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Munters Group — Interim / Quarterly Report 2009
Jul 22, 2009
2945_ir_2009-07-22_6d295ae4-ed2a-4f22-a0e7-8db572370acb.pdf
Interim / Quarterly Report
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Interim report January-June 2009
July 22, 2009
Second quarter
- □ Order intake amounted to SEK 1,716 M (1,686), down 16% adjusted1
- □ Net sales amounted to SEK 1,694 M (1,548), down 9% adjusted1
- □ EBIT before nonrecurring costs amounted to SEK 86 M (127), down 38% adjusted1 ,corresponding to an EBIT margin of 5,1% (8,2)
- □ The decline in earnings was primarily attributable to sharp volume decline within HumiCool and investments in increased overhead costs within MCS. Nonrecurring costs amounted to SEK 24 M 1 Pro forma, adjusted for currency fluctuations, acquisitions and divestments.
- □ Operating cash flow amounted to SEK 202 M (13)
- □ Net earnings after tax amounted to SEK 27 M (49)
- □ Earnings per share amounted to SEK 0,36 (0,66)
Six-month period
- □ Order intake amounted to SEK 3,440 M (3,272), down 13% adjusted1
- □ Net sales amounted to SEK 3,397 M (3,092), down 8% adjusted1
- □ EBIT before nonrecurring costs amounted to SEK 125 M (257), down 49% adjusted1 ,corresponding to an EBIT margin of 3,7% (8,3)
- □ Nonrecurring costs amounted to SEK 57 M
- □ Operating cash flow amounted to SEK 189 M (neg:30) for the six-month period
- □ Net earnings after tax amounted to SEK 5 M (107)
- □ Earnings per share amounted to SEK 0,07 (1,44)
| 2009 | 2008 | Change | Adjusted change1 |
|
|---|---|---|---|---|
| Order intake, SEK M | 3,440 | 3,272 | 5% | -13% |
| Net sales, SEK M | 3,397 | 3,092 | 10% | -8% |
| EBIT before nonrecurring costs, SEK M |
125 | 257 | -51% | -49% |
| EBIT, SEK M | 68 | 204 | -67% | |
| EBIT margin, percent | 2.0 | 6.6 | -70% | |
| Net earnings, SEK M | 5 | 107 | -95% | |
| Earnings per share, SEK | 0.07 | 1.44 | -95% |
Order intake, SEK M 1,716 1,686 2% -16% Net sales, SEK M 1,694 1,548 9% -9%
SEK M 86 127 -32% -38%
EBIT, SEK M 62 95 -35% EBIT margin, percent 3.7 6.1 -39% Net earnings, SEK M 27 49 -45% Earnings per share, SEK 0.36 0.66 -45%
EBIT before nonrecurring costs,
1 Pro forma, adjusted for currency fluctuations, acquisitions and divestments.
Munters is a global leader in energy-efficient air-treatment solutions and restoration services based on expertise in humidity and climate control technologies. Customers are served in a wide range of segments, the most important being the insurance, food, pharma and electronics industries.
Manufacturing and sales are carried out through the Group's own companies in more than 30 countries. The Group has about 4 000 employees and net sales of about SEK 6.5 billion. The Munters share is listed on the Nasdaq OMX Stockholm, Mid Cap. For more information, see www.munters.com.
| 5 | 107 | $-95%$ |
|---|---|---|
| .07 | 1.44 | $-95%$ |
| ations, acquisitions and divestments. |
Adjusted
2009 2008 Change change1
Second quarter
Order intake
During the second quarter, order intake increased to SEK 1,716 M (1,686). Pro forma intake, adjusted for currency effects, acquisitions and divestments, declined by 16%.
Within the Dehumidification Division, a further weakening of demand was noted in Europe. Within the HumiCool Division, order intake decreased sharply in all business areas, compared with the preceding year. For parts of the division a stabilization seems to have occurred. MCS noted stable demand.
The order backlog rose by 6%, compared with the preceding year, and totaled SEK 1,392 M (1,311) at the end of the quarter. Adjusted1 , this was a decline of 14%.
Net sales
Consolidated net sales increased to SEK 1,694 M (1,548). Adjusted1 , this was a decline of 9%. The weaker SEK, compared with the year-earlier period, had a positive impact of slightly less than 17%.
Pro forma, adjusted for currency effects, acquisitions and divestments.
Earnings
Consolidated EBIT amounted to SEK 62 M (95), corresponding to an EBIT margin of 3.7% (6.1). The sharp downturn and the associated low capacity utilization within HumiCool continued to negatively affect earnings. Reductions in materials costs and overhead costs partially offset this trend. Despite a volume decline and a disadvantageous product mix, Dehumidification succeeded in defending and improving its gross margin. Lower materials costs and overhead costs also contributed in this case. In MCS, the gross margin was stable. The decline in earnings, compared with the preceding year, was attributable to the buildup of overhead costs that took place with the objective of changing the division's business model.
Nonrecurring costs of SEK 24 M were charged against earnings in the quarter with the objective of reducing costs and adapting production capacity, including the sale of the MCS business in Italy.
2004 and later years in accordance with IFRS.
Consolidated earnings after net financial items amounted to SEK 42 M (77). Net profit for the quarter amounted to SEK 27 M (49). Earnings per share amounted to SEK 0.36 (0.66).
Cash flow
Operating cash flow totaled SEK 202 M (13). Cash flow from operations was strong in relation to profitability, mainly as a result of focusing on reductions in accounts receivable in all divisions.
Third-quarter prospects
Demand is expected to be low while not declining further; impact on result from the low capacity utilization is expected to be offset by cost reductions already initiated.
Reporting period
Order intake
During the period, the Group's order intake increased by 5% to SEK 3,440 M (3,272). Adjusted1 , this corresponded to a decline of 13%.
Net sales
Consolidated net sales increased by 10% to SEK 3,397 M (3,092). Adjusted1 , this was a decline of 8%.
Earnings
Consolidated EBIT declined to SEK 68 M (204). The operating margin amounted to 2.0% (6.6). The six-month results were affected by nonrecurring costs of SEK 57 M intended to reduce costs and adapt production capacity.
Consolidated EBIT after financial items amounted to SEK 26 M (168). The net profit for the six-month period amounted to SEK 5 M (107) after an effective tax rate of 80% (36). The reason for the high effective tax rate was that profits for the period were generated in countries with high nominal tax rates, while losses were generated in countries with low nominal tax rates. A review of the Group's tax situation is underway. Earnings per share amounted to SEK 0.07 (1.44).
Investments
The Group's investments in tangible fixed assets during the period amounted to SEK 73 M (84), of which SEK 36 M (26) related to investments in MCS equipment. Depreciation and impairment amounted to SEK 93 M (81).
