brands
Raisio's locally strong brands are, e.g., Elovena, Sunnuntai,
Carlshamn, Nordic
and The Dormen. Net sales generated by local brands grew
considerably amounting
to EUR 51.3 million (EUR 33.2 million). In
January-September, net sales totalled
EUR 134.0 million (EUR 99.7 million).
In the Western European operations,
the market situation in Great Britain
remained challenging. Sales
volume and profitability in consumer products
continued to show a
generally upward trend despite continuing high levels of
promotional
activity across all market sectors which increased the fluctuation
in
consumer demand. Raisio implemented an extensive media campaign and
successfully re-launched The Dormen brand of premium snacking nuts.
Furthermore,
Raisio renewed its agreements with some airline groups on the
serving of The
Dormen nuts on the flights.
In Finnish and Swedish markets of Northern European
operations, sales volumes of
the main brands increased even though the
exceptionally warm summer reduced
baking and sales of flakes. On the
other hand, we reached all-time sales records
in easy-to-bake Sunnuntai
products. Successful launches of new snack products
enhanced the sales of
Elovena products in Finland. Raisio launched organic bread
called Elovena
paahtopalat as well as non-dairy Elovena lusikoitavat välipalat
and The
Dormen nuts as novelties. With The Dormen, the company is aiming to
establish its position as a category creator in premium nuts.
Non-dairy snack products called Elovena lusikoitavat välipalat were
launched in
Finland in the early autumn and they enjoyed an excellent
reception. The
products also got plenty of shelf space in the shops.
Furthermore, Raisio
launched the First Finnish organic bread family
under the Elovena brand. Elovena
paahtopalat is a new kind of option for
consumers. This ecological bread with a
long preservation is additive-free
and baked using Finnish organic raw
materials.
Elovena was rated the
second-most valued Finnish food brand in the annual study,
The most valued
brands 2010, conducted by Markkinointi & Mainonta magazine this
autumn. Of
all brands, Elovena was rated the 13th most valued. Last year Elovena
was the
28th, so the brand's appreciation improved by a splendid 15 positions.
Sales volumes of products sold under the Carlshamn brand in Sweden further
increased. Raisio's position as market second strengthened in soyghurts,
i.e.
non-dairy snacks, and rose close to 40%. Soyghurts sold under the
Carlshamn
brand are widely represented in the selections of grocery
shops, and consumers
trust the brand relaunched at the beginning of 2009.
Sales of non-dairy products
are still increasing in Sweden. Carlsham brand is
showing the most rapid growth,
approximately 20% per year. Swedish consumers
have warmly welcomed the novelties
of Carlshamn product family.
In our Eastern European operations in
Russia and Ukraine, sales and volumes
developed well in the third
quarter, and Nordic has established its position as
a trusted brand. Because
of raw material prices, consumer products are under
price pressure in
Russia, but the state government has denied price increases
for the time
being. Nevertheless, Raisio's business operations remained
profitable. In Poland, our target is to grow.
International brands - Benecol
Benecol's net sales increased by over 6% in July-September totalling
EUR 11.8
million (EUR 11.0 million). In January-September, net sales
totalled EUR 37.0
million (EUR 34.5 million). Benecol's profitability has
stabilised at a good
level.
In Benecol, both net sales and volume growth
continued. The sales growth in
Benecol products continued strong in Great
Britain, Spain and Greece despite the
challenging economic situation of the
countries. Advertising campaigns and
product promotions conducted by our
partners supported the sales growth. In
other European countries, the
sales of Benecol products remained at the last
year's level. Raisio has
expanded the service concept offered to the partners,
and we will further
strengthen the expert role of Benecol brand together with
our partners.
Strong sales
growth continued in Benecol products in Thailand. Raisio's partner
in
Thailand is a good example of how to reach consumers and to increase the
brand awareness with products suitable to local markets and with well-planned
marketing measures. When operating in new markets, long-term work to train
and
guide both consumers and healthcare professionals is extremely important
to
ensure the future success.
The renewed Benecol logo and pack design will further establish
Benecol's
position as an international expert brand. With this renewal,
we aim to achieve
better and more harmonised brand awareness all over the
world and to stand out
from competitors on the store shelves with our fresh
product packages with good
visibility. The renewal is based on results
provided by international consumer
studies. New Benecol product packages can
already be seen in Thailand, Columbia,
Great Britain, Ireland, Turkey,
Romania, Spain and Finland.
Key figures for the Brands
Division
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| | Q3/2010 | Q3/2009 | Q1-Q3/ | Q1-Q3/ | 2009
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| | | | | 2010 | 2009 |
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Net sales | M€ | 63.0 | 43.5 | 170.9 | 132.1 | 177.6
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International | M€ | 11.8 | 11.0 | 37.0 | 34.5 | 47.0
|
| brands | | | | | |
|
| - | | | | | |
|
| Benecol | | | | | |
|
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Local brands | M€ | 51.3 | 33.2 | 134.0 | 99.7 | 133.1
|
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EBIT | M€ | 6.5 | 7.3 | 17.1 | 17.7 | 20.5
|
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EBIT | % | 10.3 | 16.8 | 10.0 | 13.4 | 11.5
|
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Investments | M€ | 0.6 | 1.1 | 45.0 | 2.2 | 3.3
|
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Net assets | M€ | - | - | 144.4 | 82.9 | 69.6
|
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Outlook
Raisio aims to grow both organically as well as through acquisitions.
Impacts of
the European economic situation on the overall demand and
consumers' purchase
power bring challenges to the operations. So far it
seems, however, that the
brand portfolio works well in the company's
market areas and that, e.g.,
significant promotion activities haven't
affected the overall profitability
considerably. Regarding the
acquisitions, Raisio is proceeding as planned and
although the year-end
2011 growth target is challenging, it is feasible in the
light of
present-day knowledge.
BUSINESS TO BUSINESS DIVISION
Net sales of the Business to Business Division totalled EUR 56.3
million (EUR
54.2 million) in July-September. Net sales figures of feed
business also include
feed protein business. Net sales were reduced by the
impact of an exceptionally
hot summer on sales volume and net sales of fish
feeds both in Finland and
abroad. Because of the heat fish were eating
much less than normally and, at its
worst, the heat caused fish mortality and
thus the market could not recover even
in the autumn. Net sales of the
Business to Business Division totalled EUR
155.3 million (EUR 159.3
million) in January-September. The Division accounted
for 48% of the Group's
net sales.
The third-quarter
EBIT of the Business to Business Division totalled EUR 0.0
million (EUR
0.3 million), or 0.1% (0.6%) of net sales. The major single factor
in the
reduced EBIT was the low profitability of rapeseed oil exports. Malt
market overcapacity together with tough price competition dropped the unit
margin and kept the profitability weak in spite of the sales volume growth.
Sales volume of fish feeds was clearly lower than in the comparison
period and
this weakened the profitability of feed business. In
January-September, the EBIT
of the Division was EUR 1.4 million (EUR 1.0
million).
In the review period, the profitability
of livestock production complicated the
activities in the farms and increased
delayed payments. Exceptional pricing of
the main competitors during the
autumn was not in line with increased raw
material costs. Therefore the
competition has been extremely tight and the will
to regain the lost market
shares has been an obvious motive for the activities.
As a result of improved
operations, the profitability of feeds remained nearly
at the earlier level.
Key figures for
the Business to Business Division
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| | Q3/2010 | Q3/2009 | Q1-Q3/ | Q1-Q3/ | 2009
|
| | | | | 2010 | 2009 |
|
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|
Net sales | M€ | 56.3 | 54.2 | 155.3 | 159.3 | 205.6
|
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|
Feeds | M€ | 46.8 | 48.8 | 133.2 | 136.1 | 176.1
|
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|
Malt | M€ | 7.9 | 4.8 | 15.7 | 20.1 | 26.3
|
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|
Other | M€ | 1.9 | 0.7 | 6.8 | 3.5 | 3.6
|
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|
EBIT | M€ | 0.0 | 0.3 | 1.4 | 1.0 | 3.0
|
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|
EBIT | % | 0.1 | 0.6 | 0.9 | 0.6 | 1.4
|
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|
Investments | M€ | 1.3 | 1.7 | 2.9 | 4.1 | 5.4
|
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|
Net assets | M€ | - | - | 87.6 | 87.7 | 79.2
|
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Outlook
Producer prices of livestock products have not yet reacted rapidly enough
to the
price increase of feeds, which may temporarily force the farmers to use
farm-made mixes instead of industrial ones.
