The interim report has been prepared in accordance with IFRS as adopted by the EU, with IAS 34 Interim Financial Reporting being applied. Apart from in the financial statements and their accompanying notes, disclosures in accordance with IAS 34.16A also appear in other parts of the interim report. The interim report for the Parent Company has been prepared in accordance with the Annual Accounts Act and the Securities Market Act, which is in accordance with the provisions of RFR 2 Accounting for Legal Entities.
In the interim report, the same accounting principles and bases of calculation have been applied as in the most recent annual report. The new and revised IFRS standards and IFRIC statements that come into force as of the 2021/2022 financial year have had no material effect on the Group's financial reports.
Governmental support measures
Those governmental support measures that have been received or will be received as an effect of the COVID-19 pandemic will be recognized in the income statement when it is reasonably certain that the conditions for receiving the support have been met or will be met. These grants are recognised under other operating income or as a reduction in personnel expenses.
Alternative performance measures
The Company presents certain financial measures in the interim report that are not defined according to IFRS. The Company believes that these measures provide valuable supplemental information to investors and the Company's management as they allow for evaluation of trends and the Company's performance. Since all companies do not calculate financial measures in the same way, they are not always comparable to measures used by other companies. These financial measures should therefore not be considered to be a replacement for measurements as defined under IFRS. For definitions and reconciliation tables of the performance measures that Addtech uses, please see page 23-26.
Risks and factors of uncertainty
Addtech's profit and financial position, as well as its strategic position, are affected by a number of internal factors under Addtech's control and by a number of external factors over which Addtech has limited influence. The most important risk factors for Addtech are the state of the economy, combined with structural change and the competitive situation.
Addtech has limited direct exposure to the countries involved in the conflict in Ukraine. One of our subsidiaries has a minor business in Russia where work is currently underway according to an orderly decommissioning plan. Addtech assess also the indirect effects as limited for the time being. Addtech is closely monitoring developments in the conflict and currently finds it difficult to assess the future effect of sanctions against Russia and the implications that the conflict could have on the economic situation in Europe.
Please see section Risks and uncertainties (page 58-60) in the annual report for 2020/2021 for further details.
The Parent Company is indirectly affected by the above risks and uncertainty factors due to its role in the organisation.
Transactions with related parties
No transactions between Addtech and related parties that have significantly affected the Group's or the parent company's position and it's earnings have taken place during the period.
Addtech's sales of high-tech products and solutions in the manufacturing industry and infrastructure are not subject to major seasonal variations. The number of production days and customers' demand and willingness to invest can vary over the quarters.
Annual Report 2021/2022
The annual report for 2021/2022 will be published on Addtech’s website www.addtech.com in July 2022. A printed version will be distributed to the shareholders who request this.
Annual General Meeting 2022
The Annual General Meeting (AGM) of Addtech AB will take place at 2:00 p.m on Thursday 25 August 2022. A notice of the AGM will be published in July 2022 and will also be available on www.addtech.com.
The Board of Directors proposes dividend of SEK 1.80 (1.20) per share, which corresponds to a dividend payment of about SEK 485 million (323), which is in line with Addtech's dividend policy with the objective of a dividend that exceeds 30 percent of average Group profit after tax over a business cycle.
Events after the end of the financial year
On 1 April, Intertrafo Oy, Finland, was acquired by Tampereen Sähköpalvelu Oy to become part of the Energy business area. Intertrafo designs, manufactures and commissions transformers on the Finnish market. The company has 15 employees and sales of around EUR 3 million.
On 1 April, Electric Control Systems Automation AS, Norway, was acquired to become part of the Process Technology business area. ECS is an international provider of system integration and automation solutions tailored to customer needs. The company offers complete process control systems using IoT as well as produces automation control panels, both with the aim to increase productivity and improve the data analysis capability within the process industry. The company has 31 employees and sales of around NOK 70 million.
On 4 April, 88 percent of the shares in Impulseradar Sweden AB, Sweden, was acquired to become part of the Industrial Solutions business area. Impulse is a leading developer and manufacturer of ground radar instruments and related software that enables investigation and mapping of features and structures below the surface. The equipment is used in several application areas such as infrastructure projects, road and bridge inspections and utility mapping. The company has 27 employees and sales of around SEK 80 million.
On 5 May, C.K. Environment A/S, Denmark, was acquired to become part of the Process Technology business area. C.K. Environment is a leading provider of instrumentation and solutions for measuring and analyzing of gasses, liquids, particles, humidity and temperature. The company offers both complete customized solutions as well as components and service to a wide range of industrial customers. The company has 14 employees and sales of around DKK 30 million.
Preliminary purchase price allocations have not yet been completed.
Stockholm May 17, 2022
President and CEO
This information is information that Addtech AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, at 8.15 a.m CET on 17 May 2022.
2022-07-15 Interim report 1 April - 30 June 2022
2022-08-25 Annual General Meeting 2022 will be held at IVA, Grev Turegatan 16, Stockholm at 2.00 p.m
2022-10-27 Interim report 1 April - 30 September 2022
2023-02-02 Interim report 1 April - 31 December 2022
The Group's annual report for 2021/2022 will be published on Addtech's website in July 2022.
For further information, please contact:
Niklas Stenberg, President and CEO, +46 8 470 49 00
Malin Enarson, CFO, +46 705 979 473