Financial position
The equity ratio increased to slightly more than 31% (28 at the start of the year). Interest-bearing assets totaled SEK 367 M (490 at the start of the year), while interest-bearing provisions and liabilities amounted to SEK 1,598 M (1,880 at the start of the year). Net debt was reduced by SEK 159 M during the year to SEK 1,231 M. Credit facilities were amortized by SEK 267 M during the period. The Group has unutilized credit facilities totaling SEK 830 M. Munters' bank loans consist of syndicated credit facilities and individual bank loans to subsidiaries. The syndicated credit facilities amounted to SEK 2,000 M and extend to 2012.
Personnel
At the end of the period, the number of permanent employees was 3,955, a decrease of 180 persons since the start of the year as a result of personnel reductions and divestment of business. Temporary personnel are used in many of Munters' operations, which has been reduced in addition to permanent employees.
In addition to the sale of MCS Italy, the action program of SEK 24 M that was expensed in the second quarter will result on full implementation in further personnel reductions of about 125 persons and generate annual savings of SEK 97 M, compared to current level of expenses.
1 Pro forma, adjusted for currency effects, acquisitions and divestments.
Divisional performance
Dehumidification Division
| Second quarter | Jan-Jun | ||||
|---|---|---|---|---|---|
| SEK M | 2009 | 2008 | 2009 | 2008 | |
| Order intake | 636 | 528 | 1,232 | 1,014 | |
| Change | 21% | 22% | |||
| Adjusted change1 | -12% | -10% | |||
| Net sales | 598 | 478 | 1,186 | 911 | |
| Change | 25% | 30% | |||
| Adjusted change1 | -7% | -2% | |||
| EBITA ex one-time costs | 70 | 61 | 97 | 98 | |
| Adjusted Margin | 11.8% | 12.7% | 8.2% | 10.7% | |
| EBITA | 66 | 45 | 80 | 78 | |
| EBITA Margin | 11.0% | 9.5% | 6.8% | 8.6% |
- □ Further decline in order intake and sales in Europe
- □ Continued recession-driven decline in the more profitable industrial segment in the US
- □ Cost reductions and productivity increases maintained earnings
- □ Restructuring costs of SEK 4 M
Second quarter
In the Dehumidification Division, the negative trend from the first quarter continued and intensified with the result that the division reported negative sales growth for the quarter. The entire sales decline was attributable to the division's European operations, where order intake declined by 25%1 .
Despite the volume decline and the unfavorable mix between the Comfort and Industrial segments, the division was very successful in maintaining both its gross margin and operating profit. This was achieved through reductions of material costs, direct costs and overhead costs that had already been initiated. The investments made in the MEP2 program during 2008 also began to produce the intended effects, particularly in the plant in Tobo.
Cash flow during the quarter was very strong depending on a sharp reduction in outstanding accounts receivable.
The restructuring costs charged against earnings in the first quarter were supplemented with an additional SEK 4 M in the second quarter to offset continued declining demand.
1 Pro forma, adjusted for currency effects, acquisitions and divestments.
Third-quarter prospects
Demand is expected to be stable, compared with the second quarter, although the shift in mix will continue. Cost reductions in progress are expected to have a positive effect on thirdquarter earnings.
HumiCool Division
| Second quarter | Jan-Jun | ||||
|---|---|---|---|---|---|
| SEK M | 2009 | 2008 | 2009 | 2008 | |
| Order intake | 401 | 525 | 814 | 961 | |
| Change | -24% | -15% | |||
| Adjusted change1 | -36% | -30% | |||
| Net sales | 421 | 433 | 811 | 883 | |
| Change | -3% | -8% | |||
| Adjusted change1 | -20% | -25% | |||
| EBITA ex one-time costs | 34 | 54 | 39 | 118 | |
| Adjusted Margin | 8.0% | 12.5% | 4.9% | 13.3% | |
| EBITA | 31 | 44 | 20 | 96 | |
| EBITA Margin | 7.3% | 10.2% | 2.5% | 10.8% |
- □ Demand within the AgHort and Mist Elimination business areas remained at a low level
- □ Significantly lower order intake within HVAC
- □ Continued pressure on margins as a result of excess capacity in several plants
- □ Sharp reduction of overhead costs and reduction of material costs
- □ Restructuring costs of SEK 3 M
Second quarter
The demand within AgHort and Mist Elimination remained at the same low level set during the first quarter, and did not weaken further. Within HVAC, order intake declined sharply due to unwillingness at the distributor level to build inventories for the winter season. The financial crisis affects mainly AgHort and Mist Elimination due to lower levels of investments.
The negative adjusted sales growth figure was -20% in the second quarter, which was an improvement compared with -29% in the first quarter. Mist Elimination's sales were significantly higher than in the very weak first quarter. Pressures on gross margins and thus profitability continued within the HumiCool Division, primarily due to the sharp volume decline. As with Dehumidification, HumiCool succeeded during the quarter in reducing material costs and overhead costs, primarily within AgHort.
The MEP2 program's investments began to produce the intended effects during the quarter, particularly in Mist Elimination.
Restructuring costs of SEK 3 M were charged against earnings during the quarter for continued adjustment of costs to current demand.
Third-quarter prospects
HVAC is difficult to assess, since the distributor level is waiting to receive orders instead of building inventory. AgHort and Mist Elimination showed no weakening of demand between the first and second quarters, which may possibly be an indication of stabilization at this level. Sales of PreCooler will decline during the third quarter, thus negatively affecting earnings in the division.
The cost reductions now in progress are expected to have a positive effect on earnings in the third quarter.
Moisture Control Services (MCS) Division
| Second quarter | Jan-Jun | ||||
|---|---|---|---|---|---|
| SEK M | 2009 | 2008 | 2009 | 2008 | |
| Order intake | 687 | 643 | 1,410 | 1,315 | |
| Change | 7% | 7% | |||
| Adjusted change1 | -1% | -1% | |||
| Net sales | 682 | 645 | 1,419 | 1,314 | |
| Change | 6% | 8% | |||
| Adjusted change1 | -2% | 0% | |||
| EBITA ex one-time costs | -1 | 21 | 15 | 61 | |
| Adjusted Margin | -0.2% | 3.2% | 1.1% | 4.7% | |
| EBITA | -18 | 14 | -6 | 50 | |
| EBITA Margin | -2.6% | 2.2% | -0.4% | 3.8% |
- □ Stable demand
- □ Sale of MCS Italy completed
- □ Gross margin affected by mix shift and continued price pressure
- □ Restructuring costs of SEK 17 M, including costs for sale of MCS Italy
Second quarter
Demand within the MCS Division was stable. Order intake in Australia was strong following the extensive fire damage in the state of Victoria. As in the first quarter, activity was low in the construction sectors in the US and Dutch markets, with the result that leasing operations declined in volume. Heavy rain in Sweden increased order intake toward the end of the quarter. In other respects, a seasonal decline was noted within water damage restoration.
