EUROTECH : RESULTATS TRIMESTRIELS EN HAUSSE DE 41,5 %, A 21,4 MILLIONS D'EUROS
Chiffre d'affaires consolidé en hausse de 41,5 %, de 15,2 millions d'euros à 21,4 millions d'euros
- EBITDA consolidé ajusté: de - 561 milliers d'euros à 1,87 million d'euros, en hausse avec un impact du chiffre d'affaires de -6,7 % en 2007 à 8,7 % en 2008.
- EBIT consolidé ajusté : de - 918 milliers d'euros à 1,1 million d'euros, avec un impact sur le chiffre d'affaires au-dessus de 5 %
- Résultat consolidé ajusté avant impôt : de - 469 milliers d'euros à + 42 milliers d'euros
- Position financière nette : 9,1 millions d'euros
Amaro (UD), le 15 mai 2008.
Le Conseil d'Administration d'Eurotech S.p.A. - société cotée sur le segment STAR de la bourse italienne - présidé par M. Roberto Siagri, s'est réuni aujourd'hui pour approuver le rapport trimestriel au 31 mars 2008.
Sales improved for the Eurotech Group, active in the research, development, production and marketing of miniaturised computers (NanoPCs) and of computers featuring high-performance computing capability (HPCs).
|(E '000)||% Change|
|GROSS MARGIN Adj. (*)||8,202||12,428||51.5%|
|EBITDA Adj. (*)||(561)||1,868||n.a.|
|EBIT Adj. (*)||(918)||1,107||n.a.|
|FINANCE INCOME (EXPENSES)||449||(1,972)||n.a.|
|FINANCE INCOME (EXPENSES) Adj. (*)||449||(1,065)||n.a.|
|PROFIT (LOSS) BEFORE TAX Adj. (*)||(469)||42||109.0%|
|NET PROFIT FOR THE PERIOD||(974)||(3,282)||n.a.|
|Adjusted NET PROFIT FOR THE PERIOD (*)||(517)||(1,307)||-152.8%|
|GROUP NET PROFIT||(961)||(3,350)||n.a.|
|Adjusted GROUP NET PROFIT (*)||(504)||(1,448)||-187.3%|
(*) Amounts adjusted for accounting impact of Price Allocation related to acquisitions of Arcom Group, Applied Data Systems Inc, and Advanet Group performed as from April 2006. Specifically:
- EBITDA was adjusted for recognition in the income statement of the greater values of inventories from business combinations;
- EBIT was adjusted for the aforesaid EBITDA impact and for depreciation of fixed assets recognized for business combinations;
- Finance income (expenses) was adjusted to account for finance expense stemming from the put OPTION issued on Advanet Inc;
- Net profit for the period was adjusted as per the above and to account for tax charges related to adjustments from business combinations and minority interests on overall impact of Price Allocation.
Group revenues grew by 41.5% (in the amount of E6.29 million) from E15.16 million in the first quarter of 2007 to E21.44 million in the first quarter of 2008. This growth is attributable to the acquisition of the Japanese Advanet Group completed at the end of 2007.
In the first quarter 2008, gross profit reported an improvement in absolute values, rising from E8 million to E12.3 million, accounting for 52.9% of revenue in 2007 and 57.4% of revenue in 2008. The change was chiefly due to the higher profits contributed by the newly acquired Japanese Group.
Neutralisation of the negative effects arising from price allocation on gross profit as indicated above led to improvements in this indicator, which ended the year at 58%.
Adjusted EBITDA in the period in question showed a significant increase of E2.4 million, improving from a negative result of E561 thousand in 2007 to a positive result of E1.9 million in 2008.
This performance is due to higher sales and improved profits earned by the Group, despite the obvious increase in operating costs due to acquisitions made. These elements are the key effects that determine the increased proportion of adjusted EBITDA on revenue (which increased from -3.7% in 2007 to 8.7% in 2008). The negative effects on adjusted EBITDA due to price allocation amounted to E189 thousand for 2007 and E119 thousand in 2008. As a result, consolidated EBITDA grew from a loss of E-750 thousand in 2007 to a gain of E1.7 million in 2008.
