Capnor Weasel Bidco Oyj, Half Year Financial Report, January – June 2023

 Half Year Financial Report 2023

Second quarter highlights

  • Revenue increased by 1% to MEUR 29.1 (28.8)
  • EBITDA decreased to MEUR 2.8 (4.7), corresponding to a 10% (16%) EBITDA margin
  • EBIT decreased to MEUR 0.3 (2.4), corresponding to a 1% (8%) EBIT margin
  • Operational Cash Flow was negative at MEUR
    -6.9 (+0.4)

Significant events during the quarter

  • Market entry to the US is on schedule and progressing as planned
  • iLOQ to partner up with Genetec to create secure and streamlined access management solutions
  • iLOQ announced that Tierps Energi och Miljö AB chose iLOQ’s mobile-phone-based S50 system to increase critical infrastructure security and improve access management
  • iLOQ announced that its mobile phone-based access management system is used for the first time in apartment buildings in Sweden
  • Waveconn, a specialist developer and investor in telecommunications infrastructure in Australia, selected iLOQ as its smart-locking partner after the review period in July 2023

 

 

 

 

Change

 

 

Change

 

EUR thousand

Q2 2023

Q2 2022

in %

H1 2023

H1 2022

in %

FY 2022

Revenue

29,135

28,790

1 %

61,135

54,506

12 %

132,948

EBITDA

2,840

4,684

-39 %

8,900

10,052

-11 %

31,379

EBITDA margin

10 %

16 %

 

15 %

18 %

 

24 %

EBIT

305

2,405

-87 %

3,847

5,487

-30 %

21,853

EBIT margin

1 %

8 %

 

6 %

10 %

 

16 %

Operational Cash Flow

-6,893

442

-1659 %

861

3,893

-78 %

8,568

Operational Cash Flow %

-24 %

2 %

 

1 %

7 %

 

6 %

Adjusted EBITDA*

2,840

5,172

-45 %

9,278

10,540

-12 %

31,867

Adjusted EBITDA margin*

10 %

18 %

 

15 %

19 %

 

24 %

Adjusted EBIT

305

2,893

-89 %

4,225

5,976

-29 %

22,342

Adjusted EBIT margin

1 %

10 %

 

7 %

11 %

 

17 %

Adjusted Operational Cash Flow

-6,893

930

-841 %

1,239

4,381

-72 %

9,056

Adjusted Operational Cash Flow %

-24 %

3 %

 

2 %

8 %

 

7 %

 

 *  H1 2023, H1 2022 and Q2 2022 and year 2022 EBITDA, EBIT & Operational Cash Flow included an impact from a brand renewal project and a market
   study conducted with external companies, which have been treated as items affecting comparability. The adjustment related to brand renewal in Q1 2023
   was 378 thousand euros and in FY 2022 market study 488 thousand euros. These costs have been excluded in the Adjusted EBITDA, EBIT and
   Operational Cash Flow figures above. 

 

Management overview of the second quarter

Following a strong start of the year iLOQ Group’s revenue growth slowed down due to very low activity in the multi-residential new construction and renovation market in the Nordics. Revenue growth was 1% compared to the same period in the previous year. Revenue declined 14% compared to Q2 2022 in the Nordics. Strong performance continued in the rest of the world with revenue growth of 33% compared to the same period in the previous year.

 

Prevailing geopolitical risks related to Russia’s invasion of Ukraine and the resulting rise in energy prices, together with an increasing interest rate environment have had a negative impact on the real estate sector. Especially the new construction market has been affected, which constitutes only a small part of iLOQ’s revenue base. However, postponement in decision making in the renovation market has also affected overall demand in the second quarter. Management is confident that the long-term growth potential and drivers in the market remain intact despite a short-term slowdown due to delayed investments by customers and that iLOQ is well positioned to continue to outgrow the market also during periods of softer market activity.

 

iLOQ continues to invest in future growth and the market entry to the US is on schedule and progressing as planned. iLOQ has a local sales organization in place which has already generated a solid pipeline and leads. Logistic channels and partner network are being built and final steps of the ANSI cylinder product development are being completed. Management expects the market entry for the US built environment market to take place during the fourth quarter of the year.