During the quarter, MCS completed the sale of the MCS business in Italy. The purchaser was Saccomandi S.r.l, which thus took over assets and existing personnel of 37 persons. Of the decline in earnings before nonrecurring cost of SEK 22 M that MCS reported in the second quarter, MCS Italy accounted for about SEK 7 M. For the period from January to June, MCS Italy accounted for SEK 19 M of the division's total decline in earnings before nonrecurring costs of SEK 46 M.
The mergers of the France/Belgium and UK/Ireland business units were completed during the quarter.
The gross margin for the quarter was stable. As in the previous quarter, price pressure from contractors had a negative impact on margins.
Establishment of MCS's new business model has been in progress since 2008 and has resulted in investments in increased overhead costs. Until the effects in the form of increased sales and higher gross margins are realized, these costs will have a negative impact on profitability in the division. The new business model based on Field.Link (Mobile IT), centralized administration and planning of site visits is intended to significantly increase the efficiency of operations. Implementation proceeded according to plan during the quarter with one result being that an additional 14 service depots were closed.
Restructuring costs of SEK 17 M for the sale of MCS Italy and for reduction of overhead costs were charged against earnings for the quarter.
Operating profit for the division excluding nonrecurring costs and excluding MCS Italy amounted to SEK 7 M, corresponding to a margin of 1.0%. For January to June, the corresponding figures were SEK 31 M or 2.2%.
Third-quarter prospects
Order intake and sales are expected to remain stable in the third quarter. Increased productivity and reduced costs will be prioritized.
1 Pro forma, adjusted for currency effects, acquisitions and divestments.
SIGNIFICANT RISKS AND UNCERTAINTIES
Munters' exposure to risk can be divided primarily into two categories: operational risks and financial risks. Operational risks are those due to weather, dependence on key personnel and key customers, and geographically dispersed operations involving small operational units. Financial risks consist mainly of currency, interest and financing risks.
Demand for the company's products is affected by general economic trends. A weakening in the trend can result in lower sales, which will also reduce capacity utilization in manufacturing in the short term. The continuing trend in the global economy is an uncertainty factor for the earnings trend for 2009-2010. Munters' acquisition frequency may result in integration-related risks. In addition, it is estimated that the financial risks, primarily interest-rate risks, currency risks and refinancing risks, have increased somewhat in the current and past year.
A more detailed description of the Group's and Parent Company's other risk exposure and risk management activities is available in the "Risk management" section on pages 32-33 and note 3 of the Munters Annual Report for 2008, which is available at www.munters.com .
FORWARD-LOOKING STATEMENTS
Some statements in this report are forward-looking, and the actual outcomes may be materially different. In addition to the factors explicitly discussed, other factors could have a material impact on actual outcomes, such as general business conditions, fluctuations in exchange rates and interest rates, political risks, the impact of competing products and their pricing, product development, commercial and technological difficulties, interruptions in supply and major customer-related bad debts.
TRANSACTIONS WITH RELATED PARTIES
There are no significant contractual relationships or transactions between Munters and its related parties, apart from the remuneration of senior executives.
PARENT COMPANY
The Parent Company's earnings after financial items during the period amounted to a loss of SEK 2 M (profit: 47). There were no external net sales (in common with the year-earlier period). Cash and cash equivalents at the close of the period amounted to SEK 61 M (0) and net debt amounted to SEK 1,337 M (1,354). Capital expenditure totaled SEK 3 M (6). The number of employees at the end of the period was 31 (30).
FUTURE INFORMATION DATES
| October 28 | Interim report, January - September |
|---|---|
| February 9, 2010 | Year-End report 2009 |
| April 22, 2010 | Interim report, January – March 2010 |
PRESS AND ANALYST CONFERENCE
Munters will hold a telephone conference for the media, analysts and investors on Wednesday, July 22 between 2:00 and 3:00 p.m.
Telephone: Sweden +46 8 5352 6440 UK +44 20 7138 0825 US +1 212 444 0481 Code: 2354817
AUDITOR'S REVIEW REPORT
This interim report has not been reviewed by the company's auditor.
The undersigned give their assurance that this six-month report provides a true and fair view of the Parent Company's and the Group's operations, their financial position and earnings, and describes the material risks and uncertainties to which the Parent Company and the companies included in the Group are exposed.
Kista, July 22, 2009
| Anders Ilstam | Kenneth Eriksson | Bengt Kjell |
|---|---|---|
| Chairman of the Board of Directors | Board member | Board member |
| Eva-Lotta Kraft | Sören Mellstig | Pia Nordquist |
| Board member | Board member | Board member |
| Jan Svensson | Kjell Wiberg | Kjell Åkesson |
| Board member | Board member | Board member |
Lars Engström
President and Chief Executive Officer Board member
Munters AB (publ) discloses the information provided herein pursuant to the Swedish Securities Exchange Act and/or the Financial Instruments Trading Act. The information was submitted for publication on July 22, 2009 at 1:00 pm (CET).
