STOCK EXCHANGE RELEASE HUHTAMÄKI OYJ 23.4.2009 AT 8:30
- Group net sales dampened by economic downturn and customer
cautiousness
- Earnings improved due to successful cost containment, better
operational control as well as price and mix management
- Free cash flow continued strong, debt reduced further
- Full year sales outlook remains uncertain and pressure on margins
is expected to increase during the course of the year
Key figures
EUR million Q1 2009 Q1 2008
Net sales 506.6 548.6
EBIT 35.0 20.0
EBIT margin % 6.9 3.6
EPS 0.18 0.09
ROI % (12m roll.) -3.9 0.8
Overview
The demand for consumer packaging was characterized by uncertainty
and customer cautiousness in the beginning of the year. Although
majority of the Group's segments are considered to be of a defensive
nature with mainly food and personal care related packaging products,
sales were not immune to the economic downturn. Sales suffered
severely in Films Global segment with industrial applications.
Operating earnings for the reporting period were well above the
corresponding period in 2008 in spite of lower sales. Earnings
improved due to successful cost containment, better operational
control as well as price and mix management. Cost containment was
aided by lower raw material prices and significant headcount
reduction with approximately 900 employees less than a year ago.
Profitability improved markedly in North America, Rigid Consumer
Goods Plastics and Flexibles Global segments.Cash flow generation was good and further reduction of net debt was
achieved. On a rolling 12 month basis, return on investment (ROI) was
still negative reflecting significant non-recurring charges in 2008.
Business review by segment
The new segment structure for financial reporting was adopted as of
January 1, 2009. The sales distribution by segment is the following:
Flexibles Global 24% (23%), Films Global 8% (9%), North America 25%
(21%), Rough Molded Fiber Global 10% (10%), Foodservice
Europe-Asia-Oceania 19% (19%) and Rigid Consumer Goods Plastics 14%
(17%).
Flexibles Global
Flexibles business is organized as a global segment. Flexibles are
used for consumer packaging of a wide range and variety of food,
personal and health care and other products.
EUR million Q1 2009 Q1 2008
Net sales 120.2 128.8
EBIT 8.8 6.2
EBIT margin % 7.3 4.8
RONA % (12m roll.) 0.4 5.5
Sales within the segment declined during the reporting period. In
Europe sales were negatively affected by weak demand in certain
market segments such as pet food packaging and tube laminate. In
Asia-Oceania sales were at the level of the corresponding period in
2008 but the development by market was mixed.
Improved profitability reflects lower costs and better operational
control achieved especially in smaller units.
The discontinuation of the loss-making flexible packaging operations
in Malvern, USA, will be finalized by the end of the first half of
2009.
Films Global
Films business is organized as a global segment. Films are mainly
used for technical applications in the label, adhesive tape, hygiene
and health care industries, as well as building and construction,
automotive, packaging and graphic arts industries.
EUR million Q1 2009 Q1 2008
Net sales 41.3 53.1
EBIT 0.5 0.5
EBIT margin % 1.2 0.9
RONA % (12m roll.) 5.7 6.8
Sales within the segment suffered from weak demand of industrial
applications. The consumer related products were more resilient to
the economic downturn.
Despite the volume shortfall profitability remained at the level of
the corresponding period in 2008 due to cost reduction efforts and
better operational control.
During the reporting period the release paper business with annual
net sales of EUR 30 million in Forchheim, Germany was sold to B.
Laufenberg GmbH. The business will be gradually transferred to the
buyer by the end of the first quarter 2010. Following the divestment
and further focus on release films, a social plan discussion with the
works council concerning approximately 100 permanent employees has
been started.
North America
The segment includes the Rigid and Molded Fiber business in North
America and Mexico. Rigid paper and plastic packaging, which serves
ice-cream and other consumer goods as well as foodservice markets, is
completed with Molded Fiber Chinet® disposable tableware products.
EUR million Q1 2009 Q1 2008
Net sales 129.1 114.1
EBIT 14.5 7.3
EBIT margin % 11.2 6.4
RONA % (12m roll.) 10.7 8.7
Sales in constant currencies were at the level of the corresponding
period in 2008. Retail, Frozen desserts and Foodservice distribution
as well as Mexico showed growth. Sales development in other market
segments was weak, partially as a result of product portfolio
optimization.
