PRESS RELEASE FOR THE FINANCIAL RESULTS OF ELGEKA WITHIN ΝΙΝΕ MONTHS PERIOD 2012
Thessaloniki, November 30th, 2012
The continuing and intensifying decline in consumption in the domestic market coupled with a lack of liquidity leads to drastic changes in most sectors of the Greek economy. A great number of small and medium enterprises being withdrawn from the market or barely operate, being unable to cope with the new conditions, while new industries and products are gaining momentum and significance in economic activity.
ELGEKA Group is positioned in this environment by investing in industries that are expected to play a leading role in the coming years, as is the logistics services, the private label products, the production and marketing of consumer goods that have the features necessary to acquire significant market shares in Greece and abroad. The extensive distribution network, the strategic partnerships, the economies of scale, the quality of service and products are the main competitive advantages of the Group.
During the first nine months of 2012, ELGEKA Group managed to restrain the falling sales at satisfactory levels (5.8%) in relation to the market decline, maintain the gross margin (10.8% vs. 10.7 % in the comparable period of 2011), as well as to reduce its operating cost by 2.6%, despite the burden of a series of extraordinary expenses incurred due to the restructuring of its network and adapting its structure to the new conditions. The positive element is the realization of significant positive operating cash flows (6.0 million euro), which enabled the Group to reduce its borrowings by 7.6 million euro (change in relation to 31.12.2011). However, the decrease in gross profit (due to lower sales), combined with the increased cost of money and the negative impact of exchange rates had the effect of making losses.
Specifically, consolidated turnover amounted to 250.2 million euro compared to 265.6 million euro in the 9 month period of 2011. Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to 5.4 million euro compared to 7.8 million euro in the comparable period of 2011, while pre-tax loss amounted to 6.0 million euro compared to loss of 3.9 million euro in 2011. The loss after tax and non-controlling interest amounted to 6.1 million in the 9 month period of 2012 comparing to loss of 3.9 million euro in the 9 month period of 2011.
The Summary Financial Data and Information for the period 01.01.2012 – 30.09.2012 are published in press today Friday, November 30, 2012, in newspaper “IMERISIA” and are available, along with the Interim Financial Statements of the same period in the company’s website (www.elgeka.gr), as well as in Athens Exchange website (www.ase.gr).