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PLC UUTECHNIC GROUP OYJ BUSINESS REVIEW FROM JANUARY TO SEPTEMBER 2019

Profitably in Q3 was stronger than at the beginning of the year, while order intake weakened slightly

This business review presents the key figures of Uutechnic Group’s continuing operations, main events in January–September 2019 and comparison figures for the previous year. The figures are unaudited.

Uutechnic Group’s turnover from continuing operations for 1 January–30 September 2019 was EUR 12.7 million (12.4 million), and its operating profit was EUR 0.8 million (1.6 million). The order book of Uutechnic Group’s continuing operations stood at EUR 6.5 million (7.2 million) on 30 September 2019 and order received from the beginning of the year was EUR 12.5 million (EUR 14.2 million)

On June 3, 2019 Plc Uutechnic Group Oyj announced that it has sold the share capital of AP-Tela Oy in Kokkola with the price of EUR 3.5 million to a Finnish engineering workshop. The effect of the transaction on the Group’s equity and profit was approximately EUR -0.3 million. This transaction was part of the Uutechnic Group´s strategy of focusing on Mixing Technology. AP-Tela Oy has been consolidated into the Group until June 3, 2019 and will be reported in the discontinued operations.

This business review presents only figures of continuing operations. Uutechnic Group’s continuing operations include parent company Plc Uutechnic Group Oyj and subsidiaries Uutechnic Oy and Stelzer Rührtechnik International GmbH. The comparison figures have been adjusted accordingly.

 

OUTLOOK

The Group strives to be a globally known and preferred cooperation partner, with a good financial standing, in selected product and market segments. The Group pursues growth organically while considering opportunities for growth through acquisitions. Moreover, the aim is to grow the business by developing and harmonizing the sales and delivery process and expanding into new markets.

At the end of the third quarter, the order backlog was slightly unbalanced between the workshops, as it was at the beginning of the year. This will complicate efficient production during the rest of the year.

Plc Uutechnic Group Plc repeats the previously announced outlook, where it estimates the result for the fiscal year 2019 to be lower than last year.

 

BUSINESS REPORTING

The turnover of Uutechnic Group’s continuing operations from January to September increased 2.4% compared to last year. The weak start of the year is clearly reflected in the result. The turnover of the third quarter was slightly below previous year, but profit development significantly improved the situation compared to the first half of the year. However, current earning level is still falling behind from last year’s good numbers. Cost adjustment will continue, although the biggest impacts are related to the full implementation of the digital transformation program, disabling legacy systems and to more efficient processes. During the summer months, production was better distributed between the workshops, improving profitability. No major orders were received in July-September, and the order intake was clearly lower than last year. However, the total order book at the end of September was only 9.3% behind last year. The departure of AP-Tela from Uutechnic Group was successfully executed.

 

STOCK EXCHANGE RELEASES AND PRESS RELEASES PUBLISHED DURING THE REVIEW PERIOD

Press releases

  • 12.2.2019 Significant order for Uutechnic Group’s Mixing Technology Business
  • 09.2.2019 Uutechnic Group’s Mixing technology business received record high monthly order intake.

Stock exchange releases

  • 13.2.2019 Notification according to chapter 9, section 6 and 7 of the securities markets Act
  • 28.2.2019 Review of the financial statements for January – December 2018
  • 04.3.2019 Notification according to chapter 9, section 5,6 and 7 of the securities markets Act
  • 06.3.2019 Plc Uutechnic Group Oyj’s liquidity providing agreement
  • 15.3.2019 Financial statements, corporate governance statement and remuneration statement for 2019
  • 15.3.2109 Invitation to the annual general meeting
  • 10.4.2019 The resolutions of the annual general meeting and the decisions of the board of directors
  • 29.4.2019 Uutechnic Group lowers its outlook for the year 2019
  • 30.4.2019 Uutechnic Group Business review from January – March 2019
  • 20.5.2019 Uutechnic Group has paid subordinated loan
  • 03.6.2019 Uutechnic Group has sold AP-Tela Oy and focuses on Mixing technology
  • 31.7.2019 Plc Uutechnic Group Oyj’s half year report 1.1.-30.6.2019

 

In Uusikaupunki October 31, 2019

PLC UUTECHNIC GROUP OYJ
Board of Directors

 

Further information: Jouko Peräaho, CEO Plc Uutechnic Group Oyj, +358 500 740 808
www.uutechnicgroup.fi

 

Uutechnic Group is focused on improving the competitiveness of its customers by providing them advanced equipment technology and unique service concept worldwide in the field of mixing technology.

The main industries are hydrometallurgy, mining-, pulp and paper-, food-, fertilizer-, other chemical industries and environmental technology.

Plc Uutechnic Group’s subsidiaries are Uutechnic Oy and Stelzer Rührtechnik International GmbH.