Feed business will provide its customers with a feeding plan
programme that
enables feeding optimisation at the farm level including
also environmental
aspects. Carbon footprint calculation of Raisio's
feeds supports the
identification of environmental impacts of the
whole food chain and provides
reliable calculation data for customers who
consider it useful in their own
operations. Carbon footprint calculation
also supports raw material choices and
product development in feeds.
Malt market is estimated to
continue very challenging also in the last quarter.
Furthermore, the
considerable increase in energy price in Finland makes
follow-through
sales price increases challenging.
Long-term
cooperation agreement between Raisio and Neste Oil regarding the
utilisation of Raisio's rapeseed oil surplus as raw material in Neste Oil's
renewable diesel will strengthen our position as a significant raw material
supplier in the bioenergy production chain. Rapeseed oil deliveries to
Neste Oil
will be started in full at the beginning of 2011. This agreement
will open new
opportunities for Raisio to stabilise and develop the feed
protein business.
GRAIN MARKET
Grain crop harvested in Finland was clearly lower
than domestic consumption due
to decreased arable areas and dry summer. In
the previous years, record crops
were harvested in Finland and grain
production greatly exceeded the consumption.
At the end of the summer,
Russia banned grain exports because of drought and
exceptionally poor
crops. This almost doubled the price of wheat in the world
markets. Prices
in the EU and Finland followed the common development. Price
increase was
as rapid as three years ago during the food crisis. At that time,
the stock
levels of wheat were sufficient for only two months' consumption. This
year
the stocks are at three month's level thanks to earlier good crop years.
Globally there is no lack of wheat but of cheap wheat since the Russia's 15 %
part of wheat production was not available for sale. On the other hand,
intervention stocks in Finland owned by the EU Commission are
considerable and
will be on the markets during the crop year. Fast price
increases in grains as
well as in protein and oil plants brought speculative
money back to grain
exchanges, which further increases volatility in
grain raw materials.
Supply of grains and rapeseed was active
after the harvest period in Finland. At
the turn of September to October the
markets overheated. After the prices fell,
the markets calmed down and the
supply nearly dried up. Strong volatility in
grain raw material prices
will continue along with the changes in supply and
demand both in global
and domestic markets. Controlling of volatility in grain
raw material prices
will be essential to Raisio's profitability also in the
future.
Raisio's
flexible pricing of grain raw materials has been proven effective and
the
company continues to develop cooperation models together with its contract
farmers.
PERSONNEL
Raisio Group's continuing operations employed 1,261 people at the end
of
September (31 December 2009: 593 people). At the end of the review
period, the
Brands Division had 948, the Business to Business Division 254
and the service
functions 59 employees. 58% of the personnel (14% 31
December 2009) were working
outside of Finland.
SHARES AND SHAREHOLDERS
The number of Raisio plc's free shares
that were traded on NASDAQ OMX Helsinki
Ltd in January-September totalled
34.0 million (27.2 million). The value of
trading was EUR 93.5 million
(EUR 52.0 million) and the average price EUR 2.75
(EUR 1.92). The closing
price on 30 September 2010 was EUR 2.93.
A total of 0.9
million (0.9 million) restricted shares were traded in
January-September. The value of trading was EUR 2.4 million (EUR 1.7 million)
and the average price EUR 2.76 (EUR 1.92). The closing price on 30
September
2010 was EUR 2.90.
On 30 September 2010, the company had a total of 36,274
registered shareholders
(37,384 shareholders on 31 December 2009). Foreign
ownership of the entire share
capital was 12.9% (13.3% on 31 December 2009).
Raisio plc's market capitalisation at the
end of September amounted to EUR 482.9
million (EUR 441.4 million 31 December
2009) and, excluding the company shares
held by the Group, to EUR 470.7
million (EUR 417.4 million on 31 December 2009).
During the review period, a
total of 43,518 restricted shares were converted
into free shares.
The number of issued
free shares was 130,740,825 while the number of restricted
shares was
34,408,205. The share capital entitled to 818,904,925 votes.
At the
end of the review period, Raisio plc held 3,950,600 free shares and
201,295 restricted shares. The number of free shares accounts for 3.02% of
all
free shares and the votes they represent, while the corresponding figure
for
restricted shares is 0.59%. In all, the company shares held by the
Group
represent 2.51% of the company's entire share capital and 0.97%
of overall
votes.
Raisio plc's subsidiaries do not hold any shares in the
parent company. The
Raisio Group Research Foundation holds 150,510
restricted shares, which is 0.44%
of the restricted shares and the votes they
represent and, correspondingly,
0.09% of the whole share capital and
0.37% of the votes it represents. A share
in Raisio or its subsidiary does
not entitle the holder to participate in the
Annual General Meeting.
AUTHORISATIONS TO
REPURCHASE OWN SHARES AND TO SHARE ISSUES
The Annual
General Meeting of the spring 2010 has authorised the Board of
Directors to decide on the repurchasing of a maximum total of 6,000,000 free
and
1,500,000 restricted shares to the company. The authorisation will be
valid
until 25 September 2011. Furthermore, the Meeting authorised the
Board of
Directors to decide on the share issues (1) by disposing of
all of the company
shares and any potentially repurchased own shares, a
maximum total of 16,504,404
shares, 1,701,295 of which can be restricted
shares, and (2) by issuing a
maximum of 16,500,000 new free shares
against payment. The share issue
authorisations will be valid until
25 March 2015 at the latest. The details of
the authorisations are available
in the stock exchange release published on 11
February 2010.
In the review period, the
company has not acquired its own shares.
In the review period,
11,453 free shares were assigned to the Chairman of the
Board and Board
members as part of the compensation for managing their duties,
in line with
the decisions taken by the Annual General Meetings held in 2009 and
2010.
Furthermore, a total of 553,056 free shares were assigned as a reward for
the
second earnings period of the share-based incentive scheme (financial
year 2009)
to the 51 persons covered by the scheme as well as a total of
168,000 free
shares as recognition of and reward for the successfully
completed divestment of
the margarine business in 2009, also to 51 persons.
Directed share issue
The Board of Directors of Raisio plc decided,
on 23 June 2010, on the share
issue against payment directed to Raisio
Management Oy. In the share issue, a
total of 4,120,000 free shares held by
the company were assigned, deviating from
the pre-emptive subscription right
of shareholders, to be subscribed by Raisio
Management Oy. The company had a
weighty financial reason to deviate from the
pre-emptive subscription right
of shareholders since the shares assigned in the
share issue were used to
implement the incentive and commitment system for the
members of the Raisio
Management Team. As the assigned free shares in the share
issue were company
shares held by Raisio plc, the number of the company's shares
remained
unchanged.
The
subscription price (assignment price) of a free share was the trade volume
weighted average quotation of the company's free share on the NASDAQ OMX
Helsinki Ltd during 5 May - 22 June 2010, i.e. EUR 2.58. The share
subscription
period was 1 - 2 July 2010 and the subscribed shares had to be
paid on 16 July
2010 at the latest. The subscription price has been paid to
the company and
registered to the reserve for invested unrestricted
equity of the company.
SHARE-BASED INCENTIVE SCHEMES
Management incentive scheme 2010 - 2013
In June 2010, the Board of Directors of
Raisio plc decided on a new incentive
scheme for the members of Raisio
Group's Management Team. The purpose of the
scheme is to commit the
members of the Management Team to the company by
encouraging them to
acquire and hold company shares, and this way to increase
the company's
shareholder value in the long run, as well as to support the
achievement
of the company's strategic objectives.
The
share ownership has been implemented through Raisio Management Oy owned by
Raisio plc's Managing Director and seven members of the Group's Management
Team.
