TECNOMEN LIFETREE'S INTERIM REPORT 1 JANUARY - 30 JUNE 2009 (unaudited)
Tecnomen Lifetree Corporation INTERIM REPORT
12 August 2009 at 8.30 am
TECNOMEN LIFETREE'S INTERIM REPORT 1 JANUARY - 30 JUNE 2009 (unaudited)
Net sales in the second quarter of the year totalled EUR 15.0 (22.2) million.
The cash flow after investments before the net payment for the Lifetree
acquisition was EUR 0.5 (3.6) million. Net sales for the first half of the year
were EUR 26.5 (37.3) million and the result was EUR -4.6 (2.3) million. The cash
flow after investments before the net payment for the Lifetree acquisition was
EUR 0.9 (2.1) million. The order book at the close of the period stood at EUR
21.5 (25.1) million.
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| KEY FIGURES | 4-6/200 | 4-6/200 | 1-6/200 | 1-6/2008 | 2008 |
| | 9 | 8 | 9 | | |
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| Net sales, MEUR | 15.0 | 22.2 | 26.5 | 37.3 | 77.2 |
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| Net sales, change % | -32.6 | 6.4 | -28.9 | 17.1 | 10.1 |
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| Operating result, MEUR | -1.5 | 3.6 | -3.2 | 3.2 | 11.5 |
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| % of net sales | -10.0 | 16.3 | -12.1 | 8.6 | 14.9 |
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| Profit before taxes, | -1.8 | 3.9 | -3.2 | 3.5 | 13.5 |
| MEUR | | | | | |
--------------------------------------------------------------------------------
| % of net sales | -11.7 | 17.4 | -11.9 | 9.3 | 17.5 |
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| Result for the period | -2.8 | 3.5 | -4.6 | 2.3 | 10.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share, | -0.04 | 0.06 | -0.07 | 0.04 | 0.17 |
| basic, EUR | | | | | |
--------------------------------------------------------------------------------
| Earnings per share, | -0.04 | 0.06 | -0.07 | 0.04 | 0.17 |
| diluted, EUR | | | | | |
--------------------------------------------------------------------------------
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| Order book, MEUR | | | 21.5 | 25.1 | 9.7 |
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| Cash flow after | 0.5 | 3.6 | 0.9 | 2.1 | 17.9 |
| investments and before | | | | | |
| net payment for Lifetree | | | | | |
| acquisition, MEUR | | | | | |
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| Change in cash and cash | -18.9 | 3.6 | -18.5 | -2.0 | 33.8 |
| equivalents, MEUR | | | | | |
--------------------------------------------------------------------------------
| Cash and cash | | | 32.8 | 15.5 | 51.0 |
| equivalents, MEUR | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Equity ratio % | | | 68.4 | 82.5 | 70.3 |
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| Net gearing % | | | -16.3 | -20.4 | -37.2 |
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| Personnel at | | | 820 | 359 | 354 |
| end of period | | | | | |
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Tecnomen Lifetree Corporation uses the name Tecnotree for itself, and this name
is also used in this interim report.
Unless otherwise stated, all figures presented below are for the review period
1-6/2009 and the figures for comparison are for the corresponding period
1-6/2008. The figures for the period 1-6/2009 include the figures for Tecnotree
India (formerly Lifetree) for the period 6 May - 30 June 2009.
President and CEO Jarmo Niemi:
”Net sales in the six month review period were significantly lower than last
year (EUR -10.8 million). This decline occurred entirely in the VAS business,
where net sales were EUR -13.3 million down on the strong performance in the
first half of last year and operating profit was EUR -8.2 million lower. Due to
the global financial crisis, Operators are cautious about making capital
expenditure. In addition, sales of the older generation closed systems have come
to an end and all new sales are for the NGM (Next Generation Messaging)
platform. Prices of these NGM systems are considerably lower than the legacy
systems, due to the modern IP-based technology. The value of sales through
global partners also fell. The global financial crisis has had less impact on
the number of projects delivered.
The net sales and operating result of the BSS/OSS business grew, largely thanks
to the acquired Lifetree business.
The most significant event in the review period was the closing of the Lifetree
acquisition, in line with the company's strategy. As from 6 May to 30 June 2009,
Tecnotree's figures include Lifetree's net sales of EUR 2.9 million and
operating profit of EUR 0.5 million (17 % of net sales). Through the acquisition
the number of company personnel grew by 468, and today almost 70 % of
Tecnotree's personnel are in low cost countries with competitive pricing.
In response to the global recession, we have now begun a major restructuring at
Tecnotree, and the first signs of this can already be seen in the second quarter
figures. Services and maintenance increased their share of sales in line with
target and accounted for 38 % of net sales. Our largest cost item, personnel
costs, in euros were at the same level as in the previous year, even though the
number of personnel grew from 359 to 820. We are continuing the work of
integrating our business and expect to achieve considerable synergy benefits in
the coming years.
Once the global market starts to recover, Tecnotree, with its new cost
structure, modern products and local service offering, will be more competitive
in all aspects.
SALES AND NET SALES
Tecnotree's net sales in the review period declined 28.9 per cent to EUR 26.5
(37.3) million.
EUR 8.0 million of the sales in the review period have been recognised by stage
of completion (IAS 11 Construction contracts) and EUR 18.6 million on delivery
(IAS 18 Revenues).
Net sales by geographical area were: Americas 52.3 per cent (42.7 %), EMEA 42.1
per cent (41.3 %) and APAC 5.6 per cent (16.0 %).
Net sales by product line were: VAS (Value Added Services, formerly Messaging)
41.5 per cent (62.5 %) and BSS/OSS (Business and Operations Support Systems,
formerly Charging) 58.5 per cent (37.5 %).
Sales through global partners totalled EUR 3.4 (6.0) million or 12.8 per cent
(16.1 %) of net sales.
Maintenance and service sales totalled EUR 10.2 (8.6) million or 38.3 per cent
(23.0 %) of net sales.
The order book stood at EUR 21.5 (25.1) million at the end of the review period.
Americas accounted for 21.2 per cent of the order book, EMEA for 73.1 per cent
and APAC for 5.7 per cent.
OPERATING RESULT
Net sales in the review period totalled EUR 26.5 (37.3) million and the
operating result EUR -3.2 (3.2) million. The fall in net sales was the main
cause of the decline in the operating result.
The effective completion of projects towards the end of 2008 meant that net
sales in 2008 were EUR 7.1 million higher than in the previous year. The
recognition of major projects correspondingly reduced the order book at the end
of 2008 and the net sales and operating profit for the first half of 2009.
