DESTIA GROUP'S FINANCIAL STATEMENTS 1 JANUARY−31 DECEMBER 2012: 2012 − a year of positive development
- Revenue from continuing operations increased by 3.0 per cent on the previous year to MEUR 507.3.
- Operating profit from continuing operations was MEUR 14.0 (8.4). The result for the accounting period of MEUR 10.8 (-13.0) was clearly better than the previous year.
- The Group’s cash flow and liquidity were very good. Operating cash flow was MEUR 39.1 and the company is free of net liabilities.
- The comparable order book decreased by 19.4 per cent to MEUR 600.8 (745.1).
- Destia Group’s 2013 revenue and operating profit are expected to remain at the level of the previous year.
President & CEO Hannu Leinonen comments on the accounting period:
“The civil engineering market was better than the previous year from a point of view of Destia’s range of services. The positive result stemmed from an average improvement of the profitability of projects and a significantly smaller level of fixed costs than in previous years.
The operating result in the fourth quarter was weaker than the corresponding period the previous year. This was mainly impacted by bonuses recorded for personnel based on the favourable development of earnings during the year and by other operating income being lower than the previous year. The last quarter also included corrections to allocations for some maintenance projects.
Destia’s 2012 revenue for continuing operations increased by 3.0 per cent over the previous year, on account of major ongoing projects including the E18 Koskenkylä−Kotka life-cycle project and the Kalasatama project in Helsinki. The Group’s order book decreased in comparison with the previous year. This decrease mainly comes from competitive bidding for maintenance contracts in spring 2012, in which we won a smaller share than previously, and from the progress of the implementation of major projects and Kalasatama. The results of competitive bidding for major projects were disappointing. Operating cash flow was strong.
Demand in the infrastructure sector is expected to remain reasonable in 2013, although major projects are nearing completion. There will be fewer new major contracts on offer, so competition for them will be fierce.
The core of Destia’s strategy continues to be the improvement of business profitability and the strengthening of our position in core business operations. Destia’s order book at the end of 2012, which was lower than in previous years, will set challenges for revenue this year. Measures taken to improve profitability will, however, provide a good foundation for the positive development of profit and cash flow. Destia Group’s 2013 revenue and operating profit is expected to remain at the level of the previous year.”
Further information is provided by:
President & CEO Hannu Leinonen, tel. +358 20 444 4000 and CFO Pirkko Salminen, tel. +358 50 302 2485
Destia Group’s Interim Financial Report for the first quarter of 2013 will be published on 30 April 2013.