ITALMOBILIARE GROUP
- CONSOLIDATED REVENUE AT SEPTEMBER 30: 3,617.4 MILLION EURO (3,765.4 MILLION EURO AT SEPTEMBER 30, 2011)
- TOTAL LOSS FOR PERIOD: -35.3 MILLION EURO (PROFIT OF 167.3MILLION EURO INCLUDING CAPITAL GAINS OF 107 MILLION EURO ONSALE OF OPERATIONS IN TURKEY)
- NET FINANCIAL POSITION OF ITALMOBILIARE SPA ANDFINANCIAL SEGMENT POSITIVE FOR 116.3 MILLION EURO (105.2MILLION EURO AT DECEMBER 31, 2011)
- CONSOLIDATED NET FINANCIAL DEBT: 2,134.4 MILLION EURO (2,225.4 MILLION EURO AT JUNE 30)
- CONSOLIDATED EQUITY: 5,346.0 MILLION EURO (5,382.5 MILLIONEURO AT JUNE 30)
Milan, November 14, 2012 – At a meeting today, the Board of Directors of Italmobiliare S.p.A. examined and approved the consolidated quarterly report at September 30, 2012.
In the third quarter of the year, the upturn on the stock markets, particularly in banking and financial stocks, and the fall in bond yields on government securities in some euro zone countries, enabled the Italmobiliare Group to report profits for the period in the financial and banking segments. Earnings in the industrial segment were affected by the continuing decline in demand and the rise in energy costs and some commodity prices.
Overall, the third quarter reported EBIT substantially aligned with the third quarter of 2011, with a trend improvement compared with the situation at the end of the first half.
Despite the third-quarter improvement, performance in the first nine months of the year was affected by the consequences of the global economic slowdown, which led to a contraction in the Group’s operating margins in all business segments. Group earnings were also affected by the large impairment losses on financial assets (more than 22 million euro compared with 2 million euro in the year-earlier period) as a result of the alignment of available-for-sale asset values with current stock market prices, and by losses at some associates totaling approximately 15 million euro (profit of 9.3 million euro at September 30, 2011).
At the end of September 2012, the Group reported a loss for the period of 35.3 million euro, compared with a profit of 167.3 million euro at September 30, 2011, which included capital gains of 107 million euro on the sale of operations in Turkey. The loss attributable to owners of the parent was 65.9 million euro (profit of 7.4 million euro at September 30, 2011).
Consolidated revenue for the period January-September amounted to 3,617.4 million euro (3,765.4 million euro in 2011) while recurring EBITDA was 512.0 million euro (544.8 million euro) and EBIT was 160.5 million euro (207.9 million euro) At the end of September 2012 total equity stood at 5,346.0 million euro, compared with 5,382.5 million euro at the end of June (5,539.6 million euro at December 31, 2011). At September 30, net financial debt was 2,134.4 million euro, down from 2,225.4 million euro at the end of the first half (2,039.6 million euro at December 31, 2011).
The consolidated net financial position of the financial segment, which includes the parent Italmobiliare S.p.A., reflected a positive amount of 116.3 million euro at the end of September (105.2 million euro at December 31, 2011) and an improvement of 1.4 million euro from June 2012.
Italmobiliare S.p.A. Net Asset Value (NAV) at September 30, 2012, was 1,115.7 million euro, an increase of 134.6 million euro from June 30, 2012 (981.1 million euro).
Outlook – World economic prospects are still influenced by the uncertainty over the evolution of the crisis in the euro zone and the intensity of the business slowdown in the emerging economies, as well as by the effects of a possible restrictive budget policy in the
USA.
In this situation, the Group’s industrial segments will again be conditioned by the continuing downturn in demand recorded in some of the core markets and the increased cost of raw materials with negative repercussions on results, mitigated only in part by ongoing action to cut operating expense and structural costs.
Results in the financial and banking segments will be influenced by trends on the euro zone markets, which in turn will be affected in part by political decisions in a scenario made more difficult by the growing social tensions in some countries.
In this context, and in light of the results for the first nine months, the Group expects to post a total loss for the year.
Attached the full press release