The clear improvement in profitability reflects strong market
positions, better mix and lower costs. Also, currency translation
impact was favorable.
The closure of the rigid plastics site in Phoenix, USA, is ongoing
with completion expected by the end of the first half of 2009.
Rough Molded Fiber Global
The segment includes the Rough Molded Fiber business in Europe,
Oceania, Africa and South America. Rough molded fiber is used to make
fresh product packaging, such as egg and fruit packaging.
EUR million Q1 2009 Q1 2008
Net sales 48.3 54.7
EBIT 3.8 3.1
EBIT margin % 7.9 5.7
RONA % (12m roll.) 5.3 8.1
Sales growth was achieved in constant currencies and excluding
ancillary operations. Demand for egg packaging was good ahead of the
seasonally important Easter period. Regionally, performance in South
America and Africa was favorable.
Profitability was stable reflecting lower costs offset by adverse
currency impact and volume shortfall in ancillary operations, which
include the machine and waste paper trade businesses.
Foodservice Europe-Asia-Oceania
Foodservice paper and plastic disposable tableware is supplied to
foodservice operators and fast food restaurants.
EUR million Q1 2009 Q1 2008
Net sales 104.5 115.0
EBIT 2.4 2.4
EBIT margin % 2.3 2.1
RONA % (12m roll.) -0.6 0.3
Reported net sales declined mainly due to adverse currency
translation impact. Sales growth has slowed down in Eastern Europe.
Sales in Asia were below the level of the corresponding period in
2008, while growing in Oceania.
Profitability was stable reflecting lower costs, better operational
control in Asia as well as price and mix management offset by adverse
currency impact.
During the reporting period it was decided to optimize the rigid
packaging production in Asia and to close down the production unit in
Balakong, Malaysia. The Group's new facility in Guangzhou, China,
will continue to serve Foodservice customers in Southeast Asia. The
restructuring process at the Balakong facility will impact
approximately 70 employees. The closure of the site is expected by
the end of the third quarter 2009.
Rigid Consumer Goods Plastics
The segment includes the Rigid Consumer Goods Plastics business in
Europe, Oceania and South America. Rigid plastic packaging serves the
consumer goods markets with fresh food, dairy, ice cream and edible
fats packaging.
EUR million Q1 2009 Q1 2008
Net sales 77.7 100.8
EBIT 5.7 0.5
EBIT margin % 7.3 0.5
RONA % (12m roll.) -59.3 -21.1
Sales within the segment declined in most markets.
The clear improvement in profitability reflects better operational
control, lower costs and the elimination of the loss-making UK
business.
A strategic review of the operations is ongoing.
Financial review
The Group EBIT for the reporting period was EUR 35 million (EUR 20
million), corresponding to an EBIT margin of 6.9% (3.6%).
The net financial items were unchanged at EUR -9 million. Tax expense
was EUR 5 million (EUR 2 million).
The result for the period was EUR 21 million (EUR 9 million) and the
earnings per share (EPS) were EUR 0.18 (EUR 0.09). The average number
of outstanding shares used in the EPS calculations was 100,426,461
(unchanged) excluding 5,061,089 (unchanged) of the Company's own
shares.
Balance sheet and cash flow
Free cash flow for the reporting period amounted to EUR 37 million
(EUR -12 million). The strong improvement was due to higher earnings,
lower capital expenditure and prudent working capital management.
North America and Flexibles Global segments were most successful in
generating cash flow. Capital expenditure was EUR 8 million (EUR 14
million).
Net debt was EUR 561 million (EUR 741 million) at the end of March
2009. This corresponds to a gearing ratio of 0.77 (1.01). Total
assets on the balance sheet were EUR 1,930 million (EUR 2,160
million).
Personnel
The Group had 14,294 (15,198) employees at the end of March 2009.
