DONE SOLUTIONS CORPORATION'S NET SALES AND PROFIT GROWING
Done Solutions Corporation
Stock Exchange Release October 28, 2005, at 9:00 a.m.
DONE SOLUTIONS CORPORATION'S NET SALES AND PROFIT GROWING
Interim Report Q1-Q3/2005
- Consolidated net sales in Q1-Q3/2005 came to EUR 8.4 million (EUR 6.2 million
in Q1-Q3/2004), 34.7 percent growth from previous year.
- Consolidated operating profit amounted to EUR 0.55 million (loss of EUR 1.02
million), or 6.6 percent of net sales (-16.4 percent). All business units were
profitable.
- The figures in this Interim Report include only continuing operations unless
otherwise stated. Following the sale of Providor Logistics Oy's business on
September 30, 2005, its accounts, including comparatives, are treated under
discontinuing operations separately from continuing operations in this Interim
Report, according to IFRS.
- Net profit for the period totaled EUR 0.48 million (loss of EUR 1.09 million),
or 5.7 percent of net sales (-17.6 percent).
- Earnings per share from continuing operations were EUR 0.010 (EUR -0.022) and
from discontinuing operations EUR 0.030 (EUR 0.015).
- Equity ratio stood at 41.3 percent (12.4 percent) and return on investment 32.0
percent (-71.5 percent).
- Period-end liquid assets were EUR 2.0 million (EUR 0.4 million).
- Consolidated net sales from continuing operations for 2005 are expected to be
about 30 percent higher than net sales for 2004, and the Group expects to make a
clear operating and net profit.
- Reported figures are in accordance with IFRS standards. The Stock Exchange
Release on April 26, 2005 provided information on 2004 IFRS comparatives.
NET SALES AND PROFITABILITY
MEUR Q1/05 Q2/05 Q3/05 Total Q1/04 Q2/04 Q3/04 Total
Net sales 2.9 2.9 2.5 8.4 2.4 1.8 1.9 6.2
Oper. profit/loss 0.1 0.2 0.3 0.6 -0.2 -0.4 -0.4 -1.0
Pre-tax p/l 0.1 0.1 0.3 0.5 -0.3 -0.4 -0.4 -1.1
Net p/l for period 0.1 0.1 0.3 0.5 -0.3 -0.4 -0.4 -1.1
Net Sales Net Sales Operating Profit/Loss
Q1-Q3/2005 Q1-Q3/2004 Q1-Q3/2005 Q1-Q3/2004
MEUR Share MEUR Share MEUR % MEUR %
Done Logistics 5.0 60% 2.6 42% 0.3 5 -1.2 -45
Done Information 3.4 40% 3.6 58% 0.3 9 0.2 4
Done Solutions group 8.4 100% 6.2 100% 0.6 7 -1.0 -16
FINANCIAL POSITION
Period-end consolidated balance sheet total amounted to EUR 6.0 million (EUR 5.3
million on September 30, 2004). Shareholders' equity came to EUR 2.3 million (EUR
0.6 million) while parent company shareholder's equity according to FAS standards
amounted to EUR 3.6 million (EUR 3.6 million). At period-end, equity ratio was
41.3 percent (12.4 percent) and equity ratio including subordinated loans was
56.2 percent (13.1 percent). Gearing stood at -52.3 percent (99.2 percent).
Interest-bearing liabilities totaled EUR 0.8 million (EUR 1.0 million). Earnings
per share from continuing operations came to EUR 0.010 (EUR -0.022) and from
discontinuing operations to EUR 0.030 (EUR 0.015). Diluted earnings per share is
higher than undiluted earnings per share and is not therefore presented in this
Interim Report. Equity per share was EUR 0.047 (EUR 0.013). Liquid assets totaled
EUR 2.0 million (EUR 0.4 million) at the end of the period. The decrease in
provisions had no effect on net profit for the period.
The Group expects that it will show a positive cash flow from business operations
over the next twelve months. The company estimates that its liquid assets will
suffice during the next 12-month period.
CAPITAL EXPENDITURE AND R&D
On September 30, 2005, Done Solutions Corporation's subsidiary, Providor
Logistics Oy, sold its distribution and warehousing services business including
assets, rights and liabilities to Hahka Way Oy for EUR 1.7 million, one third of
which was paid upon signature on 30 September, 2005 and two-thirds will be paid
on October 31, 2005. The resulting capital gains under "Profit for the period of
discontinuing operations" totaled EUR 1.1 million.
Product development costs for the period came to EUR 0.0 million. All product
development costs are expensed as incurred.
HUMAN RESOURCES
At the end of the period, the Group had a total staff of 124. Done Logistics had
a staff of 58 and Done Information 66. A year ago, the Group's staff numbered
156.
SHARE CAPITAL, SHARES AND SHAREHOLDERS
On September 30, 2005, Done Solutions had a share capital of EUR 3,957,398.72 and
the number of shares totaled 49,467,484.
The company's largest shareholders are listed on Done's website at
www.donesolutions.com (Investors / Largest shareholders).
The highest share quotation for the period was EUR 0.19 and the lowest EUR 0.08.
With an average price of EUR 0.13, the company's share closed at EUR 0.17 on
September 30, 2005. The reported share turnover was EUR 1.6 million, or
12,286,069 shares, and the company's market capitalization on September 30, 2005
came to EUR 8.4 million.
The unexercised share-issue authorization given by the Annual General Meeting of
March 31, 2005 to the Board of Directors applied to 9,893,496 shares on September
30, 2005. As of the same date, the company held no treasury shares.
FUTURE PROSPECTS
Consolidated net sales from continuing operations for 2005 are expected to be
about 30 percent higher than net sales for 2004, and the Group expects to make a
clear operating and net profit.