In July 2010, the company acquired a total of 362,740 Raisio plc's free
shares
at market price, as well as a total of 4,120,000 free shares from
Raisio plc in
a directed share issue. After this, the members of the
Management Team hold,
through their company, a total of 4,482,740 free
shares, which covers some 2.7%
of all of the Raisio plc's shares and some
0.5% of all of the votes of the
shares. The acquisitions were financed
by the capital investments of the members
of the Management Team, in the
amount of EUR 1.2 million, as well as by a loan
of EUR 10.5 million granted
by Raisio plc. The scheme has been described in
detail in the stock
exchange release published on 23 June 2010.
Share-based
incentive scheme 2010
Raisio
has a three-year, share-based incentive scheme the purpose of which is
to
combine the objectives of owners and key personnel in order to increase the
capitalisation value of the company and to commit the key personnel to
the
company by offering them a competitive reward system based on
shareholding.
In March 2010, the Board of Directors of Raisio plc
decided on the share-based
incentive scheme for the third earning period,
which is the financial year 2010.
The earnings criterion applied is operating
result in proportion to net sales,
in addition to which a prerequisite for
receipt of the reward is that a certain
net sales during the fiscal year 2010
will be reached. The number of free shares
to be distributed is a maximum
total of 600,000. The scheme has been described
in detail in the stock
exchange release published on 18 March 2010.
Subgroup Glisten's
share-based incentive schemes 2010-2012
In August
2010, the Board of Directors of Raisio plc decided on two synthetic
share-based incentive and commitment schemes for the management of Raisio's
British subgroup Glisten and key employees. The purpose of the schemes is
to
combine the objectives of owners, management and key employees in order
to
increase the company's capitalisation value, to commit the management
and key
employees to the company and to offer them a competitive reward
system based on
the value of a share.
On the basis of the first scheme, a cash reward will be
paid by the end of May
2012. Total amount of the reward equals the value of
966,117 Raisio plc free
shares. Value of a free share will be determined
by its trade volume weighted
average quotation on the NASDAQ OMX Helsinki
Ltd in March 2012 subtracted by a
dividend per share payable decided by the
Annual General Meeting of 2012.
A prerequisite for receipt of the
reward is that each person now appointed to
the scheme will still be
employed by Raisio Group on 8 April 2012. There are 36
persons within the
scheme.
On the basis
of the second scheme, a cash reward corresponding to a maximum
total of
420,000 Raisio plc free shares will be paid. In case the subgroup
Glisten's EBIT for the term ending 30 June 2011 exceeds the level defined in
the
scheme, a reward equivalent to the value of 210,000 Raisio plc free shares
will
be paid by the end of September 2011. Value of a free share will be
determined
by its trade volume weighted average quotation on the NASDAQ OMX
Helsinki Ltd in
August 2011. Furthermore, in case the subgroup Glisten's EBIT
for the term
ending on 30 June 2012 exceeds the level defined in the
scheme, a reward
equivalent to 210,000 Raisio plc free shares will be
paid by the end of
September 2012. Value of a free share will be
determined by its trade volume
weighted average quotation on the NASDAQ
OMX Helsinki Ltd in August 2012.
Glisten Ltd's CEO and CFO are within
the second scheme.
DECISIONS MADE AT THE ANNUAL
GENERAL MEETING
Raisio plc's Annual
General Meeting held on 25 March 2010 approved the financial
statements for
the financial year 1 January - 31 December 2009 and discharged
the members
of the Board of Directors and the Supervisory Board, as well as the
Chief
Executive Officer, from liability. The Annual General Meeting decided to
distribute a dividend of EUR 0.09 per share. The dividend was paid to the
shareholders on 8 April 2010.
A Stock Exchange Release was published on 25 March 2010 concerning the
decisions
made by the Meeting in addition to which the decisions were
described in the
Interim Report of January-March.
CHANGES IN GROUP STRUCTURE
Incorporation of feed protein business
Raisio Nutrition Ltd's feed protein business
(earlier: vegetable oil business),
i.e. manufacturing and trade of meals and
oils will be incorporated to the
limited company named Proteinoil Oy
through partial demerger. Incorporation is
meant to come into effect on 31
December 2010.
Raisio Finance NV
In June, Raisio plc and
Raisio Nutrition Ltd founded a company in Belgium named
Raisio Finance NV,
which operates in financing of group companies. The new
subsidiary has
started its operations. Its share capital is owned by the
founding
companies.
Glisten Ltd.
The acquisition of snack foods producer Glisten plc came into force on
8 April
2010 after the completion of related legal conditions. Glisten was
delisted from
the AIM of London Stock Exchange on 9 April 2010. The subgroup
formed with
Glisten Ltd as a parent company was made part of Raisio
Group on 8 April 2010
through the Raisio plc's subsidiary Raisio UK Ltd.
RISKS AND SOURCES OF UNCERTAINTY IN THE NEAR
FUTURE
Volatility in raw material prices is
estimated to continue strong. Controlling
of volatility is essential for
Raisio's profitability. Main risks in the near
future are related to any
possible changes caused by the general economic
development in the
Group's key market areas.
The risks and
outlook of the businesses in the near future are further examined
in the
Segment information of this Interim report.
OUTLOOK REMAINS UNCHANGED
Raisio has moved to a growth phase that covers the years 2010 and 2011.
We
expect a considerable increase in net sales in 2010. Our target is to
maintain
the earlier level of profitability at the beginning of the growth
phase even
though the costs of growth projects impact the Group's result
and the market
situation in Business to Business Division will probably
continue to be
challenging.
Raisio, 2 November 2010
RAISIO PLC
Board of Directors
Further information:
Matti Rihko, CEO, tel.
+358 400 830 727
Jyrki Paappa, CFO,
tel. +358 50 5566 512
Heidi Hirvonen,
Communications Manager, tel. +358 50 567 3060
A press and
analyst event in Finnish will be arranged on Tuesday 2 November 2010
at 1:30
p.m. Finnish time in Helsinki. It will be held at Hotel Scandic
Simonkenttä, in the Mansku meeting room. The address is Simonkatu 9,
Helsinki.
A teleconference in English will be held on 2 November 2010 at
3:00 p.m. Finnish
time. Participants are requested to call the number +358 9
8248 8000, PIN code
1725.
The interim report has not been audited.
