SUOMINEN CORPORATION FINANCIAL STATEMENTS JANUARY 1 - DECEMBER 31, - - PowerPoint PPT Presentation

SUOMINEN CORPORATION

FINANCIAL STATEMENTS

JANUARY 1 - DECEMBER 31, 2002

PRESENTATION FEBRUARY 5, 2003

Breakdown of Net Sales 1 - 12/2002

Webbing Products EUR 13.2 million 7.5 % Nonwovens EUR 89.4 million 51.2 % Flexible Packaging EUR 72.1 million 41.3 % EUR 174.8 million

P & L in Brief

January 1 - December 31 EUR million 2002 2001

Pro forma

Change % Net sales 174.8 174.1 +0.4 Operating Profit 17.4 12.2 +43.1 Profit before extraordinary items 15.1 9.3 +62.4 Taxes

• 4.2
• 2.8

Profit for the period 10.8 6.5 +67.2 Earnings per share, EUR 0.68 0.41 +65.9 Dividend per share, EUR, proposal 0.70 0.40 +75.0

Key Figures

12/2002 12/2001

Pro forma

Earnings/share, EUR 0.68 0.41 Equity/share, EUR 4.07 3.86 Cash flow from operations/share, EUR 1.38 1.66 Return on equity, % (ROE) 17.9 10.9 Return on invested capital, % (ROI) 15.6 10.3 Equity ratio, % 47.0 43.5 Gearing, % 66.5 81.5 Gross investments, EUR million 8.0 10.7 Depreciation, EUR million 15.6 15.2

Suominen Corporation Net Sales I/2001 -IV/2002

45 001 43 086 42 944 43 084 41 442 43 872 43 660 45 836 10 000 20 000 30 000 40 000 50 000 60 000 I/2001 II III IV I/2002 II III IV

EUR 1 000 I - III/2001 pro forma

Suominen Corporation Operating Profit I/2001 -IV/2002

3 320 2 510 3 920 2 408 4 291 4 352 3 624 5 129 1 000 2 000 3 000 4 000 5 000 6 000 I/2001 II III IV I/2002 II III IV 2 4 6 8 10 12 14

EUR 1 000

%

• w/o extra costs

I - III/2001 pro forma

Net Sales by Business Area

January 1 - December 31 EUR 1 000 2002 2001

Pro forma

Change % Nonwovens 89 416 85 264 +4.9 Flexible Packaging 72 118 72 370

• 0.3

Webbing Products 13 158 16 328

• 19.4

Group & Internal 118 153 Total 174 810 174 115 +0.4

Earnings by Business Area

January 1 - December 31 EUR 1 000 2002 2001

Pro forma

Change % Nonwovens 13 022 7 811 +66.7 Flexible Packaging 5 616 5 682

• 1.2

Webbing Products

• 683
• 986

Group & Internal

• 559
• 349

Operating profit 17 396 12 158 +43.1 Financial income and expenses

• 2 335
• 2 886
• 19.1

Profit before extraordinary items 15 061 9 272 +62.4

Nonwovens

January 1 - December 31 EUR million 2002 2001

Pro forma

Change % Net sales 89.4 85.3 +4.9 Operating Profit 13.0 7.8 +66.7

• Higher sales volumes and improved cost effectiveness

improved the profitability in Nonwovens.

• Growth continued strong in wiping product materials.
• Sales of hygiene product materials stable after cuts in

product range in 2001.

• Health care product materials fell on 2001.
• The rise in raw material prices levelled off in Q3 and

softened towards the year end.

• Renewal of hydroentanglement lines improved product

quality and increased capacity.

Nonwovens Net Sales I/2001 -IV/2002

21 972 20 261 21 930 21 101 20 460 21 991 23 356 23 609 5 000 10 000 15 000 20 000 25 000 30 000 I/2001 II III IV I/2002 II III IV

EUR 1 000

Nonwovens Operating Profit I/2001 -IV/2002

1 623 1 523 2 817 1 848 2 666 3 476 3 204 3 676 500 1 000 1 500 2 000 2 500 3 000 3 500 4 000 I/2001 II III IV I/2002 II III IV 2 4 6 8 10 12 14 16 18 20

EUR1 000

%

• w/o extra costs

Flexible Packaging

January 1 - December 31 EUR million 2002 2001

Pro forma

Change % Net sales 72.1 72.4

• 0.3

Operating Profit 5.6 5.7

• 1.2
• Net sales and operating profit on previous year’s level.
• Sales of packaging for hygiene products and food products

increased.

• Strong increase of sales in Russia and Poland.
• Sales in retail service packaging fell on 2001.
• Measures to improve structural efficiency started in the latter

part of the year.

Flexible Packaging Net Sales I/2001 -IV/2002

18 214 18 243 17 445 18 468 17 614 18 285 17 352 18 867 5 000 10 000 15 000 20 000 25 000 I/2001 II III IV I/2002 II III IV

EUR 1 000

Flexible Packaging Operating Profit I/2001 -IV/2002

1 710 1 310 1 157 1 505 1 836 1 370 675 1 735 500 1 000 1 500 2 000 2 500 3 000 I/2001 II III IV I/2002 II III IV 2 4 6 8 10 12

EUR 1 000

%

Webbing Products

January 1 - December 31 EUR million 2002 2001

Pro forma

Change % Net sales 13.2 16.3

• 19.4

Operating Profit

• 0.7
• 1.0
• Sales of materials handling products fell because of soft

demand for these products and streamlining of product range.

• Sales of narrow fabrics were stable.
• Costs adjusted during the year, operating profit, however, still
• n red.

Webbing Products Net Sales I/2001 -IV/2002

4 774 4 546 3 541 3 467 3 338 3 570 2 923 3 327 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000 10 000 I/2001 II III IV I/2002 II III IV

EUR 1 000

Webbing Products Operating Profit I/2001 -IV/2002

• 33
• 117
• 205
• 631
• 175
• 299
• 126
• 83
• 650
• 400
• 150

100 350 600 II III IV I/2002 II III IV

• 25
• 20
• 15
• 10
• 5

5 10 15 20 25

EUR 1 000

%

• w/o extra costs

I/2001

Outlook

• Risk of consumer consumption to suffer from the Irak situation

and of slow economic growth.

• Sales agreements in Nonwovens with core customers indicate

sales and profitability to be on 2002 level. Due to the timing of deliveries, sales and result in Q1 are expected to be lower than year earlier.

• Demand for Flexible Packaging expected to rise in Russia and

East Central Europe.

• Efforts focused on to regain lost market shares in Webbing

Products.

• Special attention to cost effectiveness.
• Financial result in 2003 expected to remain on the level
• f 2002.