Net sales for the VAS business unit decreased EUR 12.3 million from the
corresponding period in the previous year, when VAS had an exceptionally large
number of projects especially in the EMEA and APAC regions. Net sales of the
BSS/OSS business unit increased EUR 1.5 million, due to the acquisition in
India.
Capitalisation of research and development costs and amortisation of these had
the net impact of weakening the result by EUR 1.0 million compared to the
previous year. The operating result in the review period was -12.1% (8.6 %) of
net sales.
Tecnotree Convergence Limited (formerly Lifetree Convergence Limited) has been
consolidated as from 6 May 2009. Its impact on net sales was EUR 2.9 million and
on the operating profit EUR 0.5 million.
Tecnomen Lifetree's business operations are based on project sales. The income
and costs recorded for these vary considerably from one quarter to another. For
this reason it is important to base an examination of the profitability of the
company on the result for more then one quarter.
The result for the period before taxes was EUR -3.2 (3.5) million.
Taxes for the period totalled EUR 1.4 (1.2) million, including a change in the
deferred tax liability of EUR 0.6 (0.7) million based on the capitalization of
R&D costs and withholding taxes of EUR 0.5 (0.3) million recognised as parent
company expenses.
Earnings per share were EUR -0.07 (0.04). Equity per share at the end of the
period was EUR 1.20 (1.29).
FINANCING AND INVESTMENTS
Tecnotree's liquid funds totalled EUR 32.8 (15.5) million. The change in cash
and cash equivalents for the review period was EUR -18.5 million, which includes
dividends of EUR 5.1 million paid in the second quarter as well as the purchase
consideration for the Lifetree acquisition less the cash and cash equivalents of
Lifetree at the acquisition date, EUR 14.0 million.
The balance sheet total on 30 June 2009 stood at EUR 129.4 (92.4) million.
Interest-bearing liabilities were EUR 20.0 (0.0) million. The net debt to equity
ratio (net gearing) was -16.3 per cent (-20.4 %). The balance sheet structure
remained strong and the equity ratio on 30 June 2009 was 68.4 per cent (82.5 %).
Tecnotree's gross capital expenditure during the review period, excluding the
capitalisation of development costs, was EUR 0.8 (0.6) million or 2.9 per cent
(1.7 %) of net sales.
Financial income and expenses (net) during the review period totalled EUR 0.0
(0.3) million.
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| CHANGE IN WORKING CAPITAL, MEUR | 1-6/2009 | 1-6/2008 | 1-12/2008 |
| (increase - / decrease +) | | | |
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| Change in trade receivables | 2.6 | 3.2 | 11.8 |
--------------------------------------------------------------------------------
| Change in other short-term | 5.3 | -3.0 | -0.6 |
| receivables | | | |
--------------------------------------------------------------------------------
| Change in inventories | -0.4 | 0.6 | 1.3 |
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| Change in trade payables | -1.0 | -1.4 | -1.8 |
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| Change in other current liabilities | 0.1 | 2.3 | -1.6 |
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| CHANGE IN WORKING CAPITAL, TOTAL | 6.7 | 1.8 | 9.1 |
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BUSINESS UNITS
Following the completion of the acquisition of Lifetree on 6 May 2009, the
company has the following business units: VAS (Value Added Services), comprising
the Messaging product line and Lifetree's MDX+ business, and BSS/OSS (Business
and Operations Support Systems), formed by the former Charging product line with
Lifetree's operations apart from the MDX+ business.
VAS (Value Added Services), formerly Messaging
Sales in the first half of the year were significantly lower than in the
corresponding period last year. Sales comprised mainly deliveries of Next
Generation Messaging products. Tecnomen won three new customers for NGM systems
in the Middle East and Africa. System expansions were delivered in Asia and
Latin America. Maintenance sales remained strong in all main market areas.
BSS/OSS (Business and Operations Support Systems), formerly Charging
Net sales of the BSS/OSS unit were higher than in the same period last year.
Demand was strong in the Middle East and Africa and satisfactory in Latin
America. The completion percentage of current projects improved during the
review period, as did the maintenance contract base. Operators have shown much
interest in the new BSS/OSS products obtained through the merger of Tecnomen and
Lifetree.
RESEARCH AND DEVELOPMENT
Research and development costs during the review period totalled EUR 6.9 (8.7)
million, corresponding to 26.1 per cent (23.2 %) of net sales. EUR 3.5 (4.1)
million of development costs were capitalised and will be amortised over 3-5
years from the start of commercial use. R&D costs of EUR 2.1(1.7) million were
amortised during the review period.
PERSONNEL
At the end of June 2009 Tecnotree employed 820 (359) persons, of whom 91 (90)
worked in Finland and 729 (269) elsewhere. The Lifetree acquisition increased
the number of personnel by 468. The company employed on average 503 (362) people
during the review period. Personnel by geographical area were as follows:
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| | 1-6/2009 | 1-6/2008 | 1-12/2008 |
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| Personnel, at end of period | 820 | 359 | 354 |
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| Americas | 65 | 65 | 65 |
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| EMEA | 265 | 268 | 264 |
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| APAC | 490 | 26 | 25 |
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| Personnel, average | 503 | 362 | 358 |
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| Personnel expenses before R&D | 13.9 | 13.8 | 27.4 |
| capitalisation (MEUR) | | | |
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ACQUISITION OF SHARES OF LIFETREE CONVERGENCE LTD
The company acquired 96 % of the shares of Lifetree Convergence Ltd in a
transaction on 6 May 2009.
The Annual General Meeting on 19 March 2009 conditionally resolved to amend the
name of Tecnomen Corporation, to elect Atul Chopra and David K. White as
additional members to the Board of Directors, and to issue option rights. These
conditional resolutions of the Annual General Meeting took effect on 6 May 2009,
after the conditions of the acquisition were fulfilled, as follows:
- The business name of the Company is Tecnomen Lifetree Oyj; in Swedish,
Tecnomen Lifetree Abp; and in English, Tecnomen Lifetree Corporation. The
Company is domiciled in Espoo.
- The Board term of office of Atul Chopra and David K. White began at completion
of the transaction on 6 May 2009. The Board of Directors thus comprises eight
(8) members.
- The 2009 Stock Option Plan came into force. Under the option plan a maximum of
6,840,036 option rights may be issued. As a result of share subscriptions with
these option rights, the number of shares in the Company may increase by a total
maximum of 6,840,036 new shares.
The CEO of the new Tecnomen Lifetree Group is Jarmo Niemi and the CEO of
Lifetree, Atul Chopra, has been appointed COO of Tecnomen Lifetree. The
management group of the new Group comprises Jarmo Niemi, Eero Mertano, Miika
Reinikka and Tuomas Wegelius, as well as Atul Chopra and Naim Kazi as new
members.
