ASPOCOMP GROUP OYJ STOCK EXCHANGE RELEASE Nov. 2, 2005 at 8:00 1(14)ASPOCOMP GROUP INTERIM REPORT JANUARY 1 – SEPTEMBER 30, 2005
ASPOCOMP’S THIRD-QUARTER EARNINGS PER SHARE: EUR -0.27In the July-September period, Aspocomp’s result improved slightly on the
previous quarter, but was in the red, as expected, with earnings per share
amounting to EUR -0.27 (Q3/2004: 0.10). Net sales came in at EUR 35.8 million
(49.5). The divestment of the Mechanics business in September lowers the figures
for both the present and the comparison year.Earnings per share in the January-September period were EUR -0.65 (0.34) and net
sales EUR 111.2 million (143.6).The figures of the Interim Report are prepared in accordance with the principles
of recognition and measurement laid down in IFRS.THIRD-QUARTER 2005 HIGHLIGHTS (reference figures are for Q3/2004):
– Aspocomp’s net sales were down 28% on the corresponding period of the previous
year. The decline in net sales was due to the weak performance of the Salo PCB
plant and the Modules segment. Net sales remained on a par with the previous
quarter of the present year. A major transition process is currently under way
at the Salo plant with a view to improving competitiveness. Its implementation
has substantially reduced net sales this year. The capacity utilization ratio
and average price of the products of the plant have been low during the present
year. New products are going into production, improving the sales of the Salo
plant in October-December compared with the quarter now ended.– The operating result was EUR -4.4 million (4.2), up EUR 0.5 million on the
previous quarter. The main reasons underlying the weakened operating result were
the poor performance of the Salo plant and the decline in the previously high
earnings of the Modules segment.– The result before taxes and minority interest was EUR -4.5 million (2.8) and
earnings per share amounted to EUR -0.27 (0.10). The net result was EUR -5.3
million (2.0).– Investments in fixed assets amounted to EUR 4.8 million (2.8). The major
investments were earmarked for stepping up HDI capacity in China and for the
Salo and Thai plants.OUTLOOK:
The Aspocomp Group’s net sales will fall significantly short of the previous
year’s figure (2004: EUR 184.8 million). Net sales in the October-December
period are expected to grow compared with the quarter now ended. The Group’s
result for 2005 is expected to be clearly in the red.The net sales and profitability of the main business segment, Printed Circuit
Boards, are forecast to improve in the last months of the year, while the net
sales and profitability of the Modules segment are estimated to decline slightly
compared with the previous quarter.2(14)
MAIJA-LIISA FRIMAN, PRESIDENT AND CEO OF ASPOCOMP:“Price pressures in the delivery chain of electronics contract manufacturers
remained strong in the third quarter, even though the market trend in unit
demand was favorable.During the quarter now ended, we pressed on with implementing measures at our
units with a view to increasing cost-effectiveness as well as further upgrading
flexibility and design expertise. Of our units, the sales of Aspocomp’s Oulu
plant have developed favorably in the present year, and the net sales of the
Asian plants have also seen a substantial increase compared with the previous
quarter. However, the Group’s full-year earnings will be clearly in the red,
mainly due to the poor performance of the Salo plant. However, the profit-making
capacity of the plant is improving thanks to both the investments made to
improve its flexibility and the lowering of the cost level. In order to cut
costs and boost operational efficiency, Aspocomp started up codetermination
negotiations in August concerning the entire Salo unit (including functions in
Padasjoki), with the exception of the Group finance functions located there. It
is estimated that the codetermination negotiations will be concluded by mid-
December 2005.The manufacture of large volumes is increasingly shifting to Asia, where we
wish to bolster our growth. Our European plants play an important role in
product development and as manufacturers of products that are in an early
phase of their life cycle. With this concept, we can offer reliability and
cost-effectiveness to our customers over the different stages of product life
cycles.We are currently honing the competitiveness of our Thai plant and
investigating opportunities for growth in the Indian market. In China, we
have recently taken groundbreaking steps with our major customers in the
start-up of local manufacturing operations.”NET SALES AND EARNINGS, JULY-SEPTEMBER 2005 (reference figures are for
Q3/2004)In the July-September period, net sales of the Aspocomp Group totaled EUR
35.8 million (49.5). The operating result before depreciation declined to EUR
0.2 million (9.8), or 0.6% of net sales (19.9%).The operating result was EUR -4.4 million (4.2).
