Asiakastieto Group Oyj: ASIAKASTIETO GROUP PUBLISHES HISTORICAL FINANCIAL INFORMATION

05/05/2015

Asiakastieto Group_Historical information_1.1. - 31.12.2014

Asiakastieto Group Plc, Stock Exchange Release 5 May 2015, 4.00 p.m. EET

ASIAKASTIETO GROUP PUBLISHES HISTORICAL FINANCIAL INFORMATION

Asiakastieto Group, one of the leading providers of business and consumer information services in Finland, publishes the historical financial information for the year 2014.

Historical financial information 1.1. - 31.12.2014

The following tables include the historical financial information for the interim periods and the pro forma income statement information of Asiakastieto Group Plc for the year 2014. The historical information mentioned above is also found in PDF format as attachment to this release.

Helsinki, 5 May 2015

ASIAKASTIETO GROUP PLC
Board of Directors

Additional information
Jukka Ruuska, CEO, Asiakastieto Group Plc, tel. +358 10 270 7111

Distribution
NASDAQ OMX Helsinki Oy
Main media
investors.asiakastieto.fi

About Asiakastieto Group
Asiakastieto Group is one of the leading providers of business and consumer information services in Finland. The Group's products and services are primarily used for risk management, decision-making and sales and marketing purposes. The Group also operates in the market for business and consumer information, as well as the market for sales and marketing information services in Finland. The Group has approximately 13 000 contract customers and its largest customers include financial institutions, insurance companies, telecommunication operators and wholesale and retail companies. In 2014, the Group's net sales totaled 41,4 million euros. At the end of 2014, the Group employed 148 people. For more information about Asiakastieto Group, please visit www.asiakastieto.fi.

Asiakastieto Group Plc, appendix to the Stock Exchange Release 5 May 2015, 4.00 p.m. EET

HISTORICAL FINANCIAL INFORMATION 1.1. - 31.12.2014

The historical financial information for the interim periods and the pro forma income statement information of Asiakastieto Group Plc (the "Company") presented in this appendix are unaudited. The amounts presented in the appendix are rounded, so the sum of individual figures may differ from the sum reported. The amounts presented in the income statement and balance sheet are consolidated figures.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

  2014 2014 2014 2014 2014
EUR thousand Q1 Q2 Q3 Q4 Q1 - Q4
           
Net sales 10 383 10 344 10 123 10 545 41 395
           
Other operating income 35 88 50 43 216
Materials and services -1 583 -1 652 -1 444 -1 587 -6 266
Personnel expenses -2 477 -2 661 -2 422 -2 218 -9 778
Other operating expenses -1 508 -1 624 -1 512 -2 307 -6 951
Work performed by the entity and capitalised 329 297 134 277 1 037
Depreciation and amortisation -481 -517 -528 -499 -2 025
           
Operating profit 4 696 4 276 4 402 4 254 17 629
           
Finance income 8 12 5 5 30
Finance expenses -6 702 -6 791 -7 281 -8 124 -28 898
Finance income and expenses -6 694 -6 779 -7 276 -8 119 -28 868
           
Loss before income tax -1 997 -2 503 -2 874 -3 865 -11 239
           
Income tax expenses1 - - - 9 192 9 192
           
Result for the period -1 997 -2 503 -2 874 5 327 -2 048
           
Total comprehensive income for the period -1 997 -2 503 -2 874 5 327 -2 048
           
Result attributable to:          
Owners of the parent company -1 997 -2 503 -2 874 5 327 -2 048
           
Total comprehensive income attributable to:          
Owners of the parent company -1 997 -2 503 -2 874 5 327 -2 048
           
Earnings per share attributable to the owners of the parent during the period:          
Basic and diluted earnings per share2 -0,13 -0,17 -0,19 0,36 -0,14

_____________________________________________________________________
1 Deferred income tax assets for tax loss carryforwards and non-deductible net interest expenses amounting to EUR 9 million were recognised at the end of year 2014 due to the significant change in profitability as a result of new financing. Prior to the change in capital structure and the refinancing of indebtedness at the end of year 2014 it was unlikely that the Company could have utilised its tax loss carryforwards. Further information for deferred tax assets recognised is disclosed in note 22 of the financial statements for the year 2014.

2 Earnings per share is calculated by using the number of ordinary shares outstanding after the balance sheet date of 31 December 2014 that includes the shares issued without payment to the sole shareholder of the Company in February 2015.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

  2014 2014 2014 2014 2014
EUR thousand Q1 Q2 Q3 Q4 Q1 - Q4
           
ASSETS          
           
Non-current assets          
Goodwill 111 358 111 358 111 358 111 358 111 358
Other intangible assets 3 714 4 009 4 009 4 533 4 533
Property, plant and equipment 4 148 4 143 4 049 4 018 4 018
Deferred tax assets1 - - - 9 192 9 192
Loan and other receivables 193 141 141 49 49
Total non-current assets 119 413 119 651 119 557 129 150 129 150
           
Current assets          
Account and other receivables 5 464 5 619 5 951 4 987 4 987
Cash and cash equivalents 16 086 16 769 20 487 7 009 7 009
Total current assets 21 549 22 388 26 438 11 997 11 997
           