Reporting will continue to be based on segments: the company's reporting
operating segments will be the Value Added Services segment - VAS (comprising
the Messaging business unit with Lifetree's MDX+ business) and the Business
Support Systems / Operations Support Systems segment - BSS/OSS (containing the
Charging business unit with Lifetree's business operations except for the MDX+
division).
The company uses the name Tecnotree and the new website is www.tecnotree.com.
Based on the 2009 Option Plan, the Company's Board of Directors issued 265,554
2009A stock options, 619,627 2009B stock options and 885,181 2009C stock
options, in total 1,770,362 stock options, in accordance with the terms and
conditions of the transaction agreements between the owners of Tecnomen and
Lifetree. All remaining stock options were issued to the Company's wholly owned
subsidiary, Tecnomen Japan Oy, to be distributed at a later time to current or
future key personnel of the Group.
The 2006 Option Plan remains in force, but the overall dilution of the 2006 and
the 2009 options shall not exceed 8.5% of the total number of shares issued
after the completion of the transaction.
The Annual General Meeting on 12 March 2008 authorised the Board of Directors to
issue a maximum of 17,800,000 new shares. Under this authorisation the Board of
Directors, in accordance with the terms and conditions of the transaction
between the owners of Tecnomen and Lifetree, issued new Company shares on the
following terms and conditions:
A total of 13,676,658 new Company shares were subscribed in the share issue. The
new shares were offered to the sellers of Lifetree, deviating from the
pre-emptive subscription rights of the shareholders. There was therefore a
weighty financial reason for the Company to deviate from shareholders'
pre-emptive subscription rights. The subscription price for each new share was
EUR 0.86. The subscription price was paid as contribution in kind.
The company published a listing prospectus on 11 May 2009. Trading in the new
shares on the main list of NASDAQ Helsinki Oy commenced on 15 May 2009.
Lifetree Convergence Ltd changed its name in June 2009 to Tecnotree Convergence
Ltd.
TECNOTREE'S SHARES AND SHARE CAPITAL
At the end of June 2009 the shareholders' equity of Tecnotree Corporation stood
at EUR 87.9 (76.2) million and the share capital was EUR 4.7, divided into
72,953,736 shares. The company held 134,800 of these shares, which represents
0.18 per cent of the company's total number of shares and votes. Equity per
share was EUR 1.20 (1.29).
A total of 8,326,801 Tecnotree shares (EUR 8,344,060) were traded on the
Helsinki Exchanges during the period 2 January - 30 June 2009, representing 11.4
per cent of the total number of shares.
The highest share price quoted in the period was EUR 1.21 and the lowest EUR
0.78. The average quoted price was EUR 0.99 and the closing price on 30 June
2009 was EUR 1.00. The market capitalisation of the share stock at the end of
the period was EUR 72,953,736.
PAYMENT OF DIVIDEND
The Annual General Meeting of Tecnomen Corporation resolved on 19 March 2009 to
authorize the Board of Directors to decide on the dates for paying a dividend of
EUR 0.07 per share for the financial year ended on 31 December 2008. After the
completion of the acquisition of the shares of Lifetree Convergence Limited, the
Board of Directors resolved on the dividend record date and dividend payment
date. The dividend was paid to shareholders who were registered on the record
date of 26 May 2009 in the company's shareholder register maintained by
Euroclear Finland Ltd. The dividend was paid on 2 June 2009.
CURRENT AUTHORISATIONS
Tecnomen's Annual General Meeting held on 12 March 2008 authorised the Board of
Directors to decide on issuing shares and on giving special rights entitling to
shares. The authorisation includes the right to decide on issuing and/or
conveying a maximum of 17,800,000 new shares and/or the Company's own shares
held by the Company either against payment or for free. The authorisation is
valid for two years from the decision of the Annual General Meeting. Under this
authorisation, on 6 May 2009 the Board decided on a share issue against payment
in connection with the acquisition of the shares of Lifetree Convergence Ltd by
issuing 13,676,658 new shares. During the review period 13,676,658 shares have
therefore been used of those covered by the authorisation, and 4,123,342 shares
are still unused.
Tecnomen's Annual General Meeting held on 19 March 2009 authorized the Board of
Directors to decide on acquiring a maximum of 5,790,000 of the Company's own
shares. Own shares may be acquired with unrestricted shareholders' equity
otherwise than in proportion to the holdings of the shareholders through public
trading of the securities arranged by NASDAQ OMX Helsinki Oy at the market price
of the shares in public trading at the time of the acquisition. The shares can
be acquired for the purpose of developing the capital structure of the Company,
carrying out corporate acquisitions or other business arrangements to develop
the business of the Company, financing capital expenditure, to be used as part
of the Company's incentive schemes, or to be otherwise retained in the
possession of the Company, disposed of or nullified in the extent and manner
decided by the Board of Directors. The Board of Directors has the right to
decide on other terms of the share acquisition. This authorisation replaces the
authorisation given by the Annual General Meeting on 12 March 2008 and is valid
for one year from the decision of the AGM. This authorisation has not been
exercised during the review period.
SEGMENT INFORMATION
As from 1 January 2009, Tecnotree is applying the new IFRS 8 standard (Operating
Segments). Like the former primary segments under IAS 14, Tecnotree Group's
operating segments under IFRS 8 comprise the developing and supplying of
messaging and charging solutions. The operating segments presented are VAS
(Value Added Services), the former Messaging product line with Lifetree's MDX+
business, and BSS/OSS (Business and Operations Support Systems), the former
Charging product line with Lifetree's business operations apart from the MDX+
business. This is because these are clearly distinct businesses and they are
monitored in the company's internal financial reporting as separate business
units.
Adopting IFRS 8 has not changed the principles for defining the items to be
reported or excluded for the segments. Tecnotree's chief operating decision
maker, as referred to in IFRS 8, is the Group's management board. The operating
results for the operating segments and administrative expenses, with financial
income and costs, form the Group's operating profit or loss before tax.
STOCK OPTION PROGRAMMES
During the review period the company had in force a 2006 stock option programme.
The state of these options on 30 June 2009 was as follows:
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| Option | Maximum | Number of | Exercise period | Exercise |
| series | number of | granted | | price |
| | options | options | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| 2006A | 667,000 | 304,000 | 1.4.2007-30.4.2010 | 2.47 |
--------------------------------------------------------------------------------
| 2006B | 667,000 | 667,000 | 1.4.2008-30.4.2011 | 1.32 |
--------------------------------------------------------------------------------
| 2006C | 667,000 | | 1.4.2009-30.4.2012 | 0.98 |
--------------------------------------------------------------------------------
| Total | 2,001,000 | 971,000 | | |
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The dividend paid of EUR 0.07 has been deducted from the exercise price for the
2006 options.
