Vaahto Group Interim Management Statement for September 1, 2008 – November 30, 2008
VAAHTO GROUP PLC OYJ STOCK EXCHANGE BULLETIN 16.01.2009 at 10.00
VAAHTO GROUP INTERIM MANAGEMENT STATEMENT FOR SEPTEMBER 1, 2008 – NOVEMBER 30, 2008
Vaahto Group’s turnover for September 1, 2008, to November 30, 2008, was 17.0 million euros (compared with 23.0 million euros for the corresponding period in the previous fiscal year), with an operating loss of 0.8 million euros (comparative: operating profit of 1.3 million euros). The turnover saw a decrease of 26% from that of the reference period, undermining the result. Vaahto Group’s order backlog decreased by 13% during the period under review; it was 54.4 million euros at the beginning of the period and 47.3 million euros at the end.
Pulp & Paper Machinery
The Pulp & Paper Machinery division’s turnover for the period was 8.5 million euros (13.9 million euros), with an operating loss of 1.4 million euros (operating profit of 0.2 million euros). The turnover decreased by 39% from the reference period’s, making the result lower than in the reference period.
The market situation for this division is difficult, and the period saw the order book decrease. However, the large orders received at the end of the previous fiscal year ensured that the division’s order book at the end of the period under review was significantly larger than a year earlier. The results of these projects will be entered in the accounts mainly in the latter part of the current fiscal year.
In the period under review, the division took action to merge Vaahto Roll Service Oy, part of the division, with Vaahto Oy. The purpose of the merger is to simplify the Group’s structure and further develop the operations of the Vaahto Pulp & Paper Machinery division.
The Process Machinery division’s turnover for September 1 to November 30, 2008, was 8.4 million euros (9.1 million euros), with an operating profit of 0.7 million euros (1.1 million euros). Turnover decreased slightly for both tanks and agitators.
The division’s market situation has weakened, and the order book was adversely affected for both tanks and agitators during the period under review.
Outlook for the September 1, 2008 – August 31, 2009 fiscal year
The international financial climate has led to great insecurity in the market and postponement of investment decisions. The market situation is thus highly challenging, and Vaahto Group’s order book decreased in the period under review. The Group companies have taken action to adjust their operations to the current demand and market situation.
Vaahto Group’s order book as of November 30 is larger than it was a year earlier (47.3 million euros in 2008, 36.5 million euros in 2007), and the results of the projects it includes will be entered in the accounts mainly in the latter part of the current fiscal year. Thus, in spite of the challenging financial environment and market situation, the Group’s turnover for the full fiscal year is expected to show a slight increase from that of the previous fiscal year.
Interim report for September 1, 2008 – February 28, 2009
Vaahto Group will issue a six-month interim report on April 17, 2009.
In Lahti on January 16, 2009
VAAHTO GROUP PLC OYJ
Board of Directors
For more information, please contact:
CEO, Vaahto Group Plc Oyj
Tel.: +358 40 823 2835