Helsinki, Finland, 2014-02-14 07:30 CET (GLOBE NEWSWIRE) -- Dovre Group Plc Financial Statements Bulletin February 14, 2014 at 8.30 a.m.
DOVRE’S BUSINESS PERFORMANCE REMAINED STEADY – DOVRE GROUP FINANCIAL STATEMENTS (IFRS) JANUARY 1 – DECEMBER 31, 2013
October – December 2013 - Net sales, continuing operations EUR 24.8 (25.7) million - Change in net sales -3.5%, net sales growth in local currencies 7% - Project Personnel: net sales EUR 22.6 (23.1) million, change -2% - Consulting: net sales EUR 2.2 (2.6) million, change -15 % - Operating result EUR 0.5 (0.6) million, which is 2.0 (2.5) % of net sales, Operating result, continuing operations excl. extraordinary items EUR 0.7 (0.6) million, which is 2.9 (2.5) % of net sales. - Result for the period, continuing operations EUR 0.4 (0.5) million - Result for the period incl. discontinued operations EUR 0.4 (0.7) million - Earnings per share incl. discontinued operations EUR 0.01 (0.01) - Net cash flow from operating activities, continuing operations EUR 2.7 ( 1.6) million, incl. discontinued operations EUR 2.7 (1.3) million
January – December 2013 - Net sales, continuing operations EUR 98.5 (94.1) million - Net sales growth 4.8%, net sales growth in local currencies 10% - Project Personnel: net sales EUR 89.9 (85.0) million, growth 6%, growth in local currencies 11% - Consulting: net sales EUR 8.5 (9.2) million, change -7%, change in local currencies -4% - Operating result, continuing operations EUR 2.4 (3.4) million. Operating result, continuing operations excl. extraordinary items EUR 3.0 (3.4) million, which is 3.1 (3.6) % of net sales - Result for the period incl. discontinued operations EUR 5.6 (2.9) million - Earnings per share incl. discontinued operations EUR 0.09 (0.05) - Net cash flow from operating activities incl. discontinued operations EUR 3.2 ( 2.8) million - Board of Directors proposes to the AGM a dividend of EUR 0.02 (0.02) per share - Board of Directors proposes to the AGM an extraordinary dividend of EUR 0.05 (0.00) per share - Guidance for 2014: In 2014, net sales are expected to grow and operating result to improve from 2013. KEY FIGURES
| EUR million | 10-12 | 10-12 | Change | 01-12 | 01-12 | Change |
| 2013 | 2012 | % | 2013 | 2012 | % | |
| Net sales | 24.8 | 25.7 | -3.5 | 98.5 | 94.1 | 4.8 |
| Operating result | 0.5 | 0.6 | -24.0 | 2.4 | 3.4 | -29.6 |
| % of net sales | 2.0 | 2.5 | 2.4 | 3.6 | ||
| Operating result excl. extraordinary items | 0.7 | 0.6 | 9.3 | 3.0 | 3.4 | -11.6 |
| % of net sales | 2.9 | 2.5 | 3.1 | 3.6 | ||
| Result for the period, incl. discontinued operations | 0.4 | 0.7 | -38.6 | 5.6 | 2.9 | 93.9 |
| % of net sales | 1.6 | 2.5 | 5.6 | 3.0 | ||
| Result for the period, continuing operations | 0.4 | 0.5 | -16.8 | 1.2 | 2.2 | -45.0 |
| % of net sales | 1.6 | 1.8 | 1.2 | 2.3 | ||
| Net cash flow from operations, continuing operations | 2.7 | 0.7 | 75.4 | 3.7 | 1.9 | 91.3 |
| Net cash flow from operations, incl. discontinued operations | 2.7 | 1.3 | 106.6 | 3.2 | 2.8 | 14.9 |
| Change in cash and cash equivalents, incl. discontinued operations | 2.1 | 1.5 | 45.5 | 4.4 | 1.4 | 224.3 |
| Debt-equity ratio (Gearing), % | -50.0 | -27.0 | 85.2 | -50.0 | -27.0 | 85.2 |
| Earnings per share, EUR (incl. discontinued operations) | ||||||
| Basic | 0.01 | 0.01 | -38.6 | 0.09 | 0.05 | 93.9 |
| Diluted | 0.01 | 0.01 | -38.7 | 0.09 | 0.05 | 93.4 |
| Earnings per share, EUR (continuing operations) | ||||||
| Basic | 0.01 | 0.01 | -14.7 | 0.02 | 0.04 | -45.0 |
| Diluted | 0.01 | 0.01 | -14.9 | 0.02 | 0.03 | -45.1 |
| The Group’s Software business area, which was sold on May 30, 2013, has been reported under discontinued operations as of the fourth quarter of 2012. | ||||||
TARJA LEIKAS, CEO:
“In 2013, Dovre Group’s net sales developed positively throughout the year. While net sales growth in euros was 5 %, our net sales grew 10% in local currencies. In the fourth quarter, our euro net sales decreased 3.5% from the fourth quarter of 2012, while local currency net sales grew 7%. The strengthening of the euro in relation to the local currencies in Dovre’s key markets had a negative impact on the Group’s euro net sales especially in the second half of 2013. Only 2% of the Group’s net sales were in the Group’s reporting currency. The Group’s net sales in 2013 were EUR 98.5 million.
