Financial Statement Report
1 February at 8.30 am EET
Record order book
|Net sales, MEUR||16.1||14.0||62.3||60.7|
|Adjusted operating result, MEUR*||-2.0||-3.2||-1.7||-2.5|
|Operating result, MEUR||-3.5||-4.9||-11.1||-8.1|
|Result before taxes, MEUR||-3.3||-5.2||-9.9||-9.4|
|Result for the period, MEUR||-7.5||-5.3||-15.6||-11.0|
|Earnings per share, basic, EUR||-0.10||-0.07||-0.21||-0.15|
|Order book, MEUR||40.4||14.3|
|Cash flow after investments, MEUR||-3.5||0.5||-18.1||-10.6|
|Change in cash and cash equivalents, MEUR||-1.0||2.5||-9.8||-9.8|
|Cash and cash equivalents, MEUR||6.7||16.7|
|Equity ratio %||50.7||66.4|
|Net gearing %||43.1||3.3|
|Personnel at end of period||926||858|
* Adjusted operating result = operating result before R & D capitalisation, amortization of this and one-time costs. Details of these are given in the section “Result analysis”. Unless otherwise stated, all figures presented below are for the review period 1-12/2011 and the figures for comparison are for the corresponding period 1-12/2010.
President and CEO Kaj Hagros:
Net sales in 2011 totalled EUR 62.3 million, slightly better than in the previous year (EUR 60.7 million). Fourth quarter net sales increased 15% in 2011 from the corresponding period in the previous year. At the end of the year the company received the biggest order in its history. Thanks to this and other orders received, the order book at the end of the year virtually tripled from the previous year’s figure to EUR 40.4 million.
After a weak first quarter in 2011, the second and third quarters were better periods and the adjusted operating result was positive. In terms of on-going operations the fourth quarter would also have been positive, but an impairment of EUR 2.8 million on receivables from a customer owned by the government of Libya turned the adjusted operating result for the quarter into a loss of EUR 2.0 million.
Sales in all geographical regions were at a similar level to the figures for 2010. During 2011 the company has renewed its strategy and its organization, aiming at growth in its business operations, higher profitability and higher quality customer service in 2012. Deliveries of information systems for managing the business of teleoperators, in line with the new strategy, will tie up more working capital. For this reason the company intends to strengthen its capital with additional financing. A major part of our sales is in the emerging markets which are not exposed to the same kind finance crisis as the European and the North American economies.
Prospects in 2012
Tecnotree estimates that net sales and the operating result in 2012 will be better than in 2011. The adjusted operating result is estimated to be positive. Variations in the quarterly figures will be considerable. The cash flow after investments is also expected to improve compared to 2011. The adjusted operating result is the operating result before R&D capitalization, amortization of this and one-time costs
Proposal concerning the result
The Board of Directors proposes to the Annual General Meeting to be held on 28 March 2012 that no dividend be paid for the financial year ended 31 December 2011, and that the parent company’s loss for the financial year, EUR -13,872,371.72, be covered by non-restricted equity reserves.
Tecnotree is holding a conference for analysts and the media to announce its results for the 2011 fiscal year at 10.00 am on 1 February 2012 in the Bulsa-Freda conference room at the Scandic Hotel Simonkenttä, Simonkatu 9, Helsinki. The interim review will be presented by CEO Kaj Hagros and the conference will be held in Finnish. The material to be presented at the press conference will be available at www.tecnotree.com
Board of Directors
Kaj Hagros, President and CEO, tel. +358 40 849 1749
Tuomas Wegelius, CFO, tel. +358 400 433 228
NASDAQ OMX Helsinki Ltd.
Tecnotree is a global provider of a broad range of telecom IT solutions focused on charging, billing, customer care, messaging and content services. Tecnotree empowers communication service providers to create and monetize a broad marketplace of digital services, and augment value across the customer lifecycle. Acknowledged for agility and commitment, Tecnotree has more than 900 employees serving over 120 operators globally. Tecnotree is listed on the main list of NASDAQ OMX Helsinki Ltd. with the trading code TEM1V. For more information on Tecnotree visit www.tecnotree.com