 

iLOQ has been able to successfully mitigate supply-chain disruptions in the market to be able to meet customer demand. As there are signs of improving availability of materials and electronic components, iLOQ destocked its electronic components inventory during the second quarter, which had a negative impact on the gross margin. However inventory levels remained high despite the destocking as the company is simultaneously preparing its end-product inventory for the normal seasonal volume growth and to meet delivery capability for the current strong pipeline in the critical infrastructure segment. The increase in working capital had a negative effect on the Group’s cashflow in the second quarter.

 

Second quarter of 2023 included multiple significant events for iLOQ:

 

iLOQ announced in May a new partnership with Genetec to create secure and streamlined access management solutions. Genetec is a leading developer of open-platform software, hardware, and cloud-based services. Their access control system – SynergisTM – can now be integrated with iLOQ’s solution to provide operational insights into security and to allow customers to make informed decisions and improve their operations.

 

iLOQ announced in June that Tierps Energi och Miljö AB chose iLOQ’s mobile phone-based S50 system to increase critical infrastructure security and improve access management. Tierps Energi och Miljö AB replaces its mechanical locks with iLOQ’s fully digital S50 system. Tierps Energi och Miljö has 120 locations for facilities with a total of about 180 cylinders and 150 padlocks. These will now be equipped with digital cylinders and padlocks from iLOQ, which allow access rights to be granted for each individual access point.

 

iLOQ announced in June that iLOQ’s keyless locking system is used for the first time in an apartment building in Sweden. Property company Lindborg & Söner chose iLOQ's mobile phone-based access management system for the new apartment building in Salnecke Park in Örsundsbro outside Uppsala. Since the locking system is completely free of keys, cables and batteries, residents only need to use their smartphone to enter their properties.

 

iLOQ announced in June a new GPS functionality for iLOQ S50 audit trails. Real-time audit trail reports are an excellent tool to help prevent unauthorized access, or detect instances of misuse, by showing exactly who has accessed a site and when. Each time a lock is opened, or attempted to be opened, the iLOQ S50 app will send the GPS coordinates of the smartphone to the server. Administrators will be able see the coordinates on iLOQ Manager and pinpoint the exact event to provide even more information for site managers and administrators to further enhance site security.

 

 

Second quarter 2023

 

Total revenue grew 1% compared to Q2 2022. Revenue declined 14% compared to Q2 2022 in the Nordics. Strong performance continued in the rest of the world with revenue growth of 33% compared to the same period in the previous year.

 

EBITDA amounted to MEUR 2.8 (4.7), corresponding to a 10% (16%) EBITDA margin. EBITDA margin was negatively impacted by the destocking of the electronic components inventory, which had a negative impact on the gross margin. Gross margins in the ongoing operational business were unchanged at the historical healthy level. Continued investments in growth, including costs related to the US market entry also increased opex and impacted margins negatively in the quarter.

 

EBIT amounted to MEUR 0.3 (2.4), corresponding to a 1% (8%) EBIT margin.

 

Operational Cash Flow was MEUR -9.9 (0.4). As there are signs of improving availability of materials and electronic components, iLOQ destocked its electronic components inventory during the second quarter, decreasing net working capital. However inventory levels remained high despite the destocking as the company is simultaneously preparing its end product inventory for the normal seasonal volume growth and to meet delivery capability for the current strong pipeline in the critical infrastructure segment. This neutralized the positive impact of the destocking.

 

First half 2023

 

Total revenue grew 12% compared to H1 2022. Revenue declined 3% compared to H1 2022 in the Nordics. Strong performance continued in the rest of the world with revenue growth of 42% compared to the same period in the previous year.

 

EBITDA amounted to MEUR 8.9 (10.1), corresponding to a 15% (18%) EBITDA margin. EBITDA margin was negatively impacted by the destocking of the electronic components inventory. and continued opex investments in growth.  

 

EBIT amounted to MEUR 3.8 (5.5), corresponding to a 6% (10%) EBIT margin.