For further information, please contact:
Lars Engström, Chief Executive Officer Tel: +46 8 626 63 03, [email protected]
Martin Lindqvist, Chief Financial Officer Tel: +46 8 626 63 06, [email protected]
Munters AB (publ)
Corp. Reg. No. 556041-0606 P O Box 1188, SE-164 26 Kista, Sweden Tel: +46 8 626 63 00, Fax +46 8 754 68 96 [email protected]
| Amounts in SEK M | 2009 | 2008 | 2009 | 2008 | 2008/2009 | 2008 |
|---|---|---|---|---|---|---|
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Jul-Jun | Jan-Dec | |
| 3 months | 3 months | 6 months | 6 months | 12 months | 12 months | |
| Order intake | 1,716 | 1,686 | 3,440 | 3,272 | 6,683 | 6,515 |
| Statement of comprehensive income | ||||||
| Net sales | 1,694 | 1,548 | 3,397 | 3,092 | 6,875 | 6,570 |
| Cost of goods sold | -1,257 | -1,150 | -2,574 | -2,279 | -5,149 | -4,854 |
| Gross earnings | 437 | 398 | 823 | 813 | 1,726 | 1,716 |
| Gross margin | 25.8% | 25.7% | 24.2% | 26.3% | 25.1% | 26.1% |
| Other operating income | -1 | 0 | 4 | 7 | 8 | 11 |
| Selling expenses | -196 | -160 | -401 | -327 | -838 | -764 |
| Administrative expenses | -154 | -121 | -310 | -243 | -580 | -513 |
| Research and development costs | -22 | -21 | -46 | -41 | -90 | -85 |
| Other operating expenses | -2 | -1 | -2 | -5 | 0 | -3 |
| EBIT - Earnings before interest and tax | 62 | 95 | 68 | 204 | 226 | 362 |
| EBIT margin | 3.7% | 6.1% | 2.0% | 6.6% | 3.3% | 5.5% |
| Financial income and expenses | -20 | -18 | -42 | -36 | -83 | -77 |
| Earnings after financial items | 42 | 77 | 26 | 168 | 143 | 285 |
| Taxes | -15 | -28 | -21 | -61 | -80 | -120 |
| Net earnings | 27 | 49 | 5 | 107 | 63 | 165 |
| Other comprehensive income | ||||||
| Actuarial gains and losses on defined benefit pension plans | 0 | 1 | 0 | -1 | -43 | -44 |
| Cash flow hedges | -6 | 2 | -4 | -1 | -4 | -1 |
| Exchange differences on translating foreign operations | -24 | 15 | 29 | -44 | 210 | 137 |
| Income tax relating to components of other comprehensive income | 2 | -2 | 1 | 0 | 14 | 13 |
| Other comprehensive income for the period, net of tax | -28 | 16 | 26 | -46 | 177 | 105 |
| Total comprehensive income for the period | -1 | 65 | 31 | 61 | 240 | 270 |
| Net earnings | ||||||
| Attributable to equity holders of the parent | 27 | 48 | 5 | 106 | 62 | 163 |
| Attributable to minority interest | 0 | 1 | 0 | 1 | 1 | 2 |
| Total comprehensive income | 27 | 49 | 5 | 107 | 63 | 165 |
| Attributable to equity holders of the parent | -1 | 64 | 31 | 60 | 239 | 268 |
| Attributable to minority interest | 0 | 1 | 0 | 1 | 1 | 2 |
| -1 | 65 | 31 | 61 | 240 | 270 | |
| Earnings per share | ||||||
| Earnings per share, SEK | 0.36 | 0.66 | 0.07 | 1.44 | 0.84 | 2.21 |
| Earnings per share - after dilution, SEK | 0.36 | 0.66 | 0.07 | 1.44 | 0.84 | 2.21 |
| Amounts in SEK M | 2009 | 2008 | 2009 | 2008 | 2008/2009 | 2008 |
|---|---|---|---|---|---|---|
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Jul-Jun | Jan-Dec | |
| Segment information | 3 months | 3 months | 6 months | 6 months | 12 months | 12 months |
| Order intake by division | ||||||
| Dehumidification Division | 636 | 528 | 1,233 | 1,014 | 2,352 | 2,133 |
| MCS Division | 687 | 643 | 1,410 | 1,315 | 2,865 | 2,770 |
| HumiCool Division | 401 | 525 | 814 | 961 | 1,497 | 1,644 |
| Eliminations | -8 | -10 | -17 | -18 | -31 | -32 |
| Order intake | 1,716 | 1,686 | 3,440 | 3,272 | 6,683 | 6,515 |
| Net sales by division | ||||||
| Dehumidification Division | 598 | 478 | 1,186 | 911 | 2,326 | 2,051 |
| MCS Division | 682 | 645 | 1,419 | 1,314 | 2,914 | 2,809 |
| HumiCool Division | 421 | 433 | 811 | 883 | 1,671 | 1,743 |
| Eliminations | -7 | -8 | -19 | -16 | -36 | -33 |
| Net sales | 1,694 | 1,548 | 3,397 | 3,092 | 6,875 | 6,570 |
| Operating earnings by division | ||||||
| Dehumidification Division | 66 | 45 | 80 | 78 | 203 | 201 |
| operating margin | 11.0% | 9.5% | 6.8% | 8.6% | 8.7% | 9.8% |
| MCS Division | -18 | 14 | -6 | 50 | -8 | 48 |
| operating margin | -2.6% | 2.2% | -0.4% | 3.8% | -0.3% | 1.7% |
| HumiCool Division | 31 | 44 | 20 | 96 | 79 | 155 |
| operating margin | 7.3% | 10.2% | 2.5% | 10.8% | 4.7% | 8.9% |
| Central, eliminations etc. | -13 | -6 | -19 | -16 | -36 | -33 |
| EBIT before amortizations, interest and tax | 66 | 97 | 75 | 208 | 238 | 371 |
| Amortizations on acquisition related intangible assets | -4 | -2 | -7 | -4 | -12 | -9 |
| EBIT - Earnings before interest and tax | 62 | 95 | 68 | 204 | 226 | 362 |
| Dehumidification | HumiCool | MCS | Eliminations | Total | |
|---|---|---|---|---|---|
| Earnings by segment | 2009 | 2009 | 2009 | 2009 | 2009 |
| Apr-Jun | Apr-Jun | Apr-Jun | Apr-Jun | Apr-Jun | |
| 3 months | 3 months | 3 months | 3 months | 3 months | |
| External net sales | 592 | 682 | 420 | 1,694 | |
| Internal net sales | 6 | 0 | 1 | -7 | 0 |
| Net sales | 598 | 682 | 421 | -7 | 1,694 |
| Operating earnings | 66 | 31 | -18 | -1 | 78 |
| Amortization of surplus values | -2 | -2 | -4 | ||
| Undistributed costs | -12 | ||||
| EBIT - Earnings before interest and tax | 64 | 29 | -18 | -1 | 62 |
| Financial items, net | -20 | ||||
| Taxes | -15 | ||||
| Net earnings | 27 |
| Dehumidification | HumiCool | MCS | Eliminations | Total | |
|---|---|---|---|---|---|
| 2008 | 2008 | 2008 | 2008 | 2008 | |
| Apr-Jun | Apr-Jun | Apr-Jun | Apr-Jun | Apr-Jun | |
| 3 months | 3 months | 3 months | 3 months | 3 months | |
| External net sales | 472 | 432 | 644 | 1,548 | |
| Internal net sales | 6 | 1 | 1 | -8 | 0 |
| Net sales | 478 | 433 | 645 | -8 | 1,548 |
| Operating earnings | 45 | 44 | 14 | 2 | 105 |
| Amortization of surplus values | -1 | -1 | -2 | ||
