ASPOCOMP GROUP OYJ STOCK EXCHANGE RELEASE November 3, 2006 at 8:00 AMASPOCOMP’S INTERIM REPORT JANUARY 1 – SEPTEMBER 30, 2006
– Net sales: EUR 110.7 million (EUR 96.2 million in 1-9/2005). Net sales grew
by 15.0 percent and net sales of the Asian plants grew by 37.5 percent.– Operating profit: EUR -13.0 million (-12.6). The decline was mostly due to the
ongoing conversion project at the Salo plant. Operating profit of the Asian
plants grew markedly.– Earnings per share: EUR -0.83 (-0.65).
– Cash flow from operations: EUR 0.8 million (5.4).
– Investments: EUR 17.9 million (13.8).
– Per-share cash flow after investments: EUR -0.78 (-0.36).
The report and reference period figures do not include the Mechanics and Modules
divisions divested in September 2005 and August 2006, respectively.JULY-SEPTEMBER IN BRIEF
Net sales and operating profit, EUR million
7-9/2006 change, % 7-9/2005
Net sales 37.7 19.3 31.6
Operating profit -4.3 -4.7Net sales grew somewhat on the reference quarter mainly as a result of the
excellent performance of the Suzhou, China plant and improvement in the net
sales of the Sriracha, Thailand and Oulu, Finland plants. Net sales of the Salo,
Finland plant continued to decline, although at a slower rate, due to the
plant’s ongoing conversion project and a limited volume of newer products.The Group’s net sales per plant were as follows:
– the Finnish plants, 33 percent (41%)
– the Asian plants, 67 percent (59%)The Group’s net sales by market area were as follows:
– Europe, 58 percent (52%)
– Asia, 26 percent (39%)
– the Americas, 16 percent (9%)The Group’s net sales per product area were as follows:
– handheld devices and telecom networks, 61 percent (69%)
– automotive, industrial and consumer electronics, 39 percent (31%)Profit in the July-September period was up on the previous quarter, as expected.
Operating profit before depreciation was EUR 0.1 million (-0.2) and operating
profit totaled EUR -4.3 million (-4.7).Operating profit of the Chinese plant picked up markedly. Although improving on
the April-June period, the heavy losses of the Salo plant still kept the Group’s
operating profit on a par with the reference quarter. In addition, the profit of
the Thai plant fell sharply into the red during the last quarter, mainly
attributable to unexpected technological problems. Material costs rose
temporarily due to problems with outsourcing.The Group’s net financial expenses were EUR -0.5 million (0.0) and the profit
for the period was EUR -4.5 million (-4.5). Earnings per share were EUR -0.27 (-
0.27).OUTLOOK FOR THE FUTURE
The full-year net sales and profit of the Aspocomp Group are forecast to
improve somewhat compared with the previous year. The result for the last
quarter is anticipated to improve on the third quarter; however, the full-
year result will be clearly unprofitable due to the Salo plant’s performance.MAIJA-LIISA FRIMAN, PRESIDENT AND CEO:
“The third quarter of the year was dissatisfying as the conversion project
continued at the Salo, Finland plant and production suffered from a below
average capacity utilization rate. In contrast, the yield of the new
products, well below expectations during the first half of the year, was
gradually improving during the July-September period.Installation, start-up and testing of the two new plating lines at the
Salo plant proceeded according to plan during the third quarter. When the
new lines are in full use, the manufacturing process can be shortened and
various process steps left out, which will cut manufacturing costs. The
latest production runs for the new products have given promising results.The result for the period was also somewhat affected by the Thai plant’s
sharp fall into the red during the third quarter of the year. This was
mostly attributable to a temporary rise in material costs due to problems
with outsourcing, which was conducted to meet customer delivery schedules.
In addition, the plant faced unexpected technical problems that are
currently being solved.In contrast, the Chinese plant continued to excel, boasting steadily
increasing profits as its HDI PCB capacity was fully booked. As a result,
the operating profit of the Asian plants grew briskly on the reference
period.The HDI PCB market continued to grow throughout the January-September period.