Net financial income amounted to EUR 0.0 million (-0.5). The result before
taxes and minority interest was EUR -4.5 million (2.8), and the result after
taxes and minority interest was EUR -5.3 million (2.0). Earnings per share
were EUR -0.27 (0.10). Cash flow from operations was EUR 2.5 million (8.6).
Per-share cash flow after investments was EUR -0.06 (0.29).NET SALES AND EARNINGS, JANUARY-SEPTEMBER 2005 (reference figures are for Q1-
Q3/2004)In the January-September period, net sales of the Aspocomp Group totaled EUR
111.2 million (143.6).3(14)
The Aspocomp Group’s net sales in the first three quarters of the year were
divided by market area as follows: Europe 63% (67%), Asia 29% (18%) and the
Americas 8% (15%). The Finnish plants’ share of net sales was 54% (65%), while
the Asian plants accounted for 46% (35%). Products used in mobile phones and
telecom systems accounted for approximately 72% (72%) of consolidated net sales,
and approximately 28% (28%) came from automotive, industrial and consumer
electronics.The Group’s five largest customers – Nokia, Sanmina-SCI, Philips, Elcoteq and
Ericsson – accounted for 51% of net sales (62%) during the report period.The operating result before depreciation declined to EUR 3.5 million (28.2),
or 3.2% of net sales (19.7%). The operating result was EUR -11.1 million
(11.2).Net financial expenses amounted to EUR 0.6 million (1.1). The result before
taxes and minority interest was EUR -11.4 million (8.9), and the result after
taxes and minority interest was EUR -13.0 million (6.6). Earnings per share
were EUR -0.65 (0.34). Cash flow from operations was EUR 5.4 million (18.4).BUSINESS SEGMENTS Q3/2005 (reference figures are for Q3/2004)
Printed Circuit Boards
Third-quarter net sales of the PCB segment were down 20% to EUR 32.4 million
(40.6). The drop was attributable to the Salo plant’s lower net sales than a
year ago. A transition process is currently under way at Salo with a view to
improving competitiveness. This will limit the plant’s production and net sales
during the present year. This plant has manufactured high-volume products, but
is now being converted into a more flexible unit capable of managing a larger
number of products. In addition, the result of the Salo plant was weakened by
the fact that its current products are in a late stage of their life cycles,
which means that their average price is relatively low. The overhaul of the
product structure is being started up during the present quarter, serving to
already improve net sales and earnings of the plant somewhat.The net sales of the Chinese plant increased slightly on the previous year as
its capacity utilization ratio improved compared with the beginning of the year.
The Chinese plant’s order book for the rest of the year is good. The net sales
of the Thai plant were also slightly higher than in the previous year but the
result is weakened by write-downs of EUR 0.3 million. The net sales of the Oulu
plant rose significantly.The regional breakdown of the PCB segment’s third-quarter net sales was:
Europe 61% (61%), Asia 30% (26%) and the Americas 9% (13%). The Finnish
plants accounted for 43% (54%) of net sales while the Asian factories
accounted for 57% (46%).The segment reported a third-quarter operating result of EUR -3.1 million
(3.3).In the January-September period of 2005, the PCB segment’s net sales declined to
EUR 97.9 million (117.8). The segment’s operating result in January-September
was EUR -7.9 million (9.3).4(14)
In early 2005, Aspocomp’s subsidiary ACP Electronics in Suzhou, China,
decided to build a new production unit for its Suzhou plant. The planning of
the production unit is ongoing. The expansion of the HDI unit of the Suzhou
plant has progressed well and will be brought fully on stream towards the end
of the first quarter of 2006.On June 3, 2005, the Aspocomp Group increased its stake in its Thai
subsidiary P.C.B. Center Co., Ltd to 82.9% (previously 56.4%) by purchasing
24% of P.C.B. Center’s shares from the company’s minority shareholders.Modules
Third-quarter net sales by the Modules segment were down 52% to EUR 4.2
million (8.8). The reason underlying the decline in net sales was that
deliveries of the Oulu plant’s high-volume telecom network product were
substantially smaller than last year. This product is nearing the end of its
life cycle, but Aspocomp will continue to make deliveries for the maintenance
of this product in 2005 and 2006. The volume of products delivered to other
industrial sectors remained at a good level.The Modules business is engaged in a long-term effort to identify new
business opportunities and bring new products to market. In the short term,
these measures will not suffice to offset gradually discontinuing manufacture
of the Oulu plant’s telecom network product. It is estimated that the Modules
unit’s net sales in the last months of the year will decline slightly
compared with the third quarter.The segment reported an operating result of EUR 0.3 million (2.4).
