Slide 1: Q2 Interim Report 2011
Q2 INTERIM REPORT 2011 July 27, 2011 1
Slide 2: Group Strategy and Organization
GROUP STRATEGY AND ORGANIZATION Indonesia Mexico Great Britain 2
Slide 3: Summary of Q2 2011
SUMMARY OF Q2 2011 EUR million II/2011 II/2010 I-II/2011 I-II/2010 I-IV/2010 Net Sales 80.9 77.6 155.6 148.4 269.4 Operating Profit - Reported 12.8 12.5 24.9 24.2 31.3 Operating Profit - Comparable 13.0 12.6 25.1 24.4 31.8 Net Profit for the Period 8.0 8.4 15.9 17.5 20.7 EPS (basic), EUR 0.17 0.18 0
Slide 4: Analysis of Net Sales
ANALYSIS OF NET SALES 90 Net Sales Development Q-on-Q Y-on-Y MEUR 80 Group Total 4% 5% 70 Group Fishing Products 4% 7% 60 50 Other Group Products 28 % 16 % 40 Third Party Products 1% 0% 30 North America -8 % -4 % 20 Nordics 7% 9% 10 Rest of Europe 14 % 16 % 0 Rest of the World -6 % 4% Q2/2007 Q2/200
Slide 5: Analysis of Operating Profit
ANALYSIS OF OPERATING PROFIT Operating profit (MEUR) Q2/2011 Q2/2010 Q2/2011 YTD Q2/2010 YTD Group total (comparable) 13.0 12.6 25.1 24.4 Group Fishing Products 7.9 8.6 16.5 16.7 Other Group Products 0.4 0.1 0.9 0.6 Third Party Products 4.5 3.8 7.6 6.9 Group Total (as reported) 12.8 12.5 24.9 24.2 •
Slide 6: Net Result and Cash Flow
NET RESULT AND CASH FLOW EUR million II/2011 II/2010 I-II/2011 I-II/2010 I-IV/2010 Net profit for the period 8.0 8.4 15.9 17.5 20.7 Adjustments (reversal of non-cash items) 5.8 5.8 11.9 9.4 17.4 Financial items and taxes paid/rec -3.3 -2.7 -6.2 -6.0 -12.1 Change in working capital 6.4 8.7 -20.2 -12.
Slide 7: Strategy Implementation
STRATEGY IMPLEMENTATION • Several actions relating to manufacturing and distribution activities as wells as Group’s internal supply chain and inventory management. • Signing an agreement with Shimano on distribution JV in UK. • Closing a deal to purchase a small UK based company Advanced Carp Equipm
Slide 8: Strategic Distribution Alliance with Shimano in UK
STRATEGIC DISTRIBUTION ALLIANCE WITH SHIMANO IN UK Rapala Group Shimano Rapala Group 100% 50/50 ownership and control Shimano 50/50 JV Dynamite Baits Ltd Shimano Normark UK Ltd • Bait manufacturing and • Exclusive distribution in UK of Rapala R&D UK Group’s products (incl. carp tackle) • Brand distr
Slide 9: Expansion of Production to Indonesia
EXPANSION OF PRODUCTION TO INDONESIA Location of Batam, Indonesia Rapala factory Batam Key facts of Batam Rapala expansion to Batam • Part of a Special Economic Zone • New factory will be opened in Batam to secure access to cost competitive with Singapore production resources. Chinese labor costs ar
Slide 10: Short-Term Outlook
SHORT-TERM OUTLOOK • The view on general market situation and sentiment continues to be positive for the remaining of the year, with no major threats currently on sight. • After a slowish start for the season in the major North American markets, the sales picked up strong in June and the short-term
Slide 11: Financial Trends in Rapala
FINANCIAL TRENDS IN RAPALA • It is expected that in 2011 the net sales will increase from 2010. Profitability estimate is specified so that the comparable operating profit is expected to improve from 2010 and comparable operating margin to remain close to last year’s level. • Financial position gett
Slide 12: Shares and Shareholders
SHARES AND SHAREHOLDERS SHARE RELATED DATA (06/2011) Share price index performance in Jan 2010 – Mar 2011 • Market capitalization 249.5 MEUR 150 Indexed values 140 • 12-month high/low 7.38/5.52 EUR 130 • All-time high/low 8.40/2.50 EUR 120 110 100 MAJOR SHAREHOLDERS (06/2011) 90 • VMC Holdings 30 %
Slide 13: End of Presentation
END OF PRESENTATION Tight lines! 13