OREANDA-NEWS. May 12, 2012. The financial indicators of the Group in the accounting year demonstrated significant improvements. Sales revenue increased by 23.8%, gross profit by 35.3% and operating profit 2.3 times, reported the press-centre of HARJU ELEKTER.    

In Q1 2012, the sales revenue of the Group increased by 23.8% up to 11.67 million euros, of which 47.7% (Q1 2011: 44.4%) accounted from the Finnish market, 36.2% (Q1 2011: 35.6%) Estonian, 10.7 % (Q1 2011: 9.3 %) Other EU countries and 5.4% (Q1 2011: 10.7%) sales outside EU. 63.8% (Q1 2011: 64.4%) of the Group’s products and services sold outside Estonia.

In the first quarter, expenses of the operating activities increased by 21.9% to 11.29 million euros, which was by 1.9 percentage points lower than the growth rate of sales revenue; at the same time, cost of sales increased by 21.8%, distribution costs by 29.3% and admin costs by 18%.

In the first quarter, there was an average of 435 (Q1 2011:418) people working in the Group, of which 275 (265) in Estonia, 69 (68) in Lithuania, 89 (84) in Finland and 2 (1) in Sweden. As at the balance day on 31 March, there were 464 people working in the Group, which were 7 employees more than on the beginning of the year and 27 employees more than a year before. Expenses on staff in Q1 2012 were 2,904 (Q1 2011: 2,353) thousand euros and employee wages and salaries totalled 2,280 (Q1 2011: 1,843) thousand euros in the reporting quarter. The average wages per employee per month was 1,746 (Q1 2011: 1,472) euros.

The depreciation of fixed assets accounted for a total of 360,000 (Q1 2011: 339,000) euros in operational expenditures.

Operating profit of Q1 2012 was 375,000 (Q1 2011:160,000) euros and EBITDA was 735,000 (Q1 2011: 499,000) euros. Return of sales for the period was 3.2%, which was 1.5 per cent point better compared to the same period last year and return of sales before depreciation was 6.3%, improving by 1 per cent point comparing to the Q1 2011.

In Q1 2012 the Group consolidated from the related company a profit of 79,000 (Q1 2011: 30,000) euros. At the same time, 15.4 thousand shares of PKC Group Oyj were sold in the reporting quarter and financial income from selling the shares was 175,000 euros. During the comparable period, there was no income earned from the other financial investments.

Overall, the consolidated net profit of the Q1 2012 was 592 (Q1 2011: 164) thousand euros, of which the share of the owners of the parent company was 580 (Q1 2011: 182) thousand euros. In Q1 EPS were 0.03 (Q1 2011: 0.01) euros.

The amount of the consolidated balance sheet as of 31 March 2012 was 61.24 million euros, increasing by 8.32 million euros during the reporting quarter. The main reason for the increase in assets was the rise in the market price of PKC Group Oyj shares. The price of the share increased in three months by 5.76 euros to 17.19 euros. The cost of investment in assets and reserves in equity capital increased by the profit of 7.98 million euros received from stock revaluation. During the accounting quarter the Group investments to real estate, tangible fixed assets and intangible fixed assets totalling 140 (Q1 2011: 440) thousand euros.

During the first quarter, short-term liabilities were reduced by 1.33 (Q1 2011: 0.13) million euros to 0.71 million euros and 82,000 (Q1 2011: 70,000) euros worth of principal amounts of the financial lease were repaid. As at 31.03.2012, the Group had a total of interest-bearing debt obligations of 2.5 million (31.03.2011: 3.15 million) euros.

During the first three months, cash and cash equivalents increased by 0.41 million euros to 1.22 million euros; within the comparable period cash and its equivalents decreased by 0.23 million euros to 2.17 million euros.