-
Consolidated turnover at € 157.4 million for 2005.
-
The Group’s consolidated net profit equal to € 6.1 million.
-
Proposed payment of a € 0.14 dividend
The Board of Directors of Targetti Sankey S.p.A. met today in Florence to approve the draft financial statements for the year and the consolidated financial statements as at 31 December 2005.
The main consolidated results of 2005
In 2005, the Group’s consolidated turnover totalled € 157.4 million, showing a 7.6% increase compared to € 146.3 million in 2004.
Said growth mainly referred to the architectural lighting sector – the Group’s core business – which registered a 18.1% increase for the period. The outdoor public lighting market showed a drop of 15.7%, and light sources decreased by 3.2%, while the telecommunications sector – which accounts for approximately 3.7% of overall turnover – grew by 47.0%.
Revenues increased in all geographic areas: Growth in the EU countries, including Italy, was equal to 8.4%, growth in the USA was at 4.9%, and, in the rest of the world, it stood at 4.3%.
The consolidated gross operating margin (EBITDA) stood at € 19.2 million compared to € 20.2 million in 2004, while the operating result (EBIT) stood at € 14.3 million compared to € 15.8 million in 2004.
The Group’s consolidated net profit totalled € 6.1 million compared to € 6.2 million in 2004 [1]. A positive difference with respect to the figure published in the fourth quarter 2005 (€ 5.5 million) was noted. This was largely due to a lower tax incidence than that estimated when drafting the preliminary report.
Financial position as at 31 December 2005
The net financial position stood at € 34.4 million as at 31th December 2005, compared to € 21.5 million as at 31th December 2004. This was due to an increase in the consolidation area (A2 S.r.l) and to strong investments, including the start of construction for new production plants.
Net equity stood at € 60.9 million, showing an increase compared to € 56.8 million as at 31th December 2004.
As at 31th December 2005, the parent company Targetti Sankey S.p.A held 427,745 own shares, amounting to 2.3% of share capital.
Dividend proposal
The Board of Directors has resolved to propose the payment of a gross dividend of € 0.14 per share, the equivalent of 41.6% payout, to the Shareholders’ Meeting.
The dividend will become payable starting on May 11th; its registration on coupon no. 8 is set for May 8th.
The Shareholders’ Meeting, called to approve the 2005 financial statement and the allocation of profits, is scheduled to be held in first call on April 28th, at 11:30 AM, in Florence.
Comments of the Managing Director
“Based on the positive results achieved in 2005”, said Lorenzo Targetti, Managing Director of Targetti Sankey S.p.A., "a significant dividend was once again proposed this year, inline with payout policies from the previous years.”
“Furthermore, trends for the first few months of 2006," continued Targetti, "are being confirmed as positive. These, coupled with the numerous initiatives we have undertaken, allow us to be optimistic for all of 2006."
The primary consolidated economic and financial figures for 2005, approved today by the Board of Directors, are attached to this press release.
The Targetti Group is one of the European leaders in the sector of interior and exterior lighting, A network of nine highly specialised companies, it draws its strength from its long history and from its natural talent for research, Thanks to its perfect blend of technology and design, Targetti equipment lights universal masterpieces of art such as Michelangelo's David, Leonardo's Last Supper, and the Notre Dame Cathedral, and is used in a wide range of environments: the Singapore Opera House, Madrid, Canton, and Paris airports, the Bulgari, Benetton, Celine, Diesel showrooms, the Formula 1 McLaren boxes, corporations such as Peugeot, Citröen, and Alfa Romeo, the world's most prestigious hotel chains, and over 4000 large and small urban environments, all places where light,,,means Targetti,
Contact: Marco Cisbani Massimiliano Parboni
Targetti Sankey S,p,A Barabino&Partners
Ph.: +39 (0) 553791,203 Ph.: +39 (0) 6679,29,29
[1] “Net results of continuing operations”, calculated net of discontinued operations, were equal to € 6.1 million (compared to € 6.3 million in 2004). Discontinued operations include Duralamp International S. A. activities since Targetti – through its subsidiary Dura Lamp S.p.A., for which it holds 51% - resolved to reduce participation in future, with the resulting loss of control.
CONSOLIDATED INCOME STATEMENT
|
€/000 |
2005 |
2004 |
|
Net turnover |
157,382 |
146,285 |
|
|
|
|
|
Other revenues |
1,979 |
4,035 |
|
Consumption and other operating costs |
(108,289) |
(100,992) |
|
Added value |
51,072 |
49,328 |
|
|
|
|
|
Personnel costs |
(31,842) |
(29,171) |
|
Gross operating margin |
19,230 |
20,157 |
|
|
|
|
|
Amortisation, depreciation and provisions |
(4,884) |
(4,316) |
|
Operating result |
14,346 |
15,841 |
|
|
|
|
|
Net financial income (expenses) |
(1,974) |
(2,296) |
|
Pre-tax result |
12,372 |
13,545 |
|
|
|
|
|
Tax on income for the period |
(6,303) |
(7,240) |
|
Net results of continuing operations |
6,069 |
6,305 |
|
|
|
|
|
Net result of discontinued operations |
758 |
1,247 |
|
|
|
|
|
Net result for the period |
6,827 |
7,552 |
|
|
|
|
|
Minority interest for the period |
(750) |
(1,379) |
|
Group result for the period |
6,077 |
6,173 |
|
|
|
|
|
Group per share result for the period |
0.34 |
0.35 |
CONSOLIDATED BALANCE SHEET
|
€/000 |
As at 31.12.05 |
As at 31.12.04 |
|
|
|
|
|
Tangible assets |
28,196 |
23,726 |
|
Intangible assets |
10,982 |
8,491 |
|
Non current financial assets |
124 |
623 |
|
Other non current assets |
3,591 |
2,454 |
|
Fixed assets A |
42,893 |
35,294 |
|
|
|
|
|
Inventories |
41,091 |
34,894 |
|
Trade receivables |
56,151 |
53,845 |
|
Financial assets and other current assets |
4,831 |
5,196 |
|
Short term operating assets B |
102,073 |
93,935 |
|
Trade payables |
(30,777) |
(28,577) |
|
Financial liabilities and other current liabilities |
(14,056) |
(15,344) |
|
Short term operating liabilities C |
(44,833) |
(43,921) |
|
Net working capital D=B+C |
57,240 |
50,014 |
|
|
|
|
|
Severance indemnity provision E |
(4,514) |
(4,040) |
|
Financial Liabilities and other non current liabilities F |
(3,549) |
(2,967) |
|
Total G=E+F |
(8,063) |
(7,007) |
|
|
|
|
|
Net asset held for sale H |
3,237 |
- |
|
|
|
|
|
Net invested capital A+D+G+H |
95,307 |
78,301 |
Financed by:
|
Group net equity I |
55,927 |
52,586 |
|
Minority net equity L |
5,013 |
4,218 |
|
Total net equity M=I+L |
60,940 |
56,804 |
|
|
|
|
|
Medium and long-term borrowing N |
18,208 |
7,088 |
|
Short term borrowing |
24,042 |
22,049 |
|
Cash and equivalents |
(7,883) |
(7,640) |
|
Net short-term borrowing O |
16,159 |
14,409 |
|
Total net borrowing P=N+O |
34,367 |
21,497 |
|
|
|
|
|
Own funds and borrowed funds M+P |
95,307 |
78,301 | |
