Pöyry Oyj : Interim report 1 January- 30 September 2011


PÖYRY PLC          Interim Report 27 October 2011 at 8:30 a.m.

INDUSTRY BUSINESS GROUP'S PROFITABILITY DEVELOPING WELL - BUSINESS ENVIRONMENT
IN THE PUBLIC SECTOR CHALLENGING

KEY FIGURES
                                  | 7-9/| 7-9/|Change,| 1-9/| 1-9/|Change,|1-12/
Pöyry Group                       | 2011| 2010|      %| 2011| 2010|      %| 2010
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Order stock at end of period, EUR |     |     |       |     |     |       |
million                           |724.4|543.7|   33.2|724.4|543.7|   33.2|526.2
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Net sales total, EUR million      |193.9|161.2|   20.3|569.2|495.6|   14.9|681.6
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Operating profit excluding        |     |     |       |     |     |       |
restructuring costs, EUR million  |  8.5|  0.1|      -| 24.0|  3.8|      -| 17.3
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Operating margin excluding        |     |     |       |     |     |       |
restructuring costs, %            |  4.4|  0.1|       |  4.2|  0.8|       |  2.5
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Operating profit, EUR million     |  6.9|  0.1|      -| 20.5| -0.3|      -|  5.8
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Operating margin, %               |  3.6|  0.1|       |  3.6| -0.1|       |  0.9
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Profit before taxes, EUR million  |  6.1| -0.8|      -| 17.9| -2.1|      -|  4.3
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Earnings per share, basic, EUR    | 0.05|-0.04|      -| 0.16|-0.08|      -| 0.00
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Earnings per share, diluted, EUR  | 0.05|-0.04|      -| 0.16|-0.08|      -| 0.00
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Gearing, %                        |     |     |       | 37.8| 20.6|       |  3.5
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Return on investment,  % (R12M)   |     |     |       |  9.8|  0.5|       |  2.6
----------------------------------+-----+-----+-------+-----+-----+-------+-----
Average number of personnel during|     |     |       |     |     |       |
period, calculated as full time   |     |     |       |     |     |       |
equivalents (FTE)                 |     |     |       |6,815|6,540|    4.2|6,611


All figures and sums have  been  rounded  off  from  the  exact  figures  which
 may  lead  to  minor  discrepancies  upon  addition or subtraction.

