Interim financial report Q3
Company Announcement No. 228, 2010 H+H International A/S Dampfærgevej 27-29, 4th Floor 2100 Copenhagen Ø Denmark Telephone: +45 35 27 02 00 www.HplusH.com 16 November 2010 Interim financial report Q3. Highlights for the period 1 January - 30 September 2010. - Revised strategic direction with a focus on profitability and cash flow through concentration on key markets and key customers. - Extended efficiency programme in order to reduce the costs and improve working capital has been decided. These initiatives will reduce costs by more than DKK 75 million in 2011. - Third-quarter revenue was DKK 380.5 million (2009: DKK 320.5 million). Revenue for the first three quarters was DKK 982.0 million (2009: DKK 816.6 million). - Third-quarter EBITDA was DKK 24.0 million (2009: DKK 21.4 million). EBITDA for the first three quarters was DKK 12.1 million (2009: DKK 15.0 million). - The third-quarter result before tax was a loss of DKK 9.1 million (2009: loss of DKK 82.4 million). The result before tax for the first three quarters was a loss of DKK 226.7 million (2009: loss of DKK 207.4 million). - Equity at 30 September 2010 stood at DKK 809.0 million. - Net interest-bearing debt at 30 September 2010 was DKK 591.3 million. - For 2010, an unchanged outlook with a negative result before tax and special items in the range of DKK 140-160 million is expected. Special items expected to increase to DKK 130 million due to a DKK 10 million provision for restructuring costs. Including special items, a negative result before tax in the range of DKK 270-290 million is expected. - Free cash flow is expected to be neutral, and interest-bearing debt at the end of 2010 is consequently expected to be in the DKK 610 million region. - Total investments are expected to be less than DKK 50 million. - H+H International continues to explore expressions of interest received from potential buyers. The company has received an updated offer from Goldman Sachs Capital Partners and PAI Partners at DKK 67.5 per share, which still contains a number of unsolved conditions. All expressions of interest are being assessed by the Board of Directors. More information will be disclosed to the market as and when considered appropriate or required by H+H International. Please see attached pdf file for full version of the report. Anders C Karlsson Chairman of the Board of Directors Hans Gormsen CEO For additional information please contact: Hans Gormsen, CEO, or Niels Eldrup Meidahl, CFO, on telephone +45 35 27 02 00 This is a translation of the company's announcement in Danish. In case of inconsistency between the Danish text and this English translation, the Danish text shall prevail.