Year End Report for New Wave Group AB (publ) January - December 2011

Year End Report for New Wave Group AB (publ) January - December 2011

1 October – 31 December 2011

  · Turnover amounted to SEK 1,188 million, which was on par with last year (SEK
1,202 million).
  · Acquired units contributed by SEK 56 million in turnover and SEK -4 million
in profit before tax, of which SEK 4 million was acquisition costs.
  · Operating profit amounted to SEK 130.3 million (SEK 138.1 million).
  · Profit after tax amounted to SEK 82.7 million (SEK 99.0 million).
  · Earnings per share amounted to SEK 1.25 (SEK 1.47).
  · Cash flow from operating activities amounted to SEK 279.1 million (SEK 202.2
million).

1 January – 31 December 2011

  · Sales turnover amounted to SEK 4,237 million, which was 4 % better than last
year in local currencies and on par with last year in SEK (SEK 4,243 million).
  · Acquired units contributed by SEK 89 million in turnover and SEK -8 million
in profit before tax, of which SEK 7 million was acquisition costs.
  · Operating profit amounted to SEK 326.9 million (SEK 327.6 million).
  · Items affecting comparability amounted to SEK 30.5 million before tax.
  · Profit after tax amounted to SEK 199.1 million (SEK 221.5 million).
  · Earnings per share amounted to SEK 2.99 (SEK 3.31).
  · Cash flow from operating activities amounted to SEK 66.8 million (SEK 343.6
million).
  · Equity ratio amounted 43.5 % (44.8 %).
  · Net debt to equity ratio amounted 85.9 % (72.8 %).
 

DIVIDEND
The Board has decided to propose to the General Annual Meeting a dividend of SEK
1.00 (SEK 1.00) per share, equal to SEK 66.3 million.
VIEWS ON 2012
For 2012 we expect a higher sales turnover and better result than the 2011
outcome.

CEO Comments
2011 was a tough year for the Group, much tougher than I predicted at the
beginning of the year. However, most of our businesses actually improved their
performances – quite a bit – but a few companies decreased the Group’s overall
result.

The major negative occurrences were the extremely warm Swedish winter in
November-December, which meant that our operative segment Sports & Leisure
deviated heavily from the plan, and the problems in one of our German
subsidiaries which impacted the result by SEK 23.5 million. In Orrefors Kosta
Boda we liquidated the department for cut crystal, which impacted the outcome by
SEK 7 million. Due to Orrefors Kosta Boda’s development being worse than
expected we have had to cut costs even more and further savings measures are
currently being implemented. If these measures do not generate expected results,
we will have to make a new evaluation of the Group’s trademark value concerning
Orrefors Kosta Boda. Finally, the acquisition of Ahead and Paris Glove had a
negative effect due to acquisition costs of SEK 7 million.

If we exclude the non-recurring costs for the acquisitions, Germany and Orrefors
Kosta Boda, our operating profit actually increased by SEK 36.5 million (11 %),
despite the warm winter and the problems in Orrefors Kosta Boda. Therefore, as
CEO I have to say that I’m pleased with the Group’s development in all other
respects and l look forward to 2012 with confidence.

Torsten Jansson

 

FOR MORE INFORMATION, PLEASE CONTACT:

CEO Torsten Jansson
Phone: + 46 31–712 89 01
E-mail: torsten.jansson@nwg.se

Deputy CEO Rolf Karp
Phone: + 46 31–712 89 05
E-mail: rolf.karp@nwg.se

CFO Lars Jönsson
Phone: + 46 31–712 89 12
E-mail: lars.jonsson@nwg.se

The information in this report is that which New Wave Group is required to
disclose under the Securities Exchange and Clearing Operations Act and/or the
Financial Trading Act. It was released for publication at 7 am (CET) on 9
February, 2012.