Tecnotree Oyj — Interim / Quarterly Report 2013

Feb 5, 2014

Tecnotree Corporation Financial Statements 1-12/2013

5 th February, 2014

Tecnotree Group in Brief

Highlights for Q4 & 1-12/2013 (comparisons to Q4 & 1-12/2012)

Q4 2013

• Net sales 20.0 M€ (22.4 M€)
• Adjusted EBIT 3.6 M€ (-0.3 M€)
• EBIT 3.6 M€ (-3.7 M€)
• No capitalised R&D expenses left in the balance sheet
• Cash flow after investments -0.3 M€ (5.5M€)

1-12/2013

• Net sales 73.9 M€ (73.4 M€)
• Adjusted EBIT 3.3M€ (-4.9 M€)
• EBIT 1.6 M€ (-12.4 M€)
• Cash flow after investments was -7.3 M€ (-0.8 M€)

New long-term financing arrangement finalized on 30 August 2013

In force till 30 June 2018

New orders worth 7.7 MEUR received from a customer in the MEA region at the end of the year

Financial Highlights

M€	1‒12/2013	1‒12/2012
Net sales	73.9	73.4
Adjusted operating result EBIT BEFORE R&D CAPITALISATION & AMORTISATION AND ONE-TIME COSTS	3.3	-4.9
Ebit	1.6	-12.4
Net result	-2.5	-17.0
Order intake	64.8	87.2
Cash flow after investments	-7.3	-0.8
Net Cash Flow	-3.8	4.8
Cash	6.6	11.3
Equity Ratio	30.3	40.2
Net Gearing	113.4	50.0

Net Sales by Area

Americas + 0,3% Europe - 31% MEA + 15% APAC - 36%

Order book by Sales Area

Sales and Orders

Adjusted Income Statement

EUR Million	1-12/2013	1-12/2012	Change %
Net sales	73.9	73.4	0.6
Other operating income	0.1	0.1	-12.8
Total revenue	74.0	73.5	0.6
Adjusted operating expenses*)	-70.6	-78.4	-9.8
Adjusted operating result	3.3	-4.9
- Net impact of R&D capitalizations	-1.7	-5.4	-68.2
- One-time costs		-2.1
Operating result	1.6	-12.4

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

Consolidated Income Statement

EUR Million	1-12/2013	1-12/2012	Change %
Net sales	73.9	73.4	0.6
Other operating income	0.1	0.1	-12.8
Materials and services	-10.6	-14.4	-26.5
Employee benefit expenses	-34.6	-35.4	-2.2
Depreciation	-3.5	-8.9	-60.5
Other operating expenses	-23.6	-27.2	-13.0
Operating result	1.6	-12.4
Financial income and expenses	2.5	-1.3
Result after financial income and expenses	4.1	-13.7
Income taxes	-6.6	-3.3	100.3
Result for the period	-2.5	-17.0	85.3

Consolidated Balance Sheet

EUR Million	31.12.2013	31.12.2012	Change %
NON-CURRENT ASSETS
Fixed Assets	4.5	7.7	-41.8
Consolidated goodwill	15.3	17.4	-12.4
Other non-current assets	2.3	2.9	-22.8
CURRENT ASSETS
Inventories	0.6	0.6	-1.5
Trade Receivables	17.5	22.2	-21.1
Other Receivables	24.4	19.0	28.4
Investments	0.6	0.6	-5.7
Cash and Cash Equivalents	6.6	11.3	-41.9
TOTAL ASSETS	71.6	81.8	-12.4

Consolidated Balance Sheet

EUR Million	31.12.2013	31.12.2012	Change %
SHAREHOLDER'S EQUITY	21.7	32.8	-33.9
NON-CURRENT LIABILITIES
Interest-bearing liabilities	20.7
Deferred tax liabilities	3.0	2.8	7.0
Other non-current liabilities	0.9	0.4	118.4
CURRENT LIABILITIES
Interest-bearing liabilities	11.1	28.3	-60.8
Non-interest-bearing liabilities	14.2	17.3	-18.2
EQUITY AND LIABILITIES	71.6	81.8	-12.4

Prospects for 2014

• The company estimates that its net sales and operating result will improve from the previous year
• Variations in the quarterly figures will be considerable