EBIT was E1.107 million in the first quarter of 2008 net of the price allocation impact, resulting in a 5.2% impact as a percentage of revenues (Q1 2007 EBIT was a loss of E-918 thousand, -6.1% as a percentage of revenues),
Amortisation and depreciation arising from the price allocation, which determined an adjustment of EBIT, amounted to E1.662 million in the year 2008 with an increase of E1.1 million on the E551 thousand reported in the first quarter of 2007.
Consolidated operating income (EBIT) reported a significant improvement in Q1 2008 vs. Q1 2007, from E-1.658 million in 2007 to E-674 thousand in 2008. The impact of EBIT on revenue amounted to -3.1%, considerably better than the - 10.9% of the first quarter 2007.
EBIT variances against the same quarter of 2007 were primarily due to the same events that determined EBITDA and to higher amortisation and depreciation expenses stemming from the aforementioned acquisitions.
The finance income item recorded an adverse impact of E-1.972 million between the first quarter of 2007 and the first quarter of 2008. This change was strongly impacted by unrealized losses on foreign exchange transactions due to the weakening of the dollar against the euro and to higher debt at group level, in addition to lesser revenues on cash and cash equivalents as a result of the acquisition of Advanet Inc.. Furthermore, the item was hit by higher interest expenses in the amount of E907 thousand, due to the recognition of liabilities as at 31 December 2007 for the acquisition of a further 25% of Advanet Inc,'s shares following valuation of a put and call option.
Profit or loss before income taxes adjusted for the price allocation impact was a positive E42 thousand inQ1 2008 (it was a loss of E469 thousand in the first quarter of 2007). Profit or loss before income taxes not adjusted for the quarter was a positive E 2.646 million (it was a loss of E 1.209 million in Q1 2007).
The Group's adjusted net profit for the period was a loss of E1.448 million in the first quarter of 2008 against a loss of E-504 thousand in the first quarter of 2007, due to the higher impact of reversal of the price allocation from the Group consolidated net profit in the amount of E-3.350 million in the first quarter of 2008 against E-961 thousand in the first quarter 2007.
This was primarily due to the tax burden on the different Group entities and the aforementioned adverse EBITDA trend reported in the quarter, and, to a lesser extent, to minority interest.
The Group's net FINANCIAL position as at 31 March 2008 was E9.10 million, The amount was significantly impacted by the recognition of a financial liability of E18.48 million at fair value against a put option on 25% of Advanet Inc,'s shares which can be exercised in the early months of 2010 and by other debts to be paid to shareholders of Applied Data Systems Inc.. The decrease against the amount of E6.38 million reported at 31 December 2007 is ascribable to repayment of loans and receivables and to an increase in financial liabilities against the aforementioned option due to foreign exchange rate fluctuations.
The Company's Board of Directors also passed the following resolutions:
- Appointment of Mr. Massimo Mauri and Mr. Giampietro Tecchiolli Vice Prersident
The following Committes were formed and duties appointed complying with current legislation in force and Eurotech SpA's Corporate Governance policies:
Remuneration Committee: Cesare Pizzul (President), Chiara Mio, Alberto F. De Toni
Internal Control Committee: Chiara Mio (President), Cesare Pizzul, Alberto Felice De Toni
Executive Director in charge of supervision Internal Control System operations:
Lead Independent Director: Alberto Felice De Toni
Supervisory Body: Roberto Siagri
OdV : Marco Polo, Chiara Mio, Andrea Barbaro
In accordance with section 2 of Article 154-bis the Consolidated Finance Act, Financial Reporting Manager, Eros Gos, declared that the accounting information contained in this press release corresponds to accounting records, corporate books, and accounting entries.
THE EUROTECH GROUP
Eurotech (ETH,MI) is a company active in the research, development, production and marketing of miniaturised computers (NanoPCs) and of computers featuring high-performance computing capability (HPCs),
Eurotech SpA www,eurotech,com
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