Resolutions of Huhtamäki Oyj's Annual General Meeting of Shareholders
Huhtamäki Oyj's Annual General Meeting of Shareholders (AGM) was held
in Helsinki on April 3, 2009. The meeting adopted the Company's
Annual Accounts and the Consolidated Annual Accounts for 2008 and
discharged the members of the Company's Board of Directors and the
CEO from liability. As proposed by the Board of Directors dividend
for 2008 was set at EUR 0.34 per share compared with EUR 0.42 paid
for the previous year. The AGM granted the Board of Directors an
authorization to resolve upon conveyance of the Company's own shares.
The authorization is valid until April 30, 2012.
Eight members of the Board of Directors were elected for a term which
lasts until the end of the AGM following the election. To the Board
of Directors were re-elected Ms. Eija Ailasmaa, Mr. George V. Bayly,
Mr. Rolf Börjesson, Mr. Robertus van Gestel, Mr. Mikael Lilius, Mr.
Anthony J.B. Simon and Mr. Jukka Suominen. Ms. Siaou-Sze Lien was
elected as a new member to the Board of Directors. The Board of
Directors elected Mikael Lilius as Chairman of the Board and Jukka
Suominen as Vice-Chairman of the Board. In addition, the Board of
Directors resolved upon members of its committees for a term which
lasts until the end of the AGM following the election.
Short-term risks and uncertainties
Volatile raw material and energy prices as well as movements in
currency translations are considered to be relevant short-term
business risks and uncertainties in the Group's operations. Material
changes in general economic conditions or in the financial markets
could have an adverse effect on the implementation of the Group's
strategy and on its business performance and earnings.
Outlook for 2009
Full year sales outlook remains uncertain and pressure on margins is
expected to increase during the course of the year.
In the short-term, price and mix management, supply chain
initiatives, control over costs and capital spending, positive cash
flow generation and net debt reduction continue as key focus areas
within the Group. Capital expenditure in 2009 is expected to be below
EUR 100 million.
Financial reporting in 2009
Huhtamaki will publish the interim report for January 1 - June 30,
2009 on July 23.
Espoo, April 22, 2009
Huhtamäki Oyj's Board of Directors
For further information, please contact:
Mr. Jukka Moisio, CEO, tel. +358-10-686 7801
Mr. Timo Salonen, CFO, tel. +358-10-686 7880
Ms. Kia Aejmelaeus, Head of Investor Relations, tel. +358-10-686 7819
or mobile +358-40-765 4616
Ms. Minna Staffans, Head of Group Communications, tel. +358-10-686
7863
A news conference for analysts and media will be held at 11:00
Finnish time at the head office, address Keilaranta 10, Espoo,
Finland. CEO Jukka Moisio and CFO Timo Salonen will present the
results, after which a buffet lunch is served. A conference call for
analysts and investors will start at 14:00 Finnish / 12:00 UK / 07:00
New York time with a management presentation, followed by a question
and answer session. To participate, please dial one of the following
numbers 5-10 minutes prior to the call start:
- Number for participants from Finland: 0923 114 173
- Number for participants outside of Finland: +44 (0) 1452 555 566
- Conference ID: 94581702
All results materials will be available at www.huhtamaki.com. The
results presentation slides will be online approximately at 11:00
Finnish time. A replay of the conference call in the form of an audio
webcast will be available during the same evening.