| Undistributed costs | -8 | ||||
| EBIT - Earnings before interest and tax | 44 | 43 | 14 | 2 | 95 |
| Financial items, net | -18 | ||||
| Taxes | -28 | ||||
| Net earnings | 49 |
| Amounts in SEK M | 2009 | 2009 | 2008 | 2008 |
|---|---|---|---|---|
| 30 Jun | 31 Mar | 31 Dec | 30 Jun | |
| Statement of financial position | ||||
| Assets | ||||
| Fixed assets | ||||
| Tangible assets | ||||
| Buildings and land | 206 | 218 | 209 | 185 |
| Plant and machinery | 140 | 151 | 149 | 139 |
| Equipment, tools, fixtures and fittings | 295 | 299 | 294 | 261 |
| Construction in progress | 17 | 20 | 12 | 7 |
| 658 | 688 | 664 | 592 | |
| Intangible assets | ||||
| Patent, trademarks and similar rights | 140 | 143 | 142 | 107 |
| Goodwill | 974 | 1,006 | 978 | 804 |
| 1,114 | 1,149 | 1,120 | 911 | |
| Other fixed assets | ||||
| Participation in associated companies | 2 | 2 | 2 | 2 |
| Other long-term receivables | 29 | 26 | 21 | 19 |
| Deferred tax assets | 160 | 154 | 126 | 86 |
| 191 | 182 | 149 | 107 | |
| 1,963 | 2,019 | 1,933 | 1,610 | |
| Current assets | ||||
| Inventory etc. | 569 | 617 | 589 | 622 |
| Accounts receivable | 1,080 | 1,248 | 1,354 | 1,182 |
| Other receivables | 255 | 269 | 248 | 192 |
| Cash and cash equivalents | 367 | 352 | 490 | 242 |
| 2,271 | 2,486 | 2,681 | 2,238 | |
| Total assets | 4,234 | 4,505 | 4,614 | 3,848 |
| Equity and liabilities | ||||
| Equity and liabilities | 1,316 | 1,317 | 1,285 | 1,076 |
| Long-term liabilities | ||||
| Interest-bearing liabilities | 1,395 | 1,580 | 1,653 | 1,332 |
| Provisions | 213 | 222 | 210 | 163 |
| Deferred tax liabilities | 84 | 95 | 87 | 69 |
| Other liabilities | 7 | 11 | 11 | 8 |
| 1,699 | 1,908 | 1,961 | 1,572 | |
| Current liabilities | ||||
| Interest-bearing liabilities | 15 | 6 | 41 | 60 |
| Advances from customers | 87 | 85 | 107 | 89 |
| Accounts payable | 478 | 507 | 537 | 460 |
| Provisions | 86 | 78 | 68 | 73 |
| Other liabilities | 553 | 604 | 615 | 518 |
| 1,219 | 1,280 | 1,368 | 1,200 | |
| Total equity and liabilities | 4,234 | 4,505 | 4,614 | 3,848 |
Statement of changes in equity
| Total equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Translation of | attributable to | ||||||||
| Share | foreign | Retained | equity holders of | Minority | |||||
| capital | operations | earnings | the parent | interest Total equity | |||||
| Balance at 1January 2008 | 131 | -38 | 1,102 | 1,195 | 7 | 1,202 | |||
| Changes in equity 2008 | |||||||||
| Dividend | -185 | -185 | -2 | -187 | |||||
| Total comprehensive income for the year | 137 | 131 | 268 | 2 | 270 | ||||
| Balance at 31 December 2008 | 131 | 99 | 1,048 | 1,278 | 7 | 1,285 | |||
| Changes in equity 2009 | |||||||||
| Total comprehensive income for the period | 29 | 2 | 31 | 0 | 31 | ||||
| Balance at 30 June 2009 | 131 | 128 | 1,050 | 1,309 | 7 | 1,316 |
| Amounts in SEK M | 2009 | 2008 | 2009 | 2008 | 2008/2009 | 2008 |
|---|---|---|---|---|---|---|
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Jul-Jun | Jan-Dec | |
| 3 months | 3 months | 6 months | 6 months | 12 months | 12 months | |
| Statement of cash flows | ||||||
| Operating activities | ||||||
| Earnings after financial items | 42 | 77 | 26 | 168 | 143 | 285 |
| Reversal of depreciation etc. | 47 | 38 | 93 | 81 | 179 | 167 |
| Other earnings not affecting cash flow | 19 | 4 | 15 | 0 | 31 | 16 |
| Taxes paid | -64 | -46 | -90 | -99 | -172 | -181 |
| Cash flow from operating activities | ||||||
| before changes in working capital | 44 | 73 | 44 | 150 | 181 | 287 |
| Cash flow from changes in working capital | ||||||
| Changes in inventory | 35 | -35 | 27 | -100 | 170 | 43 |
| Changes in accounts receivable | 148 | 26 | 298 | 78 | 347 | 127 |
| Changes in other receivables | 19 | -3 | -16 | -19 | -14 | -17 |
| Changes in accounts payable | -18 | 42 | -63 | -28 | -94 | -59 |
| Changes in other liabilities | 10 | -48 | -26 | -26 | -53 | -53 |
| Sum of changes in working capital | 194 | -18 | 220 | -95 | 356 | 41 |
| Cash flow from operating activities | 238 | 55 | 264 | 55 | 537 | 328 |
| Investing activities | ||||||
| Acquisitions and divestments of businesses | 3 | -21 | 0 | -21 | -63 | -84 |
| Investments in intangible assets | -2 | -2 | -4 | -3 | -13 | -12 |
| Investments in tangible assets | -35 | -41 | -73 | -84 | -134 | -145 |
| Sales of tangible assets | 1 | 1 | 1 | 2 | 4 | 5 |
| Change in other financial assets Cash flow from financing activities |
0 -33 |
0 -63 |
1 -75 |
0 -106 |
2 -204 |
1 -235 |
| Financing activities | ||||||
| Changes in loans | -137 | 192 | -267 | 208 | -199 | 276 |
| Dividend paid | - | -185 | - | -185 | -4 | -189 |
| Cash flow from financing activities | -137 | 7 | -267 | 23 | -203 | 87 |
| Cash flow for the period | 68 | -1 | -78 | -28 | 130 | 180 |
| Cash and cash equivalents at beginning of period Exchange-differences in cash and cash equivalents |
352 -53 |
242 1 |
490 -45 |
276 -6 |
242 -5 |
276 34 |
| Cash and cash equivalents at end of period | 367 | 242 | 367 | 242 | 367 | 490 |
| Operating cash flow | 202 | 13 | 189 | -30 | 396 | 177 |
| Key figures | ||||||
| More key figures are disclosed in the quarterly review | ||||||
| Capital turnover rate, times (4 quarters) | - | - | 2.4 | 2.5 | 2.4 | 2.4 |
| Return on capital employed, % | 2.0 | 3.6 | 7.9 | 20.8 | 7.9 | 13.6 |
| Return on equity, % | 2.0 | 4.3 | 5.1 | 26.1 | 5.1 | 13.8 |
| Return on total capital, % (4 quarters) | - | - | 5.4 | 14.1 | 5.4 | 9.2 |
| Interest coverage ratio, times | 3.6 | 5.5 | 1.7 | 5.9 | 2.7 | 4.4 |
| Net debt structure | ||||||