The Annual General Meeting of Tecnomen Lifetree Corporation on 19 March 2009
decided on a stock option plan that came into effect after the acquisition of
the shares of Lifetree Convergence Ltd was completed. The state of these options
on 30 June 2009 was as follows:
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| Option | Maximum | Number of | Exercise period | Exercise |
| series | number of | granted | | price |
| | options | options | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| 2009A | 1,026,005 | 265,554 | 1.4.2009-31.3.2011 | 0.86 |
--------------------------------------------------------------------------------
| 2009B | 2,394,013 | 619,627 | 1.4.2010-31.3.2012 | 0.86 |
--------------------------------------------------------------------------------
| 2009C | 3,420,018 | 885,181 | 1.4.2011-31.3.2013 | 0.86 |
--------------------------------------------------------------------------------
| Total | 6,840,036 | 1,770,362 | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| 2006 and | 8,841,036 | 2,741,362 | | |
| 2009 | | | | |
| total | | | | |
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Altogether 8,841,036 stock options remain on 30 June 2009 of all company's stock
options in circulation. The shares that can be subscribed on the basis of these
stock options account for a maximum of 10.81 % of the Company's shares and the
votes carried by the shares after any increase in share capital. On 30 June 2009
the Company still held 6,099,674 of all the current stock options. The issued
stock options had a maximum diluting effect on 30 June 2009 of 3.62 %.
The company's Board of Directors may issue stock options such that their maximum
dilution shall not exceed 8.50 %.
RISKS AND UNCERTAINTY FACTORS
The risks and uncertainty factors for Tecnotree are explained in the report of
the Board of Directors presented in the 2008 Annual Report and in the listing
prospectus published on 11 May 2009. The risks and uncertainties to which the
company is exposed in the near future relate to major projects that are under
negotiation and to their timing, besides changes in currency exchange rates.
Apart from the acquisition of Lifetree, no significant changes have taken place
in the company's risks and uncertainty factors compared to the previous interim
report.
EVENTS AFTER THE END OF THE PERIOD
No significant events have occurred after the end of period.
PROSPECTS
Whole year net sales are estimated to be lower than last year and, in line with
this, the operating profit is expected to be negative.
The integration of Tecnomen and Lifetree is going according to plan and the
acquisition is expected to create considerable synergy benefits, which will have
their full impact in the next few years.
Variations between quarterly figures are expected to be considerable.
FINANCIAL INFORMATION
Tecnotree is holding a conference for analysts and the media to announce its
half year results at 10.00 am on 12 August 2009 in the Pavilion conference room
at the Scandic Hotel Simonkenttä, Simonkatu 9, Helsinki. The interim review will
be presented by CEO Jarmo Niemi and the conference will be held in Finnish. The
material to be presented at the press conference will be available at
www.tecnotree.com at 10.00 am.
Tecnotree will publish its third quarter interim report 1-9/2009
on Wednesday, 29 October 2009.
TECNOMEN LIFETREE CORPORATION
Board of Directors
FURTHER INFORMATION
Mr Jarmo Niemi, President and CEO, tel. +358 (0)9 8047 8799
Mr Tuomas Wegelius, CFO, tel. +358 (0)9 8047 8650
DISTRIBUTION
NASDAQ OMX Helsinki Ltd
Main media
www.tecnomen.com
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| CONSOLIDATED INCOME | Not | 4-6/ | 4-6/ | 1-6/ | 1-6/ | 1-12/ |
| STATEMENT, MEUR | e | 2009 | 2008 | 2009 | 2008 | 2008 |
--------------------------------------------------------------------------------
| NET SALES | 2 | 15.0 | 22.2 | 26.5 | 37.3 | 77.2 |
--------------------------------------------------------------------------------
| Other operating income | | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
--------------------------------------------------------------------------------
| Materials and services | | -3.4 | -4.5 | -5.4 | -8.9 | -16.7 |
--------------------------------------------------------------------------------
| Employee benefit | | -6.2 | -6.4 | -11.7 | -11.9 | -24.0 |
| expenses | | | | | | |
--------------------------------------------------------------------------------
| Depreciation | | -1.7 | -1.4 | -3.1 | -2.7 | -5.6 |
--------------------------------------------------------------------------------
| Other operating | | -5.2 | -6.2 | -9.5 | -10.6 | -19.4 |
| expenses | | | | | | |
--------------------------------------------------------------------------------
| OPERATING RESULT | 2 | -1.5 | 3.6 | -3.2 | 3.2 | 11.5 |
--------------------------------------------------------------------------------
| Financial income | | 0.3 | 0.2 | 0.9 | 0.4 | 3.0 |
--------------------------------------------------------------------------------
| Financial expenses | | -0.6 | 0.0 | -0.8 | -0.2 | -1.1 |
--------------------------------------------------------------------------------
| RESULT BEFORE TAXES | | -1.8 | 3.9 | -3.2 | 3.5 | 13.5 |
--------------------------------------------------------------------------------
| Income taxes | | -1.1 | -0.3 | -1.4 | -1.2 | -3.3 |
--------------------------------------------------------------------------------
| RESULT FOR THE PERIOD | | -2.8 | 3.5 | -4.6 | 2.3 | 10.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Allocated to: | | | | | | |
--------------------------------------------------------------------------------
| Equity holders of | | -2.9 | 3.5 | -4.6 | 2.3 | 10.2 |
| parent | | | | | | |
| company | | | | | | |
--------------------------------------------------------------------------------
| Minority interest | | 0.0 | | 0.0 | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share | | | | | | |
| calculated of the | | | | | | |
| profit attributable to | | | | | | |
| the equity holders of | | | | | | |
| parent company: | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share, | | -0.04 | 0.06 | -0.07 | 0.04 | 0.17 |
| basic, EUR | | | | | | |
--------------------------------------------------------------------------------
| Earnings per share, | | -0.04 | 0.06 | -0.07 | 0.04 | 0.17 |
| diluted, EUR | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONSOLIDATED STATEMENT OF | | 4-6/ | 4-6/ | 1-6/ | 1-6/ | 1-12/ |
| COMPREHENSIVE INCOME, Me | | 2009 | 2008 | 2009 | 2008 | 2008 |
--------------------------------------------------------------------------------
| RESULT FOR THE PERIOD | | -2.8 | 3.5 | -4.6 | 2.3 | 10.2 |
--------------------------------------------------------------------------------
| Other comprehensive | | | | | | |
| income: | | | | | | |
--------------------------------------------------------------------------------
| Translation differences | | -0.5 | 0.0 | -0.4 | 0.0 | -0.5 |
| from foreign operations, | | | | | | |
| net of tax | | | | | | |
--------------------------------------------------------------------------------
| TOTAL COMPREHENSIVE | | -3.3 | 3.5 | -5.0 | 2.3 | 9.6 |