Huhtamäki Oyj
January 1 - March 31, 2009
Group income statement (IFRS)
Unaudited
Q1 Q1 Q1-Q4
EUR million 2009 2008 2008
Net sales 506.6 548.6 2,260.0
Cost of goods sold -420.2 -474.9 -2,043.2
Gross profit 86.4 73.7 216.8
Other operating income 3.6 3.7 21.6
Sales and marketing -17.8 -19.8 -84.8
Research and
development -4.0 -4.3 -16.2
Administration costs -30.1 -29.2 -117.2
Other operating expenses -3.1 -4.1 -94.7
-51.4 -53.7 -291.3
Earnings before
interest and taxes 35.0 20.0 -74.5
Financial income 3.3 4.0 10.0
Financial expenses -12.3 -12.6 -55.7
Income of
associated companies 0.2 0.1 0.5
Result before taxes 26.2 11.5 -119.7
Income taxes -5.2 -2.1 9.5
Result for the period 21.0 9.4 -110.2
Attributable to:
Equity holders of the
parent company 20.4 8.7 -111.9
Minority interest 0.6 0.7 1.7
Basic earnings per share
(EUR) for the shareholders
of parent company 0.18 0.09 -1.12
Diluted earnings per share
(EUR) for the shareholders
of parent company 0.18 0.09 -1.12
Group statement of comprehensive income (IFRS)
Q1 Q1 Q1-Q4
EUR million 2009 2008 2008
Result for the period 21.0 9.4 -110.2
Other comprehensive income:
Translation differences 10.4 -24.4 -9.5
Fair value and
other reserves -3.1 -2.7 -9.0
Income tax related
to components of
other comprehensive income 0.7 0.6 2.7
Other comprehensive income,
net of tax 8.0 -26.5 -15.8
Total comprehensive
income 29.0 -17.1 -126.0
Attributable to:
Equity holders of
the parent company 28.3 -17.9 -127.7
Minority interest 0.7 0.8 1.7
Group statement of financial position (IFRS)
Unaudited
Mar 31 Dec 31 Mar 31
EUR million 2009 2008 2008
ASSETS
Non-current assets
Goodwill 406.0 402.4 465.7
Other intangible
assets 35.0 34.5 41.2
Tangible assets 672.9 676.3 760.6
Investments in
associated companies 2.2 1.9 1.4
Available for sale
investments 1.9 1.9 1.9
Interest bearing
receivables 0.1 0.1 0.4
Deferred tax
assets 14.6 15.1 15.8
Employee benefit
assets 64.7 62.5 55.5
Other non-current
assets 4.3 3.7 3.7
1,201.7 1,198.4 1,346.2
Current assets
Inventory 299.4 296.7 359.1
Interest bearing
receivables 0.6 2.1 2.9
Current tax
assets 7.8 9.4 12.3
Trade and other
current receivables 356.9 377.9 399.4
Cash and cash
equivalents 63.3 67.8 40.5
728.0 753.9 814.2
Total assets 1,929.7 1,952.3 2,160.4
EQUITY AND LIABILITIES
Share capital 358.7 358.7 358.7
Premium fund 104.7 104.7 104.7
Treasury shares -46.5 -46.5 -46.5
Translation differencies -120.2 -130.5 -145.6
Fair value and
other reserves -7.3 -5.0 -0.7
Retained earnings 347.1 327.5 445.6
Total equity attributable
to equity holders of
the parent company 636.5 608.9 716.2
Minority interest 19.0 18.4 19.4
Hybrid bond 75.0 75.0 -
Total equity 730.5 702.3 735.6
Non-current liabilities
Interest bearing
liabilities 471.4 474.7 383.9
Deferred tax
liabilities 32.5 29.8 38.1
Employee benefit
liabilities 105.0 103.8 105.4
Provisions 58.3 58.4 57.6
Other non-current
liabilities 8.3 6.5 4.3
675.5 673.2 589.3
Current liabilities
Interest bearing
liabilities
- Current portion of
long term loans 26.9 25.2 22.2
- Short term loans 127.1 157.3 378.5
Provisions 7.7 10.1 6.6
Current tax
liabilities 7.5 9.8 17.6
Trade and other
current liabilities 354.5 374.4 410.6
523.7 576.8 835.5
Total liabilities 1,199.2 1,250.0 1,424.8
Total equity and
liabilities 1,929.7 1,952.3 2,160.4
Mar 31 Dec 31 Mar 31
2009 2008 2008
Net debt 561.4 587.2 740.8
Net debt to
equity (gearing) 0.77 0.84 1.01
Statement of changes in equity
Unaudited
Attributable to equity holders Mino- Hybrid To-
