Tecnotree Oyj — Interim / Quarterly Report 2012

Aug 8, 2012

Tecnotree Corporation Interim Report Q2/2012

8 th Aug, 2012

Tecnotree Group in Brief

Highlights for Q2 2012 (comparisons to Q2 2011)

• Record order backlog of 58.8 M€ (21.5 M€ in Q2 2011) New orders of 43.9 M€ were received in Q2 (17.8 M€), including one order worth 18 M€ from Latin America
• Net sales in Q2 were 21.3 M€ (18.5 M€)
• The net sales for the quarter are higher than during any other quarter after 2008
• The adjusted EBIT was 2.0 M€ (3.3 M€) and EBIT 0.6 M€ (0.6 M€)
• New financing received
• 5.9 M€ share issue in June
• 5.0 M€ new credit limit agreed in July

Cash flow after investments 1.1 M€ (-12.2 M€)

Financial Highlights

M€	1‒6/2012	1‒6/2011
Net sales	31.3	29.1
Adjusted operating result EBIT BEFORE R&D CAPITALISATION & AMORTISATION AND ONE-TIME COSTS	-3.8	-1.6
Ebit	-6.7	-7.7
Net result	-7.7	-9.0
Order intake	49.7	36.3
Cash flow after investments	1.1	-12.2
Net Cash Flow	4.4	-6.3
Cash	11.0	10.4
Equity Ratio	50.0	57.4
Net Gearing	32.4	23.9

Net Sales by Area

Americas +51% ‒ Europe +15% ‒ MEA -24% ‒ APAC -11%

Sales and Orders

Adjusted Income Statement

EUR Million	1-6/2012	1-6/2011	Change %
Net sales	31.3	29.1	7.6
Other operating income	0.0	0.0
Total revenue	31.3	29.1	7.7
Adjusted operating expenses *)	-35.1	-30.7	14.4
Adjusted operating result	-3.8	-1.6
- Net impact of R&D capitalizations	-2.8	-3.6	-21.8
- One-time costs		-2.4
Operating result	-6.7	-7.7	13.3

*) Operating expenses less the net impact of the R&D capitalisations and one-time costs

Consolidated Balance Sheet

EUR Million	30.6.2012	30.6.2011	Change %
NON-CURRENT ASSETS
Fixed Assets	12.3	19.9	-38.2
Consolidated goodwill	18.9	20.2	-6.7
Other non-current assets	3.3	3.3	1.6
CURRENT ASSETS
Inventories	1.1	1.2	-7.4
Trade Receivables	17.6	22.4	-21.3
Other Receivables	27.7	26.7	3.6
Investments	0.0	0.9
Cash and Cash Equivalents	11.0	10.4	5.3
TOTAL ASSETS	91.9	105.1	-12.6

Consolidated Balance Sheet

EUR Million	30.6.2012	30.6.2011	Change %
SHAREHOLDER'S EQUITY	44.8	59.5	-24.7
Interest-bearing liabilities	11.1	13.4	-16.9
Deferred tax liabilities	3.3	2.7	23.2
Other non-current liabilities	0.4	0.5	-21.4
CURRENT LIABILITIES
Interest-bearing liabilities	14.8	12.2	20.9
Non-interest-bearing liabilities	16.3	16.9	-3.2
EQUITY AND LIABILITIES	91.9	105.1	-12.6

Prospects for 2012

• Tecnotree estimates that net sales and the operating result in 2012 will be better than in 2011.
• The adjusted operating result is estimated to be positive.
• Variations in the quarterly figures will be considerable.
• The cash flow after investments is also expected to improve compared to 2011.
• The adjusted operating result is the operating result before R&D capitalization, amortization of this and onetime costs.

ADDITIONAL FINANCIAL INFORMATION FOR INVESTORS

Sales and Adjusted Operating Result

Adjusted operating result = Ebit before R&D capitalisation & amortisation and one-time costs

Consolidated Income Statement

EUR Million	1-6/2012	1-6/2011	Change %
Net sales	31.3	29.1	7.6
Other operating income	0.0	0.0
Materials and services	-5.9	-4.8	21.9
Employee benefit expenses	-15.6	-16.6	-6.3
Depreciation	-3.9	-5.1	-23.4
Other operating expenses	-12.6	-10.2	23.4
Operating result	-6.7	-7.7	13.3
Financial income and expenses	-0.9	0.5
Result after financial income and expenses	-7.6	-7.2	-6.0
Income taxes	-0.1	-1.8	-96.0
Result for the period	-7.7	-9.0	14.8

Sales by Area Americas

Sales by Area APAC

Sales by Area Europe

Sales by Area MEA

Sales Distribution

Materials and Services

Employee Benefits

Other Operating Expenses

Assets by Quarter

Equity and Liabilities by Quarter