| INCOME FOR THE PERIOD | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Allocated to: | | | | | | |
--------------------------------------------------------------------------------
| Equity holders of parent | | -3.3 | 3.5 | -5.0 | 2.3 | 9.6 |
| company | | | | | | |
--------------------------------------------------------------------------------
| Minority interest | | 0.0 | | 0.0 | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONSOLIDATED BALANCE SHEET, | Note | 30.6.2009 | 30.6.2008 | 31.12.2008 |
| MEUR | | | | |
--------------------------------------------------------------------------------
| Assets | | | | |
--------------------------------------------------------------------------------
| Goodwill | 3 | 19.2 | 0.7 | 0.7 |
--------------------------------------------------------------------------------
| Other intangible assets | 4 | 24.5 | 18.3 | 19.3 |
--------------------------------------------------------------------------------
| Tangible assets | 5 | 7.6 | 7.6 | 7.0 |
--------------------------------------------------------------------------------
| Deferred tax assets | | 1.0 | | |
--------------------------------------------------------------------------------
| Other non-current assets | | 0.8 | 0.5 | 0.7 |
--------------------------------------------------------------------------------
| Current assets | | | | |
--------------------------------------------------------------------------------
| Inventories | | 1.6 | 1.8 | 1.1 |
--------------------------------------------------------------------------------
| Trade receivables | | 18.1 | 20.5 | 14.4 |
--------------------------------------------------------------------------------
| Other receivables | | 22.2 | 27.4 | 24.6 |
--------------------------------------------------------------------------------
| Investments | | 1.6 | | |
--------------------------------------------------------------------------------
| Cash and cash equivalents | | 32.8 | 15.5 | 51.0 |
--------------------------------------------------------------------------------
| TOTAL ASSETS | | 129.4 | 92.4 | 118.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Shareholders' equity | | 87.9 | 76.2 | 83.5 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Non-current liabilities | | | | |
--------------------------------------------------------------------------------
| Deferred tax liabilities | | 6.1 | 4.2 | 4.5 |
--------------------------------------------------------------------------------
| Non-current | | 17.8 | | |
| interest-bearing | | | | |
| liabilities | | | | |
--------------------------------------------------------------------------------
| Other non-current | | 0.3 | 0.0 | 0.0 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| Current liabilities | | | | |
--------------------------------------------------------------------------------
| Current interest-bearing | | 2.3 | | 20.0 |
| liabilities | | | | |
--------------------------------------------------------------------------------
| Trade and other payables | | 15.1 | 12.0 | 10.8 |
--------------------------------------------------------------------------------
| EQUITY AND LIABILITIES, | | 129.4 | 92.4 | 118.9 |
| TOTAL | | | | |
--------------------------------------------------------------------------------
CALCULATION OF CHANGES IN SHAREHOLDERS' EQUITY, MEUR
A = Share capital
B = Share premium fund
C = Own shares
D = Translation differences
E = Invested non-restricted equity reserve
F = Other reserves
G = Retained earnings
H = Total equity attributable to equity holders of parent company
I = Minority interest
J = Total shareholders' equity
--------------------------------------------------------------------------------
| MEUR | A | B | C | D | E | F | G | H | I | J |
--------------------------------------------------------------------------------
| Sharehold | 4. | 0.8 | -0. | -0. | 0.3 | 50.6 | 27.3 | 83.5 | | 83.5 |
| ers' | 7 | | 1 | 1 | | | | | | |
| equi | | | | | | | | | | |
| ty | | | | | | | | | | |
| 1 Jan. | | | | | | | | | | |
| 2009 | | | | | | | | | | |
--------------------------------------------------------------------------------
| Share | | | | | 11.8 | 2.0 | | 13.7 | | 13.7 |
| issue | | | | | | | | | | |
--------------------------------------------------------------------------------
| Dividend | | | | | | -0.5 | -4.6 | -5.1 | | -5.1 |
| distribut | | | | | | | | | | |
| ion | | | | | | | | | | |
--------------------------------------------------------------------------------
| Share-bas | | | | | | | 0.1 | 0.1 | | 0.1 |
| ed | | | | | | | | | | |
| payments | | | | | | | | | | |
--------------------------------------------------------------------------------
| Business | | | | | | | | | 0.6 | 0.6 |
| combinati | | | | | | | | | | |
| ons | | | | | | | | | | |
--------------------------------------------------------------------------------
| Total | | | | -0. | | | -4.6 | -5.0 | 0.0 | -5.0 |
| comprehen | | | | 4 | | | | | | |
| sive | | | | | | | | | | |
| income | | | | | | | | | | |
| for the | | | | | | | | | | |
| period | | | | | | | | | | |
--------------------------------------------------------------------------------
| Sharehold | 4. | 0.8 | -0. | -0. | 12.1 | 52.0 | 18.1 | 87.2 | 0.6 | 87.9 |
| ers' | 7 | | 1 | 4 | | | | | | |
| equity | | | | | | | | | | |
| 31 June | | | | | | | | | | |
| 2009 | | | | | | | | | | |
--------------------------------------------------------------------------------
In June 2009 a total dividend of EUR 5,097,325.52 was paid, or EUR 0.07 per
share on 72,818,936 shares.
--------------------------------------------------------------------------------
| MEUR | A | B | C | D | E | F | G | H/J |
--------------------------------------------------------------------------------
| Shareholde | 4.7 | 0.8 | -0.1 | 0.2 | 0.3 | 54.7 | 17.4 | 78.0 |
| rs' | | | | | | | | |
| equity | | | | | | | | |
| 1 Jan. | | | | | | | | |
| 2008 | | | | | | | | |
--------------------------------------------------------------------------------
| Dividend | | | | | | -4.1 | | -4.1 |
| distributi | | | | | | | | |
| on | | | | | | | | |
--------------------------------------------------------------------------------
| Options | | | | | 0.0 | | | 0.0 |
| exercised | | | | | | | | |
--------------------------------------------------------------------------------
| Share-base | | | | | | | 0.1 | 0.1 |
| d payments | | | | | | | | |
--------------------------------------------------------------------------------
| Other | | | | | | | -0.1 | -0.1 |
| adjustment | | | | | | | | |
| s | | | | | | | | |
--------------------------------------------------------------------------------
| Total | | | | 0.0 | | | 2.3 | 2.3 |
| comprehens | | | | | | | | |
| ive income | | | | | | | | |
| for the | | | | | | | | |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Shareholde | 4.7 | 0.8 | -0.1 | 0.2 | 0.3 | 50.6 | 19.8 | 76.2 |
| rs' equity | | | | | | | | |
| 31 June | | | | | | | | |
| 2008 | | | | | | | | |
--------------------------------------------------------------------------------
In March 2008 a total dividend of EUR 4,138,209.46 was paid, or EUR 0.07 per
share on 59,117,278 shares.