| Short-term interest-bearing liabilities | - | - | 15 | 60 | 15 | 41 |
| Long-term interest-bearing liabilities | - | - | 1,395 | 1,332 | 1,395 | 1,653 |
| Defined-benefit pension plans | - | - | 188 | 142 | 188 | 186 |
| Interest-bearing liabilities | - | - | -367 | -242 | -367 | -490 |
| Net debt | - | - | 1,231 | 1,292 | 1,231 | 1,390 |
Quarterly overview - consolidated earnings, share data and cash flow
| Amounts in SEK M | 2009 | 2008 | 2007 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| Order intake | 1,716 | 1,724 | 1,661 | 1,582 | 1,686 | 1,586 | 1,518 | 1,674 | 1,688 | 1,527 |
| Income statement | ||||||||||
| Net sales | 1,694 | 1,703 | 1,881 | 1,597 | 1,548 | 1,545 | 1,737 | 1,597 | 1,524 | 1,404 |
| Operating expenses | -1,632 | -1,697 | -1,805 | -1,515 | -1,453 | -1,437 | -1,566 | -1,448 | -1,405 | -1,277 |
| EBIT | 62 | 6 | 76 | 82 | 95 | 108 | 171 | 149 | 119 | 127 |
| EBIT margin | 3.7% | 0.4% | 4.0% | 5.1% | 6.1% | 7.0% | 9.8% | 9.3% | 7.8% | 9.0% |
| Financial income and expense | -20 | -22 | -21 | -20 | -18 | -17 | -12 | -13 | -9 | -6 |
| Earnings after financial items | 42 | -16 | 55 | 62 | 77 | 91 | 159 | 136 | 110 | 121 |
| Taxes | -15 | -6 | -37 | -22 | -28 | -33 | -58 | -49 | -40 | -43 |
| Net earnings | 27 | -22 | 18 | 40 | 49 | 58 | 101 | 87 | 70 | 78 |
| Depreciations and amortizations | 47 | 46 | 47 | 39 | 38 | 43 | 41 | 40 | 38 | 37 |
| Share data1 | ||||||||||
| Earnings per share, SEK | 0.36 | -0.29 | 0.24 | 0.53 | 0.66 | 0.78 | 1.34 | 1.16 | 0.95 | 1.04 |
| Earnings per share after dilution, SEK | 0.36 | -0.29 | 0.24 | 0.53 | 0.66 | 0.78 | 1.34 | 1.16 | 0.95 | 1.04 |
| Average number of shares outstanding, thousand | 73,933 73,933 73,933 | 73,933 | 73,933 73,933 | 73,898 | 73,887 73,863 73,791 | |||||
| No of shares outstanding at period-end, thousand | 73,933 73,933 73,933 | 73,933 | 73,933 73,933 | 73,933 | 73,933 73,933 73,933 | |||||
| Number of treasury shares, thousand | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 | 1,067 |
| Equity per share, SEK | 17.71 | 17.72 | 17.28 | 15.99 | 14.48 | 16.11 | 16.16 | 14.51 | 14.36 | 22.13 |
| Equity per share after dilution, SEK | 17.71 | 17.72 | 17.28 | 15.99 | 14.48 | 16.11 | 16.16 | 14.51 | 14.36 | 22.13 |
| Stock price at period-end, SEK | 37.20 | 23.50 | 38.40 | 48.50 | 57.25 | 68.50 | 76.75 | 93.00 107.50 100.67 | ||
| Market cap at period-end, SEK M2 | 2,790 | 1,763 | 2,880 | 3,638 | 4,294 | 5,138 | 5,756 | 6,975 | 8,063 | 7,550 |
| Statement of cash flows | ||||||||||
| From operating activities | 238 | 26 | 193 | 80 | 55 | 0 | 210 | 42 | 60 | 83 |
| From investing activities | -33 | -42 | -93 | -36 | -63 | -43 | -49 | -128 | -305 | -40 |
| From financing activities | -137 | -130 | 112 | -48 | 7 | 16 | -194 | 105 | 320 | -33 |
| Cash flow for the period | 68 | -146 | 212 | -4 | -1 | -27 | -33 | 19 | 75 | 10 |
| Operating cash flow | 202 | -13 | 158 | 49 | 13 | -43 | 161 | -25 | 8 | 45 |
1 Historical data for the share are adjusted for the share split, redemption and bonus issue performed in Q2 2007.
2 The market cap is calculated on total number of issued shares, including treasury shares.
Quarterly overview - Consolidated financial position and key figures
| Amounts in SEK M | 2009 | 2008 | 2007 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| Statement of financial position | ||||||||||
| Assets | ||||||||||
| Fixed assets | ||||||||||
| Tangible assets | 658 | 688 | 664 | 619 | 592 | 577 | 600 | 581 | 575 | 550 |
| Intangible assets | 1,114 | 1,149 | 1,120 | 965 | 911 | 876 | 904 | 879 | 843 | 609 |
| Other fixed assets | 191 | 182 | 149 | 115 | 107 | 107 | 83 | 101 | 99 | 79 |
| 1,963 | 2,019 | 1,933 | 1,699 | 1,610 | 1,560 | 1,587 | 1,561 | 1,517 | 1,238 | |
| Current assets | ||||||||||
| Inventory etc. | 569 | 617 | 589 | 668 | 622 | 577 | 536 | 614 | 581 | 498 |
| Accounts receivable | 1,080 | 1,248 | 1,354 | 1,174 | 1,182 | 1,197 | 1,292 | 1,172 | 1,096 | 1,077 |
| Other receivables | 255 | 269 | 248 | 231 | 192 | 179 | 171 | 182 | 162 | 181 |
| Cash and cash equivalent | 367 | 352 | 490 | 251 | 242 | 242 | 276 | 307 | 291 | 216 |
| 2,271 | 2,486 | 2,681 | 2,324 | 2,238 | 2,195 | 2,275 | 2,275 | 2,130 | 1,972 | |
| Total assets | 4,234 | 4,505 | 4,614 | 4,023 | 3,848 | 3,755 | 3,862 | 3,836 | 3,647 | 3,210 |
| Equity and liabilities | ||||||||||
| Equity | 1,316 | 1,317 | 1,285 | 1,188 | 1,076 | 1,198 | 1,202 | 1,077 | 1,066 | 1,640 |
| Long-term liabilities | 304 | 328 | 308 | 245 | 240 | 239 | 215 | 234 | 222 | 215 |
| Interest-bearing liabilities | 1,410 | 1,586 | 1,694 | 1,418 | 1,392 | 1,214 | 1,200 | 1,401 | 1,282 | 268 |
| Accounts payable | 478 | 507 | 537 | 437 | 460 | 414 | 496 | 445 | 426 | 416 |
| Other current liabilities | 726 | 767 | 790 | 735 | 680 | 690 | 749 | 679 | 651 | 671 |
| Total equity and liabilities | 4,234 | 4,505 | 4,614 | 4,023 | 3,848 | 3,755 | 3,862 | 3,836 | 3,647 | 3,210 |
| Key figures | ||||||||||
| Equity ratio, % | 31.1 | 29.2 | 27.8 | 29.5 | 28.0 | 31.8 | 31.1 | 28.1 | 29.2 | 51.1 |
| Net debt, SEK M | 1,231 | 1,423 | 1,390 | 1,311 | 1,292 | 1,119 | 1,068 | 1,245 | 1,138 | 209 |
| Net debt ratio, times | 0.94 | 1.08 | 1.08 | 1.10 | 1.20 | 0.93 | 0.89 | 1.16 | 1.07 | 0.13 |
| Interest coverage ratio, times | 3.6 | 0.2 | 3.1 | 3.6 | 5.5 | 6.3 | 8.9 | 8.9 | 11.1 | 22.2 |
| Investments in tangible assets, SEK M | 35 | 38 | 32 | 29 | 41 | 43 | 42 | 56 | 53 | 34 |
| No of permanent employees at period-end | 3,955 | 4,072 | 4,135 | 4,047 | 4,086 | 4,102 | 4,043 | 3,982 | 3,915 | 3,669 |
Definitions of the financial key figures can be found on page 85 in the Annual Report 2008.