 

Operational Cash Flow was MEUR -2.2 (3.9). As there are signs of improving availability of materials and electronic components, iLOQ destocked its electronic components inventory during the second quarter, decreasing net working capital. However inventory levels remained high despite the destocking as the company is simultaneously preparing its end product inventory for the normal seasonal volume growth and to meet delivery capability for the current strong pipeline in critical infrastructure segment. This neutralized the positive impact of the destocking

 

 

Events after the reporting period

Waveconn, a specialist developer and investor in telecommunications infrastructure in Australia, selected iLOQ as its smart-locking partner in July 2023.

 

Quarterly Information

 

QUARTERLY INFORMATION

Q2/21

Q3/21

Q4/21

Q1/22

Q2/22

Q3/22

Q4/22

Q1/23

Q2/23

Revenue

23,172

21,282

39,424

25,716

28,790

27,439

51,003

32,000

29,135

EBITDA

4,291

3,986

11,818

5,368

4,684

4,701

16,625

6,060

2,840

EBITDA margin

19 %

19 %

30 %

21 %

16 %

17 %

33 %

19 %

10 %

EBIT

2,230

1,902

9,758

3,083

2,405

2,414

13,952

3,542

305

EBIT margin

10 %

9 %

25 %

12 %

8 %

9 %

27 %

11 %

1 %

Operational Cash Flow

1,277

-859

10,114

3,451

442

-2,372

7,048

7,753

-9,947

Operational Cash Flow %

6 %

-4 %

26 %

13 %

2 %

-9 %

14 %

24 %

-34 %

Adjusted EBITDA

4,291

3,986

11,818

5,368

5,172

4,701

16,625

6,438

2,840

Adjusted EBITDA margin

19 %

19 %

30 %

21 %

18 %

17 %

33 %

20 %

10 %

 

Declaration of the Board

 

We confirm that, to the best of our knowledge, the condensed financial statements give a true and fair view of the Group’s assets, liabilities, financial position and results of operations for the period. We also confirm, to the best of our knowledge, that the management overview includes a fair review of important events that have occurred during the first six months of 2023.

 

 

 

 

Espoo August 14, 2023

 

 

 

 

 

                                                     Heikki Hiltunen                                             Karl Petersson

                                                  President and CEO                                         Member of the Board

INCOME STATEMENT

 

CONSOLIDATED INCOME STATEMENT, IFRS

 

 

EUR Thousand

Q2 2023

Q2 2022

H1 2023

H1 2022

FY 2022

 

 

 

 

 

 

Revenue

29,135

28,790

61,135

54,506

132,948

Other income

0

0

0

0

0

 

0

 

 

 

 

Materials and services

-14,228

-12,345

-27,399

-23,479

-56,846

Employee benefit expenses

-6,299

-6,928

-13,847

-12,985

-26,191

Depreciation, amortisation and impairment losses

-2,536

-2,279

-5,054

-4,564

-9,525

Other operating expenses

-5,767

-4,833

-10,988

-7,990

-18,533

Operating profit

305

2,405

3,847

5,487

21,853

 

 

 

 

 

 

Finance income

4

5

84

10

122

Finance cost

-1,226

-1,089

-2,659

-2,162

-4,599

Net financial expenses

-1,221

-1,084

-2,575

-2,152

-4,478

 

 

 

 

 

 

Profit (-loss) before taxes

-916

1,321

1,271

3,335

17,376

 

 

 

 

 

 

Income taxes

12

-512

-467

-1,077

-3,648

 

 

 

 

 

 

Profit (loss) for the financial period

-905

809

804

2,258

13,728

 

 

 

 

 

 

Items that may be subsequently reclassified to profit or loss

 

 

 

 

 

Translation differences

-1

15

9

12

12

 

 

 

 

 

 

Total comprehensive income

-906

824

813

2,270

13,740

 

 

 

 

 

 

Earnings per share, undiluted (EUR)

-9,049

8,089

8,041

22,581

137,280

Earnings per share, diluted (EUR)

-9,049

8,089

8,041

22,581

137,280

 

BALANCE SHEET

 

CONSOLIDATED BALANCE SHEET, IFRS

 

EUR Thousand

June 2023

June 2022

Dec 2022

 

 

 

 

ASSETS

 

 

 

Non-current assets

 

 

 

