OREANDA-NEWS. May 05, 2008. JSC SITRONICS ("Sitronics" or the "Group") (LSE: SITR), a leading provider of telecommunications, information technology and microelectronic solutions in Russia and the CIS, with a growing presence in other EEMEA emerging markets, announced its unaudited consolidated US GAAP financial results for the fourth quarter and twelve months ended December 31, 2007, reported the press-centre of Sitronics.
 
FULL YEAR HIGHLIGHTS
Consolidated revenues of US\\$ 1,62 billion (US\\$ 1,61 billion in 2006)

Adjusted OIBDA* loss of US\\$ 70,8 million (profit of US\\$ 172,3 million in 2006)

Net loss of US\\$ 233,9 million (profit of US\\$ 61,3 million in 2006)

Net cash provided by operating activities increased by US\\$ 147,1 million to US\\$1,6million (net cash used of US\\$ 145,5 million in 2006)

Total assets up 15% year on year to US\\$ 1,9 billion (US\\$ 1,6 billion in 2006)
 
FOURTH QUARTER HIGHLIGHTS
 
Consolidated revenues up 60,8% quarter on quarter and 7,9% year on year to US\\$ 605,0 million

Adjusted OIBDA of US\\$ 15,3 million compared to adjusted OIBDA loss of US\\$ 47,6 million in the third quarter and OIBDA of US\\$ 57,5 million in the fourth quarter of 2006

Net loss of US\\$ 46,1 million, compared to net loss of US\\$ 108,0 million in the third quarter and net profit of US\\$ 24,3 million in the fourth quarter of 2006
 
Sergey Aslanian, President of SITRONICS, commented: "We have delivered on the commitments made in our third quarter results by outperforming our revenue guidance with  a 61% sequential quarter on quarter growth in our revenues, and by delivering  adjusted OIBDA of US\\$ 15.3 million in the fourth quarter.  Furthermore we delivered net cash from our operating activities and our focus on working capital management enabled us to significantly reduce our net debt at the end of the year.  These developments demonstrate a substantial improvement in our operating results. This is the result of the efforts of our new management team, and we expect to see further improvements in 2008.
 
"2007 was a challenging year for SITRONICS, as we faced rapidly changing market conditions in the second half of the year in several of our core business segments. We introduced a new business strategy in the fourth quarter, with the objective of combining a group of leading companies into a single vertically integrated high-tech Group. We are optimizing our existing product portfolio in all business divisions, in order to focus on fast-growing high margin product segments.

We have now signed over US\\$ 300 million of new business on top of the US\\$ 150 million of new business that we announced at the time of our third quarter results in December. We are excited about the new opportunities we see in the telecommunications and IT markets in the Middle East, Africa, South-East Asia and India, as well as the partnerships that we have established with а leading Chinese electronics manufacturer. Our goal is to create end-to-end customer solutions and make full use of the synergies between our business divisions.

We expect to see a continued improvement in our ability to deliver high-margin technological solutions over the coming years. We have established achievable goals and the means of measuring our progress towards them. We are focused on delivering on our strategy and executing on our performance targets in 2008."