Done Solutions Corporation
Board of Directors
For further information, please contact:
Pekka Pystynen, President and CEO, tel. +358 (0)205 253427, gsm +358 (0)50 0508
962, pekka.pystynen@donesolutions.com
Mika Söyring, CFO, tel. + 358 (0)205 253425, gsm +358 40 777 0033,
mika.soyring@donesolutions.com
http://www.donesolutions.com
Distribution
Helsinki Exchanges
Major media
With its shares having been quoted on the Helsinki Stock Exchange's NM List since
2001, Done Solutions is organized into the two following business units: Done
Logistics provides comprehensive logistics systems, based on automated materials-
handling and supporting information systems; and Done Information provides
multilingual documentation services. The Group's largest customers are based in
the Nordic countries, Central Europe and the United States.
GROUP KEY FIGURES AND RATIOS (MEUR) Q1-Q3/2005 Q1-Q3/2004 2004
Net sales 8.4 6.2 8.4
Operating profit (loss) 0.6 -1.0 -1.4
Operating profit (loss), % 6.6 -16.4 -16.7
Pre-tax profit (loss) 0.5 -1.1 -1.5
Pre-tax profit (loss), % 5.7 -17.6 -17.3
Net profit (loss) for the period 0.5 -1.1 -1.5
Net profit (loss) for the period % 5.7 -17.6 -17.3
Gross capital expenditure 0.6 0.6 0.6
Gearing, % -52.3 99.2 -90.5
Equity ratio, % 41.3 12.4 6.7
Return on investment ROI (12 months) 32.0 -71.5 -72.1
Return on equity ROE (12 months) 47.9 -180.0 -215.9
Earnings per share, continuing
operations EUR 0.010 -0.022 -0.030
Earnings per share discontinuing
operations, EUR 0.030 0.015 0.017
Equity per share, EUR 0.047 0.013 0.007
Average personnel for the period 143 173 170
Cash flow from business operations 0.3 -1.2 -0.2
Cash flow from investments 0.6 0.6 0.6
Cash flow from financing -0.4 -0.1 0.1
Total cash flow 0.5 -0.7 0.5
CONSOLIDATED INCOME STATEMENT (MEUR) Q1-Q3/2005 Q1-Q3/2004 2004
NET SALES 8.4 6.2 8.4
Other operating income 0.0 0.0 0.0
Materials and services -2.8 -1.6 -2.2
Personnel costs -3.6 -4.0 -5.5
Depreciation -0.2 -0.1 -0.2
Other operating expenses -1.3 -1.4 -2.0
OPERATING PROFIT (LOSS) 0.6 -1.0 -1.4
Share of associates' results -0.0 0.0 0.0
Financial income 0.0 0.0 0.1
Financial expenses -0.1 -0.1 -0.1
PRE-TAX PROFIT (LOSS) 0.5 -1.1 -1.5
Income tax charge -0.0 -0.0 -0.0
Minority interest 0.0 0.0 0.0
NET PROFIT (LOSS) FOR THE PERIOD
continuing businesses 0.5 -1.1 -1.5
Results of discontinuing businesses 1.5 0.7 0.8
NET PROFIT (LOSS) FOR THE PERIOD 2.0 -0.4 -0.6
CONSOLIDATED BALANCE SHEET Sept. 30, 2005 Sept. 30, 2004 Dec. 31, 2004
(MEUR)
ASSETS
NON-CURRENT ASSETS
Tangible assets 0.1 0.4 0.4
Intangible assets 0.0 0.0 0.0
Goodwill 0.1 0.1 0.1
Available-for-sale assets 0.4 0.4 0.4
Long-term receivables 0.5 0.7 0.7
TOTAL NON-CURRENT ASSETS 1.1 1.6 1.5
CURRENT ASSETS
Inventories 0.1 0.1 0.1
Account and other receivables 2.8 3.2 2.8
Cash and cash equivalents 2.0 0.4 1.6
TOTAL CURRENT ASSETS 4.9 3.7 4.4
TOTAL ASSETS 6.0 5.3 6.0
LIABILITIES AND SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY
Share capital 4.0 4.0 4.0
Issue premium fund 0.4 0.4 0.4
Contingency fund 0.2 0.2 0.2
Retained earnings (loss) -4.2 -3.5 -3.5
Net profit (loss) for the period 2.0 -0.4 -0.6
TOTAL SHAREHOLDER'S EQUITY 2.3 0.6 0.4
MINORITY INTEREST 0.0 0.0 0.0
LIABILITIES
LONG-TERM LIABILITIES
Provisions 0.9 1.0 1.2
Interest-bearing liabilities 0.8 0.0 0.8
TOTAL LONG-TERM LIABILITIES 1.7 1.1 2.0
SHORT-TERM LIABILITIES
Account and other payables 2.0 2.7 3.2
Interest-bearing liabilities 0.0 0.9 0.4
TOTAL SHORT-TERM LIABILITIES 2.0 3.6 3.6
TOTAL LIABILITIES 3.7 4.7 5.6
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY 6.0 5.3 6.0
STATEMENT OF CHANGES IN SHAREHOLDER'S EQUITY (MEUR)
Share Issue pre- Contingency Retained
Capital mium fund fund earnings
SHAREHOLDER'S EQUITY 1.1.2005 4.0 0.4 0.2 -4.2
Net profit for the period 2.0
SHAREHOLDER'S EQUITY 30.9.2005 4.0 0.4 0.2 -2.2
SHAREHOLDER'S EQUITY 1.1.2004 7.4 0.4 0.2 -6.9
Decrease in share capital -3.5 3.5
Net profit for the period -0.4
SHAREHOLDER'S EQUITY 30.9.2004 4.0 0.4 0.2 -3.9
The data in this Interim Report are based on unaudited figures.