JANUARY-SEPTEMBER 2011 HIGHLIGHTS
Figures  in  brackets,  unless  otherwise  stated,  refer to the same period the
previous year.
-  The Group's  order stock  totalled EUR  724.4 million (543.7)  at the  end of
September  2011. The order stock includes a  major EPC contract announced in the
first quarter of 2011.
-  Consolidated net sales  in January-September 2011 increased  by 14.9 per cent
compared with the year before to EUR 569.2 million (495.6).
-  Operating  profit  excluding  restructuring  costs was EUR 24.0 million (3.8)
corresponding to 4.2 per cent (0.8) of sales.
-  Compared with the year before, operating profit improved significantly in the
Energy,  Industry  and  Management  Consulting  business  groups  as a result of
improving activity and successful restructuring measures.
-  The  Group's  operational  excellence  program  launched in 2010 continues in
Germany. Negotiations with the labour representatives are on-going.
- Balance sheet remains strong. The inclusion of the Vantaa Head Office building
in  the balance sheet in the second  quarter of 2011 increased gearing which now
stands at 37.8 per cent (20.6).
-  The accounts receivable  includes EUR 26.6 million,  which relates to certain
public  sector  infrastructure  projects  in  Venezuela. Pöyry has has continued
intensive collection activities of these receivables.
-  Transaction whereby Pöyry  PLC acquired  parts  of the engineering consulting
business  of Vattenfall  Power Consultant  AB was  completed on  15 July and the
newly  established company SwedPower AB was consolidated in Pöyry's reporting as
from 1 July 2011.
- Oil and gas business was divested in June 2011.
-  After the end of the report  period, on 12 October 2011, Pöyry announced that
it will increase focus on emerging markets and realign structure by establishing
a  dedicated Asian operations unit and combining Water & Environment and Urban &
mobility business groups into new Urban business group.
OUTLOOK FOR 2011
Pöyry's  businesses are predominantly driven by clients' new capital investments
and  most  of  the  businesses  are  also  inherently  late  in the cycle. It is
difficult to predict the timing of clients' new investment decisions and project
start-ups. During the autumn the uncertainty around the general economic outlook
has  further increased,  which may  also impact  investment activity in business
segments that are relevant to Pöyry's operations.
The  current strong order stock and outlook for new orders support the net sales
development.  However, the outlook for the  Group's net sales growth in 2011 has
been  revised  downwards  from  improves  clearly  to  improves. Outlook for the
operating  profit  development  remains  unchanged  and the comparable operating
profit  for 2011 is expected to improve significantly from the operating profit,
excluding  restructuring  costs,  in  2010, taking  into consideration the small
numbers in the reference period.
Outlook concerning business groups:
The  preconditions  for  net  sales  growth  in 2011 remain good in the Industry
business  group but have slightly slowed in the Energy and Management Consulting
business  groups.  In  the  Water  &  Environment business group the outlook has
deteriorated  and there as  well as in  the Urban &  Mobility business group net
sales  are  expected  to  remain  stable  or  decline compared with 2010. In the
Industry  and Management Consulting business groups the operating profit outlook
is  unchanged  and  their  comparable  operating  profit  in 2011 is expected to
improve  significantly.  Comparable  operating  profit  outlook  in  the  Energy
business group has been revised from improves significantly to improves clearly,
in  the  Urban  &  Mobility  business  group  from  declines clearly to declines
significantly  and  in  the  Water  &  Environment  business group from improves
significantly to stable or improves.
COMMENTS FROM HEIKKI MALINEN, PRESIDENT AND CEO:
"The  good order  intake especially  in the  Industry and Energy business groups
during  2011 has resulted in high order stock.  The major EPC contract which was
received  from MWV Rigesa,  Brazil, in the  first quarter of  2011 is now in the
implementation  phase.  In  September  the  Industry business group received yet
another  pulp mill  project from  Latin America  which supported the order stock
level.  In the Energy business group the order stock increased about 12 per cent
from  the  year  before  which  also  includes  the  acquired  business in Pöyry
SwedPower.
In the public sector the business environment has been more challenging. We have
a  strong focus on developing new  solutions to improve our competitiveness, and
following  the on-going strategic review the decision  was made to merge Water &
Environment business group and Urban & Mobility business groups. We believe that
by  combining these businesses into the new  Urban business group we are able to
improve  competitiveness and  better capture  synergies across engineering units
serving  mainly the public sector. This change will be effective as of 1 January
2012.
Accelerating  profitable  growth  is  one  of  our strategic targets and in this
respect  the emerging  markets are  fundamentally important  for the company. We
have  a long and successful history in  Latin America, especially in Brazil, and
now  we increase our focus  on Asia. We are  already established in this region,
but  Asia's share of  Pöyry's total business  needs to be  further increased. In
order  to increase sales  of owners' and  contractors' engineering, EPCM and EPC
projects in the region we have decided to establish a dedicated Asian operations
unit that will start from in beginning of 2012.
Our  operating profit  during 2011 has  recovered from  the low levels of 2010.
Towards the end of the reporting period the increasing macroeconomic uncertainty
began  to  be  visible  as  somewhat  softer  market  environment for management
consulting.  Challenges in  the public  sector are  also continuing. The current
strong order stock and outlook for new orders support the net sales development.
However,  the outlook for the Group's net  sales growth in 2011 has been revised
downwards  from improves clearly  to improves. Outlook  for the operating profit
development  remains unchanged and  the comparable operating  profit for 2011 is
expected   to   improve  significantly  from  the  operating  profit,  excluding
restructuring costs, in 2010, taking into consideration the small numbers in the
reference period."
This  is a  summary of  the January-September  2011 interim report. The complete
report  is  published  as  an  enclosure  to  this  company  announcement and is
available  in full  on the  company's web  site at  www.poyry.com. Investors are
advised to review the complete interim report with tables.
PÖYRY PLC
Additional information from:
Heikki Malinen, President and CEO
tel. +358 10 33 21307
Jukka Pahta, CFO
tel. +358 10 33 26088
Sanna Päiväniemi, Director, Investor Relations
tel. +358 10 33 23002
INVITATION TO CONFERENCES TODAY 27 OCTOBER 2011
The  January-September 2011 result will  be presented by  CEO Heikki Malinen and
CFO Jukka Pahta at the news conferences today as follows:
-  A conference for analysts, investors and press in Finnish will be arranged at
12 p.m. Finnish time at Restaurant Savoy, Eteläesplanadi 14, Helsinki, Finland.
-  An international conference call  and webcast in English  will begin at 3:00
p.m. Finnish time (EEST). Please note the time.
8:00 a.m. US EDT (New York)
1:00 p.m. BST (London)
2:00 p.m. CEST (Paris)
3:00 p.m. EEST (Helsinki)
The  webcast may  be followed  online on  the company's website www.poyry.com. A
replay can be viewed on the same site the following day.
To attend the conference call, please dial
US: +1 334 323 6201
Other countries: +44 20 7162 0025
Conference id: 905331
Due  to  the  live  webcast,  we  kindly  ask  those attending the international
conference  call and  webcast to  dial in  5 minutes prior  to the  start of the
event.
Pöyry  is  a  global  consulting  and  engineering company dedicated to balanced
sustainability and responsible business. With quality and integrity at our core,
we  deliver best-in-class management consulting, total solutions, and design and
supervision.  Our in-depth expertise extends to  the fields of energy, industry,
urban  & mobility and water & environment. Pöyry has 7,000 experts and the local
office  network in about  50 countries. Pöyry's net  sales in 2010 were EUR 682
million  and the company's shares are quoted on NASDAQ OMX Helsinki. (Pöyry PLC:
POY1V).
DISTRIBUTION:
NASDAQ OMX Helsinki
Major media
www.poyry.com

[HUG#1558277]

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