Announcement no. 03 - 2007/08 June 14, 2007
ANNUAL REPORT FOR THE FINANCIAL YEAR ENDED APRIL 30, 2007
Lyngby, Copenhagen, June 14, 2007:
The Board of Directors of Thrane & Thrane A/S - the world's leading provider of
global mobile communication equipment - has approved the company's annual
report for the financial year ended April 30, 2007.
Highlights of the report are:
• The strategic potential of the acquisition of Nera SatCom - the year's most
important event for Thrane & Thrane - has materialised. The integration was
successful and progressed as planned. Annual synergies of DKK 50 million are
now expected against the original estimate of DKK 40 million annually.
Integration costs were lower than expected and the full amount was recognised
in the financial statements for 2006/07.
• Revenue in the land mobile market was up 52% to DKK 259 million. The
improvement was primarily attributable to strong growth in sales of products
based on the new BGAN technology. However, the products penetrated the markets
at a slower pace than anticipated at the beginning of the year. Sales of
airtime in combination with the products also developed more slowly than
expected.
• Revenue in the aeronautical market was up 33% to DKK 84 million. The
improvement was mainly driven by sales of the Aero-HSD+, the primary customer
being Dassault Falcon Jet Corp.
• Revenue in the maritime market was up 18% to DKK 639 million, enabling Thrane
& Thrane to maintain its strong position in that market.
• As was anticipated, systems revenue was almost unchanged (DKK 139 million)
due to delivery of land earth stations for Inmarsat's BGAN satellite system
having been completed in 2005/06.
• Total revenue was 22% higher at DKK 1,121 million (DKK 919 million).
Operating profit (excluding integration costs in relation to Nera SatCom) was
DKK 118 million (DKK 127 million). The operating margin was 10.5% compared with
13.8% last year.
• Nera SatCom is recognised in the 2006/07 financial statements from October 1,
2006. This increased revenue and profit by DKK 192 million and DKK 12 million,
respectively. Integration costs of DKK 39 million had an adverse impact on the
consolidated financial statements.
• Return on invested capital was 15.7% (17.7%).
• This performance was in line with the guidance provided on February 28, 2007.
• For the financial year ending April 30, 2008, Thrane & Thrane expects revenue
of around DKK 1,350 million and an operating margin of around 15%.
Thrane & Thrane will hold an investor presentation at 1 p.m. today at the
Copenhagen Stock Exchange, Nikolaj Plads 6, Copenhagen K. At the presentation,
the Management Board will review the company's performance, outlook for 2007/08
and the further development of the company.
The company's annual report is available for download at www.thrane.com. A
webcast of the Management Board's presentation of the annual report will also
be available at the website from 1 p.m.
About Thrane and Thrane
Thrane & Thrane is the world's leading manufacturer of equipment and systems
for global mobile satellite and radio communication. Since inception in 1981,
the company has achieved a leading position within global mobile satellite
services based on the Inmarsat system. Today, it provides equipment for use
everywhere - on land, at sea and in the air. The company's communication
products are marketed globally by distributors and business partners under the
Thrane & Thrane, EXPLORER and SAILOR brands. The company's shares are listed on
the OMX Copenhagen Stock Exchange (symbol: THRAN). www.thrane.com.
Further information:
John Alexandersen, Vice President, Corporate Communications
Tef. (+45) 39 55 88 00
E-mail investor@thrane.com