CONDENSED FINANCIAL STATEMENTS AND NOTES
INCOME STATEMENT (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
CONTINUING OPERATIONS: | | | | |
|
-----------------------------------------------------------------------------
---
|
Net sales | 118.9 | 95.5 | 325.2 | 284.5 | 375.9
|
-----------------------------------------------------------------------------
---
|
Expenses corresponding to | -100.4 | -77.8 | -270.5 | -234.2 | -313.3
|
| products sold | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Gross profit | 18.5 | 17.7 | 54.7 | 50.3 | 62.6
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Other operating income and | -12.4 | -10.7 | -38.3 | -35.1 | -43.2
|
| expenses, net | | | | |
|
-----------------------------------------------------------------------------
---
|
EBIT | 6.1 | 7.0 | 16.4 | 15.3 | 19.5
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Financial income | 0.8 | 0.5 | -0.2 | 2.2 | 3.1
|
-----------------------------------------------------------------------------
---
|
Financial expenses | 0.0 | -0.8 | -1.9 | -3.1 | -3.7
|
-----------------------------------------------------------------------------
---
|
Share of result of | 0.0 | 0.0 | 0.0 | 0.0 | 0.1
|
| associated companies and | | | | |
|
| joint ventures | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Result before taxes | 6.8 | 6.8 | 14.3 | 14.4 | 18.9
|
-----------------------------------------------------------------------------
---
|
Income tax | -1.9 | -1.8 | -4.0 | -4.1 | -5.6
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Result for the period from | 4.9 | 5.0 | 10.2 | 10.3 | 13.4
|
| continuing operations | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
DISCONTINUED OPERATIONS: | 0.0 | 1.6 | -0.1 | 2.5 | 39.7
|
| Result for the period from | | | | |
|
| discontinued operations | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
RESULT FOR THE PERIOD | 4.9 | 6.6 | 10.1 | 12.9 | 53.1
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Attributable to: | | | | |
|
-----------------------------------------------------------------------------
---
|
Equity holders of the | 5.0 | 6.6 | 10.2 | 12.9 | 53.1
|
| parent company | | | | |
|
-----------------------------------------------------------------------------
---
|
Non-controlling interests | -0.1 | 0.0 | -0.1 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Earnings per share from the | | | | |
|
| profit attributable to | | | | |
|
| equity holders of the | | | | |
|
| parent company | | | | |
|
-----------------------------------------------------------------------------
---
|
CONTINUING OPERATIONS: | | | | |
|
-----------------------------------------------------------------------------
---
|
Undiluted earnings per | 0.03 | 0.03 | 0.07 | 0.07 | 0.09
|
| share | | | | |
|
-----------------------------------------------------------------------------
---
|
Diluted earnings per share | 0.03 | 0.03 | 0.07 | 0.07 | 0.09
|
-----------------------------------------------------------------------------
---
|
DISCONTINUED OPERATIONS: | | | | |
|
-----------------------------------------------------------------------------
---
|
Undiluted earnings per | 0.00 | 0.01 | 0.00 | 0.02 | 0.26
|
| share | | | | |
|
-----------------------------------------------------------------------------
---
|
Diluted earnings per share | 0.00 | 0.01 | 0.00 | 0.02 | 0.25
|
-----------------------------------------------------------------------------
---
COMPREHENSIVE
INCOME STATEMENT (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
Result for the period | 4.9 | 6.6 | 10.1 | 12.9 | 53.1
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Other comprehensive income | | | | |
|
| items | | | | |
|
-----------------------------------------------------------------------------
---
|
Translation differences | 0.0 | 0.0 | 0.0 | 0.0 | -0.3
|
| recognised in profit and | | | | |
|
| loss on disposal of foreign | | | | |
|
| operations | | | | |
|
-----------------------------------------------------------------------------
---
|
Protection of net | 0.5 | | -0.2 | |
|
| investments | | | | |
|
-----------------------------------------------------------------------------
---
|
Gains and losses arising | -2.6 | 0.3 | 1.2 | -0.5 | -0.3
|
| from translating the | | | | |
|
| financial statements of | | | | |
|
| foreign operations | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Comprehensive income for | 2.8 | 6.9 | 11.1 | 12.4 | 52.6
|
| the period | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Components of comprehensive | | | | |
|
| income: | | | | |
|
-----------------------------------------------------------------------------
---
|
Equity holders of the | 2.9 | 6.9 | 11.2 | 12.4 | 52.6
|
| parent company | | | | |
|
-----------------------------------------------------------------------------
---
|
Non-controlling interests | -0.1 | 0.0 | -0.1 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
BALANCE
SHEET (M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
ASSETS | | |
|
-----------------------------------------------------------------------------
---
|
Non-current assets | | |
|
-----------------------------------------------------------------------------
---
|
Intangible assets | 10.9 | 7.9 | 7.5
|
-----------------------------------------------------------------------------
---
|
Goodwill | 51.3 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Property, plant and equipment | 107.4 | 99.1 | 95.3
|
-----------------------------------------------------------------------------
---
|
Shares in associated companies and | 0.8 | 0.8 | 0.8
|
| joint ventures | | |
|
-----------------------------------------------------------------------------
---
|
Financial assets available for sale | 0.6 | 0.6 | 0.6
|
-----------------------------------------------------------------------------
---
|
Receivables | 0.4 | 0.3 | 0.4
|
-----------------------------------------------------------------------------
---
|
Deferred tax assets | 6.2 | 7.4 | 6.5
|
-----------------------------------------------------------------------------
---
|
Total non-current assets | 177.6 | 116.0 | 111.0
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Current assets | | |
|
-----------------------------------------------------------------------------
---
|
Inventories | 72.8 | 65.3 | 55.0
|
-----------------------------------------------------------------------------
---
|
Accounts receivables and other | 67.3 | 55.3 | 54.9
|
| receivables | | |
|
-----------------------------------------------------------------------------
---
|
Financial assets at fair value | 136.1 | 97.7 | 215.3
|
| through profit or loss | | |
|
-----------------------------------------------------------------------------
---
|
Cash in hand and at banks | 12.1 | 37.4 | 8.0
|
-----------------------------------------------------------------------------
---
|
Total current assets | 288.3 | 255.7 | 333.2
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Non-current assets available for sale | | 39.7 |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Total assets | 465.8 | 411.4 | 444.2
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
EQUITY AND LIABILITIES | | |
|
-----------------------------------------------------------------------------
---
|
Equity attributable to equity holders | | |
|
| of the parent company | | |
|
-----------------------------------------------------------------------------
---
|
Share capital | 27.8 | 27.8 | 27.8
|
-----------------------------------------------------------------------------
---
|
Own shares | -17.8 | -18.5 | -18.5
|
-----------------------------------------------------------------------------
---
|
Other equity attributable to equity | 308.8 | 271.9 | 312.8
|
| holders of the parent company | | |
|
-----------------------------------------------------------------------------
---
|
Equity attributable to equity holders | 318.8 | 281.2 | 322.0
|
| of the parent company | | |
|
-----------------------------------------------------------------------------
---
|
Non-controlling interests | 1.1 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Total equity | 319.9 | 281.2 | 322.0
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Non-current liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Deferred tax liabilities | 7.0 | 7.7 | 7.6
|
-----------------------------------------------------------------------------
---
|
Pension liabilities | 0.2 | 0.2 | 0.2
|
-----------------------------------------------------------------------------
---
|
Reserves | 1.4 | | 1.4
|
-----------------------------------------------------------------------------
---
|
Non-current financial liabilities | 59.1 | 55.7 | 48.6
|
-----------------------------------------------------------------------------
---
|
Other non-current liabilities | 0.1 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Total non-current liabilities | 67.8 | 63.6 | 57.8
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Current liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Accounts payable and other | 62.1 | 44.5 | 48.4
|
| liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Reserves | 1.6 | 0.9 | 1.6
|
-----------------------------------------------------------------------------
---
|
Financial liabilities at fair value | 0.0 | 0.3 | 0.1
|
| through profit or loss | | |
|
-----------------------------------------------------------------------------
---
|
Current financial liabilities | 14.5 | 14.7 | 14.2
|
-----------------------------------------------------------------------------
---
|
Total current liabilities | 78.2 | 60.3 | 64.4
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Debts related to non-current assets | | 6.2 |
|
| held for sale | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Total liabilities | 146.0 | 130.1 | 122.1
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Total equity and liabilities | 465.8 | 411.4 | 444.2
|
-----------------------------------------------------------------------------
---
CHANGES
IN GROUP EQUITY (M€)
----------------------------------------------------------------------------
----
|