Market researchers forecast that in 2006, technologically complex HDI PCBs will
account for about 13 percent of global PCB production, totaling around USD 43
billion (about EUR 34 billion) globally. Asian PCB production is forecast to
grow by about 12 percent, whereas production in the rest of the world is
expected to decline somewhat.The project to build a new HDI PCB plant in Chennai, India proceeded
according to plan. Piling works for the plant started on October 4, 2006.After the review period, Aspocomp and GE Capital Solutions, Global
Electronics Services executed a term sheet that provides EUR 10 million of
equipment financing for the new Chennai facility.”PRINTED CIRCUIT BOARD MARKET
PCB demand in the global telecom network and automotive segments remained good
during the review period. Solid growth in the handheld devices segment continued
and Aspocomp’s customers reported strong performance. Although average device
prices continued to fall throughout the report period, the global volumes of
products using high-end PCBs remained strong. Limited supply and raising
material costs worked against the normal price erosion trend.According to market estimates, overall global PCB production in the July-
September period grew by almost 5 percent on the previous quarter. In Asia,
production grew by almost 6 percent and excluding Japan, almost 7 percent
according to industry evaluations. Furthermore, demanding HDI PCB production
increased even faster than total PCB production and in China, in particular, it
was estimated to have grown by almost 9 percent since the end of previous
quarter.NET SALES AND OPERATING PROFIT, JANUARY-SEPTEMBER
Net sales and operating profit, EUR million
1-9/2006 change, % 1-9/2005
Net sales 110.7 15.0 96.2
Operating profit -13.0 -12.6The Aspocomp Group’s net sales for the January-September period were EUR 110.7
million (96.2), growing by 15.0 percent on the reference period in line with
expectations.Although the net sales posted by the Oulu plant were clearly higher than in the
corresponding period last year, the total comparable net sales of the Salo and
Oulu plants in Finland declined by 10 percent (down 28%) due to the Salo plant’s
conversion project. This cut into the yield and the share of total production
accounted for by new technology products, particularly in the first half of the
year. On the other hand, the July-September period suffered mostly from the Salo
plant’s smaller than average load. As a result, the plant’s net sales for the
report period did not measure up to the figures of the reference period.However, the decline was clearly offset by strong growth at the Chinese plant in
particular, where sales of the higher-margin HDI printed circuit boards were
brisk and capacity was fully booked. The net sales of the Thai plant showed
clear improvement. The net sales of the Asian plants were up 37.5 percent (down
2.6%).The Group’s net sales per plant were as follows:
– the Finnish plants, 37 percent (47%)
– the Asian plants, 63 percent (53%)The share of the Asian plants increased compared with the reference period, in
line with the strategy.The Group’s net sales by market area were as follows:
– Europe, 55 percent (61%)
– Asia, 29 percent (30%)
– the Americas, 16 percent (9%)The Group’s net sales per product area were as follows:
– handheld devices and telecom networks, 66 percent (71%)
– automotive, industrial and consumer electronics, 34 percent (29%)During the review period, the share of Aspocomp’s overall PCB production
accounted for by HDI PCBs totaled 54 percent.Aspocomp’s five largest customers during the January-September period were
Elcoteq, Nokia, Philips, Siemens and Wabco. The five largest customers accounted
for 54 percent of net sales (55%).Operating profit before depreciation was EUR -0.1 million (1.1), or -0.1 percent
(1.2%) of net sales. Operating profit was EUR -13.0 million (-12.6).Although the profit of the Chinese plant improved markedly on the reference
period, the heavy losses of the Salo plant cut into the Group’s profitability
during the review period. Profit at the Oulu plant improved on the reference
period and was clearly in the black.Profitability of the Thai plant picked up somewhat during the first half of the
year; however, it declined sharply in the July-September period. This was mainly
attributable to a temporary rise in material costs due to problems with
outsourcing, as well as unexpected technical problems.The Group’s net financial expenses were EUR -1.1 million (-0.6). The profit for
the period was EUR -13.9 million (-11.4) and earnings per share were EUR -0.83 (-
0.49).Cash flow from operations amounted to EUR 0.8 million (5.4) and investments to
EUR 17.9 million (13.8). Per-share cash flow after investments was EUR -0.78 (-
0.36).FINANCING, INVESTMENTS AND EQUITY RATIO
The Aspocomp Group’s consolidated cash flow during the review period was
positive due to the strong financial performance of the Chinese joint venture.
