Vaahto Group Interim Management Statement for September 1, 2011 – January 13, 2012
VAAHTO GROUP PLC OYJ STOCK EXCHANGE BULLETIN 13.1.2012 at 10.00
VAAHTO GROUP INTERIM MANAGEMENT STATEMENT FOR SEPTEMBER 1, 2011 – JANUARY 13, 2012
Vaahto Group’s turnover for September 1, 2011, to November 30, 2011, was 14.3 million euros (compared with 10.9 million euros for the corresponding period in the previous fiscal year), with an operating loss of 0.7 million euros (comparative: operating loss of 0.3 million euros). Turnover grew from the reference period, but the operating result was weaker than in the comparative period. The Group’s order book on November 30, 2011, totaled 23.3 million euros (September 1, 2011: 22.4 million euros).
Vaahto Paper Technology
Vaahto Paper Technology -division’s turnover for September 1, 2011 – November 30, 2011, was 9.0 million euros (7.3 million euros), with an operating loss of 0.6 million euros (operating profit of 0.1 million euros). Turnover grew by 24% from the reference period’s level, but the operating result was weaker than in the comparative period. The main reason for the negative result of the Vaahto Paper Technology –division was the poor profitability of the projects recognized during the review period.
In the project business, the most significant new order was the modernization of Södra Cell Mönsterås pulp drying machine. A clear tightening has been seen in the market situation of project business. The market situation for the service business has been moderate so far.
During the review period, the organization and business model of Vaahto Paper Technology –division was clarified. The actions were taken particularly to strengthen the sales and R&D functions, and the cost-effectiveness was increased by combining the over-lapping functions.
Vaahto Process Technology
Vaahto Process Technology -division’s turnover for September 1, 2011 – November 30, 2011, was 5.3 million euros (3.6 million euros), with an operating loss of 0.1 million euros (operating loss 0.4 million euros). Turnover grew by 45 % from the reference period’s level, and the operating result was better than in the comparative period. The result was affected by the poor profitability of the vessel business projects delivered during the review period. The profitability of the agitator business has been in line with targets.
The market situation of Vaahto Process Technology –division has been remained moderate and the order book of the division increased during the review period.
Outlook for the September 1, 2011 – August 31, 2012, fiscal year
The development of the international economy has shown alarming signals, and the market situation for the Vaahto Group’s main industries has clearly tightened. However, the order book of the Group is still moderate, and despite of the challenging market environment, the result of Vaahto Group is expected to improve from the previous fiscal year’s figure. However, due to the market development, which is difficult to forecast, the estimation for the fiscal year include considerable uncertainty.
Interim Report for September 1, 2011 – February 29, 2012
Vaahto Group will publish an Interim Report covering six months of operations on April 12, 2012.
Lahti, January 13, 2012
VAAHTO GROUP PLC OYJ
The Board of Directors
CEO, Vaahto Group Plc Oyj
tel. +358 50 466 1470