of the parent company rity tal
EUR million Share Sha Trea- Trans- Fair Retai- Total inte- bond equity capi- re sury lation value ned rest
tal issue sha- diff. and earn-
pre- res other ings
mium reser-
ves
Balance at 358.7 104.7 -46.5 -121.1 1.4 475.7 772.9 20.5 - 793.4
Dec 31, 2007
Dividend -42.2 -42.2 -42.2
Share-based 0.4 0.4 0.4
payments
Total -24.5 -2.1 8.7 -17.9 0.8 -17.1
comprehensive
income for
the year
Other changes 3.0 3.0 -1.9 1.1
Balance at 358.7 104.7 -46.5 -145.6 -0.7 445.6 716.2 19.4 - 735.6
Mar 31, 2008
Balance at 358.7 104.7 -46.5 -130.5 -5.0 327.5 608.9 18.4 75.0 702.3
Dec 31, 2008
Dividend - - -
Share-based 0.5 0.5 0.5
payments
Total 10.3 -2.3 20.3 28.3 0.7 29.0
comprehensive
income for
the year
Other changes -1.2 -1.2 -0.1 -1.3
Balance at 358.7 104.7 -46.5 -120.2 -7.3 347.1 636.5 19.0 75.0 730.5
Mar 31, 2009
Group cash flow statement (IFRS)
Unaudited
Q1 Q1 Q1-Q4
EUR million 2009 2008 2008
Result for
the period* 21.0 9.4 -110.2
Adjustments* 31.8 30.9 280.0
- Depreciation, amortization
and impairment* 21.7 23.1 245.9
- Gain on equity of
minorities* -0.2 -0.1 -0.5
- Gain/loss from disposal
of assets* -0.5 - -4.3
- Financial expense/
-income* 8.9 8.6 45.7
- Income tax expense* 5.2 2.0 -9.5
- Other adjustments,
operational* -3.3 -2.7 2.7
Change in inventory* 2.6 -22.0 38.2
Change in non-interest
bearing receivables* 19.2 -8.3 8.2
Change in non-interest
bearing payables* -22.0 -0.1 2.8
Dividends received* 0.1 0.1 0.5
Interest received* 0.4 0.8 1.7
Interest paid* -8.8 -10.0 -43.2
Other financial expense
and income* -0.1 2.0 -2.1
Taxes paid* -2.1 -1.5 -5.0
Net cash flows from
operating activities 42.1 1.3 170.9
Capital expenditure* -8.0 -13.5 -74.3
Proceeds from selling
fixed assets* 3.0 0.2 7.1
Proceeds from
long-term deposits 0.4 0.9 3.3
Payment of long-term
deposits -0.4 -0.3 -2.5
Proceeds from
short-term deposits 2.4 4.5 33.4
Payment of short-term
deposits -0.7 -2.9 -31.4
Net cash flows from
investing -3.3 -11.1 -64.4
Proceeds from
long-term borrowings 179.8 128.6 489.3
Repayment of
long-term borrowings -184.4 -143.5 -415.9
Proceeds from
short-term borrowings 64.3 849.1 2,446.3
Repayment of
short-term borrowings -104.7 -813.8 -2,620.5
Dividends paid - - -42.2
Hybrid bond - - 75.0
Net cash flows
from financing -45.0 20.4 -68.0
Change in liquid
assets -4.5 9.7 37.0
Cash flow based -6.2 10.6 38.5
Translation difference 1.7 -0.9 -1.5
Liquid assets
period start 67.8 30.8 30.8
Liquid assets
period end 63.3 40.5 67.8
Free cash flow (including
figures marked with *) 37.1 -12.0 103.7
NOTES FOR THE INTERIM REPORT
Except for accounting policy changes listed below, the same
accounting policies have been applied in the interim financial
statements as in annual financial statements for 2008.
Changes in accounting principles
The Group has adopted the following IFRS standards and
interpretations considered applicable to Huhtamaki, with effect from
January 1, 2009:
- IAS 23 Borrowing cost. The amendment requires capitalization of
borrowing costs directly attributable to the acquisition,
construction or production of a qualifying asset as part of the cost
of asset.
- IAS 1 Presentation of Financial Statements -amendment. Amended
standard has changed the presentation of income statement and
statement of changes in shareholders' equity.
- IFRIC 13 Customer Loyalty Programmes. The interpretation addresses
the accounting by entities that operate customer loyalty programmes
with their customers.
