Glaston has released its 2016 half year figures.
Following is the company’s overview of this half year report’s comparison year figures refer to Continuing Operations. Full results and analysis are available on its website.
April – June 2016
– Orders received totalled EUR 28.6 (32.5) million.
– Net sales totalled EUR 22.1 (30.1) million.
– Comparable EBITDA was EUR 0.2 (2.6) million.
– The operating result was a loss of EUR 0.6 (2.5 profit) million, i.e. -2.7 (8.2)% of net sales.
– The comparable operating result was a loss of EUR 0.4 (1.7 profit) million, i.e. -1.9 (5.8)% of net sales.
January – June 2016
– Orders received totalled EUR 53.7 (55.0) million.
– The order book on 30 June 2016 was EUR 40.9 (56.0) million.
– Net sales totalled EUR 51.5 (56.5) million.
– Comparable EBITDA was EUR 1.6 (4.7) million, i.e. 3.1 (8.3)% of net sales.
– The operating profit was EUR 0.1 (4.9) million, i.e. 0.2 (8.7)% of net sales.
– The comparable operating profit was EUR 0.3 (3.0) million, i.e. 0.5 (5.3)% of net sales.
– Continuing Operations’ return on capital employed (ROCE) was 0.7 (20.2)%.
– Continuing Operations’ earnings per share were EUR -0.00 (0.01).
– Interest-bearing net liabilities amounted to EUR 11.4 (6.1) million.
President & CEO Arto Metsänen said “Glaston’s markets remained quiet in the second quarter of the year and the operating environment continued to be challenging.Our April–June net sales declined from the previous year and totalled EUR 22.1 (30.1) million.The decline in net sales was due primarily to weaker machine sales in the EMEA area.In the Americas area, net sales were at a good level. In the Asian market, the positive development of net sales that began in the first quarter continued.
Orders received in the second quarter totalled EUR 28.6 million and grew by 14.4% compared with the first quarter.Despite this, the order intake for the first half of the year, a total of EUR 53.7 (55.0) million, was not at the targeted level.
Glaston’s comparable operating result for April–June was a loss of EUR -0.4 (1.7 profit) million.The result was affected in particular by lower than expected net sales.Enhanced cost-saving measures will take effect and balances the impact of the lower net sales.
The glass processing market will continue to be challenging during the latter part of the year. We will purposefully continue our measures to adjust costs to the market situation. In Finland, we will initiate consultations with personnel on the possible need for lay-offs and job reductions. The consultations will cover all Glaston personnel in Finland.”
OUTLOOK
Glaston expects 2016 net sales to be approximately EUR 105 – 110 million and the comparable operating profit to be approximately EUR 2 – 4 million.(In 2015 net sales were EUR 123.4 million and comparable operating profit was EUR 6.1 million).
The stock exchange release is also available on the company’s website at the address www.glaston.net.