Satair A/S
Satair Annual Report 2010/11

Satair A/S 

14.09.2011 08:04
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2010/11 lived up to Satair's expectations

After the divestment of its OEM activities the Group has focused on the
Aftermarket which developed favourably during the period in review. This was
due partly to fine traffic growth, partly to a particularly keen demand for
spares triggered by a steep increase in maintenance activities. The combination
of the favourable market environment, in-house efficiencies and improved order
execution procedures resulted in an extremely satisfactory financial
performance in alignment with the expectations stated in the Q3 release dated
10 May, 2011. 



Revenue

Revenue in fiscal 2010/11 increased from USD 303.2 million to USD 403.0
million, up USD 99.8 million or 33%, driven by organic growth of USD 61.5
million (20%) and growth from acquisitions of companies and product lines
totalling USD 38.3 million (13%). 



EBITDA

EBITDA for fiscal 2010/11 came to USD 36.2 million against USD 23.2 million in
2009/10, up 56%. The steep revenue growth led to major cost efficiencies, and
that accelerated earnings. Not unexpectedly, the strong sales growth had a
certain adverse effect on the gross margin, which declined by 0.5 percentage
points in 2010/11. 



The EBITDA margin came to 9.0% against 7.7% last year.



Profit from discontinuing activities

The accounting profit from the divestment of the OEM activity to B/E Aerospace
effective from 27 October 2010 comes to USD 66.6 million including operating
profit from the OEM activity from the opening of the year until the time of
divestment. Cash proceeds from the sale were USD 162.2 million which was paid
on the date of divestment. 



Profit for the year

Profit for 2010/11 came to a total of USD 86.9 million against USD 19.8 million
in 2009/10. 



Cash flows

The free cash flow before the acquisition and divestment of companies came to
USD 19.8 million in 2010/11, up from USD 7.8 million in 2009/10. 



Financial guidance for 2011/12

The expectations for FY 2011/12 announced in release no. 207 dated 27 July 2011
are maintained. 



Revenue is thus forecast in the region of USD 500 million, reflecting growth of
approx. 24%, and an EBITDA of around USD 44 million. 



EBITDA has been stated before transaction costs for the possible sale to Airbus
of the Satair Group. On the assumption that the transaction goes ahead as
planned, the transaction costs are expected to aggregate USD 5.0 million for
recognition as expenses in FY 2011/12. 



The free cash flow before acquisition and divestment of companies is forecast
at around USD 18.0 million. 



The guidance builds upon a USD/DKK rate of 525.



Offer to buy

On 2 August 2011, Airbus made a public offer to the holders of shares and
warrants in Satair. The offer to buy expires on 27 September 2011. The Board of
Directors finds that the combination with Airbus offers good strategic
opportunities that are likely to accelerate the fulfillment of Satair's
activities. 



Dividend

Given the offer made for the company and the terms outlined in the Offer
Document, which provide that the offer price of DKK 580 will be reduced on a
DKK-for-DKK basis in the event of any declarations of dividend, the Board of
Directors has decided to propose to the Annual General Meeting that no dividend
be declared for fiscal 2010/11. 



Attachment

Satair Annual Report 2010/11.pdf





Webcast

Wednesday 14 September, 2011 at 10.00, telephone +45 7026 5040. The conference
call can be followed via a link on Satair's website, www.satair.com, and will
subsequently be available on the Group's website. 





Further information

John Stær, jst@satair.com, +45 4015 9286

CFO Michael Højgaard, mih@satair.com, +45 4030 4349
News Source: NASDAQ OMX



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Language:     English
Company:      Satair A/S
              
               
              Denmark
Phone:        
Fax:          
E-mail:       
Internet:     
ISIN:         DK0010230390
WKN:          
 
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