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Published: 2014-02-18 15:00:00 CET
PRFoods
Quarterly report

PRF: Consolidated Unaudited Interim Report for 4th quarter and 12 months of 2013

Tallinn, Estonia, 2014-02-18 15:00 CET --  

The financial results of Premia Foods of 12 months of 2013 may be characterized by the fast increase of turnover, improved profitability and decreased operating costs. The turnover of 2013 reached 98.9 million euro, increasing by 14.4% within a year. The EBITDA of 12 months of 2013 was 4.9 million euro which is 1.5 times higher that during the previous year. The net profit increased in 2013 by 0.7 million euro, reaching 0.8 million euro.    

4th quarter of 2013:

  • The unaudited consolidated turnover increased by 32.4%, i.e. 6.4 million euro, reaching 25.9 million euro, if compared to the 4th quarter of 2012.
  • The operating profit -0.7 million euro, which is by 0.1 million euro less than the result of 2012.
  • The net loss 1.1 million euro, which is by 0.5 million euro less than the result of the previous year.  
  • The operating expense ratio, i.e. its proportion in turnover, decreased by 5.7 percentage points.  
  • The cash flow from operations 1.8 million euro, increase by 0.5 million euro.

The record-making increase in the turnover of the 4th quarter resulted mainly from the sale of raw fish and fish fillet with a lower added value in the Finnish market, which in turn resulted in achieving the gross profit equivalent to the previous year. The fish farming, partially recovered after the restrictions of the Swedish Board of Agriculture were released, resulted in higher stock revaluation loss during the fourth quarter due to its normal cyclical nature. On 17 December 2013, the Swedish Board of Agriculture decided to make an advance payment in the amount of 452 thousand euro on the basis of the claim for damages and the loss of profit submitted by Premia; it has been accounted under other operating income of the fourth quarter. The fluctuations of the Russian ruble and the Swedish krona resulted in an exchange rate loss of 233 thousand euro, 2/3 of which was non-monetary unrealized foreign exchange rate loss from the revaluation of claims. The cash flow from operations improved by 0.5 million euro, if compared to the previous year.      

12 months 2013:

  • The largest organic increase in turnover throughout the history of the company. The unaudited consolidated turnover was 98.9 million euro, increasing by 14.4%, i.e. 12.5 million euro, within a year.
  • The turnover increased in all business segments and target markets, except in Russia, where the decrease in turnover resulted from the weakening of the exchange rate of ruble against the euro.  
  • The operating profit was 2.4 million euro, exceeding the previous year’s result by 2.3 million euro. The operating profit increased in all business segments.
  • The net profit was 0.8 million euro, which is by 0.7 million euro higher that the result of the previous year.
  • The operating expense ratio in turnover was 22.6% which is 3.6 percentage points lower than the result of the previous year.

In the rapid turnover growth conditions of the food sector, the operating costs decreased by 0.3 million euro and the operating profit as well as the net profit improved considerably. The unfavourable fluctuation of the Russian ruble and the Swedish krona resulted in an exchange rate loss of 0.7 million euro in the summary of the year.  

                          KEY RATIOS  
                           
Profit & Loss, EUR mln formula   Q1 Q2 Q3 Q4 12m 2013   Q1 Q2 Q3 Q4 12m 2012
Sales     18,3 27,8 26,9 25,9 98,9   17,1 26,1 23,6 19,6 86,4
Gross profit     3,8 8,0 7,1 4,5 23,3   4,2 7,9 7,1 4,4 23,7
EBITDA from operations before one-offs and fair value adjustment   -0,4 2,4 2,1 -0,1 4,0   0,0 2,7 2,1 0,3 5,1
EBITDA     -0,7 2,4 3,3 -0,1 4,9   -0,6 1,9 1,9 0,1 3,3
EBIT     -1,3 1,7 2,7 -0,7 2,4   -1,4 1,1 1,0 -0,6 0,1
Net profit     -1,2 1,0 2,1 -1,1 0,8   -1,2 0,8 1,1 -0,6 0,1
Gross margin  Gross profit / Net sales   20,6% 28,6% 26,4% 17,2% 23,6%   24,5% 30,4% 30,2% 22,6% 27,4%
Operational EBITDA margin EBITDA from operations/Net sales -2,2% 8,8% 7,8% -0,5% 4,1%   0,1% 10,5% 8,9% 1,3% 5,9%
EBIT margin EBIT / Net sales   -7,3% 6,2% 10,0% -2,8% 2,4%   -8,3% 4,0% 4,4% -3,1% 0,1%
Net margin  Net earnings / Net sales   -6,5% 3,7% 7,7% -4,3% 0,8%   -6,9% 2,9% 4,7% -3,1% 0,1%
Operating expense ratio Operating expenses / Net sales 27,1% 22,7% 21,6% 20,3% 22,6%   29,7% 24,0% 26,1% 26,1% 26,2%
                           
