The company's financial results for the first 9 months of 2007/2008 were aligned with Management's commitments. It should be noted here, that the positive results are mainly due to the performance of the existing network, since the new stores' sales, which were integrated during the above period, have not yet matured.
More particularly, the consolidated Turnover of Electroniki at the end of the nine-month period amounted to EUR 172.8 mil., compared to EUR 135.5 mil. during the same period last year, presenting a significant increase of 27.5%. During the same period, consolidated gross profits amounted to EUR 43.1 mil., compared to EUR 34.3 mil. at the same period last year, experiencing thus a 25.7% increase.
During the examined period, the EBITDA were?at a consolidated level- at EUR 13.9 mil. instead of EUR 12.1 mil., which means that they experienced a 14.9% increase.
The company's EBT presented a 4.8% decrease compared to the same nine-month period of the previous year, reaching EUR 7.9 mil. compared to EUR 8.3 mil. Finally, the EATAM amounted to EUR 5.64 mil., compared to last year?s EUR 5.5 mil., thus increasing by 1.8%.
So far the company has no indication of a consumer consumption lag, but if the global recession continues for an extended time period, it is possible that there will be an impact on consumer demand. As a result, ELECTRONIKI maintains a conservative approach regarding the evolution of the market in 2009. However, the company proceeds in reviewing its guidance for the annual consolidated 2007/2008 results.
More specifically, regarding the 2007/2008 full year results, the Group's sales -having consolidated the 'Sarafidis S.A.' on a full year basis- are expected to amount to EUR 235 mil. compared to EUR 181 mil. the previous fiscal year ; thus a 30% increase is anticipated, whereas the EBITDA is expected to reach EUR 18.9 mil. compared to EUR 16.8 mil. the previous year of accounts, which means that the Group anticipates a 12.5% increase. Finally, the ΕΑΤΑΜ are anticipated to reach EUR 7.5 mil. compared to last year's EUR 7.4 mil., thus the anticipated increase amounts to 1.6%.
The main reasons that led to reviewing the guidance for the 2007/2008 full year consolidated results are the following:
v Sales irregularities during March and May (strikes, power cuts, etc.).
v Total capital expenditure for the corporate rebranding, which will affect the results of the last quarter of the full year results as an extraordinary cost.