In January-September, the Modules segment’s net sales amounted to EUR 15.0
million (26.1) and its operating result to EUR 1.6 million (6.7).Mechanics
By means of an agreement signed in September, Aspocomp Oy sold its Mechanics
business to Mecanova Oy. The transaction comprised the sale of the business
operations, inventory and fixed assets of the Klaukkala plant. The long-term
lease of the Klaukkala plant property owned by Aspocomp was also agreed on.The net sales of the Mechanics segment amounted to EUR 12.6 million in 2004 and
it posted an operating result of EUR 0.1 million. In January-September 2005, the
segment had net sales of EUR 10.1 million and an operating result of EUR 0.2
million. The result after divestment expenses was EUR -0.1 million. Due to its
divestment, the figures of the Mechanics segment are no longer included in the
2005 figures reported for Aspocomp or the comparison figures for 2004 presented
in this Interim Report.FINANCING, INVESTMENTS AND EQUITY RATIO
The Group’s liquidity during the period under review was good. At the end of
the report period, the Group’s liquid assets amounted to EUR 16.2 million
(30.2). Interest-bearing net debt totaled EUR 19.7 million (16.9). Gearing
was 16.7% (13.2%). Non-interest-bearing liabilities amounted to EUR 31.1
million (33.5).
5(14)
Investments totaled EUR 13.8 million (8.9), or 12% of net sales (6%). Capital
expenditures totaled EUR 4.4 million in Asia and EUR 6.4 million in Europe.
In addition, EUR 3.0 million was invested in P.C.B. Center shares. Net
financial expenses were 0.5% of net sales (0.8%).The Group’s equity ratio at the end of September was 63.7% (61.5%).
SHARES AND SHARE CAPITAL
The total number of Aspocomp’s shares at September 30, 2005, was 20,082,052
and the share capital stood at EUR 20,082,052. Of the total shares
outstanding, the company held 200,000 treasury shares with a book counter
value of EUR 200,000, representing 1.0% of the aggregate votes conferred by
all the shares. The number of shares adjusted for the treasury shares was
19,882,052. A total of 6,582,869 Aspocomp Group Oyj shares were traded on the
Helsinki Stock Exchange during the report period. The aggregate value of the
shares exchanged was EUR 29,239,384. The shares traded at a low of EUR 3.55
(June 17, 2005) and a high of EUR 5.30 (March 8, 2005). The average share
price was EUR 4.44. The closing price at September 30, 2005, was EUR 4.10 and
the company had a market capitalization of EUR 81.5 million. Nominee-
registered shares accounted for 7.5% of the share capital and 0.5% was
directly held by foreigners.Erkki Etola and Etra Invest Oy, a company controlled by him, announced,
following a share purchase on February 22, 2005, that their joint
shareholding of Aspocomp Group Oyj’s share capital and voting rights had
exceeded 5%.On March 29, 2005, Aspocomp Group Oyj and Kaupthing Bank Oyj entered into a
market making agreement for the Aspocomp Group Oyj share in accordance with the
Helsinki Stock Exchange’s Liquidity Providing (LP) arrangements. Market making
according to the agreement began on April 1, 2005, and under its terms,
Kaupthing Bank Oyj will provide both bid and sell quotations for the Aspocomp
Group Oyj share such that the difference between the quote prices is a maximum
of 1.50% of the best bid at any given time. Quote prices will be provided for at
least 500 shares, corresponding to ten round lots. After a 6-month fixed period,
the agreement will be in effect for the time being, with one month’s notice.The Annual General Meeting of Aspocomp Group Oyj on April 7, 2005, passed a
resolution authorizing the Board of Directors to decide on buying back and/or
transferring the company’s own shares as well as on a rights issue and/or an
issue of convertible bonds. The authorizations will be in effect for one year
from the resolution of the Annual General Meeting. At the same time, the
Annual General Meeting canceled the corresponding authorizations made on
April 2, 2004.The Extraordinary General Meeting of Aspocomp Group Oyj that was held on July
26, 2005, decided, in accordance with the Board’s proposal, that EUR
45,989,038.00 shall be transferred from the premium fund to a fund administered
by the General Meeting (the special reserve fund). The assets to be transferred
to the special reserve fund are non-restricted equity. The lowering of the
premium fund is intended to balance out non-restricted and restricted equity at