Intangible assets

105,301

101,024

102,774

Goodwill

92,467

91,672

92,412

Property, plant and equipment

7,064

6,416

7,334

Deferred tax assets

409

411

447

Total non-current assets

205,241

199,523

202,967

 

 

 

 

 

 

 

 

Inventories

32,079

22,876

26,117

Trade and other receivables

21,103

17,240

30,022

Current tax receivables for the financial year

670

 

51

Cash and cash equivalents

2,350

6,297

4,087

Total current assets

56,202

46,413

60,277

 

 

 

 

Total assets

261,444

245,936

263,245

 

 

 

 

EQUITY & LIABILITIES

 

 

 

Equity

 

 

 

Share capital

80

80

80

Invested unrestricted equity fund

143,240

143,240

143,240

Translation difference

-2

8

7

Retained earnings

17,741

6,187

17,658

Total equity

161,060

149,515

160,986

 

 

 

 

LIABILITIES

 

 

 

Non-current liabilities

 

 

 

Financial liabilities

54,938

54,495

54,899

Non-current lease liabilities

847

1,469

1,499

Non-current provisions

1,057

263

574

Deferred tax liabilities

16,816

17,505

17,246

Total non-current liabilities

73,658

73,732

74,219

 

 

 

 

Current liabilities

 

 

 

Short-term interest-bearing liabilities

4,003

0

0

Account payables and other liabilities

21,137

19,799

24,185

Current lease liabilities

1,447

1,398

1,559

Current provisions

100

920

704

Current tax liabilities

38

573

1,593

Total current liabilities

26,725

22,688

28,040

 

 

 

 

Total liabilities

100,384

96,421

102,259

 

 

 

 

Total equity and liabilities

261,444

245,936

263,245

 

STATEMENT OF CASH FLOWS

 

CONSOLIDATED STATEMENT OF CASH FLOWS, IFRS

 

 

 

 

EUR Thousand

 

 

H1 2023

H1 2022

FY2022

 

 

 

 

 

 

 

 

 

 

 

 

CASH FLOW FORM OPERATING ACTIVITIES

 

 

 

 

Profit (Loss) for the financial period

 

 

804

2,258

13,728

Adjustments:

 

 

 

 

 

Depreciation and amortization

 

 

5,054

4,564

9,525

Unrealized exchange rate gains and losses

 

0

0

38

Financial Income

 

 

-84

-10

-122

Financial Expense

 

 

2,659

2,162

4,599

Taxes

 

 

467

1,077

3,648

Other adjustments

 

 

0

0

0

Change in Working Capital:

 

 

 

 

 

Change in trade and other receivables

 

 

8,919

-316

-13,341

Change in inventory

 

 

-5,962

-3,072

-6,303

Change in trade and other payables

 

 

-3,634

1,681

6,057

Change in provisions

 

 

-121

-633

-537

Interest paid

 

 

-2,222

-1,525

-3,356

Interest received

 

 

0

0

0

Income tax paid

 

 

-3,025

-2,313

-4,341

Other financial items

 

 

-91

-106

-294

Net cash flow from operating activities (A)

 

2,765

3,767

9,302

 

 

 

 

 

 

Cash flow from investing activities

 

 

 

 

 

Payments from tangible assets sales

 

 

18

0

31.4

Investments in intangible assets

 

 

-6,147

-3,075

-6,937

Investments in tangible assets

 

 

-1,113

-744

-1,750

Business acquisitions

 

 

0

0

-1,716

Net cash flow from investing activities (B)

 

-7,242

-3,819

-10,371

 

 

 

 

 

 

Cash flow from financing activities

 

 

 

 

 

Common control merger

 

 

0

0

 

Payments of lease liabilities

 

 

-880

-811

-1,697

Withdrawals of short-term loans

 

 

3,942

0

0

Proceeds from short-term liabilities

 

 

0

0

-6

Payments of short-tem liabilities

 

 

0

0

 

Net cash flow from financing activities (C)

 

3,062

-811

-1,703

 

 

 

 

 

 

CHANGE IN CASH AND EQUIVALENTS (A+B+C)

 

-1,416

-863

-2,772

 

 

 

 

 

 

Cash and cash equivalents, in the beginning of period

 