--------------------------------------------------------------------------------
| CONSOLIDATED CASH FLOW STATEMENT, | Note | 1-6/2009 | 1-6/2008 | 1-12/ |
| MEUR | | | | 2008 |
--------------------------------------------------------------------------------
| Cash flow from operating activities | | | | |
--------------------------------------------------------------------------------
| Result for the period | | -4.6 | 2.3 | 10.2 |
--------------------------------------------------------------------------------
| Adjustments | | 2.9 | 1.7 | 5.0 |
--------------------------------------------------------------------------------
| Interest income | | -0.4 | -0.5 | -0.7 |
--------------------------------------------------------------------------------
| Interest expense | | 0.7 | 0.3 | 0.1 |
--------------------------------------------------------------------------------
| Income taxes | | 1.4 | 1.2 | 3.3 |
--------------------------------------------------------------------------------
| Other adjustments | | 0.0 | 0.2 | 0.0 |
--------------------------------------------------------------------------------
| Changes in working capital | | 6.7 | 1.8 | 9.1 |
--------------------------------------------------------------------------------
| Interest paid | | -0.7 | -0.0 | -0.0 |
--------------------------------------------------------------------------------
| Interest received | | 0.3 | 0.3 | 0.7 |
--------------------------------------------------------------------------------
| Income taxes paid | | -0.9 | -0.3 | -1.4 |
--------------------------------------------------------------------------------
| Net cash flow from operating | | 5.6 | 6.9 | 26.1 |
| activities | | | | |
--------------------------------------------------------------------------------
| Cash flow from investing activities | | | | |
--------------------------------------------------------------------------------
| Acquisition of subsidiaries | 3 | -14.0 | | |
| deducted by | | | | |
| cash and cash equivalents at acq. | | | | |
| date | | | | |
--------------------------------------------------------------------------------
| Investments in intangible assets | | -3.6 | -4.1 | -7.2 |
--------------------------------------------------------------------------------
| Investments in tangible assets | | -0.7 | -0.6 | -1.0 |
--------------------------------------------------------------------------------
| Investments in other financial | | -0.5 | | |
| assets | | | | |
--------------------------------------------------------------------------------
| Net cash flow from investing | | -18.8 | -4.7 | -8.2 |
| activities | | | | |
--------------------------------------------------------------------------------
| Cash flow from financing activities | | | | |
--------------------------------------------------------------------------------
| Shares subscribed with share | | | 0.0 | 0.0 |
| options | | | | |
--------------------------------------------------------------------------------
| Proceeds from short-term borrowings | | | | 20.0 |
--------------------------------------------------------------------------------
| Repayments of short-term borrowings | | -0.3 | | |
--------------------------------------------------------------------------------
| Dividend paid | | -5.1 | -4.1 | -4.1 |
--------------------------------------------------------------------------------
| Net cash flow from financing | | -5.4 | -4.1 | 15.9 |
| activities | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Increase (+) and decrease (-) in | | -18.5 | -2.0 | 33.8 |
| cash and cash equivalents | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents at beg. | | 51.0 | 17.5 | 17.5 |
| of period | | | | |
--------------------------------------------------------------------------------
| Impact of changes in exchange rates | | 0.2 | 0.0 | -0.3 |
--------------------------------------------------------------------------------
| Change in fair value of investments | | 0.1 | -0.0 | 0.0 |
--------------------------------------------------------------------------------
| Cash and cash equivalents at end of | | 32.8 | 15.5 | 51.0 |
| period | | | | |
--------------------------------------------------------------------------------
| Change | | -18.5 | -2.0 | 33.8 |
--------------------------------------------------------------------------------
1. ACCOUNTING PRINCIPLES AND BASIS FOR PREPARING THE INTERIM REPORT
The Group's financial report has been prepared in accordance with the
international financial reporting standard IAS 34 Interim Financial Reporting.
The formulas for calculating the key figures presented and the accounting
principles for the interim report are the same as the principles published in
the 2008 Annual Report, apart from the new and revised IFRS regulations that
came into force on 1 January 2009. These have not had a significant impact on
the accounting principles and basis for preparing the interim report.
The financial figures in the income statement, the balance sheet and key
indicators are presented in million euros. The figures shown here have been
calculated using exact values.
2. SEGMENT INFORMATION
Tecnomen Group reports on its operating segments in accordance with IFRS 8 as
follows: VAS (Value Added Services), the former Messaging product line with
Lifetree's MDX+ business, and BSS/OSS (Business and Operations Support Systems),
the former Charging product line with Lifetree's business operations apart from
the MDX+ business.
‘Other segments' include administrative expenses and assets. 'Non-allocated
items' include taxes and financial items. The operating results for the
operating segments and administrative expenses, with financial income and
expenses, form the Group's operating profit or loss before tax.
Tecnomen Group operates in three geographical areas: Americas (North, Central
and South America), EMEA (Europe, the Middle East and Africa) and APAC (Asia
Pacific). Net sales for the geographical segments are presented based on the
location of customers.