the Group level. Permission from the registration authorities is required before
the decision can be implemented.6(14)
PERSONNELThe Aspocomp Group had an average payroll of 3,442 employees from January 1
to September 30, 2005 (3,515). At the end of September 2005, the number of
employees was 3,351 (3,546).Average number Average number Number Number
2005 2004 2005 2004
Jan 1-Sept 30 Jan 1-Sept 30 Sept 30 Sept 30Europe 983 997 894 985
Thailand 1,310 1,392 1,246 1,423
China 1,149 1,126 1,211 1,138
Total 3,442 3,515 3,351 3,546In April 2005, Aspocomp started up a four-year program for building a work
fitness management system at its units in Finland. The program aims to
improve the employees’ ability to cope with job stress and to prevent the
detrimental effects of work-related exhaustion. The new operating model also
aims to reduce Aspocomp’s occupational disability-related pension liabilities
in the years ahead. The company also set in motion an online dialogue between
the personnel and management with the objective of making use of the
employees’ views on how to implement the chosen growth strategy. The
employees have taken part actively in the initiative by commenting on
strategy and putting forth concrete proposals for actions to be taken.MANAGEMENT
Maire Laitinen, LL.M., was appointed general counsel of the Aspocomp Group on
March 4, 2005, and a member of the Group’s Management Team, effective May 1,
2005.The Annual General Meeting of Aspocomp Group Oyj on April 7, 2005, resolved
that the number of members of the Board of Directors be set at five. Re-
elected to seats on the Board were Aimo Eloholma, Roberto Lencioni, Tuomo
Lähdesmäki, Gustav Nyberg and Anssi Soila. The firm of independent public
accountants PricewaterhouseCoopers Oy was elected as the Group’s auditor. The
chief auditor is Jouko Malinen, Authorized Public Accountant.At its organization meeting on April 7, 2005, the Board of Directors elected
Tuomo Lähdesmäki as its chairman and Gustav Nyberg as vice chairman. The
Board elected as members of the Compensation and Nomination Committees Aimo
Eloholma, Roberto Lencioni and Tuomo Lähdesmäki, who was elected chairman of
both the committees. The Board appointed to the Audit Committee Gustav Nyberg
and Anssi Soila, of whom Gustav Nyberg was elected chairman of the committee.
Chairman of the Board Tuomo Lähdesmäki is also a member of the Audit
Committee.The directors decided on April 7, 2005, that each director will spend 40% of
his or her annual bonuses on purchasing the company’s shares between May 6
and June 17, 2005, taking into account the restrictions set by insider
regulations. The shares purchased shall not be transferred before the Annual
General Meeting in 2006. The shares were purchased as planned.7(14)
Vasu Velayuthan became the Chief Executive Officer of Aspocomp’s Thai
subsidiary P.C.B. Center in July.ASPOCOMP S.A.S.
In March, the Appellate Court of Rouen issued a ruling on the dismissals in 2002
connected with the closure of the heavily loss-making Aspocomp S.A.S. plant in
Evreux. On the basis of the ruling by the appellate court, Aspocomp Group Oyj
would have to pay the 388 dismissed employees compensation for unfair dismissal
corresponding to six to eighteen months’ wages and salaries. The total amount of
the compensation would thus be about EUR 11 million. The cost has not been
entered. Aspocomp contests the legal grounds of the court ruling and has
appealed to the French Supreme Court; consequently the legal proceedings are
still ongoing.Another legal action connected with the termination of the operations of
Aspocomp S.A.S. has ended in the Evreux Commercial Court. The liquidators of
Aspocomp S.A.S. have waived their claim that Aspocomp Group Oyj should be held
liable for the obligations of Aspocomp S.A.S. Due to the waiver the proceedings
have, by the decision of the Commercial Court of Evreux, been terminated on May
12, 2005.ADOPTION OF IFRS RULES
The Aspocomp Group adopted IFRS reporting at the beginning of 2005. The
statement of reconciliations was published as a stock exchange release on
April 26, 2005.RESEARCH AND DEVELOPMENT
Aspocomp Group Oyj and Perlos Corporation agreed, in April 2005, on demerging
their joint research and development company Asperation Ltd. Asperation was
founded in the spring of 2002 to engage in R&D on the integration of components
used in the products of the mobile phone and electronics industries.
