Panostaja Oyj Half Year Financial Report June 4, 2020
Coronavirus pandemic challenges business
- Net sales increased in three of the seven segments. Net sales for the Group as a whole weakened by 13% to MEUR 41.2 (MEUR 47.2).
- EBIT improved in three of seven segments. The entire Group’s EBIT declined from the reference period, standing at MEUR 1.0 (MEUR 1.9).
- Grano’s net sales for the review period declined by 17% from the reference period in the previous year. EBIT totaled MEUR 1.2 (MEUR 2.5).
- Earnings per share (undiluted) were -1.4 cents (0.2 cents).
- In the review period,
Panostaja made an agreement on selling the majority of Tilatukku Group Oy’s share capital to the acting management.Panostaja Group recorded a sales loss of about MEUR 0.5 for the trade.
- Net sales increased in three of the seven segments. Net sales for the Group as a whole weakened by 9% to MEUR 83.8 (MEUR 92.2).
- EBIT improved in three of seven segments. The entire Group’s EBIT declined from the reference period, standing at MEUR 0.5 (MEUR 2.1). The reference period’s EBIT includes sales profit for
Ecosir Group in the amount of MEUR 1.6. - Grano’s net sales for the review period declined by 13.5% from the reference period in the previous year. EBIT totaled MEUR 0.8 (MEUR 2.2).
- Earnings per share (undiluted) were -3.2 cents (0.1 cents).
CEO
“In the six-month review period, the total net sales of the segments declined by 9% from the reference period. After six months, the operational EBIT of the investment targets was at the reference year level, not including the
Net sales and EBIT in the second quarter improved from the reference period for CoreHW,
The pandemic’s impact on the corporate acquisition market was equally severe. The effects of the economic lockdown measures affected business operations and prospects, and the uncertain growth and deteriorated loan terms led to a clear decline in activity as well as the suspension of many on-going projects on the markets. Despite the challenging market situation, we carried out the sale of Tilatukku Group’s share capital to the acting management in April. The divestment was in line with Panostaja’s strategy and supported the objective of actively developing the portfolio.
At the end of the review period, the impacts of the coronavirus pandemic and the related economic lockdown measures would seem to have stabilized among our segments for the time being, and the measures required by each company to respond to the situation have been initiated. Overall, our segments have succeeded in responding to the extraordinary circumstances quite well. We are currently keeping a close eye on how the staggered measures to open up the economy begin to affect demand in various fields.”
MEUR | Q2 | Q2 | 6 months | 6 months | 12 months |
2/20- 4/20 | 2/19- 4/19 | 11/19- 4/20 | 11/18- 4/19 | 11/18- 10/19 | |
Net sales, MEUR | 41.2 | 47.2 | 83.8 | 92.2 | 182.9 |
EBIT, MEUR | 1.0 | 1.9 | 0.5 | 2.1 | 3.8 |
Profit before taxes, MEUR | 0.4 | 1.4 | -0.6 | 1.2 | 1.9 |
Profit/loss for the financial period, MEUR | -0.4 | 1.1 | -1.7 | 0.4 | 2.5 |
Earnings per share, undiluted (EUR) | -0.01 | 0.00 | -0.03 | 0.00 | 0.03 |
Equity per share (EUR) | 0.88 | 0.96 | 0.88 | 0.96 | 0.96 |
Operating cash flow (MEUR) | 16.1 | 2.9 | 17.6 | 4.2 | 10.8 |
Impacts of COVID 19
The impacts of the coronavirus pandemic on the business operations of
Division of the net sales by segment MEUR | Q2 | Q2 | 6 months | 6 months | 12 months |
Net sales | 2/20- 4/20 | 2/19- 4/20 | 11/19- 4/20 | 11/18- 4/19 | 11/18- 10/19 |
Grano | 28.5 | 34.5 | 57.8 | 66.7 | 129.7 |
Helakeskus | 2.0 | 2.1 | 3.8 | 4.0 | 8.0 |
Hygga | 1.0 | 1.2 | 2.1 | 2.4 | 4.7 |
Heatmasters | 1.1 | 0.8 | 2.2 | 1.6 | 4.2 |
CoreHW | 2.3 | 1.5 | 4.7 | 2.5 | 5.7 |
Carrot | 3.4 | 4.6 | 7.8 | 9.9 | 20.8 |
2.9 | 2.6 | 5.6 | 5.1 | 10.1 | |
Others | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
Eliminations | 0.0 | -0.1 | -0.1 | -0.1 | -0.3 |
Group in total | 41.2 | 47.2 | 83.8 | 92.2 | 182.9 |
MEUR | Q2 | Q2 | 6 months | 6 months | 12 months |
EBIT | 2/20- 4/20 | 2/19- 4/20 | 11/19- 4/20 | 11/18- 4/19 | 11/18- 10/19 |
Grano | 1.2 | 2.5 | 0.8 | 2.2 | 4.1 |
Helakeskus | 0.1 | 0.1 | 0.2 | 0.2 | 0.5 |
Hygga | -0.1 | 0.0 | -0.1 | -0.1 | -0.2 |
Heatmasters | 0.1 | 0.0 | 0.2 | -0.1 | 0.2 |
CoreHW | 0.2 | 0.2 | 0.6 | -0.1 | 0.4 |
Carrot | -0.2 | -0.2 | -0.6 | -0.6 | -0.4 |
0.3 | 0.1 | 0.5 | 0.2 | 0.2 | |
Others | -0.5 | -0.7 | -1.1 | 0.3 | -1.1 |
Group in total | 1.0 | 1.9 | 0.5 | 2.1 | 3.8 |
Panostaja Group’s business operations for the current review period are reported in eight segments: Grano, Helakeskus, Heatmasters, Hygga, CoreHW, Carrot,
In the review period, two associated companies,
Outlook for the 2020 Financial Period
The onset of the coronavirus pandemic and the measures implemented to curb it are affecting the markets in which Panostaja Oyj’s segments operate. This has a substantial impact on Panostaja’s net sales and profit/loss for the 2020 financial period. At the moment, it is impossible to determine the full extent of the financial effects as they are dependent on the duration and scope of the measures to limit the propagation of the virus and the rate at which the markets eventually recover. Due to this,
Board of Directors
For further information, contact CEO
CEO
Attachment
- Panostaja Oyj Half Year Report_
4.6.2020 Q2_Appendix
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