| Shar | Sha | Res | Own | Tran | Retai | Total | Non-c | Total
|
| | e | re | erv | shar | slat | ned | | ontro |
equit |
| | capi | pre | e | es | ion | earni | | lling
| y |
| | tal | miu | fun | | diff | ngs | |
inter | |
| | | m | d | | eren | |
| ests | |
| | | res | | | ces | |
| | |
| | | erv | | | | |
| | |
| | | e | | | | |
| |
|
-----------------------------------------------------------------------------
---
|
Equity on | 27.8 | 2.9 | 88. | -19. | -3.2 | 182.7 | 279.4 | 0.0 | 279.4
|
| 31.12.2008 | | | 6 | 3 | | | | |
|
-----------------------------------------------------------------------------
---
|
Comprehensi | - | - | - | - | -0.4 | 12.9 | 12.4 | 0.0 | 12.4
|
| ve income | | | | | | | | |
|
| for the | | | | | | | | |
|
| period | | | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Dividends | - | - | - | - | - | -10.9 | -10.9 | - | -10.9
|
-----------------------------------------------------------------------------
---
|
Repurchase | - | - | - | 0.0 | - | - | 0.0 | - | 0.0
|
| of own | | | | | | | | |
|
| shares | | | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Share-based | - | - | - | 0.9 | - | -0.6 | 0.3 | - | 0.3
|
| payment | | | | | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Equity on | 27.8 | 2.9 | 88. | -18. | -3.6 | 184.1 | 281.2 | 0.0 | 281.2
|
| 30.9.2009 | | | 6 | 5 | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Equity on | 27.8 | 2.9 | 88. | -18. | -3.7 | 225.0 | 322.0 | 0.0 | 322.0
|
| 31.12.2009 | | | 6 | 5 | | | | |
|
-----------------------------------------------------------------------------
---
|
Comprehensi | - | - | - | - | 1.0 | 10.2 | 11.2 | -0.1 | 11.1
|
| ve income | | | | | | | | |
|
| for the | | | | | | | | |
|
| period | | | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Dividends | - | - | - | - | - | -14.1 | -14.1 | - | -14.1
|
-----------------------------------------------------------------------------
---
|
Management | | | | -1.0 | | | -1.0 | 1.2 | 0.2
|
| incentive | | | | | | | | |
|
| scheme | | | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Share-based | - | - | - | 1.7 | - | -1.1 | 0.6 | - | 0.6
|
| payment | | | | | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Equity on | 27.8 | 2.9 | 88. | -17. | -2.7 | 220.0 | 318.8 | 1.1 | 319.9
|
| 30.9.2010 | | | 6 | 8 | | | | |
|
-----------------------------------------------------------------------------
---
CASH
FLOW STATEMENT (M€)
----------------------------------------------------------------------------
----
|
| 1-9/2010 | 1-9/2009 | 2009
|
-----------------------------------------------------------------------------
---
|
Result before taxes, continuing | 14.3 | 14.4 | 18.9
|
| operations | | |
|
-----------------------------------------------------------------------------
---
|
Result before taxes, discontinued | -0.3 | 2.9 | 39.3
|
| operations | | |
|
-----------------------------------------------------------------------------
---
|
Adjustments | 13.2 | 13.6 | -24.1
|
-----------------------------------------------------------------------------
---
|
Cash flow before change in working | 27.2 | 31.0 | 34.1
|
| capital | | |
|
-----------------------------------------------------------------------------
---
|
Change in current receivables | -3.0 | -0.4 | 4.2
|
-----------------------------------------------------------------------------
---
|
Change in inventories | -9.1 | 1.2 | 16.3
|
-----------------------------------------------------------------------------
---
|
Change in current | -0.9 | -4.5 | -2.6
|
| non-interest-bearing liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Total change in working capital | -13.1 | -3.7 | 17.9
|
-----------------------------------------------------------------------------
---
|
Financial items and taxes | -3.9 | 0.3 | -0.5
|
-----------------------------------------------------------------------------
---
|
Cash flow from business operations | 10.3 | 27.6 | 51.5
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Investments in fixed assets | -8.7 | -7.2 | -10.0
|
-----------------------------------------------------------------------------
---
|
Divestment of subsidiaries | 3.5 | 0.0 | 47.1
|
-----------------------------------------------------------------------------
---
|
Acquisition of subsidiaries | -22.2 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Divestment of associated companies | 0.0 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Proceeds from sale of fixed assets | 0.1 | 0.0 | 23.6
|
-----------------------------------------------------------------------------
---
|
Investments on marketable securities | -25.0 | 0.0 | -10.0
|
-----------------------------------------------------------------------------
---
|
Sales of securities | 17.5 | |
|
-----------------------------------------------------------------------------
---
|
Loans granted | -0.4 | 0.0 | -0.1
|
-----------------------------------------------------------------------------
---
|
Repayment of loan receivables | 0.3 | 0.3 | 0.3
|
-----------------------------------------------------------------------------
---
|
Cash flow from investments | -35.0 | -6.9 | 50.9
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Change in non-current loans | -35.6 | 51.0 | 43.9
|
-----------------------------------------------------------------------------
---
|
Change in current loans | -6.9 | -0.7 | -0.7
|
-----------------------------------------------------------------------------
---
|
Investment of related parties | 1.2 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Repurchase of own shares | -1.0 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Dividend paid to equity holders of | -14.0 | -10.8 | -10.8
|
| the parent company | | |
|
-----------------------------------------------------------------------------
---
|
Cash flow from financial operations | -56.3 | 39.5 | 32.4
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Change in liquid funds | -81.0 | 60.2 | 134.8
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Liquid funds at the beginning of the | 213.0 | 77.9 | 77.9
|
| period | | |
|
-----------------------------------------------------------------------------
---
|
Effects of changes in foreign | 0.5 | 0.3 | 0.1
|
| exchange rates | | |
|
-----------------------------------------------------------------------------
---
|
Impact of change in market value on | -0.2 | -0.1 | 0.1
|
| liquid funds | | |
|
-----------------------------------------------------------------------------
---
|
Liquid funds at period-end | 132.2 | 138.3 | 213.0
|
-----------------------------------------------------------------------------
---
NOTES
TO THE INTERIM REPORT
This interim report has been prepared in compliance with IAS 34 Interim
Financial Reporting according to the same principles and calculation
methods
used in financial statements 2009 with the exception of the
amendments to the
principles mentioned below.
The Group adopted the following IFRSs or amendments
to them on 1 January 2010:
Revision of IFRS 3 Business Combinations.
According to the revised standard, the
acquisition cost method is still
applied but some significant amendments have
been made. For instance, all
the payments effected to complete the acquisition
must be recognised at
their acquisition-date fair values, and the conditional
payments classified
as debts are later recognised at fair value through profit
and loss. For
each acquisition, IFRS 3 allows an accounting policy choice to
measure the
minority's interest either at fair value or its proportionate share
of net
assets of the acquisition. All costs related to the acquisition are
recognised as an expense.
Revised IAS 27 Consolidated and Separate Financial Statements. The
amended
standard specifies the treatment of the increases and decreases
in the ownership
interests of the Group's subsidiaries. According to the
standard, the impacts of
minority transactions must be recognised in
shareholders' equity if the control
is not changed and these transactions no
longer result in goodwill entries or
entries of gain and loss. If the
control is lost, the eventual remaining
ownership interest is
recognised at fair value and gain or loss through profit
and loss.
In addition,
since the beginning of the year 2010 Raisio has applied the
following
amended standards and interpretations that are not expected to have an
impact
on the consolidated interim reports or financial statements:
Amendment to IAS 39 Financial Instruments: Recognition and Measurement -
Eligible Hedged Items
Amendment to IFRS 2 Share-based Payment - Group Cash-settled
Share-based Payment
Transactions
Improvements to IFRSs (April 2009)
IFRIC 17 Distributions of Non-cash Assets to Owners
IFRIC 18 Transfers of Assets from Customers
IFRIC 9 Reassessment of Embedded Derivatives and
IAS 39 (amendment) Financial
Instruments: Recognition and Measurement -
Embedded Derivatives
Raisio Management Oy owned by the
Management is combined to the Raisio's
consolidated financial
statement as Raisio has the control of the company
because of the
funding schemes. Raisio plc's shares held by Raisio Management Oy
entered to
the consolidated financial statement through the combination are
presented on the balance sheet in the own shares as a deduction from
shareholders' equity, and the management's ownership is presented in the
non-controlling interests.
When preparing the financial statements, management must make
estimates and
assumptions that affect the reported assets and
liabilities, income and
expenses. Actual figures may differ from
these estimates.
The interim report is shown in EUR
millions.
SEGMENT INFORMATION
The reportable segments
are Brands and Business to Business. The Brands segment
includes
international brands - Benecol and local brands, and the reported
figures are those of the Benecol Division and of the Northern and Eastern
European operations of the food business as well as, from the beginning of
the
second quarter, those of the Western European operations of the food
business,
which include the transactions of Glisten companies. The Business
to Business
segment includes the feed, malt and feed protein businesses.