Financial overview Group - 5 years
| 2009 | 2008 | 2007 | 2006 | 2005 | |
|---|---|---|---|---|---|
| Q2 | Q2 | Q2 | Q2 | Q2 | |
| Sales and earnings | |||||
| Net sales, SEK M | 1,694 | 1,548 | 1,524 | 1,456 | 1,192 |
| EBIT, SEK M | 62 | 95 | 119 | 129 | 74 |
| EBIT margin, % | 3.7 | 6.1 | 7.8 | 8.8 | 6.2 |
| Net earnings, SEK M | 27 | 49 | 70 | 79 | 43 |
| Earnings per share, SEK | 0.36 | 0.66 | 0.95 | 1.06 | 0.57 |
| Business and financial ratios | |||||
| Return on equity, % | 2.0 | 4.3 | 5.2 | 5.5 | 3.3 |
| Return on capital employed, % | 2.0 | 3.6 | 4.8 | 7.1 | 4.1 |
Quarterly overview - Divisions
| Amounts in SEK M | 2009 | 2008 | 2007 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| Order intake | ||||||||||
| Dehumidification Division | 636 | 596 | 608 | 511 | 528 | 487 | 460 | 541 | 556 | 444 |
| MCS Division | 687 | 722 | 745 | 710 | 643 | 672 | 673 | 690 | 634 | 633 |
| HumiCool Division | 401 | 413 | 314 | 369 | 525 | 436 | 395 | 460 | 518 | 465 |
| Eliminations | -8 | -7 | -6 | -8 | -10 | -9 | -10 | -17 | -20 | -15 |
| Order intake | 1,716 | 1,724 | 1,661 | 1,582 | 1,686 | 1,586 | 1,518 | 1,674 | 1,688 | 1,527 |
| Net sales | ||||||||||
| Dehumidification Division | 598 | 588 | 645 | 495 | 478 | 433 | 534 | 504 | 527 | 371 |
| MCS Division | 682 | 736 | 809 | 686 | 645 | 669 | 739 | 666 | 605 | 614 |
| HumiCool Division | 421 | 389 | 435 | 425 | 433 | 451 | 476 | 446 | 414 | 429 |
| Eliminations | -7 | -10 | -8 | -9 | -8 | -8 | -12 | -19 | -22 | -10 |
| Net sales | 1,694 | 1,703 | 1,881 | 1,597 | 1,548 | 1,545 | 1,737 | 1,597 | 1,524 | 1,404 |
| Operating activities | ||||||||||
| Dehumidification Division | 66 | 14 | 75 | 48 | 45 | 33 | 72 | 55 | 69 | 38 |
| operating margin | 11.0% | 2.4% | 11.7% | 9.6% | 9.5% | 7.6% | 13.5% | 11.0% | 13.1% | 10.2% |
| MCS Division | -18 | 12 | -9 | 7 | 14 | 36 | 39 | 42 | 10 | 38 |
| operating margin | -2.6% | 1.6% | -1.1% | 1.0% | 2.2% | 5.3% | 5.3% | 6.3% | 1.7% | 6.2% |
| HumiCool Division | 31 | -11 | 23 | 36 | 44 | 51 | 73 | 64 | 55 | 59 |
| operating margin | 7.3% | -2.8% | 5.5% | 8.5% | 10.2% | 11.4% | 15.3% | 14.3% | 13.3% | 13.8% |
| Group overheads, eliminations etc. | -17 | -9 | -13 | -9 | -8 | -12 | -13 | -12 | -15 | -8 |
| Earnings before interest and tax | 62 | 6 | 76 | 82 | 95 | 108 | 171 | 149 | 119 | 127 |
| EBIT margin | 3.7% | 0.4% | 4.0% | 5.1% | 6.1% | 7.0% | 9.8% | 9.3% | 7.8% | 9.0% |
| Operating capital | ||||||||||
| Dehumidification Division - Assets | 798 | 883 | 855 | 703 | 675 | 649 | 672 | 654 | 665 | 562 |
| Dehumidification Division - Liabilities | -260 | -267 | -265 | -179 | -195 | -173 | -191 | -177 | -177 | -178 |
| MCS Division - Assets | 881 | 976 | 1,028 | 1,001 | 963 | 977 | 1,040 | 995 | 896 | 902 |
| MCS Division - Liabilities | -128 | -151 | -174 | -121 | -107 | -106 | -145 | -110 | -106 | -97 |
| HumiCool Division - Assets | 691 | 759 | 787 | 821 | 818 | 767 | 764 | 760 | 729 | 688 |
| HumiCool Division - Liabilities | -179 | -178 | -206 | -239 | -251 | -225 | -267 | -266 | -237 | -236 |
| Central, eliminations | 80 | 82 | 79 | 59 | 52 | 65 | 69 | 77 | 49 | 30 |
| Operating capital | 1,883 | 2,104 | 2,104 | 2,045 | 1,955 | 1,954 | 1,942 | 1,933 | 1,819 | 1,671 |
| Permanent employees | ||||||||||
| Dehumidification Division | 1,238 | 1,293 | 1,301 | 1,173 | 1,196 | 1,184 | 1,180 | 1,151 | 1,126 | 913 |
| MCS Division | 1,889 | 1,959 | 1,944 | 1,942 | 1,952 | 1,938 | 1,918 | 1,903 | 1,916 | 1,906 |
| HumiCool Division | 805 | 795 | 866 | 908 | 914 | 959 | 924 | 911 | 855 | 832 |
| Central | 23 | 25 | 24 | 24 | 24 | 21 | 21 | 17 | 18 | 18 |
| Number of permanent employees | 3,955 | 4,072 | 4,135 | 4,047 | 4,086 | 4,102 | 4,043 | 3,982 | 3,915 | 3,669 |
Operating capital consists of accounts receivable (external and internal), inventory, accounts payable, advances from customers and fixed assets excluding goodwill.