The Group’s consolidated net liquid assets at the end of the period amounted to
EUR 15.5 million (16.2). Aspocomp Group Oyj’s liquid funds, including unused
limits, were EUR 3.2 million (9.7).Interest-bearing net debt rose to EUR 45.6 million (19.7). The figure contains
EUR 20.9 million (20.2) in financial lease liabilities. Gearing was 53.0 percent
(16.7%), rising due to the poor performance and increased debt level, and non-
interest-bearing liabilities amounted to EUR 41.8 million (37.9).Investments amounted to EUR 17.9 million (13.8), representing 16.0 percent
(12.0%) of net sales. They were primarily earmarked for the technological
investments at the Salo plant and the expansion of the HDI line at the Chinese
plant. Capital expenditures in Asia were EUR 8.7 million (7.4) and EUR 9.2
million (6.4) in Europe. Net financial expenses were 1.0 percent of net sales
(0.6%).The Group’s equity ratio at the end of September stood at 45.5 percent (63.7%).
RESEARCH AND DEVELOPMENT
The Group’s research and development expenditure amounted to EUR 3.0 million
(3.4), or 2.7 percent (3.5%) of net sales.During the review period, the key focus of technology development was on HDI
semi-flex PCBs. The development project for one flex layer HDI semi-flex PCBs
was in the final phase of industrialization. The first material combination for
two flex layer HDI semi-flex PCBs, including reliability tests, was ready for
industrialization. The materials selection process was continued to achieve the
most cost-effective and reliable combination for both one and two flex layer
applications.The embedded passive components development project was completed and fully
documented. The related industrialization project can be started up on request.An investment plan was initiated for volume production of Any Layer Microvia
type PCBs, including a solution to the challenges posed by the design
requirements of 0.4 mm fine pitch components. Evaluation of new materials
commenced during the review period in order to meet the high frequency
requirement of such designs.Optoelectronics and printable electronics were in the research stage. In
addition, the Group initiated a pre-study for applying the HDI rigid-flex
concept to dynamic flexible applications, i.e. handheld applications using
hinges.DIVESTMENT OF THE MODULES DIVISION
On August 9, 2006, Aspocomp Oy and Aspocomp Technology Oy, subsidiaries of
Aspocomp Group Oyj, agreed to sell the Group’s Modules division and modules-
related research and development to Finland-based Selmic Oy. The transaction
included business operations as well as the current and fixed assets of the Oulu
modules plant and modules research and development. The Modules division
generated about 10 percent of the Group’s net sales. The 150 personnel
transferred to Selmic under their existing employment terms. In addition to the
transaction, the companies agreed on the long-term lease of the modules plant to
Selmic. Due to the divestment, Aspocomp became a dedicated PCB company.SHARES AND SHARE CAPITAL
The total number of Aspocomp’s shares at September 30, 2006, was 20,082,052. The
book countervalue of the share was EUR 1.00 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 percent 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 6,088,182 Aspocomp Group Oyj shares were traded on the Helsinki Stock
Exchange during the period from January 1 to September 30, 2006. The aggregate
value of the shares exchanged was EUR 19,329,893. The shares traded at a low of
EUR 2.25 (September 28, 2006) and a high of EUR 4.06 (January 9, 2006). The
average share price was EUR 3.08. The closing price at September 30, 2006, was
EUR 2.31 and the company had a market capitalization of EUR 45.9 million,
adjusted for the number of treasury shares. At the end of the period, nominee-
registered shares accounted for 5.36 percent of the total shares and 1.44
percent were directly held by non-Finnish owners.On March 13, 2006, the Board of Directors of Aspocomp Group Oyj decided on a
share-based incentive plan, which consequently came into force due to the
decision of the Annual General Meeting on April 10 to issue stock options. The
plan is directed at around 12 members of the senior management. The potential
reward from the plan will be paid in 2007 partly as shares in the company and
partly in cash. The reward includes a prohibition to transfer the shares within
two years from the end of the payment period. The potential reward from the plan