Project Personnel, our biggest business area, increased its net sales approximately 5.8% in 2013. In local currencies, the growth in net sales was 11%. Net sales for Consulting decreased by 6.8% in euros and by 4% in local currencies. Geographically, growth in net sales was strongest in Norway throughout the year.
Our operating result in 2013 was EUR 2.4 million, which is 2.4% of net sales. Excluding extraordinary items, our operating result was EUR 3.0 million, which is 3.1% of net sales. Our operating result in the fourth quarter of 2013 was EUR 0.5 million, which is 2.0% of net sales. Excluding extraordinary items, operating result in the fourth quarter was EUR 0.7 million, which is 2.9% of net sales.
Profitability of the Group’s Project Personnel business area was affected by items relating to previous periods and by restructuring costs in Australia in the first quarter of 2013. Profitability was also affected by investments in business development within the business area, most notably the Dovre Club service platform. In the Consulting business area, profitability decreased due to the difficult market situation in Finland and Sweden and the business area’s challenges in biorenewables consulting in the beginning of the year.
In accordance with the Group’s strategy, released in January 2013, we will focus on providing professional services to the energy sector, especially the oil and gas industry, with the aim to become the most advanced international player in the field. As part of our new strategy we announced that we would discontinue our software business in Norway. The sale of Safran Software Solutions was completed in May 2013.
Our most important development project of the year, Dovre Club, was launched to the market in October. Dovre Club is an advanced online service platform for recruiting and sales with sophisticated tools for business and market analysis. I believe it will also significantly strengthen our internal processes.
Our long term work to expand our market in the Middle East bore fruit at the end of 2013, when our first assignments in the area started. The Group’s associate SaraRasa Bioindo started commercial renewable fuel production in Indonesia in the final quarter of 2013.
I expect our business to grow steadily in 2014. Investment levels in the energy sector are expected to remain stable. We continue our work to develop the Group in accordance with our strategy, with further development of the Dovre Club online service as an essential part of strategy implementation.”
FUTURE OUTLOOK
General economic insecurity has not significantly affected investment levels among Project Personnel business area’s customers in the oil and gas industry and Dovre Gourp expects demand for the business area’s services to remain stable in key market areas also in 2014. Market demand supports opportunities for growth, but the competitive market still creates pressure on profitability.
In the Group’s Consulting business area, current market outlook in Norway remains positive. However, Norway’s strong economic growth is expected to level down in 2014. In Finland and Sweden, demand for consulting services decreased in 2013 due to low investment levels especially in the export industry. Dovre expects moderate increase of customer demand in 2014.
Guidance for 2014: In 2014, net sales are expected to grow and operating result to improve from 2013. This future outlook is based on forecasts approved by Dovre Group’s Board of Directors.
BOARD OF DIRECTORS’ PROPOSAL FOR DIVIDEND
The parent company’s distributable funds are EUR 15,816,710.91. The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 0.02 per share to be paid, corresponding to EUR 1 258 215,00 based on the total number of shares (62,915,751). The Board also proposes an extraordinary dividend of EUR 0.05 per share to be paid, corresponding to EUR 3 145 537,55.
The Board of Directors proposes that the dividend and the extraordinary dividend are paid to a shareholder who on the record date April 1, 2014, is registered as a shareholder in the Company’s shareholders’ register maintained by Euroclear Finland Ltd. The dividend is paid on April 8, 2014.
No significant changes have occurred in the company’s financial position after the end of the financial year. The company’s liquidity is good, and the proposed distribution of dividend poses no risk to the company’s financial standing.
The financial information presented in the financial statements is based on the company’s audited financial statements. The auditor’s report was issued on February 13, 2014.
BRIEFING FOR PRESS AND FINANCIAL ANALYSTS
Dovre Group organizes a briefing on financial statements 2013 to the press and financial analysts on Friday, February 14, 2014, at 10 a.m. The briefing will be held at Event Arena Bank, Unioninkatu 20, Helsinki. A recording of the briefing will be available on the company’s website www.dovregroup.com from around 3 pm onwards. The briefing will be held in Finnish.
Helsinki, February 13, 2014
Dovre Group Plc Board of Directors
For additional information, please contact Dovre Group Plc Tarja Leikas, CEO (acting), CFO tel. +358-20-436 2000 www.dovregroup.com
Dovre Group’s Financial Reporting in 2014
Dovre Group Plc’s Annual Report 2013, including the Group’s audited financial statements for January 1 – December 31, 2013, will be available on the company website by March 6, 2014.
Dovre Group releases its 2013 interim reports as follows: Interim report for January 1 – March 31, 2014 on Thursday, April 24, 2014 Interim report for January 1 – June 30, 2014 on Thursday, July 24, 2014 Interim report for January 1 – September 30, 2014 on Thursday, October 23, 2014.
Annual General Meeting Dovre Group Plc’s Annual General Meeting has been planned to be held at Suomalainen Klubi in Helsinki (address: Kansakoulukuja 3) on Thursday, March 27, 2014, starting at 2:30pm.
Distribution NASDAQ OMX Helsinki Ltd Major media www.dovregroup.com
Dovre Group is a global provider of project management services. Dovre Group has two business areas: Project Personnel and Consulting. In 2013, the Group’s net sales were EUR 98,5 million. Dovre Group employs over 470 people worldwide. Dovre Group is listed on the NASDAQ OMX Helsinki (symbol: DOV1V).
