| Comparable figures refer to last year’s corresponding period unless otherwise stated.
Tamro Group Interim Report February–October 2009: Stable development of operations and performance
Third-quarter highlights
- Tamro Group net sales in August–October 2009 amounted to EUR 1,370 million, a decrease of 2.4% due to the weaker foreign exchange rates mainly of the Swedish, Norwegian and Polish currencies. At constant exhange rates (CER), Tamro’s net sales increased by 1%.
- Operating profit in August–October amounted to EUR 27.6 million, down by EUR 3.6 million. Profit before taxes in August–October was EUR 25.7 million, down by EUR 1.8 million. The negative profit development is fully explained by the weaker exchange rates and the preparatory costs for the changes in the Swedish market. Tamro Group balance sheet continued to develop positively.
- Free cash flow in August–October increased to extraordinarily high amount of EUR 106 million due to strong profitability and successful decrease of net working capital.
- Tamro Group decided not to make a final bid in the sale of Swedish pharmacy clusters. At the moment, Tamro continues its preparations for taking an active role in the Swedish pharmacy market while negotiating with possible partners about strategic alternatives.
- Sakari Ahdekivi took over the position of Tamro Group CFO from 14 September 2009.
Tamro’s President & CEO Juha Koponen:
“Tamro Group’s third-quarter results reflect continued solid performance and resistance to the economic downturn. We have succeeded in developing most of our businesses positively according to our plans. The economic downturn is visible mainly in the Baltic countries, which represent approximately 5% of Tamro Group’s business volume. The change in the Swedish pharmacy market opens further interesting opportunities.”
Group key figures
| |
8–10 |
8–10 |
Change |
2–10 |
2–10 |
Change |
| |
2009 |
2008 |
% |
2009 |
2008 |
% |
|
| Net sales, EURm |
1,370.0 |
1,403.6 |
-2.4 |
4,051.2 |
4,179.4 |
-3.1 |
| Operating profit, EURm |
27.6 |
31.2 |
-11.5 |
87.7 |
102.9 |
-14.8 |
| Profit before taxes, EURm |
25.7 |
27.5 |
-6.5 |
79.1 |
93.8 |
-15.7 |
| Return on capital employed, % |
27.4 |
34.7 |
|
28.8 |
39.0 |
|
| Personnel, average |
5,534 |
5,322 |
4.0 |
5,518 |
5,100 |
8.2 |
|
Outlook for the full year 2009/2010
Operating profit for 2009/10 is expected to be on the same level or improve slightly from 2008/09 if calculated at constant exchange rates and excluding special items related to Sweden and one-time gains in 2008.
For the rest of the financial year, pharmaceutical markets are expected to remain stable except in the Baltic countries. In Sweden, Tamro is adjusting its business model to a reformed pharmaceutical market. As the leading pharmaceutical wholesaler, Tamro is strongly committed to providing a full range of efficient and high-quality distribution and supply services to all its customers, including the new pharmacy operators.
The interim figures are unaudited.
Tamro Corporation
Board of Directors
For further information, please contact:
Mr Juha Koponen, President and CEO, tel. +358 20 445 4041
Mr Sakari Ahdekivi, CFO, tel. +358 20 445 4083
Ms Terhi Kivinen, Director, Communications and Corporate Responsibility,
tel. +358 40 848 4001, terhi.kivinen@tamro.com
|