Total assets 140 962 142 039 145 995 141 147 141 147
           
           
  2014 2014 2014 2014 2014
EUR thousand Q1 Q2 Q3 Q4 Q1 - Q4
           
EQUITY AND LIABILITIES          
           
Equity attributable to owners of the parent          
Share capital 3 3 3 80 80
Invested unrestricted equity reserve 18 835 18 835 18 835 115 266 115 266
Accumulated losses -88 883 -88 883 -88 883 -48 129 -48 129
Result for the period -1 997 -4 500 -7 374 -2 048 -2 048
Total equity -72 043 -74 546 -77 420 65 169 65 169
           
Liabilities          
           
Non-current liabilities          
Interest-bearing liabilities 195 418 207 631 208 160 69 439 69 439
Total non-current liabilities 195 418 207 631 208 160 69 439 69 439
           
Current liabilities          
Interest-bearing liabilities 4 038 2 091 2 091 - -
Advances received 2 900 2 359 1 796 1 614 1 614
Account and other payables 10 649 4 504 11 368 4 924 4 924
Total current liabilities 17 588 8 954 15 255 6 539 6 539
           
Total liabilities 213 006 216 585 223 415 75 978 75 978
           
Total equity and liabilities 140 962 142 039 145 995 141 147 141 147

____________________________________________________________________
1 Deferred income tax assets for tax loss carryforwards and non-deductible net interest expenses amounting to EUR 9 million were recognised at the end of year 2014 due to the significant change in profitability as a result of new financing. Prior to the change in capital structure and the refinancing of indebtedness at the end of year 2014 it was unlikely that the Company could have utilised its tax loss carryforwards. Further information for deferred tax assets recognised is disclosed in note 22 of the financial statements for the year 2014.

CONSOLIDATED STATEMENT OF CASH FLOWS

  2014 2014 2014 2014 2014
EUR thousand Q1 Q2 Q3 Q4 Q1 - Q4
           
Cash flows from operating activities          
Loss before income tax -1 997 -2 503 -2 874 -3 865 -11 239
Adjustments for          
  Depreciation and amortisation 481 517 528 499 2 025
  Finance income and expenses 6 694 6 779 7 276 8 119 28 868
Profit (-) / loss (+) on disposal of  property, plant and equipment -30 -84 -43 -35 -193
Cash flows before change in working capital 5 148 4 709 4 886 4 717 19 460
           
Change in working capital:          
Increase (-) / decrease (+) in account and other receivables -842 -103 -348 925 -367
Increase (+) / decrease (-) in account and other payables 2 076 -527 -120 -412 1 018
Change in working capital 1 234 -629 -468 513 651
           
Interest and other finance expenses paid -371 -451 -368 -857 -2 047
Interest and other finance income received 5 12 4 3 24
Income taxes paid -3 - - - -3
Net cash from operating activities 6 013 3 641 4 055 4 377 18 085
           
Cash flows from investing activities          
Purchases of property, plant and equipment -307 -318 -114 -158 -897
Purchases of intangible assets -556 -829 -288 -785 -2 458
Proceeds from sale of property, plant and equipment 73 86 65 55 279
Loan repayments - 51 - 99 151
Net cash used in investing activities -790 -1 011 -337 -787 -2 925
           
Cash flows from financing activities          
Proceeds from interest-bearing liabilities - - - 70 000 70 000
Repayments of interest-bearing liabilities - -1 947 - -87 067 -89 014
Net cash used in financing activities - -1 947 - -17 067 -19 014
           
Net increase / decrease in cash and cash equivalents 5 222 683 3 718 -13 478 -3 854
           
Cash and cash equivalents at beginning of the period 10 863 16 086 16 769 20 487 10 863
Cash and cash equivalents at end of the period 16 086 16 769 20 487 7 009 7 009

PRO FORMA - CONSOLIDATED INCOME STATEMENT INFORMATION

  2014 2014 2014 2014 2014
  Q1 Q2 Q3 Q4 Q1 - Q4
EUR thousand Pro forma Pro forma Pro forma Pro forma Pro forma
           
Net sales 10 383 10 344 10 123 10 545 41 395
           
Other operating income 35 88 50 43 216
Materials and services -1 583 -1 652 -1 444 -1 587 -6 266
Personnel expenses -2 477 -2 661 -2 422 -2 218 -9 778
Other operating expenses -1 508 -1 624 -1 512 -2 307 -6 951
Work performed by the entity and capitalised 329 297 134 277 1 037
Depreciation and amortisation -481 -517 -528 -499 -2 025
           
Operating profit 4 696 4 276 4 402 4 254 17 629
           
Finance income 8 12 5 5 30
Finance expenses -365 -369 -373 -373 -1 480
Finance income and expenses -357 -357 -368 -369 -1 450
           
Profit before income tax 4 340 3 919 4 034 3 886 16 179

Basis for compilation of the pro forma income statement information

Asiakastieto Group Plc changed its capital structure and refinanced its indebtedness in November and December 2014. The pro forma income statement information is presented to illustrate the impact of the change in the Company's capital structure and refinancing indebtedness on the Company's consolidated finance expenses and result of operations before taxes assuming that the change in capital structure and refinancing measures had been completed on 1 January 2014. After the change in the Company's capital structure and refinancing its indebtedness the Company's consolidated finance expenses decreased, because the loan amount and the interest rate of the new facilities are lower.

