Dantherm
Interim report Q2 2012

Dantherm 

22.08.2012 08:42
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Low sales within Telecom - growth in revenue within HVAC

Skive, Denmark, 2012-08-22 08:42 CEST (GLOBE NEWSWIRE) -- 

Sales within Telecom were low in H1 2012 due to postponed construction projects
and a reduction in inventories by network suppliers. Within HVAC, which
comprises dehumidification, ventilation and mobile heating and cooling,
Dantherm realised a comfortable growth in revenue. Revenue within Telecom is
expected to improve towards the end of 2012, but this does not make up for the
low revenue in H1. Revenue and EBIT for the year are therefore expected to be
lower than previously announced. 

Torben Duer, President & CEO:
'Sales of HVAC products developed positively in Q2 with growth of 28%, while
sales within the segment were up 23% in H1. Sales to Telecom network operators
have also gone up. However, sales to Telecom network suppliers have been
disappointing due to lower demand from our major customers. Dantherm's strategy
continues to focus on strengthening sales within HVAC and Telecom network
operators, while also being prepared to meet the expected increase in demand
from network suppliers. 

Development in Q2 2012

  -- Revenue was DKK 120m relative to DKK 144m in Q2 2011. Sales within HVAC
     rose by 28%, but this could not make up for a fall in sales of 49% within
     Telecom.
  -- An operating profit (EBIT) of DKK 1.0m was posted against an operating
     profit of DKK 6.5m in Q2 2011. The lower revenue is the main reason for the
     lower operating results.
  -- Dantherm's earnings before tax (EBT) totalled a loss of DKK 1.3m against a
     profit of DKK 2.7m in Q2 2011.
  -- Cash flows from operating activities were positive at DKK 8.2m against
     negative cash flows from operating activities of DKK 5.9m in Q2 2011.
  -- Dantherm's net interest-bearing debt amounted to DKK 182m as at 30 June
     2012 and has been reduced by DKK 5m since the end of 2011. The
     interest-bearing debt includes finance lease commitments and mortgage debt
     of DKK 108m, and a net amount of DKK 74m has been drawn under the company's
     operating credit facilities.

Development in H1 2012

  -- Revenue was DKK 232m against DKK 270m in H1 2011. Sales within HVAC rose by
     23 %, but this could not make up for a fall in sales of 47 % within
     Telecom.
  -- An operating loss (EBIT) of DKK 2.8m was posted against an operating profit
     of DKK 8.8m in H1 2011.
  -- Dantherm's earnings before tax (EBT) totalled a loss of DKK 7.0m against a
     profit of DKK 1.4m in H1 2011.
  -- Cash flows from operating activities were positive at DKK 14.3m against DKK
     2.8m in H1 2011.

Outlook for 2012

  -- As announced earlier, Dantherm expected a weak start to 2012 owing to
     postponed construction projects within Telecom. This development continued
     in Q2 2012. Revenue within Telecom is expected to improve towards the end
     of 2012, but this does not make up for the low revenue in H1 and is only
     partially compensated for by a better development within the HVAC business
     area.
  -- For FY 2012, Dantherm expects revenue of approx. DKK 500m and an operating
     profit (EBIT) of approx. DKK 10m compared to a previous outlook of growth
     in revenue and operating profit relative to 2011 (revenue 2011: DKK 550m,
     operating profit 2011: DKK 22.5m).
  -- New organic measures within market presence, product development and cost
     efficiency have been introduced to support Dantherm's growth strategy.

Any enquiries concerning this announcement can be directed to President & CEO
Torben Duer on tel. +45 99 14 90 14.
News Source: NASDAQ OMX



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Language:     English
Company:      Dantherm
              
               
              Denmark
Phone:        
Fax:          
E-mail:       
Internet:     
ISIN:         DK0010223692
WKN:          
 
End of Announcement                             DGAP News-Service
 
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