--------------------------------------------------------------------------------
| OPERATING SEGMENTS: | 1-6/2009 | 1-6/2008 | 1-12/2008 |
| NET SALES, MEUR | | | |
--------------------------------------------------------------------------------
| VAS | 11.0 | 23.3 | 40.4 |
--------------------------------------------------------------------------------
| BSS/OSS | 15.5 | 14.0 | 36.8 |
--------------------------------------------------------------------------------
| TOTAL | 26.5 | 37.3 | 77.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OPERATING RESULT, MEUR | | | |
--------------------------------------------------------------------------------
| VAS | -2.1 | 6.1 | 8.8 |
--------------------------------------------------------------------------------
| BSS/OSS | 0.5 | -1.6 | 5.5 |
--------------------------------------------------------------------------------
| Other segments | -1.6 | -1.3 | -2.8 |
--------------------------------------------------------------------------------
| TOTAL | -3.2 | 3.2 | 11.5 |
--------------------------------------------------------------------------------
| Non-allocated items: | | | |
--------------------------------------------------------------------------------
| Financial income and expenses | 0.0 | 0.3 | 1.9 |
--------------------------------------------------------------------------------
| RESULT BEFORE TAXES | -3.2 | 3.5 | 13.5 |
--------------------------------------------------------------------------------
| SEGMENT ASSETS, MEUR | | | |
--------------------------------------------------------------------------------
| VAS | 31.7 | | 32.9 |
--------------------------------------------------------------------------------
| BSS/OSS | 59.2 | | 32.8 |
--------------------------------------------------------------------------------
| Other segments | 2.8 | | 1.6 |
--------------------------------------------------------------------------------
| TOTAL | 93.7 | | 67.3 |
--------------------------------------------------------------------------------
| Non-allocated items: | | | |
--------------------------------------------------------------------------------
| Deferred tax assets and income tax | 1.3 | | 0.5 |
| receivables | | | |
--------------------------------------------------------------------------------
| Investments, cash and cash | 34.3 | | 51.0 |
| equivalents | | | |
--------------------------------------------------------------------------------
| TOTAL ASSETS | 129.4 | | 118.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| GEOGRAPHICAL AREAS | 1-6/2009 | 1-6/2008 | 1-12/2008 |
| NET SALES, MEUR | | | |
--------------------------------------------------------------------------------
| Americas | 13.9 | 15.9 | 41.6 |
--------------------------------------------------------------------------------
| EMEA | 11.2 | 15.4 | 27.6 |
--------------------------------------------------------------------------------
| APAC | 1.5 | 6.0 | 8.0 |
--------------------------------------------------------------------------------
| TOTAL | 26.5 | 37.3 | 77.2 |
--------------------------------------------------------------------------------
3. ACQUISITIONS
In December 2008 Tecnomen signed an agreement to acquire the Indian company
Lifetree Convergence Ltd. The acquisition was closed on 6 May 2009 after the
receipt of regulatory and statutory approvals. Lifetree supplies convergent
billing, customer care, rating and messaging platforms.
In consequence of the acquisition, the holding company Lifetree Cyberworks Ltd
became a fully owned subsidiary of Tecnomen, and Lifetree Convergence Ltd, which
is owned 61.02 % by Lifetree Cyberworks Ltd and has business operations, became
a 96.51 % owned subsidiary of Tecnomen Group. The acquisition also included the
fully-owned subsidiaries of Lifetree Convergence Ltd: Quill Publishers Private
Ltd (India), Lifetree Convergence Pty Ltd (South Africa) and Lifetree UK Ltd
(UK), as well as the 95 % owned subsidiary Lifetree Convergence Nigeria Ltd
(Nigeria).
Tecnomen paid the shareholders of the companies consideration of altogether EUR
21.3 million in cash. In addition, altogether 13,676,658 new Tecnomen
Corporation shares were issued to those selling the companies, for which the
fair value was determined to be EUR 14.1 million. The basis for the fair value
was the closing price for Tecnomen shares on the acquisition date of 6 May 2009.
The acquisition cost also includes transaction costs of EUR 1.1 million.
The goodwill of EUR 18.9 million arising from the acquisition is considered to
be attributable to the synergy benefits expected and to the know-how of the
personnel transferred in the acquisition. The acquisition also expands
Tecnomen's product portfolio and boosts cost efficiency.
Tecnotree's net result for the period 1 January - 30 June 2009 includes a profit
of EUR 0.7 million recorded by the acquired company Lifetree. If the Lifetree
acquisition had taken place on 1 January 2009, Tecnotree's net sales for the
period 1 January - 30 June 2009 would have been some EUR 31.5 million and the
result about EUR -4.3 million.
Since Tecnomen is not applying the revised IFRS 3 standard before it comes into
force on 1 July 2009, the existing IFRS standard is applied to the Lifetree
acquisition (in force as from 31 March 2004). The acquisition has been
recognised on a preliminary basis as permitted by IFRS 3.
--------------------------------------------------------------------------------
| | Fair values | Carrying |
| | used at | values before |
| | combination | combination |
| | 6 | 6 |
| | May 2009 | May 2009 |
--------------------------------------------------------------------------------
| Intangible assets: | | |
--------------------------------------------------------------------------------
| Software products | 3.3 | 0.3 |
--------------------------------------------------------------------------------
| Other intangible assets | 0.7 | 0.7 |
--------------------------------------------------------------------------------
| Tangible assets | 0.6 | 0.6 |
--------------------------------------------------------------------------------
| Deferred tax assets | 0.8 | 0.8 |
--------------------------------------------------------------------------------
| Non-current receivables | 0.3 | 0.3 |
--------------------------------------------------------------------------------
| Inventories | 0.1 | 0.1 |
--------------------------------------------------------------------------------
| Trade and other receivables | 9.8 | 9.8 |
--------------------------------------------------------------------------------
| Investments | 1.1 | 1.1 |
--------------------------------------------------------------------------------
| Cash and cash equivalents | 8.4 | 8.4 |
--------------------------------------------------------------------------------
| Total assets | 25.0 | 22.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Deferred tax liabilities | 1.0 | 0.0 |
--------------------------------------------------------------------------------
| Non-current liabilities | 0.3 | 0.3 |
--------------------------------------------------------------------------------
| Current liabilities | 5.5 | 5.5 |
--------------------------------------------------------------------------------
| Total liabilities | 6.8 | 5.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net assets | 18.2 | 16.3 |
--------------------------------------------------------------------------------
| Share of net assets based on holding | 17.6 | 15.6 |
| acquired | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Acquisition cost: | | |
--------------------------------------------------------------------------------
| Consideration paid, settled in cash | 21.3 | |
--------------------------------------------------------------------------------
| Consideration paid, settled through | 14.1 | |
| directed | | |
| share issue | | |
--------------------------------------------------------------------------------
| Transaction costs | 1.1 | |
--------------------------------------------------------------------------------
| Total acquisition cost | 36.5 | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Goodwill on acquisition | 18.9 | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Impact of acquisition on cash flow: | | |
--------------------------------------------------------------------------------
| Purchase consideration settled in cash and | 22.4 | |
| transaction costs | | |
--------------------------------------------------------------------------------
| Cash and cash equivalents in subsidiary | 8.4 | |
| acquired | | |
--------------------------------------------------------------------------------
| Net cash outflow | 14.0 | |
--------------------------------------------------------------------------------
4. INTANGIBLE ASSETS
During the review period EUR 3.5 million of development costs have been
capitalised (EUR 4.1 million 1 Jan - 30 June 2008) and will be amortised over
3-5 years from the start of commercial use. Research and development costs of
EUR 2.1 were amortised during the review period (EUR 1.7 million 1 Jan - 30 June
2008).