These newly adopted standards have not had impact on the reported
results.
Segments
Segment information is presented according to the IFRS standards.
Items below EBIT - financial items and taxes - are not allocated to
the segments.
Net sales
Q1 Q4 Q3 Q2 Q1 Q1-Q4
EUR million 2009 2008 2008 2008 2008 2008
Flexibles Global 119.7 117.9 123.9 124.7 127.8 494.3
- Intersegment
net sales 0.6 -0.8 1.4 1.7 1.0 3.3
Films Global 40.0 40.9 50.8 51.6 50.5 193.8
- Intersegment
net sales 1.2 1.0 1.5 1.8 2.6 6.9
North America 128.1 148.5 132.4 137.6 113.3 531.8
- Intersegment
net sales 1.0 1.4 1.0 1.0 0.8 4.2
Rough Molded
Fiber Global 48.3 51.5 53.1 54.1 54.7 213.4
- Intersegment
net sales 0.0 0.2 0.3 0.1 0.0 0.6
Foodservice Europe-
Asia-Oceania 97.1 107.0 118.7 124.6 106.4 456.7
- Intersegment
net sales 7.4 7.9 8.1 8.2 8.6 32.8
Rigid Consumer
Goods Plastics 73.4 83.0 93.2 97.9 95.9 370.0
- Intersegment
net sales 4.3 3.8 4.7 6.4 4.9 19.8
Elimination of
intersegment net sales 14.5 13.5 17.0 19.2 17.9 67.6
Total 506.6 548.8 572.1 590.5 548.6 2,260.0
EBIT
Q1 Q4 Q3 Q2 Q1 Q1-Q4
EUR million 2009 2008 2008 2008 2008 2008
Flexibles Global (1 8.8 -16.6 3.9 5.5 6.2 -1.0
Films Global 0.5 0.1 3.7 3.6 0.5 7.9
North America (2 14.5 1.2 10.5 14.4 7.3 33.4
Rough Molded
Fiber Global (3 3.8 -1.4 3.7 3.0 3.1 8.4
Foodservice Europe-
Asia-Oceania (4 2.4 -15.2 5.9 5.3 2.4 -1.6
Rigid Consumer
Goods Plastics (5 5.7 -117.7 -1.4 -4.8 0.5 -123.4
Other activities -0.7 1.9 -0.1 0.0 0.0 1.8
Total (6 35.0 -147.7 26.2 27.0 20.0 -74.5
1) Q4 2008 includes includes restructuring charges MEUR 1.7, goodwill
impairment charges MEUR 7.4 and tangible asset impairment charges
MEUR 8.8.
2) Q4 2008 includes restructuring charges MEUR 2.0 and tangible asset
impairment charges MEUR 3.2.
3) Q4 2008 includes goodwill impairment charges MEUR 3.7.
4) Q4 2008 includes restructuring charges MEUR 3.3, goodwill
impairment charges MEUR 7.1 and tangible asset impairment charges
MEUR 4.1.
5) Q4 2008 includes restructuring charges MEUR 2.3, goodwill
impairment charges MEUR 54.1 and tangible asset impairment charges
MEUR 60.9, Q3 2008 includes restructuring charges MEUR 0.1, Q2 2008
includes restructuring charges MEUR 6.8.
6) Q4 2008 includes restructuring charges MEUR 9.3, goodwill
impairment charges MEUR 72.3 and tangible asset impairment charges
MEUR 77.0, Q3 2008 includes restructuring charges MEUR 0.1, Q2 2008
includes restructuring charges MEUR 6.8, total amount MEUR 165.5.