Balance Sheet, EUR mln formula   31.12.12 31.03.13 30.06.13 30.09.13 31.12.13   31.12.11 31.03.12 30.06.12 30.09.12 31.12.12
Net debt Short and Long term Loans and Borrowings - Cash   13,8 13,2 15,2 14,6 13,2   11,3 12,2 12,0 10,9 13,8
Equity     36,5 35,3 36,1 38,2 37,2   40,5 39,3 39,8 37,1 36,5
Working capital Current Assets - Current Liabilities 12,1 10,4 10,8 13,1 10,2   12,8 12,0 12,4 9,7 12,1
Assets     63,2 62,4 67,7 66,1 63,7   64,1 64,2 68,5 65,4 63,2
Liquidity ratio Current Assets / Current Liabilities 1,91 1,73 1,58 1,86 1,63   2,19 1,91 1,70 1,55 1,91
Equity ratio  Equity / Total Assets   58% 57% 53% 58% 58%   63% 61% 58% 57% 58%
Gearing ratio Net Debt / (Equity + Net Debt) 28% 27% 30% 28% 26%   22% 24% 23% 23% 28%
Net debt-to-EBITDA Net Debt / EBITDA from operations 2,71 2,80 3,46 3,31 3,29   2,55 1,98 2,19 2,06 2,71
ROE Net Earnings / Average Equity   0% 0% 1% 3% 2%   -1% 1% 0% -1% 0%
ROA Net Earnings / Average Assets   0% 0% 1% 2% 1%   -1% 0% 0% -1% 0%

 Consolidated statement of financial position

EUR ‘000   31/12/2013 31/12/2012  
Cash and cash equivalents   1,313 1,357  
Receivables and prepayments   8,376 8,152  
Inventories   10,260 10,308  
Biological assets   6,270 5,631  
Total current assets   26,219 25,448  
         
Deferred income tax assets   370 473  
Long-term financial investments   127 131  
Investment property   2,084 2,084  
Property, plant and equipment   12,500 12,499  
Intangible assets   22,373 22,548  
Total non-current assets   37,454 37,735  
TOTAL ASSETS   63,673 63,183  
         
Borrowings   6,035 3,953  
Payables and prepayments   10,016 9,399  
Total current liabilities   16,051 13,352  
         
Borrowings   8,470 11,239  
Deferred income tax liabilities   717 659  
Government grants   1,264 1,479  
Total non-current liabilities   10,452 13,377  
Total liabilities   26,503 26,729  
         
Share capital   19,342 19,342  
Share premium   16,026 16,026  
Statutory capital reserve   6 6  
Other reserves   62 42  
Currency translation differences   760 485  
Retained earnings   974 553  
Equity attributable to equity holders of the parent   37,170 36,453  
Total equity   37,170 36,453  
TOTAL LIABILITIES AND EQUITY   63,673 63,183  

 

Consolidated statement of comprehensive income

EUR ‘000 Q4 2013 Q4 2012 12m 2013 12m 2012  
Revenue 25,948 19,593 98,854 86,381  
Cost of goods sold -21,478 -15,161 -75,567 -62,698  
Gross profit 4,470 4,432 23,287 23,683  
           
Operating expenses -5,270 -5,104 -22,316 -22,601  
Sales and marketing expenses -4,205 -4,160 -18,370 -18,208  
General and administrative expenses -1,065 -944 -3,946 -4,393  
Other income and expenses, net 439 96 638 345  
Revaluation of biological assets -376 -37 742 -1,363  
Operating profit / loss -737 -614 2,351 64  
           
Finance income -15 -3 5 148  
Finance costs -472 -216 -1 308 -673  
           
Profit / loss before income tax -1,224 -832 1,048 -461  
           
Corporate income tax 105 219 -240 534  
           
Net profit /loss for the period -1,119 -614 808 73       
Other comprehensive income /expense          
Currency translation differences 96 -23 275 94  
Other comprehensive income /expense 96 -23 275 94  
Total comprehensive income /expense -1,023 -637 1,083 167  
           
Net profit /loss for the period:          
  Attributable to equity holders of the parent -1,119 -614 808 73  
Net profit /loss for the period -1,119 -614 808 73  
           
Comprehensive income /expense for the period:          
  Attributable to equity holders of the parent -1,023 -637 1,083 167  
Total comprehensive income /expense -1,023 -637 1,083 167  
           
Earnings per share          
Basic earnings per share (EUR) -0.03 -0.02 0.02 0.00  
Diluted earnings per share (EUR) -0.03 -0.02 0.02 0.00  


 

         Additional information:
         
         Katre Kõvask
         AS Premia Foods
         Chairman of the Management Board
         T: +372 6 033 800
         katre.kovask@premia.ee
         www.premiafoods.eu


Premia Foods 2013 Q4 interim report.pdf
PRF Q4 2013_ENG_17 02 14.pdf