NET SALES BY SEGMENT (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
Brands | 63.0 | 43.5 | 170.9 | 132.1 | 177.6
|
-----------------------------------------------------------------------------
---
|
Business to Business | 56.3 | 54.2 | 155.3 | 159.3 | 205.6
|
-----------------------------------------------------------------------------
---
|
Other operations | 0.2 | 0.2 | 0.7 | 0.7 | 0.9
|
-----------------------------------------------------------------------------
---
|
Interdivisional net sales | -0.7 | -2.4 | -1.6 | -7.5 | -8.1
|
-----------------------------------------------------------------------------
---
|
Total net sales | 118.9 | 95.5 | 325.2 | 284.5 | 375.9
|
-----------------------------------------------------------------------------
---
EBIT
BY SEGMENT (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
Brands | 6.5 | 7.3 | 17.1 | 17.7 | 20.5
|
-----------------------------------------------------------------------------
---
|
Business to Business | 0.0 | 0.3 | 1.4 | 1.0 | 3.0
|
-----------------------------------------------------------------------------
---
|
Other operations | -0.4 | -0.8 | -2.1 | -3.5 | -4.3
|
-----------------------------------------------------------------------------
---
|
Eliminations | 0.0 | 0.2 | 0.0 | 0.1 | 0.3
|
-----------------------------------------------------------------------------
---
|
Total EBIT | 6.1 | 7.0 | 16.4 | 15.3 | 19.5
|
-----------------------------------------------------------------------------
---
NET
ASSETS BY SEGMENT (M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Brands | 144.4 | 82.9 | 69.6
|
-----------------------------------------------------------------------------
---
|
Business to Business | 87.6 | 87.7 | 79.2
|
-----------------------------------------------------------------------------
---
|
Other operations, assets held for | 87.9 | 110.7 | 173.2
|
| sale and unallocated items | | |
|
-----------------------------------------------------------------------------
---
|
Total net assets | 319.9 | 281.2 | 322.0
|
-----------------------------------------------------------------------------
---
INVESTMENTS
BY SEGMENT (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
Brands | 0.6 | 1.1 | 45.0 | 2.2 | 3.3
|
-----------------------------------------------------------------------------
---
|
Business to Business | 1.3 | 1.7 | 2.9 | 4.1 | 5.4
|
-----------------------------------------------------------------------------
---
|
Other operations | 0.2 | 0.3 | 0.8 | 0.7 | 1.3
|
-----------------------------------------------------------------------------
---
|
Eliminations | 0.0 | 0.0 | 0.0 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Total investments | 2.1 | 3.0 | 48.6 | 7.0 | 10.0
|
-----------------------------------------------------------------------------
---
NET
SALES BY MARKET AREA (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 7-9/ | 1-9/ | 1-9/ | 2009
|
| | 2010 | 2009 | 2010 | 2009 |
|
-----------------------------------------------------------------------------
---
|
Finland | 62.0 | 62.1 | 185.7 | 188.5 | 251.5
|
-----------------------------------------------------------------------------
---
|
Rest of Europe | 50.9 | 31.2 | 129.2 | 90.8 | 117.4
|
-----------------------------------------------------------------------------
---
|
ROW | 6.0 | 2.2 | 10.3 | 5.1 | 7.1
|
-----------------------------------------------------------------------------
---
|
Total | 118.9 | 95.5 | 325.2 | 284.5 | 375.9
|
-----------------------------------------------------------------------------
---
ACQUIRED
BUSINESS OPERATIONS
Raisio plc made a public purchase offer for the entire share capital of
British
Glisten plc. The shareholders of Glisten plc approved Raisio's
purchase offer on
12 March 2010, and the deal became legally valid on 8 April
2010.
Glisten produces healthy, nutritious, high-quality
snack foods. Fruitus and The
Dormen are the company's well-known brands in
their own product categories. The
company operates through eight premises
across Great-Britain and employs
approximately 650 people. The group
consists of 23 separate companies. Glisten's
result is reported as part of the
figures of Raisio's Brands Division from the
beginning of the second
quarter.
Raisio UK Ltd,
founded for the purpose of the acquisition, acquired the share
capital of
Glisten plc. After the closing of the deal, Raisio plc owns 85% and
the
senior management of Glisten 15% of Raisio UK Ltd's share capital. Later it
has been agreed to amend the shareholder agreement so that Glisten's senior
management will increase its ownership in Raisio UK Ltd up to 21.3%. Since
Raisio is obligated to redeem the part of the management's shares, the
company
has been consolidated to the Group according to the shareholding of
100% and the
redemption price has been treated as a liability.
The acquisition price was thus comprised of the share paid in
cash and the
additional purchase price later paid to Glisten management
for the ownership of
Raisio UK Ltd's. The part of the purchase price paid in
cash was 22.2 M€ (19.5
M£). The amount of the additional purchase price was
estimated to be 16.0 M€
(14.0 M£) at the time of the acquisition and it
has been entered on the balance
sheet as a liability. The payment time of the
additional purchase price is
estimated to be during the third quarter of
2012. The fees of lawyers, advisors
and outside valuators related to the deal
amounted to a total of 1.1 M€, which
has been recognised as an expense.
Goodwill resulting from the acquisition was
50.3 M€ (44.1 M£).
Raisio Group's net sales for
January-September 2010 would have been 345.0 M€ and
pre-tax result excluding
one-off items 14.4 M€ if the acquisition of business
operations completed
during the financial year had been combined with the
consolidated
financial statement from the beginning of the financial year 2010.
The
post-acquisition net sales of subgroup Glisten was 43.9 M€ and pre-tax
result 2.5 M€.
The values of acquired assets and assumed liabilities on the date of
acquisition
were as follows:
----------------------------------------------------------------------------
----
|
| Fair values entered | Carrying values
|
| | in the business | before
business |
| | combination |
combination
|
-----------------------------------------------------------------------------
---
|
Property, plant and equipment | 14.0 | 14.0
|
-----------------------------------------------------------------------------
---
|
Trade marks | 4.6 | 0.0
|
-----------------------------------------------------------------------------
---
|
Deferred tax assets | 0.4 | 0.4
|
-----------------------------------------------------------------------------
---
|
Inventories | 8.4 | 8.2
|
-----------------------------------------------------------------------------
---
|
Accounts receivables and other | 13.6 | 13.6
|
| receivables | |
|
-----------------------------------------------------------------------------
---
|
Cash in hand and at banks | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Total assets | 41.0 | 36.3
|
-----------------------------------------------------------------------------
---
|
Deferred tax liabilities | 1.3 | 0.0
|
-----------------------------------------------------------------------------
---
|
Reserves | 0.9 | 0.9
|
-----------------------------------------------------------------------------
---
|
Financial liabilities | 32.3 | 32.3
|
-----------------------------------------------------------------------------
---
|
Financial liabilities at fair | 4.3 | 4.3
|
| value through profit or loss | |
|
-----------------------------------------------------------------------------
---
|
Other liabilities | 14.3 | 14.3
|
-----------------------------------------------------------------------------
---
|
Total liabilities | 53.1 | 51.8
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Net assets | -12.1 | -15.5
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Acquisition cost | 38.2 |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Goodwill | 50.3 |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Purchase price paid in cash | 22.2 |
|
-----------------------------------------------------------------------------
---
|
Financial assets of the | 0.0 |
|
| acquired subsidiary | |
|
-----------------------------------------------------------------------------
---
|
Cash flow generation | 22.2 |
|
-----------------------------------------------------------------------------
---
Determination
of fair value of assets and liabilities is still on a preliminary
basis.
DISCONTINUED OPERATIONS AND NON-CURRENT ASSETS HELD FOR SALE
Discontinued operations
Raisio and Bunde signed an agreement on the divestment of Raisio's
margarine
business to Bunge in May 2009. The divestment was concluded in
October 2009.
Discontinued operations in the income statement include the
result of Raisio
Polska Foods Sp's margarine business, as well as the
impact that the divestment
of the margarine business had on results. The
result of the Finnish margarine
business is still reported under continuing
operations, since Raisio will
continue to sell margarines in Finland,
Sweden and Estonia as a distributor of
Bunge.