| Amounts in SEK M | 2009 | 2008 | 2009 | 2008 | 2008/2009 | 2008 |
|---|---|---|---|---|---|---|
| Apr-Jun | Apr-Jun | Jan-Jun | Jan-Jun | Jul-Jun | Jan-Dec | |
| MUNTERS AB | 3 months | 3 months | 6 months | 6 months | 12 months | 12 months |
| Income statement | ||||||
| Net sales | 14 | 12 | 27 | 24 | 54 | 51 |
| Cost of goods sold | - | - | - | - | - | - |
| Gross earnings | 14 | 12 | 27 | 24 | 54 | 51 |
| Other operating income | 1 | 1 | 1 | 2 | 1 | 2 |
| Selling expenses | 0 | 0 | 0 | 0 | 0 | 0 |
| Administrative expenses | -34 | -26 | -55 | -50 | -104 | -99 |
| Other operating expenses | 0 | 0 | 0 | 0 | 1 | 1 |
| EBIT - Earnings before interest and tax | -19 | -13 | -27 | -24 | -48 | -45 |
| Financial income and expenses | 19 | 24 | 25 | 71 | 224 | 270 |
| Earnings after financial items | 0 | 11 | -2 | 47 | 176 | 225 |
| Transfer to allocation reserve | - | - | - | - | -4 | -4 |
| Income taxes | 4 | 2 | 4 | 11 | 7 | 14 |
| Net earnings | 4 | 13 | 2 | 58 | 179 | 235 |
| 2009 | 2009 | 2008 | 2008 | |||
| 30 Jun | 31 Mar | 31 Dec | 30 Jun | |||
| Balance sheet | ||||||
| Assets | ||||||
| Fixed assets | ||||||
| Tangible assets | ||||||
| Equipment, tools, fixtures and fittings | 6 | 9 | 24 | 23 | ||
| 6 | 9 | 24 | 23 | |||
| Intangible assets | ||||||
| Patent, licenses and similar rights | 18 | 18 | 18 | 18 | ||
| 18 | 18 | 18 | 18 | |||
| Financial assets | ||||||
| Participations in subsidiaries | 800 | 800 | 791 | 716 | ||
| Receivables from subsidiaries | 1,576 | 1,744 | 1,785 | 1,432 | ||
| 2,376 | 2,544 | 2,576 | 2,148 | |||
| 2,400 | 2,571 | 2,618 | 2,189 | |||
| Current assets | ||||||
| Receivables from subsidiaries | 44 | 31 | 36 | 85 | ||
| Other receivables | 41 | 52 | 56 | 21 | ||
| Cash and cash equivalents | 61 | 88 | 227 | 0 | ||
| 146 | 171 | 319 | 106 |
| Total equity and liability | 2,546 | 2,742 | 2,937 | 2,295 |
|---|---|---|---|---|
| 121 | 140 | 236 | 140 | |
| Other liabilities | 16 | 26 | 34 | 37 |
| Accounts payable | 5 | 7 | 5 | 6 |
| Liabilities to subsidiaries | 100 | 107 | 197 | 97 |
| Current liabilities | ||||
| 1,398 | 1,579 | 1,676 | 1,354 | |
| Provisions | 39 | 39 | 39 | 38 |
| Interest-bearing liabilities | 1,359 | 1,540 | 1,637 | 1,316 |
| Long-term liabilities | ||||
| Untaxed reserves | 19 | 19 | 19 | 15 |
| Equity and liabilities Equity |
1,008 | 1,004 | 1,006 | 786 |
| Total assets | 2,546 | 2,742 | 2,937 | 2,295 |
Notes
Note 1: Accounting principles
The consolidated financial statements for the second quarter of 2009 have been prepared, as were the annual accounts for 2008, in accordance with the International Financial Reporting Standards (IFRS) as adopted by the EU and the Swedish Annual Accounts Act. The parent company has prepared its financial statements in accordance with the Swedish Annual Accounts Act and the Swedish Financial Reporting Board's recommendation RFR 2.2, Accounting for legal entities.
This quarterly report has been prepared in accordance with IAS 34. In this document, the term "IFRS" includes the application of both IAS and IFRS, and the interpretations of these standards published by the IASB's Standards Interpretation Committee (SIC) and its International Financial Reporting Interpretations Committee (IFRIC).
The Group uses the same accounting principles as described in its 2008 Annual Report, with the following exceptions motivated by new or revised standards, interpretations and improvements adopted by the EU and that are to be applied as of January 1, 2009. This report deals only with the changes that have had an effect on the Group.
New or revised standards
IFRS 8: Operating Segments
This standard requires information concerning the Group's operating segments and replaces the requirement to define the Group's primary and secondary segments. Implementation of this standard has not had any effect on the Group's financial position. The implementation of IFRS 8 has not resulted in any segments other than those reported as primary under IAS 14 and that were reported in the 2008 Annual Report. Munters reports its three divisions Dehumidification, HumiCool and MCS as operating segments. Information about the segments is shown in the sections Segment information and Quarterly overview – Divisions, and in Note 2.
Amended IAS 1, Presentation of Financial Statements
The standard divides changes in shareholders' equity into changes due to transactions with owners and other changes. The presentation of changes in equity will only contain details relating to shareholder transactions. In addition, the standard introduces the concept of the "Statement of comprehensive income," which shows all revenue and costs, items previously reported under the statement of shareholders' equity and the statement of recognized income and expense, either as a separate presentation or as two integrated presentations. The Group has elected to present its statement of comprehensive income as a separate presentation.
Note 2: Operating segments
As of January 1, 2009, the Group has implemented IFRS 8 Operating Segments. This standard requires that information be reported based on the perspective of company management, which means it is presented in the way in which it is used in the company's internal reporting. Reportable segments are identified based on the internal reporting to the highest-ranking Chief Operating Decision Maker (CODM). Munters has identified its Group Management as its CODM. The Group is organized in divisions. Munters has identified the three divisions as reportable operating segments, which is the same as previously. The divisions are consolidated based on the same principles as is the Group as a whole. Transactions between the divisions are based on market terms. Central controlling and reporting concepts include: order intake, net sales, operating earnings and operating capital.
This document is a translation of the Swedish version. In the event of any discrepancies between this translation and the Swedish version, the Swedish version shall prevail.