will be based on the earnings per share (EPS) of the Group. In addition, the CEO
and the Executive Committee of the company must own the shares in a certain
proportion to their annual gross salary as long as they remain in the employ or
service of the Group.The Annual General Meeting of April 10, 2006, authorized the Board of Directors
to decide on increasing the share capital through one or several new
subscriptions and/or one or several convertible loans and/or issuing option
rights. The share capital may be increased by a maximum of EUR 4,016,410.The Board was authorized to decide on the conveyance of a maximum of 200,000 of
the company’s own shares. The shares may be used to finance and facilitate
corporate acquisitions or other arrangements, or for key personnel incentives,
or they may be sold in public trading.The meeting decided to issue stock options to the key personnel of the Aspocomp
Group as well as to a wholly owned subsidiary of Aspocomp Group Oyj as part of
an incentive and commitment program. The maximum total number of stock options
issued will be 930,000. The share subscription period for the stock options
2006A, 2006B and 2006C will commence only if certain criteria, decided by the
Board of Directors, have been fulfilled. The share subscription periods will be
May 1, 2008 – May 31, 2010, May 1, 2009 – May 31, 2011, and May 1, 2010 – May
31, 2012, respectively.PERSONNEL
During the review period, the Aspocomp Group had an average of 3,336 employees
(3,213). The personnel count on September 30, 2006 was 3,335 (3,181). Of them,
2,364 were non-salaried and 971 salaried employees. 3,311 personnel worked in
PCB production and 24 in Group administration.Personnel by region, average
January-September
2006 change, % 2005
Europe 693 -8.1 754
Asia 2,643 7.5 2,459
Total 3,336 3.8 3,213On March 1, 2006, Balachandran a/l Lakshmanan was appointed as Project Manager
and Petri Kangas as Chief Financial Officer of the India HDI PCB plant project.On April 10, 2006, Tapio Engström (42), M.Sc.(Econ), was appointed Chief
Financial Officer and Deputy to the CEO, effective July 1, 2006. Mr. Engström
was previously Director, Finance, at Vaisala Corporation. Aspocomp’s previous
Chief Financial Officer, Pertti Vuorinen (56), was appointed Chief Financial
Officer for Aspocomp’s Asia-Pacific operations and a member of the Extended
Management Team of the Aspocomp Group, effective July 1, 2006. He is based in
Suzhou, China. In financial matters, Mr. Vuorinen reports to Tapio Engström, and
in expansion projects to CEO Maija-Liisa Friman.The Group continued to implement the HR development process, adopted during the
first quarter, to achieve consistency in operating methods and documentation in
different countries.A job satisfaction survey was carried out in Finland during the third quarter of
the year. Clearly over half of those surveyed were content with their job, and
the results indicated an increase in overall satisfaction compared with the
previous survey in 2004. The personnel were most content with communication and
management effectiveness, company identification and teamwork. Of these,
satisfaction with communication effectiveness increased the most. The
participants were least satisfied with their performance appraisals and personal
development as well as rewards and benefits.BOARD AND AUDITORS
The Annual General Meeting of Aspocomp Group Oyj on April 10, 2006, decided that
the number of the Board members is six. Aimo Eloholma, Roberto Lencioni, Tuomo
Lähdesmäki, Gustav Nyberg and Anssi Soila were re-elected as Board members and
Yoshiki Sasaki, a Japanese citizen, was elected as a new member. At its
organization meeting the Board re-elected Tuomo Lähdesmäki as Chairman, and
Yoshiki Sasaki was appointed as Vice Chairman. The Board elected Aimo Eloholma,
Roberto Lencioni and Tuomo Lähdesmäki as members of the Compensation and
Nomination Committees. Gustav Nyberg, Anssi Soila and Yoshiki Sasaki were
elected as members of the Audit Committee.The meeting decided that the annual and per-meeting remunerations to the members
of the Board of Directors remain the same as in 2005. In addition to the annual
remuneration, the member of the Board residing abroad will receive EUR 1,500 per
meeting and be reimbursed for reasonable travel and accommodation expenses. In
accordance with their decision of May 5, the Board members have used 40 percent
of their annual remuneration to acquire the company’s shares from the market.