Asperation’s aim was to generate innovations that can be utilized by the owner
companies in their own operations. Its original objectives have now been
achieved. In the future, the two owner companies can most effectively harness
Asperation’s innovations on their own. Dozens of innovations have been
developed.Asperation’s fixed assets, agreements and employees were divided evenly between
Aspocomp and Perlos such that each company received the innovations and
personnel that are of greatest importance to it. The business split and
dissolution were entered in the Trade Register on August 31, 2005, at which time
the new company Aspocomp Technology Oy was also entered therein.EVENTS AFTER THE END OF THE FINANCIAL PERIOD
Responsibility areas in Aspocomp’s operational management as well as strategy
preparation and execution were refocused as from October 5, 2005:8(14)
The Executive Management Committee is responsible for the Group’s business
operations. It includes Maija-Liisa Friman, President and CEO, Rami Raulas,
Senior Vice President, Sales and Marketing, Jari Ontronen, Senior Vice
President, Operations, PCB, Reijo Savolainen, Senior Vice President, Modules,
Pertti Vuorinen, CFO, and Maire Laitinen, General Counsel. The Extended
Executive Management Committee attends to strategy preparation and business
support. In addition to the persons named above, it includes the directors in
charge of global functions: Tarja Rapala, R&D Director, Sami Holopainen, Vice
President, Corporate Development, who is responsible for IT and the
commercialization of the innovations of R&D joint ventures, and Hannu Päärni,
Senior Vice President, Technology, who is responsible for Engineering, which
includes equipment, process and material development as well as the design and
implementation of new production plants.OUTLOOK FOR THE FUTURE
Market researchers and equipment manufacturers currently forecast volume
growth of about 20% for the handheld devices market this year. Mobile phone
manufacturers’ estimates of the number of mobile phones sold this year are
rising to 760-780 million. The telecom network market is also estimated to
see growth, albeit at a significantly slower rate than the mobile phone
market. Demand for PCBs in the automotive industry is expected to develop
favorably, growing by just under 5%.In the PCB market, the continuing trend is that volumes are clearly weakening
in Europe, while significant growth is seen in China. The share of demand
accounted for by exacting multimedia devices is surging in Europe and North
America, providing opportunities for flexible and technologically advanced
plants. The fastest-growing market in China comprises HDI PCBs, estimated to
increase by over 15% this year.The Aspocomp Group’s net sales will fall significantly short of the previous
year’s figure (2004: EUR 184.8 million). Net sales in the October-December
period are expected to grow compared with the quarter now ended. The Group’s
result for 2005 is expected to be clearly in the red.The net sales and profitability of the main business segment, Printed Circuit
Boards, are forecast to improve in the last months of the year, while the net
sales and profitability of the Modules segment are estimated to decline slightly
compared with the previous quarter.INCOME STATEMENT, JULY-SEPTEMBER
7-9/05 7-9/04
MEUR % MEUR %NET SALES 35.8 100.0 49.5 100.0
Other operating income 0.5 1.3 0.3 0.5
Depreciation and amortization -4.7 -13.0 -5.6 -11.3
OPERATING PROFIT/LOSS -4.4 -12.3 4.2 8.6
9(14)
Financial income and expenses 0.0 0.1 -0.5 -0.9PROFIT ON CONTINUING OPERATIONS
BEFORE TAX -4.4 -12.4 3.8 7.6Taxes -0.1 -0.3 -0.9 -1.7