The unaudited pro forma income statement information is based on the financial information in the audited consolidated financial statements for the year ended 31 December 2014. The pro forma financial information does not include a pro forma statement of financial position as the impacts of change in the Company's capital structure and refinancing of its indebtedness are fully accounted for in the Company's consolidated statement of financial position as at 31 December 2014.

The finance expenses of EUR 28,9 million in the financial year 2014 related to the former financing have been eliminated from the pro forma income statement information for the interim periods. In addition, the pro forma financial expenses amounting to EUR 1,5 million on an annual basis have been adjusted to the pro forma income statement information for the interim periods to reflect the finance expenses arising from the new facilities.

The pro forma financial information is presented for illustrative purposes only. The pro forma adjustments are based on the impact of changes in capital structure and refinancing the indebtedness and assumptions described in the section "Pro forma financial information" of the Prospectus dated 13 March 2015. 

NET SALES BY PRODUCT AREA

  2014 2014 2014 2014 2014
EUR thousand Q1 Q2 Q3 Q4 Q1 - Q4
Business Information 6 024 6 155 5 902 6 248 24 330
Consumer Information 2 756 2 712 2 900 2 848 11 215
Customer Management 624 701 711 795 2 831
Certificates and Analyses 979 776 610 654 3 019
Total 10 383 10 344 10 123 10 545 41 395

KEY FIGURES

Key income statement and cash flow figures 2014 2014 2014 2014 2014
EUR million Q1 Q2 Q3 Q4 Q1 - Q4
           
Net sales 10,4 10,3 10,1 10,5 41,4
Growth of net sales, %1 -2,9 -2,1 2,3 3,3 0,1
           
EBITDA 5,2 4,8 4,9 4,8 19,7
Operating profit (EBIT) 4,7 4,3 4,4 4,3 17,6
           
Adjusted EBITDA2 5,2 4,9 5,0 5,5 20,6
Adjusted EBITDA margin, %2 50,4 47,4 49,7 51,9 49,8
           
Adjusted EBIT2 4,8 4,4 4,5 5,0 18,6
Adjusted EBIT margin, %2 45,8 42,4 44,4 47,2 45,0
           
Net sales from new products and services 0,6 0,5 0,8 0,8 2,8
New products and services share of net sales, % 5,3 5,2 8,2 8,0 6,7
           
Net sales from value-added services 5,8 5,8 5,7 5,9 23,2
Value-added services share of net sales, % 55,8 56,5 56,1 56,0 56,1
           
Free cash flow 5,5 2,9 4,0 4,3 16,8
Cash conversion, % 106,6 61,2 81,5 90,2 85,3
           
           
Key balance sheet ratios 2014 2014 2014 2014 2014
EUR million Q1 Q2 Q3 Q4 Q1 - Q4
           
Net debt to adjusted EBITDA, x3 8,8 9,8 9,4 2,9 3,0
Gearing, %3 neg. neg. neg. 95,8 95,8
Equity ratio, %3 -52,2 -53,4 -53,7 46,7 46,7

__________________________________________________________________
1 Growth of net sales is calculated by comparing net sales in the quarters of year 2014 to net sales in the equivalent quarters of year 2013.

2 Adjusted key figures are adjusted by non-recurring items. The non-recurring items include management fees for advisory services paid to Investcorp, the former owner of the Company, until the listing of the Company, costs related to the listing, fees for legal and other advisory, redundancy payments and paid compensations. The non-recurring items in the financial year 2014 totalled to EUR -1,0 million (Q1 EUR -57,0 thousand, Q2 EUR -106,9 thousand, Q3 EUR -97,1 thousand and Q4 EUR -721,1 thousand).

3 Key ratios in the Q1- Q3 quarters of year 2014 are not comparable to key ratios in the equivalent quarters of year 2015 as a result of the change in capital structure and the refinancing of indebtedness carried out by the Company at the end of 2014.

Formulas for key figures        
         
EBITDA Operating profit + Depreciation and amortisation
         
Adjusted EBITDA EBITDA + Non-recurring items
         
Adjusted EBIT EBIT + Non-recurring items
         
Net sales from new products and services Net sales from products and services launched during the period and change in net sales from products and services launched in the equivalent period of previous year
 
         
Net sales from value-added services Net sales generated from value-added products and services during the period
         
Free cash flow Cash flows before change in working capital +/- Change in working capital - Capital expenditure on tangible assets - Capital expenditure on intangible assets
 
 
         
Cash conversion, % Free cash flow x 100    
EBITDA    
         
Net debt Interest-bearing liabilities - Cash and cash equivalents
         
Net debt to adjusted EBITDA, x Net debt      
Adjusted EBITDA      
         
Gearing, % Interest-bearing liabilities - Cash and cash equivalents x 100
Total equity    
         
Equity ratio, % Total equity   x 100  
Total assets - Advances received