The shares may not be conveyed before the Annual General Meeting of 2007.The Annual General Meeting re-appointed the authorized public accounting firm
PricewaterhouseCoopers Oy as auditor for 2006.EXPANSION IN ASIA
On January 3, 2006, Aspocomp Group Oyj announced that its subsidiary P.C.B.
Center (Thailand) Co., Ltd was renamed Aspocomp (Thailand) Co., Ltd. The Group’s
total holding in the Thai subsidiary amounts to about 83 percent.Aspocomp made a decision in principle on January 17, 2006, to expand its HDI
business by building a printed circuit board plant in Chennai, India. It will be
the first high-tech HDI PCB plant in India. The total investment is expected to
amount to about EUR 75 million, of which about EUR 60 million is earmarked for
building and machinery and EUR 15 million for working capital and start-up
costs. The project will be financed with long-term loans raised by the parent
company and the Indian subsidiary. The plant is scheduled to go on stream in the
second half of 2007. The company Aspocomp Electronics India Pvt. Ltd. was
registered in April. On May 5, 2006, the Board of Directors confirmed the
investment.On June 4, 2006, the Group established a trading company in Shanghai, China.
EVENTS AFTER THE REPORT PERIOD
Piling works for the HDI PCB plant in Chennai, India started on October 4, 2006.
On October 10, 2006, Reijo Savolainen (50) was appointed Senior Vice President,
Salo plant. Savolainen has previously worked as Senior Vice President
responsible for the Aspocomp Group’s Mechanics and Modules division. While in
charge of the Salo plant, he remains a member of the Group’s Executive
Management Team and reports to CEO Maija-Liisa Friman.In the cases against Aspocomp by the former employees of Aspocomp S.A.S., the
French Supreme Court re-registered Aspocomp’s appeal for further proceedings on
October 11, 2006. All except one of the former employees gave their consent for
the re-registration. Aspocomp placed a security against the consent to secure
its potential payment obligations under the First Appellate Court decisions. It
paid a compensation of EUR 30,702 to one employee in accordance with the
decision of the First Appellate Court. If the Supreme Court annuls the decision
of the First Appellate Court, Aspocomp will have the right to reclaim the
compensation. The decision of the Supreme Court is expected during the spring of
2007.On November 2, 2006, Aspocomp and GE Capital Solutions, Global Electronics
Services executed a term sheet that provides EUR 10 million of equipment
financing for the new Chennai, India HDI PCB facility.OUTLOOK FOR THE FUTURE
Aspocomp is entering a significant growth phase that will first be reflected in
the strong growth of net sales. Due to investments required for the expansion
and start-up phase of the Indian plant, the strong positive effect of the growth
on the company’s profit will become markedly visible starting 2008.Aspocomp’s main priority in 2006 is to focus the company’s resources on
developing its market position and competitiveness, serving the main customers
and increasing cost-effectiveness. The decision to build a HDI plant in India
supports growth, and the company continuously investigates options for growth in
Asia. The company anticipates that during the present year the building of the
India plant will proceed, the benefits of the boosted capacity of the Chinese