PROFIT ON CONTINUING OPERATIONS -4.5 -12.5 2.9 5.9
Profit on discontinued operations 0.0 0.0 -0.1 -0.2
PROFIT/LOSS FOR THE PERIOD -4.5 -12.5 2.8 5.7
Profit/loss attributable to
minority interest -0.8 -2.2 -0.9 -1.7PROFIT/LOSS ATTRIBUTABLE TO
THE EQUITY SHAREHOLDERS -5.3 -14.7 2.0 4.0EARNINGS PER SHARE
FROM CONTINUING OPERATIONS -0.27 0.10EARNINGS PER SHARE
FROM DISCONTINUED OPERATIONS 0.0 0.0Accrued taxes for this interim period have been calculated in accordance with
the corporate tax rate in force during the period under review and they
include taxes brought forward from earlier periods.INCOME STATEMENT, JANUARY-SEPTEMBER
1-9/05 1-9/04 1-12/04
MEUR % MEUR % MEUR %
NET SALES 111.2 100.0 143.6 100.0 184.8 100.0
Other operating income 0.9 0.8 0.7 0.5 1.0 0.6
Depreciation and amortization -14.6 -13.1 -17.0 -11.9 -22.3 -12.1
OPERATING PROFIT/LOSS -11.1 -10.0 11.2 7.8 10.4 5.6
Financial income and expenses -0.6 -0.5 -1.1 -0.8 -0.7 -0.4
PROFIT ON CONTINUING OPERATIONS
BEFORE TAX -11.7 -10.5 10.1 7.0 9.7 5.2Taxes 0.3 0.3 -1.0 -0.7 -0.5 -0.3
PROFIT ON CONTINUING OPERATIONS -11.4 -10.2 9.1 6.3 9.2 4.9
Profit on discontinued operations -0.1 -0.1 -0.2 -0.1 0.1 0.0
PROFIT/LOSS FOR THE PERIOD -11.4 -10.3 8.9 6.2 9.2 4.7
10(14)
Profit/loss attributable to
minority interest -1.6 -1.4 -2.3 -1.6 -2.3 -1.2PROFIT/LOSS ATTRIBUTABLE TO
EQUITY SHAREHOLDERS -13.0 -11.7 6.6 4.6 6.9 3.8EARNINGS PER SHARE
FROM CONTINUING OPERATIONS -0.65 0.34 0.35EARNINGS PER SHARE
FROM DISCONTINUED OPERATIONS 0.0 -0.01 0.0Accrued taxes for this interim period have been calculated in accordance with
the corporate tax rate in force during the period under review and they
include taxes brought forward from earlier periods.BALANCE SHEET
9/05 9/04 Change 12/04
MEUR MEUR % MEUR
ASSETSIntangible assets 5.6 3.8 48.7 4.0
Tangible assets 89.7 94.0 -4.5 88.7
Long-term investments 0.3 1.0 -70.1 1.0
Long-term receivables 2.4 1.9 25.7 2.0Inventories 18.3 22.5 -18.9 20.5
Trade and other receivables 49.9 50.8 -1.8 44.2
Marketable securities 1.0 16.0 -93.6 25.0
Cash and cash equivalents 15.2 14.2 7.0 8.2
Assets held for sale 1.9 5.9 -67.7 5.6TOTAL ASSETS 184.4 210.1 -12.2 199.2
SHAREHOLDERS’ EQUITY AND LIABILITIES
Share capital 20.1 10.0 100.0 20.1
Share premium fund and other funds 73.9 83.9 -12.0 73.9
Retained earnings -6.4 10.8 – 9.4
Equity attributable to shareholders 87.6 104.8 -16.4 103.4
Minority interest 29.8 24.4 22.0 22.3
Total equity 117.4 129.2 -9.1 125.6Long-term liabilities 19.1 24.7 -22.8 20.8
Mandatory reserves 1.7 2.7 -36.0 2.1
Short-term liabilities 45.6 52.0 -12.4 49.0
Liabilities for sale 0.6 1.5 -60.0 1.7
TOTAL SHAREHOLDERS’ EQUITY
AND LIABILITIES 184.4 210.1 -12.2 199.2STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY, JULY-SEPTEMBER
11(14)
MEUR Share Share Revaluation Retained Minority Share-
capital premium and other earnings interest holders’
fund funds equity,
total
Shareholders’
equity,
July 1, 2005 20.1 73.9 -0.2 24.5 118.3Translation
differences 0.5 -0.7 -0.3Profit/loss
for the period -6.7 0.8 -5.9Dividend payout 0.0 0.0
Change in
minority interest 5.3 5.3Shareholders’
equity,
Sept. 30, 2005 20.1 73.9 -6.4 29.8 117.4STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY, JANUARY-SEPTEMBER
MEUR Share Share Revaluation Retained Minority Share-
capital premium and other earnings interest holders’
fund funds equity,
total
Shareholders’
equity,
Jan. 1, 2005 20.1 73.9 9.4 22.3 125.6Translation
differences 3.2 1.9 5.1Profit/loss
for the period -13.0 1.6 -11.4Dividend payout -6.0 -6.0
Change in
minority interest 4.0 4.0Shareholders’
equity,
Sept. 30, 2005 20.1 73.9 -6.4 29.8 117.4CASH FLOW STATEMENT
7-9/05 7-9/04MEUR MEUR
12(14)