----------------------------------------------------------------------------
----
|
| 1-9/2010 | 1-9/2009 | 2009
|
-----------------------------------------------------------------------------
---
|
Result for the discontinued | | |
|
| operations (M€) | | |
|
-----------------------------------------------------------------------------
---
|
Income from ordinary operations | 0.0 | 31.2 | 32.7
|
-----------------------------------------------------------------------------
---
|
Expenses | 0.0 | -28.2 | -28.9
|
-----------------------------------------------------------------------------
---
|
Result before taxes | 0.0 | 2.9 | 3.7
|
-----------------------------------------------------------------------------
---
|
Taxes | 0.0 | -0.4 | -0.7
|
-----------------------------------------------------------------------------
---
|
Result after taxes | 0.0 | 2.5 | 3.1
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Earnings due to discontinuation | -0.3 | | 35.6
|
-----------------------------------------------------------------------------
---
|
Taxes | 0.2 | | 1.1
|
-----------------------------------------------------------------------------
---
|
Result after taxes | -0.1 | | 36.7
|
-----------------------------------------------------------------------------
---
|
Result for discontinued operations | -0.1 | | 39.7
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Cash flow for the discontinued | | |
|
| operations (M€) | | |
|
-----------------------------------------------------------------------------
---
|
Cash flow from business operations | -4.5 | 2.9 | 7.3
|
-----------------------------------------------------------------------------
---
|
Cash flow from investments | 3.5 | 0.0 | 70.7
|
-----------------------------------------------------------------------------
---
|
Cash flow from financial | 0.0 | -0.9 | -1.0
|
| operations | | |
|
-----------------------------------------------------------------------------
---
|
Total cash flow | -1.0 | 1.9 | 77.0
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Assets held for sale (M€): | | |
|
-----------------------------------------------------------------------------
---
|
Intangible assets | | 0.4 |
|
-----------------------------------------------------------------------------
---
|
Goodwill | | 1.1 |
|
-----------------------------------------------------------------------------
---
|
Tangible assets | | 21.7 |
|
-----------------------------------------------------------------------------
---
|
Deferred tax assets | | 0.5 |
|
-----------------------------------------------------------------------------
---
|
Inventories | | 6.7 |
|
-----------------------------------------------------------------------------
---
|
Accounts receivables and other | | 6.1 |
|
| receivables | | |
|
-----------------------------------------------------------------------------
---
|
Cash in hand and at banks | | 3.2 |
|
-----------------------------------------------------------------------------
---
|
Total assets | | 39.7 |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Liabilities held for sale (M€): | | |
|
-----------------------------------------------------------------------------
---
|
Interest-bearing liabilities | | 0.7 |
|
-----------------------------------------------------------------------------
---
|
Accounts payable and other | | 5.5 |
|
| liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Total liabilities | | 6.2 |
|
-----------------------------------------------------------------------------
---
TANGIBLE
ASSETS (M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Acquisition cost at the beginning | 332.7 | 417.1 | 417.1
|
| of the period | | |
|
-----------------------------------------------------------------------------
---
|
Conversion differences | 1.3 | -1.6 | -1.1
|
-----------------------------------------------------------------------------
---
|
Increase | 37.6 | 6.7 | 9.4
|
-----------------------------------------------------------------------------
---
|
Decrease | -0.6 | -0.7 | -92.6
|
-----------------------------------------------------------------------------
---
|
Reclassifications between items | 0.0 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Operations held for sale | | -94.5 |
|
-----------------------------------------------------------------------------
---
|
Acquisition cost at period-end | 370.9 | 326.9 | 332.7
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Accumulated depreciation and | 237.4 | 292.8 | 292.8
|
| impairment at the beginning of the | | |
|
| period | | |
|
-----------------------------------------------------------------------------
---
|
Conversion difference | 1.0 | -1.1 | -0.7
|
-----------------------------------------------------------------------------
---
|
Increase | 15.7 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Decrease and transfers | 0.0 | -0.8 | -73.4
|
-----------------------------------------------------------------------------
---
|
Depreciation for the period | 9.6 | 9.6 | 12.5
|
-----------------------------------------------------------------------------
---
|
Write-downs | 0.0 | 0.1 | 6.2
|
-----------------------------------------------------------------------------
---
|
Operations held for sale | | -72.8 |
|
-----------------------------------------------------------------------------
---
|
Accumulated depreciation and | 263.6 | 227.8 | 237.4
|
| impairment at period-end | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Book value at period-end | 107.4 | 99.1 | 95.3
|
-----------------------------------------------------------------------------
---
RESERVES
(M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
At the beginning of the period | 3.1 | 1.1 | 1.1
|
-----------------------------------------------------------------------------
---
|
Increase in provisions | 0.9 | 0.0 | 2.3
|
-----------------------------------------------------------------------------
---
|
Provisions used | -1.0 | -0.2 | -0.4
|
-----------------------------------------------------------------------------
---
|
At period-end | 3.0 | 0.9 | 3.1
|
-----------------------------------------------------------------------------
---
BUSINESS
ACTIVITIES INVOLVING INSIDERS (M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Sales to associated companies and | 8.2 | 9.0 | 12.1
|
| joint ventures | | |
|
-----------------------------------------------------------------------------
---
|
Purchases from associated companies | 0.0 | 0.1 | 0.1
|
| and joint ventures | | |
|
-----------------------------------------------------------------------------
---
|
Sales to key employees in | 0.0 | 0.2 | 0.2
|
| management | | |
|
-----------------------------------------------------------------------------
---
|
Purchases from key employees in | 0.6 | 0.6 | 0.7
|
| management | | |
|
-----------------------------------------------------------------------------
---
|
Receivables from associated | 1.6 | 1.6 | 1.2
|
| companies and joint ventures | | |
|
-----------------------------------------------------------------------------
---
|
Liabilities to associated companies | 0.0 | 0.2 | 0.2
|
| and joint ventures | | |
|
-----------------------------------------------------------------------------
---
CONTINGENT
LIABILITIES (M€)
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Contingent off-balance sheet | | |
|
| liabilities | | |
|
-----------------------------------------------------------------------------
---
|
Non-cancelable other leases | | |
|
-----------------------------------------------------------------------------
---
|
Minimum lease payments | 9.6 | 1.3 | 1.3
|
-----------------------------------------------------------------------------
---
|
Contingent liabilities for the | | 0.2 |
|
| company | | |
|
-----------------------------------------------------------------------------
---
|
Contingent liabilities for others | | |
|
-----------------------------------------------------------------------------
---
|
Guarantees | 0.0 | 0.0 | 0.0
|
-----------------------------------------------------------------------------
---
|
Other liabilities | 6.6 | 1.6 | 2.8
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Commitment to investment payments | 1.0 | 0.6 | 0.6
|
-----------------------------------------------------------------------------
---
DERIVATIVE
CONTRACTS (M€)
------------------------------------------------------------------------------
--
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Nominal values of derivative | | |
|
| contracts | | |
|
-----------------------------------------------------------------------------
---
|
Currency forward contracts | 60.3 | 10.9 | 7.5
|
-----------------------------------------------------------------------------
---
|
Interest rate swaps | 36.0 | 8.9 | 39.4
|
-----------------------------------------------------------------------------
---
QUARTERLY
PERFORMANCE (M€)
----------------------------------------------------------------------------
----
|
| 7-9/ | 4-6/ | 1-3/ | 10-12/ | 7-9/ | 4-6/ | 1-3/
|
| | 2010 | 2010 | 2010 | 2009 | 2009 | 2009 |
2009
|
-----------------------------------------------------------------------------
---
|
Net sales by segment | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Brands | 63.0 | 64.5 | 43.4 | 45.5 | 43.5 | 44.2 | 44.5
|
-----------------------------------------------------------------------------
---
|
Business to Business | 56.3 | 55.6 | 43.3 | 46.3 | 54.2 | 55.8 | 49.3
|
-----------------------------------------------------------------------------
---
|
Other operations | 0.2 | 0.2 | 0.2 | 0.3 | 0.2 | 0.2 | 0.2
|
-----------------------------------------------------------------------------
---
|
Interdivisional net | -0.7 | -0.4 | -0.5 | -0.6 | -2.4 | -2.4 | -2.7