plant will be reflected in the profit, and volume production will expand at the
Asian plants. The Salo plant’s conversion project will continue.The full-year net sales and profit of the Aspocomp Group are forecast to
improve somewhat compared with the previous year. The result for the last
quarter is anticipated to improve on the third quarter; however, the full-
year result will be clearly unprofitable due to the Salo plant’s performance.ACCOUNTING POLICIES
This interim report has been prepared in accordance with the IFRS (International
Financial Reporting Standards) recognition and valuation principles. The
Aspocomp Group adopted IFRS reporting on January 1, 2005, and the current
accounting policies are consistent with the financial statements for 2005.INCOME STATEMENT,
JULY-SEPTEMBER 7-9/06 7-9/05
MEUR % MEUR %NET SALES 37,7 100,0 31,6 100,0
Other operating income 1,0 2,7 0,5 1,4
Materials and services -21,7 -57,6 -15,8 -50,0
Personnel expenses -8,4 -22,3 -8,0 -25,3
Other operating expenses -8,5 -22,1 -8,6 -26,9
Depreciation and amortization -4,4 -11,7 -4,4 -13,9
OPERATING PROFIT -4,3 -11,5 -4,7 -14,7
Financial income and expenses -0,5 -1,4 0,0 0,1
PROFIT ON CONTINUING
OPERATIONS BEFORE TAX -4,9 -12,9 -4,7 -14,7Taxes 0,0 0,0 -0,1 -0,4
PROFIT ON CONTINUING
OPERATIONS -4,9 -13,0 -4,8 -15,0Profit on discontinuing
operations 0,4 1,0 0,3 0,9PROFIT FOR THE PERIOD -4,5 -12,0 -4,5 -14,2
Profit attributable to
minority interests 0,7 1,9 0,8 2,6
equity shareholders -5,2 -13,8 -5,3 -16,8INCOME STATEMENT,
JANUARY-SEPTEMBER 1-9/06 1-9/05 1-12/05
MEUR % MEUR % MEUR %NET SALES 110,7 100,0 96,2 100,0 136,7 100,0
Other operating income 2,1 1,9 0,9 0,9 1,3 1,0
Materials and services -59,7 -53,9 -46,4 -48,2 -67,0 -49,0
Personnel expenses -26,6 -24,0 -24,9 -25,9 -34,1 -25,0
Other operating expenses -26,6 -11,7 -24,7 -25,7 -36,8 -25,7
Depreciation and amortization -12,9 -11,7 -13,7 -14,2 -18,0 -13,2
OPERATING PROFIT -13,0 -1,0 -12,6 -13,1 -17,9 -13,1
Financial income and expenses -1,1 0,0 -0,6 -0,6 -0,9 -0,7
PROFIT ON CONTINUING
OPERATIONS BEFORE TAX -14,1 -12,7 -13,2 -13,7 -18,8 -13,7Taxes 0,0 0,0 -0,3 -0,3 -5,6 -4,1
PROFIT ON CONTINUING
OPERATIONS -14,1 -12,7 -12,9 -13,4 -24,4 -17,8Profit on discontinuing
operations 0,2 0,0 1,5 1,6 1,0 0,7PROFIT FOR THE PERIOD -13,9 -12,6 -11,4 -11,9 -23,4 -17,1
Profit attributable to
minority interests 2,7 2,4 1,6 1,7 1,9 1,4
equity shareholders -16,6 -15,0 -13,0 -13,5 -25,3 -18,5CONSOLIDATED BALANCE SHEET
9/06 9/05 Change
12/05
ASSETS MEUR MEUR % MEURNON-CURRENT ASSETS
Intangible assets 5,0 5,5 -9,6 4,6
Tangible assets 96,7 85,4 13,4 93,8
Investments in
associated companies 0,2 0,0 0,2
Investment property 3,4 2,9 18,4 2,9
Available for sale
investments 0,4 0,3 55,1 0,3
Deferred income tax assets 0,2 4,0 0,0 0,2
Other long-term receivables 8,1 9,7 -93,8 7,5
TOTAL NON-CURRENT ASSETS 114,1 107,8 5,9 109,5CURRENT ASSETS
Inventories 19,4 15,6 24,4 15,6
Short-term receivables 39,3 35,3 11,3 35,7
Available for sale
investments 0,0 0,0 0,0 0,0
Cash and bank deposits 15,5 16,2 -4,2 16,1
Assets held for sale 0,6 9,5 -93,3 8,7
TOTAL CURRENT ASSETS 74,9 76,6 -2,3 76,1TOTAL ASSETS 189,0 184,4 2,5 185,6
SHAREHOLDERS’ EQUITY
AND LIABILITIESShare capital 20,1 20,1 0,0 20,1
Share premium fund 27,9 73,9 -62,2 27,9
Treasury shares -0,8 -0,8 0,0 -0,8
Special reserve fund 46,0 0,0 46,0