Cash flow from operations 2.4 8.6
Cash flow from investments -3.6 -2.8
Cash flow before financial items -1.2 5.8
Change in long-term and
short-term financing -4.0 -3.0
Dividends paid 0.0 0.0
Minority interest
in the subsidiary share issue 4.0 1.2
Cash flow from financing -0.0 -1.8
Change in cash and cash equivalents -1.2 4.0
Cash and cash equivalents at the end of the period 16.2 30.2CASH FLOW STATEMENT
1-9/05 1-9/04 1-12/04
MEUR MEUR MEURCash flow from operations 5.4 18.4 29.8
Cash flow from investments -12.6 -8.8 -15.7
Cash flow before financial items -7.2 9.5 14.1
Change in long-term and
short-term financing -9.6 -7.2 -9.3
Dividends paid -6.0 -3.0 -3.0
Minority interest
in the subsidiary share issue 4.0 1.1 1.1
Cash flow from financing -11.5 -9.0 -11.2
Change in cash and cash equivalents -18.7 0.5 2.9
Cash and cash equivalents
at the end of the period 16.2 30.2 33.2BUSINESS SEGMENTS
7-9/05 7-9/04 1-9/05 1-9/04 1-12/04
MEUR MEUR MEUR MEUR MEUR
Net salesPrinted Circuit Boards 32.4 40.6 97.9 117.8 152.8
Modules 4.2 8.8 15.0 26.1 32.5
Intra-Group sales -0.8 0.0 -1.7 -0.3 -0.4
Total 35.8 49.5 111.2 143.6 184.8Operating profit
Printed Circuit Boards -3.1 3.3 -7.9 9.3 8.6
Modules 0.3 2.4 1.6 6.7 8.0
Group administration -1.5 -1.5 -4.7 -4.8 -6.3
Total -4.4 4.2 -11.1 11.2 10.4KEY FINANCIAL INDICATORS
9/05 9/04 12/04Return on investment (ROI), % -8.8 8.9 6.9
Return on equity (ROE), % -12.6 9.2 7.5
13(14)
Equity per share, EUR 4.41 5.27 5.20Equity ratio, % 63.7 61.5 63.1
Gearing, % 16.7 13.2 8.3
Gross investments, MEUR 13.8 8.9 15.7
Average number of personnel 3,442 3,515 3,508
CONTINGENT LIABILITIES
9/05 12/04
MEUR MEURMortgages given as security for liabilities 34.2 27.3
Operating lease liabilities 0.1 0.1
Other liabilities 2.3 2.3TOTAL 36.6 29.7
All figures are unaudited.
Vantaa, November 2, 2005
ASPOCOMP GROUP OYJ
Board of Directors
For further information, please contact CEO Maija-Liisa Friman, Tel. +358 9 7597
0711.ASPOCOMP GROUP OYJ
Maija-Liisa Friman
President and CEOPRESS CONFERENCE
A press conference for investors, analysts and media representatives will be
held on November 2, 2005 at 11:00 a.m. in the Paavo Nurmi conference hall of the
Hotel Kämp at Pohjoisesplanadi 29, Helsinki.Aspocomp: Innovative interconnection solutions for the electronics industry
The Aspocomp Group offers and develops innovative interconnection solutions for
the electronics industry in close cooperation with its customers. Our core
14(14)
business consists of products and solutions for handheld devices, telecom
infrastructure, automotive and consumer electronics. Our production facilities
are located close to our customers in Finland, China and Thailand. In 2004, the
Group’s net sales stood at around EUR 185 million and it had some 3,500
employees.Some statements in this stock exchange release are forecasts and actual
results may differ materially from those stated. Statements in this stock
exchange release relating to matters that are not historical facts are
forecasts. All forecasts involve known and unknown risks, uncertainties and
other factors, which may cause the actual results, performances or
achievements of the Aspocomp Group to be materially different from any future
results, performances or achievements expressed or implied by such forecasts.
Such factors include general economic and business conditions, fluctuations
in currency exchange rates, increases and changes in PCB industry capacity
and competition, and the ability of the company to implement its investment
programme and to continue to expand its business outside the European market.Distribution:
Helsinki Stock Exchange
Major Media
www.aspocomp.com