The Board of Directors has today presented and approved the interim report for the first half year of the financial year 2017/18. The interim report has not been audited or reviewed by the company auditors.
The interim report contains the following main points:
The result of the second quarter (1 August 2017 – 31 October 2017)
- The turnover of the Group amounts to 277 DKK million against 234 DKK million last year corresponding to an increase of 18%. Adjusted for the inclusion of Carpet Concept the organic growth constitutes 3%.
- EBIT of the 2nd quarter makes up 14.6 DKK million and has decreased by 1.6 DKK million compared to last year. Compared to last year the development in exchange rate affects EBIT negatively with approx. 4.0 DKK million.
- Quarterly net investments in long-term assets amount to 16 DKK million.
The result of the first half year (1 May 2017 – 31 October 2017)
- The Group turnover amounts to 561 DKK million.
- EBIT makes up 39.0 DKK million against 38.0 DKK million last year. The development in exchange rates as well as the influence of this spring’s price increase in raw materials affect EBIT of the first half year negatively with approx. 8.0 DKK million compared to last year.
- Net investments in long term assets amount to 30 DKK million.
- Cash flows from operation amount to 12 DKK million against 38 DKK million last year. The development is primarily attributable to increased funds tied up in inventory.
Prospects 2017/18
Based on the development we have observed during the first 6 months of the financial year, our expectations for the financial year 2017/18 as reported in the annual financial statement 30 June 2017 are maintained. The market has not yet fully adapted the price increase in raw materials – we expect an improvement in the second half of the financial year. Our expectations are as well presupposed to the present exchange rate level.
Based on the present binding of liquidity in inventory cash flows from operation are, however, adjusted to 65-75 DKK million against previously 90-100 DKK million.
Contacts:
Mr. John Vestergaard, CFO
Tel. +45 97118811
Mr. Svend Aage Færch Nielsen, CEO
Tel. +45 97118811
egetæpper a/s
Herning 12 December 2017