Revaluation and other funds 0,0 0,0 0,1
Retained earnings -35,2 -5,6 -17,0
Equity attributable
to shareholders 58,1 87,6 -33,7 76,3
Minority interest 27,9 29,8 -6,2 30,9
TOTAL EQUITY 86,0 117,4 -26,7 107,2Long-term borrowings 18,3 19,1 -3,8 18,0
Provisions 1,4 1,7 -16,9 1,4
Short-term borrowings 42,8 16,8 155,0 23,3
Trade and other payables 39,7 27,3 45,6 34,7
Liabilities held for sale 0,7 2,2 -69,3 1,0
TOTAL LIABILITIES 102,9 67,0 53,7 78,4TOTAL SHAREHOLDERS’
EQUITY AND LIABILITIES 189,0 184,4 2,5 185,6CONSOLIDATED CHANGES IN EQUITY,
JANUARY-SEPTEMBERShare Share Spec- Re- Trea- Trans- Ret- Minor- Total
cap- premium ial valu- sury lation ained ity equity
ital fund re- ation shar- differ- earn- inter-
serve and es ences ings est
fund other
fundsBalance at
31.12.2005 20,1 27,9 46,0 0,1 -0,8 -2,2 -14,8 30,9 107,2Trans- -1,9 -1,7 -3,7
lation
differ-
encesNet profit -16,6 2,7 -13,9
Other -0,1 0,4 0,4
itemsReduce of -3,9 -3,9
subsidiary
equityBalance at
30.9.2006 20,1 27,9 46,0 0,0 -0,8 -4,2 -31,0 28,0 86,0CONSOLIDATED CHANGES IN EQUITY,
JULY-SEPTEMBERShare Share Spec- Re- Trea- Trans- Ret- Minor- Total
cap- premium ial valu- sury lation ained ity equity
ital fund re- ation shar- differ- earn- inter-
serve and es ences ings est
fund other
fundsBalance at
30.6.2006 20,1 27,9 46,0 0,1 -0,8 -4,6 -25,8 30,8 93,7Trans- 0,4 0,4 0,8
lation
differ-
encesNet profit -5,2 0,7 -4,5
Other -0,1 0,0
itemsReduce of -3,9 -3,9
subsidiary
equityBalance at
30.9.2006 20,1 27,9 46,0 0,0 -0,8 -4,2 -31,0 28,0 86,0CONSOLIDATED CASH FLOW STATEMENT, 7-9/06 7-9/05
JULY-SEPTEMBER MEUR MEURCash flow from operations 3,1 2,4
Cash flow from investments -5,8 -3,6
Cash flow before financial items -2,7 -1,2
Change in long-term and short-term financing 4,6 -4,1
Dividends paid 0,0 0,0
Return of subsidiary equity to minority -4,0
Minority interest in the subsidiary share issue 4,0
Cash flow from financing 0,6 0,0
Change in cash and cash equivalents -1,8 1,2
Cash and cash equivalents at the end of period 15,5 16,2CONSOLIDATED CASH FLOW STATEMENT, 1-9/06 1-9/05 1-12/05
JANUARY-SEPTEMBER MEUR MEUR MEURCash flow from operations 0,8 5,4 12,7
Cash flow from investments -16,2 -12,6 -24,7
Cash flow before financial items -15,4 -7,2 -12,0
Change in long-term and short-term financing 19,4 -9,6 -4,8
Dividends paid -6,0 -6,0
Minority interest in the subsidiary share issue 4,0 4,0
Return of subsidiary equity to minority -4,0
Cash flow from financing 15,4 -11,5 -6,7
Change in cash and cash equivalents -0,6 -18,7 -17,1
Cash and cash equivalents at the end of period 15,5 16,2 16,1KEY FINANCIAL INDICATORS 9/06 9/05 12/05
Return on investment (ROI),% -11,6 -8,8 -9,9
Return on equity (ROE),% -19,2 -12,6 -19,9
Equity per share, EUR 2,92 4,41 3,84
Equity ratio, % 45,5 63,7 57,8
Gearing, % 53,0 16,7 23,5
Gross investments, MEUR 17,9 13,8 25,9
Average number of personnel 3 336 3 213 3 216CONTINGENT LIABILITIES 9/06 12/05
MEUR MEURMortgages given for
security for liabilities 16,2 23,7
Operating lease liabilities 0,1 0,1
Other liabilities 2,2 2,2
Total 18,5 26,0All figures are unaudited.
Helsinki, November 3, 2006
ASPOCOMP GROUP OYJ
Board of Directors
Maija-Liisa Friman
President and CEOFor further information, please
contact CEO Maija-Liisa Friman,
tel. +358 9 7597 0711.Distribution:
The Nordic Exchange
Major media
www.aspocomp.comSome 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.