|
| sales | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Total net sales | 118. | 120. | 86.4 | 91.5 | 95.5 | 97.8 | 91.2
|
| | 9 | 0 | | | | |
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
EBIT by segment | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Brands | 6.5 | 5.8 | 4.8 | 2.8 | 7.3 | 4.6 | 5.8
|
-----------------------------------------------------------------------------
---
|
Business to Business | 0.0 | 1.3 | 0.1 | 2.0 | 0.3 | 0.6 | 0.1
|
-----------------------------------------------------------------------------
---
|
Other operations | -0.4 | -1.1 | -0.6 | -0.8 | -0.8 | -1.6 | -1.1
|
-----------------------------------------------------------------------------
---
|
Eliminations | 0.0 | 0.0 | 0.0 | 0.2 | 0.2 | 0.2 | -0.3
|
-----------------------------------------------------------------------------
---
|
Total EBIT | 6.1 | 6.0 | 4.3 | 4.2 | 7.0 | 3.7 | 4.5
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Financial income and | 0.8 | -2.9 | -0.1 | 0.3 | -0.3 | -0.3 | -0.3
|
| expenses, net | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Share of result of | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0
|
| associated companies | | | | | | |
|
-----------------------------------------------------------------------------
---
|
Result before taxes | 6.8 | 3.1 | 4.3 | 4.5 | 6.8 | 3.4 | 4.2
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Income tax | -1.9 | -0.8 | -1.3 | -1.5 | -1.8 | -1.0 | -1.4
|
-----------------------------------------------------------------------------
---
|
Result for the | 4.9 | 2.3 | 3.0 | 3.0 | 5.0 | 2.5 | 2.9
|
| period from | | | | | | |
|
| continuing | | | | | | |
|
| operations | | | | | | |
|
-----------------------------------------------------------------------------
---
KEY
INDICATORS
----------------------------------------------------------------------------
----
|
| 30.9.2010 | 30.9.2009 | 31.12.2009
|
-----------------------------------------------------------------------------
---
|
Net sales, M€ | 325.2 | 284.5 | 375.9
|
-----------------------------------------------------------------------------
---
|
Change of net sales, % | 14.3 | -17.5 | -18.8
|
-----------------------------------------------------------------------------
---
|
Operating margin, M€ | 28.2 | 26.8 | 36.4
|
-----------------------------------------------------------------------------
---
|
Depreciation and impairment, M€ | 11.8 | 11.5 | 17.0
|
-----------------------------------------------------------------------------
---
|
EBIT, M€ | 16.4 | 15.3 | 19.5
|
-----------------------------------------------------------------------------
---
|
% of net sales | 5.0 | 5.4 | 5.2
|
-----------------------------------------------------------------------------
---
|
Result before taxes, M€ | 14.3 | 14.4 | 18.9
|
-----------------------------------------------------------------------------
---
|
% of net sales | 4.4 | 5.1 | 5.0
|
-----------------------------------------------------------------------------
---
|
Return on equity, ROE, % | 4.3 | 4.9 | 4.5
|
-----------------------------------------------------------------------------
---
|
Return on investment, ROI, % | 5.4 | 6.5 | 6.1
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Interest-bearing financial | 73.5 | 71.1 | 62.8
|
| liabilities at period-end, M€ | | |
|
-----------------------------------------------------------------------------
---
|
Net interest-bearing financial | -58.7 | -67.2 | -150.2
|
| liabilities at period-end, M€ | | |
|
-----------------------------------------------------------------------------
---
|
Equity ratio, % | 69.0 | 68.4 | 73.4
|
-----------------------------------------------------------------------------
---
|
Net gearing, % | -18.3 | -23.9 | -46.6
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Gross investments, M€ | 48.6 | 7.0 | 10.0
|
-----------------------------------------------------------------------------
---
|
% of net sales | 15.0 | 2.4 | 2.7
|
-----------------------------------------------------------------------------
---
|
R & D expenses, M€ | 4.4 | 4.3 | 6.1
|
-----------------------------------------------------------------------------
---
|
% of net sales | 1.4 | 1.5 | 1.6
|
-----------------------------------------------------------------------------
---
|
Average personnel | 1 064 | 633 | 627
|
-----------------------------------------------------------------------------
---
---------------------------------------------------------------------------
-----
|
Earnings/share from continuing | 0.07 | 0.07 | 0.09
|
| operations, EUR | | |
|
-----------------------------------------------------------------------------
---
|
Cash flow from operations/share, | 0.07 | 0.18 | 0.33
|
| EUR | | |
|
-----------------------------------------------------------------------------
---
|
Equity/share, EUR | 2.04 | 1.80 | 2.06
|
-----------------------------------------------------------------------------
---
|
Average number of shares during | | |
|
| the period, in 1,000s*) | | |
|
-----------------------------------------------------------------------------
---
|
Free shares | 123 656 | 121 590 | 121 666
|
-----------------------------------------------------------------------------
---
|
Restricted shares | 34 248 | 34 273 | 34 268
|
-----------------------------------------------------------------------------
---
|
Total | 157 904 | 155 863 | 155 934
|
-----------------------------------------------------------------------------
---
|
Average number of shares at | | |
|
| period-end, in 1,000s*) | | |
|
-----------------------------------------------------------------------------
---
|
Free shares | 126 790 | 121 866 | 121 894
|
-----------------------------------------------------------------------------
---
|
Restricted shares | 34 207 | 34 273 | 34 250
|
-----------------------------------------------------------------------------
---
|
Total | 160 997 | 156 139 | 156 145
|
-----------------------------------------------------------------------------
---
|
Market capitalisation of shares at | | |
|
| period-end, M€*) | | |
|
-----------------------------------------------------------------------------
---
|
Free shares | 371.5 | 304.7 | 324.2
|
-----------------------------------------------------------------------------
---
|
Restricted shares | 99.2 | 82.6 | 93.2
|
-----------------------------------------------------------------------------
---
|
Total | 470.7 | 387.3 | 417.4
|
-----------------------------------------------------------------------------
---
|
Share price at period-end | | |
|
-----------------------------------------------------------------------------
---
|
Free shares | 2.93 | 2.50 | 2.66
|
-----------------------------------------------------------------------------
---
|
Restricted shares | 2.90 | 2.41 | 2.72
|
-----------------------------------------------------------------------------
---
*)
Number of shares, excluding the shares held by the company
CALCULATION OF INDICATORS
----------------------------------------------------------------------------
----
|
Return on equity (ROE), % | Result before taxes - income taxes*)
|
| | ------------------------------------------- x
|
| | 100
|
| | Shareholders' equity (average over the
period)
|
-----------------------------------------------------------------------------
---
|
Return on investment | Result before taxes + financial expenses*)
|
| (ROI), % | ------------------------------------------- x
|
| | 100
|
| | Shareholders' equity + interest-bearing
|
| | financial liabilities (average over the
period)
|
-----------------------------------------------------------------------------
---
|
Equity ratio, % | Shareholders' equity
|
| | ------------------------------------------- x
|
| | 100
|
| | Balance sheet total - advances received
|
-----------------------------------------------------------------------------
---
|
Net interest-bearing | Interest-bearing financial liabilities - liquid
|
| financial liabilities | funds and liquid financial assets at fair
value |
| | through profit or loss
|
-----------------------------------------------------------------------------
---
|
Net gearing, % | Net interest-bearing financial liabilities
|
| | ----------------------------------------- x
100 |
| | Shareholders' equity
|
-----------------------------------------------------------------------------
---
|
Earnings per share*) | Result for the year of parent company
|
| | shareholders
|
| |
------------------------------------------------ |
|
| Average number of shares for the year, adjusted |
|
| for share issue**)
|
-----------------------------------------------------------------------------
---
|
Cash flow from business | Cash flow from business operations
|
| operations per share |
------------------------------------------------ |
|
| Average number of shares for the year, adjusted |
|
| for share issue
|
-----------------------------------------------------------------------------
---
|
Shareholders' equity per | Equity of parent company shareholders
|
| share |
------------------------------------------------ |
|
| Number of shares at period-end adjusted for |
|
| share issue***)
|
-----------------------------------------------------------------------------
---
|
Market capitalisation | Closing price, adjusted for issue x number of
|
| | shares without own shares at the end of the
|
| | period
|
-----------------------------------------------------------------------------
---
*)The
calculation of key indicators uses continuing operations result
**)Excluding shares with a potential return obligation and shares held by
Raisio
Management Oy
***)Shares held by Raisio Management Oy have been subtracted from the
total
number of shares
|