5. TANGIBLE ASSETS
Acquisitions of tangible assets in the review period totalled EUR 0.7 million
(EUR 0.6 million 1 Jan - 30 June 2008). Disposals during the review period were
EUR 0.0 million (EUR 0.1 million 1 Jan - 30 June 2008).
--------------------------------------------------------------------------------
| 6. CONSOLIDATED CONTINGENT | 30.6.2009 | 30.6.2008 | 31.12.2008 |
| LIABILITIES, MEUR | | | |
--------------------------------------------------------------------------------
| Pledges given | 0.1 | | 0.1 |
--------------------------------------------------------------------------------
| Guarantees | | | |
--------------------------------------------------------------------------------
| On own behalf | 0.2 | 0.0 | 0.0 |
--------------------------------------------------------------------------------
| Other liabilities | | | |
--------------------------------------------------------------------------------
| Restriction related to real estate | 0.4 | 0.4 | 0.4 |
| in Ireland | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OTHER OPERATING LEASES, MEUR | 30.6.2009 | 30.6.2008 | 31.12.2008 |
| Minimum rents payable based on | | | |
| other leases that cannot be | | | |
| cancelled: | | | |
--------------------------------------------------------------------------------
| | | | |
--------------------------------------------------------------------------------
| Other operating leases | | | |
--------------------------------------------------------------------------------
| Less than one year | 0.9 | 0.5 | 0.6 |
--------------------------------------------------------------------------------
| Between one and five years | 0.9 | 0.7 | 0.4 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| 7. CONSOLIDATED KEY FINANCIAL | 1-6/2009 | 1-6/2008 | 1-12/2008 |
| FIGURES, MEUR | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Return on investment, % | -4.5 | 9.5 | 16.0 |
--------------------------------------------------------------------------------
| Return on equity, % | -10.7 | 5.9 | 12.6 |
--------------------------------------------------------------------------------
| Equity ratio, % | 68.4 | 82.5 | 70.3 |
--------------------------------------------------------------------------------
| Net gearing, % | -16.3 | -20.4 | -37.2 |
--------------------------------------------------------------------------------
| Investments | 0.8 | 0.6 | 1.3 |
--------------------------------------------------------------------------------
| % of net sales | 2.9 | 1.7 | 1.7 |
--------------------------------------------------------------------------------
| Research and development | 6.9 | 8.7 | 15.5 |
--------------------------------------------------------------------------------
| % of net sales | 26.1 | 23.2 | 20.0 |
--------------------------------------------------------------------------------
| Order book | 21.5 | 25.1 | 9.7 |
--------------------------------------------------------------------------------
| Personnel, average | 503 | 362 | 358 |
--------------------------------------------------------------------------------
| Personnel, at end of period | 820 | 359 | 354 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CONSOLIDATED KEY FIGURES PER SHARE, | 1-6/2009 | 1-6/2008 | 1-12/2008 |
| MEUR | | | |
--------------------------------------------------------------------------------
| Earnings per share, basic, EUR | -0.07 | 0.04 | 0.17 |
--------------------------------------------------------------------------------
| Earnings per share, diluted, EUR | -0.07 | 0.04 | 0.17 |
--------------------------------------------------------------------------------
| Equity per share, EUR | 1.20 | 1.29 | 1.41 |
--------------------------------------------------------------------------------
| Number of shares at end of period, x | 72,819 | 59,142 | 59,142 |
| 1,000 | | | |
--------------------------------------------------------------------------------
| Number of shares on average, x 1,000 | 62,996 | 59,126 | 59,134 |
--------------------------------------------------------------------------------
| Share price, EUR | | | |
--------------------------------------------------------------------------------
| Average | 0.99 | 1.08 | 1.00 |
--------------------------------------------------------------------------------
| Lowest | 0.78 | 0.95 | 0.75 |
--------------------------------------------------------------------------------
| Highest | 1.21 | 1.27 | 1.27 |
--------------------------------------------------------------------------------
| Share price at end of period | 1.00 | 0.99 | 0.84 |
--------------------------------------------------------------------------------
| Market capitalisation of issued stock | 73.0 | 58.7 | 49.8 |
| at end of period, MEUR | | | |
--------------------------------------------------------------------------------
| Share turnover, million shares | 8.3 | 12.7 | 23.2 |
--------------------------------------------------------------------------------
| Share turnover, % of total | 11.4 | 21.5 | 39.2 |
--------------------------------------------------------------------------------
| Share turnover, MEUR | 8.3 | 13.7 | 23.2 |
--------------------------------------------------------------------------------
| Dividend per share | | | 0.07 |
--------------------------------------------------------------------------------
| Dividend per earnings, % | | | 0.41 |
--------------------------------------------------------------------------------
| Effective dividend yield | | | 0.08 |
--------------------------------------------------------------------------------
| Price/earnings ratio (P/E) | | | 4.88 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| KEY FIGURES PER | 2Q/09 | 1Q/09 | 4Q/08 | 3Q/08 | 2Q/08 | 1Q/08 |
| QUARTER, MEUR | | | | | | |
--------------------------------------------------------------------------------
| Net sales, MEUR | 15.0 | 11.5 | 21.7 | 18.2 | 22.2 | 15.2 |
--------------------------------------------------------------------------------
| Net sales, change % | -32.6 | -24.1 | 13.3 | -4.8 | 6.4 | 37.4 |
--------------------------------------------------------------------------------
| Operating result, MEUR | -1.5 | -1.7 | 5.0 | 3.3 | 3.6 | -0.4 |
--------------------------------------------------------------------------------
| % of net sales | -10.0 | -14.9 | 23.1 | 18.2 | 16.3 | -2.6 |
--------------------------------------------------------------------------------
| Result before taxes, | -1.8 | -1.4 | 5.8 | 4.2 | 3.9 | -0.4 |
| MEUR | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Personnel at end of | 820 | 350 | 354 | 354 | 359 | 365 |
| period | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share, | -0.04 | -0.03 | 0.08 | 0.05 | 0.06 | -0.02 |
| basic, EUR | | | | | | |
--------------------------------------------------------------------------------
| Earnings per share, | -0.04 | -0.03 | 0.08 | 0.05 | 0.06 | -0.02 |
| diluted, EUR | | | | | | |
--------------------------------------------------------------------------------
| Equity per share, EUR | 1.20 | 1.38 | 1.41 | 1.34 | 1.29 | 1.23 |
--------------------------------------------------------------------------------
| Net interest-bearing | -14.3 | -31.5 | -31.0 | -25.2 | -15.5 | -11.8 |
| liabilities, MEUR | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Order book, MEUR | 21.5 | 11.7 | 9.7 | 17.2 | 25.1 | 16.8 |
--------------------------------------------------------------------------------
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