1st Quarter 2013 Financial Results of F.G. EUROPE S.A. Group
1st Quarter 2013 Financial Results of F.G. EUROPE S.A. Group
- Significant increase of sales - exports
- Increase of Parent Company's Profits
The significant increase in sales of the Parent Company both inGreeceand abroad, in conjunction with the decrease in Cost of Goods Sold, resulted in the tripling of Operating Profit and, at the end, the increase in Earnings before Tax by 13.86%.
Particularly, the sales in the internal market posted an increase of 30.27%, amounting to € 4.63m in the 1st Quarter of 2013 against € 3.55m of the respective sales in 2012.
The exports increased by 12.56%, representing, in the 1st Quarter, 77.35% of the sales of air conditioners and 73.72% of the Company's total sales, against 80.32% and 76.45% respectively in 2012.
The important increase in sales, in conjunction with the improvement of Gross Profit Margin (by 4.6 bp) resulted in the rise of Earnings before Tax of the Company from € 1.08m to € 1.23m, despite the increase in financial results during the period (cost of € 0.74m against income of € 0.55m in the corresponding period in 2012).
At the Parent Company level:
Company's total sales account for € 17.62m in the 1st Quarter of 2013, presenting an increase of 16.74% comparing to the company's total sales of the 1st Quarter of 2012 (€ 15.10m).
For the same period, sales of air conditioners account for € 16.80m, increased by 16.50% against € 14.42m in the previous corresponding period of 2012. The sales of air conditioners in the internal market amounted from € 2.87m in the 1st Quarter of 2012 to € 3.80m in the 1st Quarter of 2013, while exports amounted from € 11.54m to € 12.99m respectively.
Total Sales of Eskimo products in the internal market present an increase of 87.61%, accounting for € 0.41m, against € 0.22m in the 1st Quarter of 2012.
Total Sales of Consumer Electronics products of Sharp were considerably increased by 40.72%, regarding the respective sales in the 1st Quarter of 2012, accounting for € 0.27m. However, sales of white appliances of Sharp amounted to € 0.12m, decreased by 47.37%, given that these products remain most affected by the crisis.
Trade and other receivables on 31/3/2013 amounted to € 25.78m against € 31.06m of the respective receivables on 31/12/2012, mainly due to the liquidation of the sales made in the last quarter of 2012, decreased by 17.00%.
Total liabilities on 31/3/2013 amounted to € 55.35m against € 67.42m of the respective liabilities on 31/12/2012, significantly decreased by 17.89%. The decrease in liabilities concerns both the (long-term and the short-term) bank liabilities (from € 39.63m on 31/12/2012 to € 31.49m) , and the Trade and other liabilities, which amounted to € 23.07m against € 27.30m on 31/12/2012. It should be emphasized that the Trade and other liabilities decreased, despite the noted increase in inventories ahead of the summer season, which amounted to € 39.99m on 31/3/2013 against € 35.00m on 31/12/2012.
At the Group level:
Group's Total revenue amounted to € 20.99m in the 1st Quarter of 2013, as opposed to € 18.81m in the previous corresponding period of 2012, increased by 11.57%.
Group's revenues coming from the energy sector in the 1st Quarter of 2013 decreased by 9.46%, accounting for € 3.35m, against € 3.70m in the 1st Quarter of 2012, mainly due to wind conditions.
Group's Gross Profit for the 1st Quarter increased by 16.48%, mainly due to the increased Gross Profit of the Parent Company, amounting to € 7.44m against € 6.38 in the previous corresponding period of 2012. Gross Profit margin was significantly improved, amounting to 35.42% against 33.93% in the 1st Quarter of 2012.
Earnings before Interest, Tax, Depreciation and Amortization (ΕBITDA) in the 1st Quarter of 2013 amounted to € 3.82m against € 4.52m in the corresponding period of 2012, decreased by 15.46%, mainly to the relatively low contribution of Group's companies activating in the energy sector, because of both the implementation of special levy of 10% and the mild wind conditions. EBITDA margin accounted for 18.20% against 24.03% for the corresponding period of 2012.
Administrative, distribution and other expenses increased by 8.38% and amounted in the 1st Quarter of 2013 to € 4.37m against € 4.03m in the corresponding period of 2012, mainly due to burden of the special levy on the Group's results, The ratio General Expenses/ Sales was decreased from the point of 21.44% on 31/3/2012 to 20.82%.
Group's Net financial result (cost) for the 1st Quarter of 2013 amounted to € 1.26m significantly increased compared to the previous corresponding period of 2012 during which the net financial result (cost) amounted to € 0.12m, mainly due to the significant burden from exchange differences (cost of € 0.23m in 1st Quarter of 2013 against income of € 0.36m in the 1st Quarter of 2012) and the decreased income from derivative valuation (€ 0.05m in the 1st Quarter of 2013 against € 0.64m in the 1st Quarter of 2012).
Group's total liabilities amounted to € 130.27m as at 31/3/2013 from € 143.50m as at 31/12/2012, posting a decrease of 9.22%, mainly due to the aforementioned decrease in bank, trade and other liabilities of the Parent Company.
Net Profit before taxes amounted in the 1st Quarter of 2013 to € 1.86m, decreased by 24.60%, from the level of € 2.46m of the corresponding period in 2012, mainly due to the aforementioned low contribution of Group's companies activating in the energy sector, having a negative effect on EBT/SALES ratio as it was increased to 8.85% from 13.09% respectively.
Group's Net Profit after taxes and Minority Interests amounted to € 1.17m as at 31/3/2013 against € 1.28m as at 31/3/2012, presenting a decrease of 8.74%.
Based on the level of sales till today, the Management estimates that the positive trend of the sales and results of both the Company and the Group will continue in the coming months.
The Boards of Directors of F.G. EUROPE S.A. and its two wholly owned subsidiaries FIDAKIS SERVICE S.A. and FIDAKIS LOGISTICS S.A. approved the Draft Merger Agreement through absorption of the two subsidiaries by F.G. EUROPE S.A..
The absorption will result in economies of scale for F.G. EUROPE S.A. and the Group as a whole. The activities of the absorbed companies will be done, hereinafter, by F.G. EUROPE S.A., which will absorb their entire staff.
The absorbed companies have, until now, common Management with the Parent Company, which confirms that the policy followed regarding the activities of the absorbed companies, will not vary.
Financial Statements for the three month period ended March 31st, 2013 will be available to the public on the Company's website (URL: http://www.fgeurope.gr) under section “Investors Relations” on 31/5/2013.
For further information please contact the Investors Relations Department of F.G. Europe S.A., 128, Vouliagmenis Avenue, Glyfada – 166 74, Tel. +30 210 9696500, Fax +30 210 9603802, email ir@fgeurope.gr
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