Harboes Bryggeri

Earnings Release • Jul 10, 2013

Harboes Bryggeri A/S

Skælskør, 2013-07-10 12:34 CEST (GLOBE NEWSWIRE) --

Harboes Bryggeri A/S

Highlights for 2012/2013

Consolidated results

-- 2012/13 was a challenging year characterised by difficult market
conditions, special events and ongoing investments in strategic development
activities, all of which affected earnings.
-- Revenue fell by 4.7% to DKK 1,344 million, while sales declined by 12% to
DKK 5.74 million hectolitres.
-- Seasonal fluctuations, price pressure and the weeding-out of unprofitable
contracts had a negative impact on developments in the Northern European
markets.
-- Harboe’s international drinks business developed positively although
difficult conditions put activities under pressure in some markets.
-- Continued growth in malt extract activities with focus on international
sales and more new products in the pipeline.
-- Profit before depreciation, amortisation, net financials and tax (EBITDA)
was DKK 90.9 million.
-- The group posted a profit before tax of DKK 4.1 million.
-- Cash flows from operating activities and free cash flow amounted to DKK 51
million and DKK 24 million, respectively.

Outlook 2013/14

-- Harboe expects all the group’s business areas to contribute to growth in
group revenue in 2013/2014.
-- In 2013/14, Harboe thus expects to realise growth in revenue as well as
improved results.

Further information:

Bernhard Griese, CEO

Tel.: +45 56 16 88 88

CEO Bernhard Griese on the preliminary announcement of financial statements:

“The opportunities for realising our commercial targets and results in
2012/2013 were hampered by an unpleasant mix of difficult market conditions,
rising input prices, bleak summer weather and can packaging defects, which
together resulted in both decreasing revenue and lower earnings.

In spite of the unsatisfactory results, however, we are pleased to see the
considerable recognition enjoyed by our products and brands in the Northern
European countries, which is an important precondition for maintaining our
solid position in these important main markets in the coming years. We also
maintained our strategic focus on developing our business by continuing to
strengthen the international platform outside Northern Europe and by taking
important steps towards a commercial breakthrough for activities involving new
ingredients based on malt extract. The positive progress underpins our ambition
of making these focus areas the foundation for new growth and strengthened
earnings over the coming years.”