Depreciation and amortization
Q1 Q4 Q3 Q2 Q1 Q1-Q4
EUR million 2009 2008 2008 2008 2008 2008
Flexibles Global 4.5 5.2 5.1 4.5 4.5 19.3
Films Global 1.6 1.1 1.7 1.6 1.4 5.8
North America 5.3 5.2 4.3 4.3 4.3 18.1
Rough Molded
Fiber Global 2.7 2.7 2.8 2.9 3.0 11.4
Foodservice Europe-
Asia-Oceania 4.8 5.5 7.6 5.2 5.2 23.5
Rigid Consumer
Goods Plastics 2.4 3.9 4.4 4.4 4.5 17.2
Other activities 0.2 0.6 0.3 0.2 0.2 1.3
Total 21.5 24.2 26.2 23.1 23.1 96.6
Net assets allocated to the segments (7
Q1 Q4 Q3 Q2 Q1
EUR million 2009 2008 2008 2008 2008
Flexibles Global 342.2 359.7 389.2 373.1 381.4
Films Global 135.8 133.1 146.2 140.8 145.3
North America 393.9 379.2 390.2 358.9 370.0
Rough Molded
Fiber Global 170.4 164.1 177.6 180.2 182.6
Foodservice Europe-
Asia-Oceania 241.7 244.2 284.0 286.0 293.6
Rigid Consumer
Goods Plastics 137.3 129.7 262.0 267.7 276.3
7) Net assets include the following balance sheet items: intangible
and tangible assets, other non-current assets, inventories, trade and
other current receivables (excluding accrued interest income), other
non-current liabilities and trade and other current liabilities
(excluding accrued interest expense).
Capital expenditure
Q1 Q4 Q3 Q2 Q1 Q1-Q4
EUR million 2009 2008 2008 2008 2008 2008
Flexibles Global 2.1 4.9 3.0 8.6 4.7 21.2
Films Global 0.2 0.5 0.8 1.0 2.1 4.4
North America 1.0 5.9 4.0 2.6 1.3 13.8
Rough Molded
Fiber Global 1.6 4.8 3.1 1.0 0.8 9.7
Foodservice Europe-
Asia-Oceania 2.3 6.3 4.2 3.2 3.2 16.9
Rigid Consumer
Goods Plastics 0.8 4.1 1.3 1.4 0.7 7.5
Other activities 0.0 0.1 0.0 0.0 0.7 0.8
Total 8.0 26.6 16.4 17.8 13.5 74.3
RONA, % (12m roll.)
Q1 Q4 Q3 Q2 Q1
2009 2008 2008 2008 2008
Flexibles Global 0.4% -0.3% 3.7% 4.7% 5.5%
Films Global 5.7% 5.6% 5.9% 6.6% 6.8%
North America 10.7% 8.9% 7.8% 8.0% 8.7%
Rough Molded
Fiber Global 5.3% 4.8% 7.6% 7.6% 8.1%
Foodservice Europe-
Asia-Oceania -0.6% -0.6% 1.0% 0.3% 0.3%
Rigid Consumer
Goods Plastics -59.3% -52.8% -27.2% -24.2% -21.1%
Operating Cash Flow
Q1 Q4 Q3 Q2 Q1 Q1-Q4
EUR million 2009 2008 2008 2008 2008 2008
Flexibles Global 20.0 12.7 -3.2 6.7 4.6 20.8
Films Global 1.9 13.9 0.5 7.7 2.5 24.6
North America 14.5 16.5 6.7 23.1 -3.9 42.4
Rough Molded
Fiber Global -0.6 3.6 3.9 8.7 1.2 17.4
Foodservice Europe-
Asia-Oceania -2.1 3.6 7.6 14.5 1.3 27.0
Rigid Consumer
Goods Plastics 0.7 11.6 -1.2 19.9 5.5 35.8
As net sales and EBIT of reportable segments form Groups' total net
sales and EBIT, reconciliations to corresponding amounts are not
presented.
Other information
Q1 Q1 Q1-Q4
EUR million 2009 2008 2008
Equity per share (EUR) 7.09 7.13 6.81
ROE, % (12m roll.) -13.3 -4.3 -14.8
ROI, % (12m roll.) -3.9 0.8 -4.8
Personnel 14,294 15,198 14,644
Result before taxes
(12m roll.) -105.0 -31.3 -119.7
Depreciation 20.0 21.3 89.2
Amortization of other
intangible assets 1.5 1.8 7.4
Share capital and shareholders
At the end of March 2009, the Company's registered share capital was
EUR 358,657,670.00 (unchanged) corresponding to a total number of
outstanding shares of 105,487,550 (unchanged) including 5,061,089
(unchanged) Company's own shares. The Company's own shares had the
total accountable par value of EUR 17,207,702.60, representing 4.8%
of the total number of shares and voting rights.
