The Board of Directors of FLS Industries A/S has today reviewed the 2002 Annual Report.
To read the Annual Report visit:
http://www.flsmidth.com/f.l.smidth/English/Investor+Relations/Reports/default.htm
The main conclusions are as follows:
FLS Group overall
-The FLS Group recorded total earnings before interest and tax (EBIT) of DKK -647m on a par with the Group's 3rd quarter expectations in 2002.
-The earnings before tax (EBT) of DKK -1.347m were in line with 3rd quarter expectations 2002, after adjustment for the failed sale of the Secil shares in 2002.
-The FLS Group's net interest-bearing debt has reduced during the year from DKK 4,990m to DKK 2,953, thus meeting 3rd quarter expectations 2002, after adjustment for the failed sale of the Secil shares in 2002.
Core operating activities
-The key business areas, F.L.Smidth Group and FLS Building Materials, recorded total earnings before interest and tax (EBIT) of DKK 439m, in line with 3rd quarter expectations 2002.
-Turnover in core activities totalled DKK 11.4bn.
-The F.L.Smidth Group's order intake in 2002 was DKK 8.3bn and at the end of 2002 the Group's order backlog was DKK 7.6bn, 1.0bn above that of last year.
-The F.L.Smidth Group and FLS Building Materials posted a positive cash flow from operating activities of DKK 773m, an improvement of DKK 645 on last year.
Other activities
-FLS miljø's earnings before interest and tax (EBIT) for 2002 amounted to DKK -659m, which is due to increased costs for order processing.
-FLS Aerospace reported earnings before interest and tax (EBIT) of DKK -202m, which are below 3rd quarter expectations 2002.
-Other group activities, including the parent company and divested activities posted an EBIT of DKK -225m.
-Over the year divestment of activities and associated companies amounted to DKK 1.4bn.
Prospects for 2003 for the FLS Group
-The FLS Group expects a group turnover of just over DKK 15bn, earnings before interest and tax (EBIT) of around DKK 300 - 400m and earnings before tax (EBT) of around DKK 250 - 350m.
Earnings expectations are based on unchanged financial and monetary and market conditions. The earnings forecast entails special risks with regard to the financial result of non-strategic activities. The FLS Group's focused strategy will be implemented through a number of corporate divestments. The results, the sequence and the timing of these divestments may significantly influence the prospects, positively and negatively, and have not been included in the above figures.
FLS Industries A/S
Corporate Public Relations