Consolidated interim report for Q2 and 6 months of 2008 21.08.2008 PROFITS AS Silvano Fashion Group ended the second quarter of 2008 with consolidated net sales of EEK 485.7 million (EUR 31.0 million), representing an 18.3% increase on the second quarter of 2007. The Group's gross margin in the second quarter of 2008 reached 42.7% compared to 46.3% in the second quarter of 2007. Consolidated operating profit amounted to EEK 59.7 million (EUR 3.8 million), representing a 32.5% decline compared to normalised operating profit of Q2 20071. The consolidated operating margin reached 12.3% (down from 21.5% in Q2 20071). Consolidated net profit attributable to equity holders amounted to EEK 18.1 million (EUR 1.2 million), compared to EEK 40.6 million (EUR 2.6 million) in Q2 20071, and the net margin was 3.7% (down from 9.9% in Q2 20071). Cumulative six months' sales of AS Silvano Fashion Group amounted to EEK 914.5 million (EUR 58.4 million), showing 17.4% increase compared to H1 2007. The Group's gross and operating margins in the first half of the 2008 stood at 43.7% and 12.6% respectively (43.9% and 19.5% (normalised) in H1 2007). Operating profit in the first six months of 2008 amounted to EEK 115.3 million (EUR 7.4 million) compared to normalised EEK 151.6 million (EUR 9.7 million) in H1 20071. In the first half of year 2008, the Group earned a net profit of EEK 32.1 million (EUR 2.1 million), representing a 56.6% decline compared to the first six months of 20071, and net margin reached 3.5% (9.5% in H1 20071). In first six months of 2008, the Group's return on equity was 4.4% (down from 14.3% (normalised) in first 6 months 2007) and return on assets was 2.9% (down from 8.5% (normalised) in first six month of 2007). The substantial increase in sales and the decline in profitability compared to first six months of 2007 are a function of the rapid expansion of the Group's retail network (as detailed below), and continues to be in line with the management's expectations. BALANCE SHEET At 30 June 2008, consolidated assets amounted to EEK 1,166.3 million (EUR 74.5 million), up from EEK 1,089.6 million (EUR 69.6 million) at 31 December 2007. The increases in both assets and liabilities are related mainly to retail expansion. Trade receivables have increased by EEK 48.4 million (EUR 3.1 million). Inventories increased by EEK 31.5 million (EUR 2.0 million) to reach EEK 369.1 million (EUR 23.6 million) at 30 June 2008. The growth in inventory results primarily from the retail expansion. Due to the expansion of the retail network, the Group made rental prepayments and deposits for store premises, which increased other receivables and prepayments. Property, plant and intangibles increased by EEK 20.5 million (EUR 1.3 million). Current liabilities increased by EEK 33.3 million (EUR 2.1 million). Tax liabilities, other payables, including payables to employees, and provisions amounted to EEK 74.2 million (EUR 4.7 million), remaining at the expected level. Current and non-current loans and borrowings increased by EEK 43.4 million (EUR 2.8 million) to EEK 72.6 million (EUR 4.6 million). This includes finance lease liabilities of EEK 7.0 million (EUR 0.5 million.) Equity attributable to equity holders increased by EEK 9.5 million (EUR 0.6 million) to reach EEK 743.3 million (EUR 47.5 million). SALES Sales by business segments -------------------------------------------------------------------------------- | | 6 | 6 | Chang | 6 | 6 | Change | 6 | 6 | | | month | month | e | month | months | EUR | month | months | | | s | s | EEK | s | 2007 | millio | s | 2007 | | | 2008 | 2007 | milli | 2008 | EUR | n | 2008 | perc. | | | EEK | EEK | on | EUR | millio | | perc. | from | | | milli | milli | | milli | n | | from | sales | | | on | on | | on | | | sales | | -------------------------------------------------------------------------------- | Women's | 88.7 | 70.3 | 18.4 | 5.6 | 4.5 | 1.1 | 9.7% | 9.0% | | apparel | | | | | | | | | -------------------------------------------------------------------------------- | Lingerie | 792.6 | 690.1 | 102.5 | 50.7 | 44.1 | 6.6 | 86.7% | 88.6% | -------------------------------------------------------------------------------- | Subcontra | 33.2 | 18.8 | 14.4 | 2.1 | 1.2 | 0.9 | 3.6% | 2.4% | | cting | | | | | | | | | | services | | | | | | | | | | and other | | | | | | | | | | sales | | | | | | | | | -------------------------------------------------------------------------------- | Total | 914.5 | 779.2 | 135.3 | 58.4 | 49.8 | 8.6 | 100.0 | 100.00 | | | | | | | | | % | % | -------------------------------------------------------------------------------- Sales by markets In the first six months of 2008, the Group mainly focused on Russia, Belarus and Ukraine markets. Total sales by markets -------------------------------------------------------------------------------- | | 6 | 6 | Chan | 6 | 6 | Chang | 6 months | 6 months | | | mont | mont | ge | month | month | e | 2008 | 2007 | | | hs | hs | EEK | s | s | EUR | percenta | percentag | | | 2008 | 2007 | mill | 2008 | 2007 | milli | ge from | e from | | | EEK | EEK | ion | EUR | EUR | on | sales | sales | | | mill | mill | | milli | milli | | | | | | ion | ion | | on | on | | | | -------------------------------------------------------------------------------- | Estonia | 76.3 | 92.4 | -16. | 4.9 | 5.9 | -1.0 | 8.3% | 11.9% | | | | | 1 | | | | | | -------------------------------------------------------------------------------- | Finland | 19.0 | 25.9 | -6.9 | 1.2 | 1.7 | -0.5 | 2.1% | 3.3% | -------------------------------------------------------------------------------- | Latvia | 22.8 | 25.2 | -2.4 | 1.4 | 1.6 | -0.2 | 2.5% | 3.2% | -------------------------------------------------------------------------------- | Belarus | 160. | 139. | 21.7 | 10.3 | 8.9 | 1.4 | 17.6% | 17.9% | | | 8 | 1 | | | | | | | -------------------------------------------------------------------------------- | Ukraine | 74.7 | 51.0 | 23.7 | 4.8 | 3.3 | 1.5 | 8.2% | 6.5% | -------------------------------------------------------------------------------- | Russia | 480. | 366. | 114. | 30.7 | 23.4 | 7.3 | 52.5% | 47.0% | | | 5 | 3 | 2 | | | | | | -------------------------------------------------------------------------------- | Other | 80.4 | 79.3 | 1.1 | 5.1 | 5.0 | 0.1 | 8.8% | 10.2% | | markets | | | | | | | | | -------------------------------------------------------------------------------- | Total | 914. | 779. | 135. | 58.4 | 49.8 | 8.6 | 100.0% | 100.0% | | | 5 | 2 | 3 | | | | | | -------------------------------------------------------------------------------- Women's apparel The main driver of growth for women's apparel sales was the expansion of the PTA retail chain. In the first half of 2008, retail sales were 89.7% from the total revenue of the women's apparel segment (H1 2007: 72.8%). Sales volume in the Baltics decreased by 3.7%, amounting to EEK 44.2 million (EUR 2.8 million). A slowdown in apparel sales in the Baltics became apparent, in line with the general cooling of the Baltic economies. Sales revenue in Russia was EEK 25.8 million (EUR 1.6 million) giving 5 times growth to H1 2007 and in Ukraine EEK 9.5 million (EUR 0.6 million), giving 100% increase to H1 2007. Lingerie The majority of lingerie sales revenue in the first half of 2008 was earned on the Russian market, amounting to EEK 454.7 million (EUR 29.1 million), accounting for 57.4% of all lingerie sales volume for first six months of 2008 compare to H1 2007: EEK 361.0 million (EUR 23.0 million) . Sales in Russia comprise both retail sales and wholesale. The second biggest region of lingerie sales is Belarus, amounting to EEK 160.8 million (EUR 10.3 million), contributing 20.3% of all lingerie sales revenue (also comprising both retail sales and wholesale) compare to H1 2007: EEK 139.1 million (EUR 8.9 million). Similarly to the women's apparel segment, the Baltic sales of lingerie were affected by the economic slowdown (and significantly higher inflation) in the region, which begins to have an effect on consumer spending. In terms of lingerie brands, the sales of “Milavitsa” core brand accounted for 76.8% of total lingerie sales revenue in the first half of 2008 (H1 2007: 75.0%) and amounted to EEK 608.7 million (EUR 38.9 million). The sales of “Lauma” core brand accounted for 5.8% of total lingerie sales (H1 2007 : 7.7 %) and amounted to EEK 46.0 million (EUR 3.0 million). Other brands such as “Alisee”, “Aveline”, “Laumelle”, “Lauma Aqua” and “Laumelle Aqua” comprised 17.4% of total lingerie sales in H1 2008 (H1 2007: 17.3%), amounting to EEK 137.9 million (EUR 8.8 million). Retail operations Total retail sales of the Group in the first six months of 2008 amounted to EEK 209.0 million (EUR 13.4 million), representing a 117.0% increase on the first six months of 2007. Retail operations were conducted in Estonia, Latvia, Russia, Belarus, Poland, Lithuania and Ukraine. At the end of June 2008, the Group operated 133 retail outlets with a total area of 14,549 square meters. Women's apparel was retailed in Estonia, Latvia, Lithuania, Russia and Ukraine. At the end of June 2008, the