The amount of outstanding shares net of Company's own shares was
100,426,461 (unchanged).
There were 22,186 (21,979) registered shareholders at the end of the
reporting period. Foreign ownership including nominee registered
shares accounted for 23.0% (22.5%).
Share developments
The Company's share is quoted on the NASDAQ OMX Helsinki Ltd on the
Nordic Mid Cap list under the Materials sector.
At the end of March 2009, the Company's market capitalization was EUR
540.1 million (EUR 715.2 million) and EUR 514.2 million (EUR 680.9
million) excluding Company's own shares. With a closing price of
EUR 5.12 (EUR 6.78) the share price increased by 16% (-17%) from the
beginning of the year, while the OMX Helsinki Cap PI Index decreased
by 13% (-11%) and the OMX Helsinki Materials PI Index decreased by
34% (-11%). During the reporting period the volume weighted average
price for the Company's share was EUR 5.32 (EUR 7.18). The highest
price paid was EUR 6.07 on February 16, 2009 and the lowest price
paid was EUR 4.46 on January 2, 2009.
During the reporting period the cumulative value of the Company's
share turnover was EUR 83.9 million (EUR 280.2 million). The trading
volume of 15.7 million (39.1 million) shares equaled an average daily
turnover of EUR 1.4 million (EUR 4.5 million) or, correspondingly
253,101 (631,175) shares.
In total, turnover of the Company's 2003 A, B and C as well as 2006 A
option rights was EUR 46,818 corresponding to a trading volume of
136,120.
Contingent liabilities
Mar 31 Dec 31 Mar 31
2009 2008 2008
EUR million
Mortgages 14.5 14.5 14.5
Guarantee obligations 2.7 2.9 2.1
Lease payments 49.5 49.8 52.9
Capital expenditure commitments 13.0 7.3 34.9
Nominal values of
derivative instruments
Mar 31 Dec 31 Mar 31
2009 2008 2008
EUR million
Currency forwards,
transaction risk hedges 55 49 53
Currency forwards,
translation risk hedges 24 34 64
Currency swaps,
financing hedges 97 105 144
Interest rate swaps 187 160 157
Interest rate options - 7 -
Electricity forwards - 6 -
The following EUR rates have been applied to GBP, INR, AUD and USD
Q1/09 Q1/08
Income statement, average: GBP 1 = 1.101 1.320
INR 1 = 0.015 0.017 AUD 1 = 0.509 0.605
USD 1 = 0.768 0.667
Q1/09 Q1/08
Balance sheet, month end: GBP 1 = 1.074 1.257
INR 1 = 0.015 0.016
AUD 1 = 0.520 0.577
USD 1 = 0.751 0.632
Definitions for key indicators
Earnings per share = Result before taxes - minority interest - hybrid
bond interest - taxes / Average number of shares outstanding
Earnings per share (diluted) = Diluted result before taxes - minority
interest - hybrid bond interest - taxes / Average fully diluted
number of shares outstanding
Net debt to equity (gearing) = Interest bearing net debt / Equity +
minority interest + hybrid bond (average)
RONA, % = 100 x Earnings before interest and taxes (12 m roll.) / Net
assets (12 m roll.)
Operating cash flow = Ebit + depreciation and amortization (including
impairment) - capital expenditures + disposals +/- change in
inventories, trade receivables and trade payables
Shareholders' equity per share = Equity / Issue-adjusted number of
shares at period end
Return on equity (ROE) = 100 x (Result for the period ) (12 m roll.)
/ Equity + minority interest + hybrid bond (average)
Return on investment (ROI) = 100 x (Result before taxes + interest
expenses + net other financial expenses) (12 m roll.) / Balance sheet
total - Interest-free liabilities (average)
Interim Report January 1 - March 31, 2009: Earnings well above the previous year in spite of lower sales
| Source: Huhtamäki Oyj
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