Raisio’s earnings per share improved
Raisio plc Interim Report 6 November 2012 at 8:30 Finnish time
RAISIO’S EARNINGS PER SHARE IMPROVED
July-September 2012, continuing operations excluding one-off items
- Group’s net sales increased almost 14%. Net sales totalled EUR 161.0 million
(Q3/2011: EUR 141.7 million). - Group’s EBIT was EUR 10.7 million (Q3/2011: EUR 10.7 million) accounting for 6.6%
(7.5%) of net sales. - Brands Division’s profitability was in line with objectives, EBIT 11.3% (12.8%) of net sales.
- Net sales for feeds and farming supplies rose by almost 40%.
- Loss of feed protein business halved. Raisio took steps to increase flexibility, which will improve future profitability.
Raisio Group’s key figures excluding one-off items
| Q3/ 2012 | Q3/ 2011 | Q1-Q3/ 2012 | Q1-Q3/ 2011 | 2011 | ||
| Results from continuing operations | ||||||
| Net sales | M€ | 161.0 | 141.7 | 446.6 | 413.9 | 552.6 |
| Change in net sales | % | 13.6 | 27.6 | 7.9 | 33.6 | 30.5 |
| EBIT | M€ | 10.7 | 10.7 | 28.0 | 26.9 | 31.8 |
| EBIT | % | 6.6 | 7.5 | 6.3 | 6.5 | 5.8 |
| Depreciation and impairment | M€ | 4.2 | 4.5 | 12.4 | 12.5 | 17.0 |
| EBITDA | M€ | 14.8 | 15.2 | 40.4 | 39.4 | 48.8 |
| Net financial expenses | M€ | -1.2 | -0.2 | -2.1 | -1.2 | -1.5 |
| Earnings per share (EPS) | € | 0.06 | 0.05 | 0.14 | 0.13 | 0.16 |
| Balance sheet | ||||||
| Equity ratio | % | - | - | 62.0 | 60.5 | 60.2 |
| Gearing | % | - | - | 2.4 | -0.2 | -7.5 |
| Net interest-bearing debt | M€ | - | - | 7.7 | -0.7 | -24.8 |
| Equity per share | € | - | - | 2.10 | 2.08 | 2.13 |
| Gross investments | M€ | 1.7 | 1.9 | 7.7* | 68.6* | 71.2* |
| Share | ||||||
| Market capitalisation** | M€ | - | - | 440.4 | 374.4 | 372.3 |
| Enterprise value (EV) | M€ | - | - | 448.1 | 373.7 | 347.5 |
| EV/EBITDA | - | - | 9.0 | 8.1 | 7.1 |
* Including acquisitions
** Excluding the company shares held by the Group
Chief Executive’s review
“Raisio’s EBIT for the three first quarters is clearly stronger compared to last year’s figure despite the difficult consumer market conditions in Europe and poor performance of Finnish agribusiness. Brands Division’s EBIT for January-September was over 20 per cent higher than in the comparison period. The main reasons for this are good growth and profitability in our UK food operations and Benecol’s ability to steadily make good results. Profitability of the acquired companies is now better than at the time of acquisition. The general situation in European consumer markets continues challenging, but Raisio is moving on according to plan.
Successful acquisitions and the integration of operations as part of the Brands Division have wide-ranging impacts. This autumn, we started with a Consumer brands unit, under which we collected different market areas for tight control and joint resourcing. Effective and profitable operations in the UK are also reflected in the Northern European food operations, where we have taken actions to improve profitability and competitiveness by allocating resources within the entire Consumer brands unit to meet the size of markets.
Raisio has started measures aimed at improved profitability and increased production flexibility in the feed protein business. In the third quarter of 2012, we managed to cut losses in half, but our target level remains higher.
For Raisioagro, we have clarified our views of measures needed in the improvement of weaker product segments. As a real Finnish alternative, Raisioagro is attracting growing interest among customers in changing market conditions.“
Guidance unchanged
Raisio continues the implementation of its growth strategy both organically and through acquisitions. We expect EBIT to further improve annually.
In Raisio, 6 November 2012
RAISIO PLC
Board of Directors
Further information:
Matti Rihko, CEO, tel. +358 400 830 727
Jyrki Paappa, CFO, tel. +358 50 556 6512
Heidi Hirvonen, Communications and IR Manager, tel. +358 50 567 3060
Events:
A press and analyst event in Finnish will be arranged in Helsinki on Tuesday 6 November 2012 starting at 1.00 p.m. Finnish time. It will be held at Hotel Scandic Simonkenttä, in the Pavilion meeting room. The address is Simonkatu 9, Helsinki.
Chief Executive’s review in English will be published on Raisio’s web site at http://www.raisio.com/www/page/8133