Group operated 37 women's apparel stores with a total sales area of 6,926 square metres. Lingerie was retailed in Russia, Belarus, Latvia, Lithuania, Ukraine and Poland. At the end of June 2008, the Group operated 96 lingerie stores with a total area of 7,623 square metres. Within the first six months of 2008, 19 new stores were opened: 7 in the apparel business (operating under PTA brand name), including 3 in Ukraine and 4 in Russia, and 12 stores in the lingerie business, including 7 under Oblicie name in Russia, 4 under Milavitsa name in Belarus and 1 store under Lauma Lingerie brand name in Latvia. One Milavitsa store was closed. Number of stores at 30 June: 30.06.2008 31.12.2007 Estonia 8 8 Latvia 7 6 Poland 10 10 Belarus 26 23 Russia 54 44 Lithuania 20 20 Ukraine 8 4 Total stores 133 115 Total sales area, sq m 14,549 12,454 In the first 6 months 2008, women's apparel retail revenue compared to the first six months of 2007 increased by 55.4%, amounting to EEK 79.5 million (EUR 5.0 million).The total like-for-like growth was a negative 6% mainly because of the drop of sales in the Baltics. The like-for-like growth in Russia was +64%, in Estonia -7% and in Latvia -15% in H1 2008. Results in Baltics are influenced by overall macro economical situation The like-for-like increase in the Oblicie lingerie retail chain in Russia is about 52% for stores operating longer than one year, continuing to offer strong evidence to the viability of the continuing expansion of the Group's operations into the retail sector in its primary target markets. The major objective in the lingerie business continues to be rapid retail expansion, mainly in Russia. By the end of the year the Group also intends to open a few shops under the “Milavitsa” brand in Russia in order to capitalise on the brand awareness in the country. Stores by concept -------------------------------------------------------------------------------- | Market | PTA | Oblicie | Milavits | Other | Total | Sales | | | stores | stores | a stores | stores | | area, | | | | | | | | sq m | -------------------------------------------------------------------------------- | Russia | 15 | 39 | - | - | 54 | 5,984 | -------------------------------------------------------------------------------- | Ukraine | 6 | 2 | - | - | 8 | 1,111 | -------------------------------------------------------------------------------- | Estonia | 8 | - | - | - | 8 | 1,759 | -------------------------------------------------------------------------------- | Latvia | 4 | - | - | 3 | 7 | 1,196 | -------------------------------------------------------------------------------- | Lithuania | 4 | - | - | 16 | 20 | 1,626 | -------------------------------------------------------------------------------- | Belarus | - | - | 26 | - | 26 | 2,385 | -------------------------------------------------------------------------------- | Poland | - | 1 | - | 9 | 10 | 488 | -------------------------------------------------------------------------------- | Total | 37 | 42 | 26 | 28 | 133 | 14,549 | -------------------------------------------------------------------------------- Wholesale In the first half of 2008, wholesale amounted to EEK 672.3 million (EUR 43.0 million), representing 73.5% of the Group's total revenue (H1 2007: 85.1%). The main wholesale regions were Russia, Belarus, Ukraine and the Baltic States for lingerie, and Finland and the Baltic states for women's apparel. in the first six months of 2008, revenue from wholesale of women's apparel decreased by 40.1% compared to the first six months of 2007, amounting to EEK 9.1 million (EUR 0.6 million). Lingerie wholesale in the first six months of 2008 increased by 3.5% compared to the first six months of 2007, amounting to EEK 663.2 million (EUR 42.4 million). Most of the lingerie wholesale partners are located in Russia. Investment In the first half of 2008, the Group's investments totalled EEK 43.1 million (EUR 2.8 million). A total of EEK 15.6 million (EUR 1.0 million) was invested in retail operations, EEK 12.4 million (EUR 0.8 million) was invested in real estate for retail needs in Belarus,while other investments were made in equipment and facilities to maintain effective production. Personnel At the end of June 2008, the Group employed a staff of 4,055 including 823 in retail and 2,488 in production. The rest are employed in wholesale, administration and support operations. The average number of employees in the first six months of 2008 was 4,059. The total salaries and wages for the first half of 2008 amounted to EEK 185.5 million (EUR 11.9 million). The remuneration paid to members of the Management Board totalled EEK 3.3 million (EUR 0.2 million). Four members of the Management Board also serve as executives for the Group's subsidiaries. Selected financial data The Group's operating results are best summarised in the following figures and ratios: -------------------------------------------------------------------------------- | Key figures and ratios | 30.06.200 | 30.06.2007 | Change | | | 8 | | | -------------------------------------------------------------------------------- | Net sales (EEK million) | 914.5 | 779.2 | 135.3 | -------------------------------------------------------------------------------- | Net income, attributable to shareholders | 32.1 | 146.3 | -114.2 | | (EEK million) | | | | -------------------------------------------------------------------------------- | Earnings before interest, taxes and | 138.2 | 242.1 | -103.9 | | depreciation (EBITDA) ( EEK million) | | | | -------------------------------------------------------------------------------- | Earnings before interest and taxes (EBIT) | 115.3 | 223.8 | -108.5 | | (EEK million) | | | | -------------------------------------------------------------------------------- | Net sales (EUR million) | 58.4 | 49.8 | 8.6 | -------------------------------------------------------------------------------- | Net income attributable to shareholders | 2.1 | 9.4 | -7.3 | | (EUR million) | | | | -------------------------------------------------------------------------------- | Earnings before interest, taxes and | 8.8 | 15.5 | -6.7 | | depreciation (EBITDA) ( EUR million) | | | | -------------------------------------------------------------------------------- | Earnings before interest and taxes (EBIT) | 7.4 | 14.3 | -6.9 | | (EUR million) | | | | -------------------------------------------------------------------------------- | Operating margin, % | 12.6% | 28.7% | - | -------------------------------------------------------------------------------- | Net margin, % | 3.5% | 18.8% | - | -------------------------------------------------------------------------------- | ROA, % | 2.9% | 12.9% | - | -------------------------------------------------------------------------------- | ROE, % | 4.4% | 16.8% | - | -------------------------------------------------------------------------------- | Earnings per share (EPS), in EEK | 0.80 | 3.86 | - | -------------------------------------------------------------------------------- | Earnings per share (EPS), in EUR | 0.05 | 0.25 | - | -------------------------------------------------------------------------------- | Current ratio | 3.4 | 3.2 | - | -------------------------------------------------------------------------------- | Quick ratio | 1.9 | 1.9 | - | -------------------------------------------------------------------------------- Underlying formulas: Operating margin = operating profit / sales revenue Net margin = net profit attributable to equity holders of the parent / sales revenue ROA (return on assets) = net profit attributable to equity holders of the parent / average total assets ROE (return on equity) = net profit attributable to equity holders of the parent / average equity EPS (earnings per share) = net profit attributable to equity holders of the parent / weighted average number of ordinary shares Current ratio = current assets / current liabilities Quick ratio = (current assets - inventories) / current liabilities Sergei Kusonski CEO, Member of the Management Board Balance Sheet Consolidated, unaudited -------------------------------------------------------------------------------- | | | 30.06 | 30.06. | 31.12. | 30.06.0 | 30.06.0 | 31.12.0 | | | | .08 | 07 | 07 | 8 | 7 | 7 | | | | | | | | | | -------------------------------------------------------------------------------- | | | EEK | EEK | EEK | EUR Th. | EUR Th. | EUR Th. | | | | Th. | Th. | Th. | | | | -------------------------------------------------------------------------------- | ASSETS | | | | | | | | -------------------------------------------------------------------------------- | Non-current | | | | | | | | | assets | | | | | | | | -------------------------------------------------------------------------------- | Property, plant | | 268,3 | 213,91 | 246,54 | 17,153 | 13,671 | 15,757 | | and equipment | | 86 | 7 | 1 | | | | -------------------------------------------------------------------------------- | Intangible assets | | 26,59 | 16,801 | 27,976 | 1,700 | 1,074 | 1,788 | | | | 9 | | | | | | -------------------------------------------------------------------------------- | Investment | | 21,51 | 0 | 22,954 | 1,375 | 0 | 1,467 | | property | | 4 | | | | | | -------------------------------------------------------------------------------- | Investments in | | 2,144 | 78 | 876 | 137 | 5 | 56 | | equity accounted | | | | | | | | | investees | | | | | | | | -------------------------------------------------------------------------------- | Available-for-sal | | 8,027 | 9,310 | 8,480 | 513 | 595 | 542 | | e financial | | | | | | | | | assets | | | | | | | | -------------------------------------------------------------------------------- | Other receivables | | 814 | 5,101 | 595 | 52 | 326 | 38 | -------------------------------------------------------------------------------- | Total non-current | | 327,4 | 245,20 | 307,42 | 20,930 | 15,671 | 19,648 | | assets | | 84 | 7 | 2 | | | | -------------------------------------------------------------------------------- | Current assets | | | | | | | | -------------------------------------------------------------------------------- | Inventories | | 369,0 | 281,56 | 337,52 | 23,588 | 17,995 | 21,572 | | | | 72 | 1 | 8 | | | | -------------------------------------------------------------------------------- | Prepaid taxes | | 29,43 | 22,171 | 24,471 | 1,881 | 1,417 | 1,564 | | | | 1 | | | | | | -------------------------------------------------------------------------------- | Trade receivables | | 206,9 | 173,58 | 158,53 | 13,224 | 11,094 | 10,132 | | | | 11 | 3 | 1 | | | | -------------------------------------------------------------------------------- | Other receivables | | 44,48 | 5,430 | 29,713 | 2,843 | 347 | 1,899 | | | | 4 | | | | | | -------------------------------------------------------------------------------- | Prepayments | | 48,64 | 60,161 | 51,680 | 3,109 | 3,845 | 3,303 | | | | 5 | | | | | | -------------------------------------------------------------------------------- | Cash and cash | | 140,3 | 139,02 | 180,23 | 8,968 | 8,885 | 11,519 | | equivalents | | 19 | 0 | 3 | | | | -------------------------------------------------------------------------------- | Total current | | 838,8 | 681,92 | 782,15 | 53,613 | 43,583 | 49,989 | | assets | | 62 | 6 | 6 | | | | -------------------------------------------------------------------------------- | TOTAL ASSETS | | 1 166 | 927,13 | 1 089, | 74,543 | 59,254 | 69,637 | | | | ,346 | 3 | 578 | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | LIABILITIES AND | | | | | | | | | EQUITY | | | | | | | | -------------------------------------------------------------------------------- | Equity | | | | | | | | -------------------------------------------------------------------------------- | Share capital at | | 400,0 | 379,47 | 400,00 | 25,565 | 24,252 | 25,565 | | par value | | 00 | 2 | 0 | | | | -------------------------------------------------------------------------------- | Share premium | | 223,2 | 83,011 | 223,29 | 14,271 | 5,305 | 14,271 | | | | 93 | | 3 | | | | -------------------------------------------------------------------------------- | Statutory capital | | 1,046 | 1,046 | 1,046 | 67 | 67 | 67 | | reserve | | | | | | | | -------------------------------------------------------------------------------- | Translation | | -99,1 | -27,86 | -76,51 | -6,338 | -1,781 | -4,890 | | reserve | | 57 | 7 | 2 | | | | -------------------------------------------------------------------------------- | Retained earnings | | 218,0 | 145,31 | 185,92 | 13,937 | 9,287 | 11,883 | | | | 65 | 0 | 7 | | | | -------------------------------------------------------------------------------- | Total equity | | 743,2 | 580,97 | 733,75 | 47,502 | 37,130 | 46,896 | | attributable to | | 47 | 2 | 4 | | | | | equity holders of | | | | | | | | | the parent | | | | | | | | -------------------------------------------------------------------------------- | Minority interest | | 165,0 | 127,55 | 136,31 | 10,547 | 8,152 | 8,712 | | | | 25 | 2 | 3 | | | | -------------------------------------------------------------------------------- | Total equity | | 908,2 | 708,52 | 870,06 | 58,049 | 45,282 | 55,608 | | | | 72 | 4 | 7 | | | | -------------------------------------------------------------------------------- | Non-current | | | | | | | | | liabilities | | | | | | | | -------------------------------------------------------------------------------- | Loans and | | 9,529 | 6,556 | 4,068 | 609 | 419 | 260 | | borrowings | | | | | | | | -------------------------------------------------------------------------------- | Deferred tax | | 203 | 201 | 201 | 13 | 13 | 13 | | liabilities | | | | | | | | -------------------------------------------------------------------------------- | Other liabilities | | 188 | 0 | 360 | 12 | 0 | 23 | -------------------------------------------------------------------------------- | Provisions | | 125 | 139 | 139 | 8 | 9 | 9 | -------------------------------------------------------------------------------- | Total non-current | | 10,04 | 6,896 | 4,768 | 642 | 441 | 305 | | liabilities | | 5 | | | | | | -------------------------------------------------------------------------------- | Current | | | | | | | | | liabilities | | | | | | | | -------------------------------------------------------------------------------- | Loans and | | 63,08 | 24,972 | 25,160 | 4,032 | 1,596 | 1,608 | | borrowings | | 7 | | | | | | -------------------------------------------------------------------------------- | Trade payables | | 110,7 | 121,01 | 122,88 | 7,078 | 7,734 | 7,854 | | | | 47 | 3 | 8 | | | | -------------------------------------------------------------------------------- | Corporate income | | 8,308 | 6,916 | 3,192 | 531 | 442 | 204 | | tax liability | | | | | | | | -------------------------------------------------------------------------------- | Other tax | | 15,88 | 21,968 | 23,486 | 1,015 | 1,404 | 1,501 | | liabilities | | 1 | | | | | | -------------------------------------------------------------------------------- | Other payables | | 24,11 | 17,321 | 17,430 | 1,541 | 1,107 | 1,113 | | | | 1 | | | | | | -------------------------------------------------------------------------------- | Provisions | | 25,86 | 19,523 | 22,462 | 1,653 | 1,248 | 1,436 | | | | 4 | | | | | | -------------------------------------------------------------------------------- | Accrued expenses | | 31 | 0 | 125 | 2 | 0 | 8 | -------------------------------------------------------------------------------- | Total current | | 248,0 | 211,71 | 214,74 | 15,852 | 13,531 | 13,724 | | liabilities | | 29 | 3 | 3 | | | | -------------------------------------------------------------------------------- | Total liabilities | | 258,0 | 218,60 | 219,51 | 16,494 | 13,972 | 14,029 | | | | 74 | 9 | 1 | | | | -------------------------------------------------------------------------------- | TOTAL LIABILITIES | | 1 166 | 927,13 | 1 089, | 74,543 | 59,254 | 69,637 | | AND EQUITY | | ,346 | 3 | 578 | | | | -------------------------------------------------------------------------------- Income Statement-H1 Consolidated, unaudited -------------------------------------------------------------------------------- | | | 2008 | 2007 | 2008 | 2007 | | | | H1 | H1 | H1 | H1 | | | | EEK | EEK | EUR | EUR | | | | thousan | thousand | thousand | thousand | | | | ds | s | s | s | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | | 914,513 | 779,201 | 58,448 | 49,800 | -------------------------------------------------------------------------------- | Costs of goods sold | | -515,08 | -437,369 | -32,920 | -27,953 | | | | 6 | | | | -------------------------------------------------------------------------------- | Gross Profit | | 399,427 | 341,832 | 25,528 | 21,847 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other operating income | | 10,155 | 79,485 | 649 | 5,080 | -------------------------------------------------------------------------------- | Distribution costs | | -156,07 | -89,968 | -9,975 | -5,750 | | | | 5 | | | | -------------------------------------------------------------------------------- | Administrative expenses | | -104,39 | -77,560 | -6,672 | -4,957 | | | | 4 | | | | -------------------------------------------------------------------------------- | Other operating expenses | | -33,828 | -29,963 | -2,162 | -1,915 | -------------------------------------------------------------------------------- | Operating profit | | 115,285 | 223,826 | 7,368 | 14,305 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Interest expenses | | -1,549 | -391 | -99 | -25 | -------------------------------------------------------------------------------- | Gains/losses on conversion | | -1,502 | 955 | -96 | 61 | | of foreign currencies | | | | | | -------------------------------------------------------------------------------- | Other financial income / | | 5,242 | 1,596 | 335 | 102 | | expenses | | | | | | -------------------------------------------------------------------------------- | Total financial income / | | 2,191 | 2,160 | 140 | 138 | | expenses | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Share of profit of equity | | 1,314 | 0 | 84 | 0 | | accounted investees | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit before corporate | | 118,790 | 225,986 | 7,592 | 14,443 | | income tax | | | | | | -------------------------------------------------------------------------------- | Corporate income tax | | -56,625 | -47,487 | -3,619 | -3,035 | -------------------------------------------------------------------------------- | Net profit for period | | 62,165 | 178,499 | 3,973 | 11,408 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net profit attributable to | | 32,138 | 146,297 | 2,054 | 9,350 | | parent company | | | | | | -------------------------------------------------------------------------------- | Net profit attributable to | | 30,027 | 32,202 | 1,919 | 2,058 | | minority shareholders | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per share | | | | | | -------------------------------------------------------------------------------- | Basic earnings per share | | 0.80 | 3.86 | 0.05 | 0.25 | | (EEK/EUR) | | | | | | -------------------------------------------------------------------------------- | Diluted earnings per share | | 0.80 | 3.86 | 0.05 | 0.25 | | (EEK/EUR) | | | | | | -------------------------------------------------------------------------------- Income Statement-Q2 Consolidated, unaudited -------------------------------------------------------------------------------- | | | 2008 | 2007 | 2008 | 2007 | | | | Q2 | Q2 | Q2 | Q2 | | | | EEK | EEK | EUR | EUR | | | | thousan | thousand | thousand | thousand | | | | ds | s | s | s | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net sales | | 485,718 | 410,675 | 31,043 | 26,247 | -------------------------------------------------------------------------------- | Costs of goods sold | | -278,44 | -220,585 | -17,796 | -14,098 | | | | 7 | | | | -------------------------------------------------------------------------------- | Gross Profit | | 207,271 | 190,090 | 13,247 | 12,149 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Other operating income | | 5,868 | 76,482 | 375 | 4,888 | -------------------------------------------------------------------------------- | Distribution costs | | -87,152 | -49,880 | -5,570 | -3,188 | -------------------------------------------------------------------------------- | Administrative expenses | | -50,038 | -33,936 | -3,198 | -2,169 | -------------------------------------------------------------------------------- | Other operating expenses | | -16,210 | -22,045 | -1,036 | -1,409 | -------------------------------------------------------------------------------- | Operating profit | | 59,739 | 160,711 | 3,818 | 10,271 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Interest expenses | | -892 | 0 | -57 | 0 | -------------------------------------------------------------------------------- | Gains/losses on conversion of | | 1,550 | 1,086 | 99 | 70 | | foreign currencies | | | | | | -------------------------------------------------------------------------------- | Other financial income / | | 2,519 | -1,767 | 161 | -113 | | expenses | | | | | | -------------------------------------------------------------------------------- | Total financial income / | | 3,177 | -681 | 203 | -43 | | expenses | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Share of profit of equity | | 1,126 | 0 | 72 | 0 | | accounted investees | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Profit before corporate | | 64,042 | 160,030 | 4,093 | 10,228 | | income tax | | | | | | -------------------------------------------------------------------------------- | Corporate income tax | | -28,508 | -23,652 | -1,822 | -1,512 | -------------------------------------------------------------------------------- | Net profit for period | | 35,534 | 136,378 | 2,271 | 8,716 | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Net profit attributable to | | 18,103 | 112,824 | 1,157 | 7,211 | | parent company | | | | | | -------------------------------------------------------------------------------- | Net profit attributable to | | 17,431 | 23,554 | 1,114 | 1,505 | | minority shareholders | | | | | | -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- | Earnings per share | | | | | | -------------------------------------------------------------------------------- | Basic earnings per share | | 0.45 | 2.97 | 0.03 | 0.19 | | (EEK/EUR) | | | | | | -------------------------------------------------------------------------------- | Diluted earnings per share | | 0.45 | 2.97 | 0.03 | 0.19 | | (EEK/EUR) | | | | | | --------------------------------------------------------------------------------