Volati reports non-recurring non-cash costs for Q3
Volati will report non-recurring costs of approximately SEK -330 million for Q3 2019 attributable to impairment of goodwill and intangible assets, which will affect EBIT negatively. The non-recurring costs are non-cash items and are related to the Consumer business area. According to preliminary figures for Q3, Volati is expected to increase its net sales to approximately SEK 1,700 million (1,470). EBITA is expected to increase to approximately SEK 145 million (123).
During the annual impairment review, Volati has identified impairment of goodwill and intangible assets for the me&i and NaturaMed Pharma business units in the Consumer business area. In 2018, EBITA amounted to SEK 11 million for me&i and SEK 29 million for NaturaMed Pharma. Volati does not see any further impairment in the Group.
“As previously communicated, we have for a period faced challenges in two of Consumer’s business units – me&i and NaturaMed Pharma. Both business units are profitable, but the impairment reflects the assessment that profit development in the medium term will be lower than our previous expectations. We are working to take relevant measures and continuing to closely monitor the business units,” says Volati CEO Mårten Andersson.
The above amounts, that are the management’s assessment, are preliminary and have not been confirmed by the company’s auditor. The final amounts will be reported in the quarterly report published on 24 October 2019. Volati publishes this information at this time in order to comply with the EU Market Abuse Regulation, MAR.
This information is information that Volati AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, at 13.15 CET on 10 October 2019.
For further information, please contact:
Mårten Andersson, CEO, +46 72 735 42 84, marten.andersson@volati.se
Andreas Stenbäck, CFO, +46 70 889 09 60, andreas.stenback@volati.se
Volati AB (publ)
Engelbrektsplan 1, SE-114 34 Stockholm
Tel: +46 (0)8-21 68 40, email: info@volati.se, corp.reg.no.: 556555-4317
About Volati
Volati is a Swedish industrial group, formed in 2003, organised in four business areas: Trading, Consumer, Akademibokhandeln and Industry. Volati mainly acquires reasonably valued companies with proven business models, leading market positions and strong cash flows and develops them with a focus on long-term value creation. The strategy is to build on the companies’ identity and entrepreneurial spirit, adding leadership, expertise, processes and financial resources. Volati has operations in 16 countries, over 2,000 employees and annual sales of approximately SEK 7 billion. Volati’s ordinary shares and preference shares are listed on Nasdaq Stockholm. Further information is available at www.volati.se.