4,087

7,536

7,536

Net effect of exchange rate changes on cash and cash equivalents

 

 

-321

-376

-677

Cash and cash equivalents, at the end of period

 

2,350

6,297

4,087

 

 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

 

EUR thousand

Share capital

Share premium reserve

Reserve for invested non-restricted equity

Translation reserve

Retained earnings

Total

Equity on Jan 1, 2023

80

0

143,240

7

17,658

160,986

Adjustment for previous year's retained earnings

0

0

0

0

-722

-722

Comprehensive income

 

 

 

 

 

 

Profit for the financial year

0

0

0

-9

804

795

Total comprehensive income

80

0

143,240

-2

17,741

161,060

Equity on Jun 30, 2023

80

0

143,240

-2

17,741

161,060

 

Adjustment for the previous year’s retained earnings was related to the misstatement in the bonus and commission provision.

 

EUR thousand

Share capital

Share premium reserve

Reserve for invested non-restricted equity

Translation reserve

Retained earnings

Total

Equity on Jan 1, 2022

80

0

143,240

-4

3,949

147,265

Adjustment for previous year's retained earnings

0

0

0

0

-20

-20

Comprehensive income

 

 

 

 

 

 

Profit for the financial year

0

0

0

12

2,258

2,270

Total comprehensive income

80

0

143,240

8

6,187

149,515

Equity on Jun 30, 2022

80

0

143,240

8

6,187

149,515

 

 

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

 

1. Reporting Entity

 

Capnor Weasel Bidco Oyj (the Company) is domiciled in Finland. These condensed interim financial statements for the quarter ended June 30, 2023 comprise the Company and its subsidiaries (together referred to as the ‘Group’)

 

2. Accounting Principles

 

The Group’s Interim Report for January-June 2023 has been prepared in line with IAS 34, ‘Interim Financial Reporting’ and should be read in conjunction with the Group’s financial statements for 2022, published on March 16, 2023. The Group has applied the same accounting principles in the preparation of this Interim Report as in its Financial Statements for 2022. The information presented in this Interim Report has not been audited.

 

3. Seasonality

 

The Group operates in an industry that sees seasonal changes in revenue. In a typical year, the first three quarters amount to approximately two thirds of the Group’s full-year revenue while the last quarter sees the revenue rise to amount to one third of the full-year revenue. Therefore, in a normalized year, the financial results of the fourth quarter can be expected to be stronger than compared to the first three quarters.

 

4. Segment reporting

 

Capnor Weasel Bidco Group is a Finnish group of companies. In addition to the parent company Capnor Weasel Bidco Oyj, iLOQ Group belongs to the Group. Industrial operations are in the iLOQ Group that offers solutions for electronical locking. iLOQ Group operates with a network business model in the manufacture and distribution of products. iLOQ Group’s products are sold through iLOQ’s distribution channel providing professional installation and maintenance services. iLOQ Group has subsidiaries in Sweden, Denmark, Norway, Germany, the Netherlands, France, Spain, Poland, Great Britain, Canada and United States. The Group's business operations are managed and monitored as one entity. Subsidiaries are sales organizations and their turnover consists of commission charges from the iLOQ Group's parent company. Based on the similarity of business operations, products, services and production process, the Group has only one operating segment. The Executive Board is iLOQ Group's chief operative decision maker. The Executive Board evaluates the performance of the company and the use of resources as a whole. Composition of the Group's turnover and geographical distribution is presented with the notes related to turnover. The Group has no external customers with net sales over 10% of the Group's total net sales. The Group's most significant non-current assets are located at the domicile state of the parent company.

 

5. Revenue

 

The revenue of Capnor Weasel Bidco Group consists of digital locking and access management systems. The Group's products consist of supplied locks and software as well as lock operation and maintenance services. The Group's customers are retailers and partners of locking products. Revenue is recognized when control over the goods or the service is transferred to the customer. Lock deliveries are recognized as revenue when control is transferred on the basis of the delivery of the products, when the risks and benefits have been transferred to retailers. EX Works Incoterms delivery term is generally used on the delivery of products. For one significant customer, performance obligation is satisfied at the time of the delivery, and for these deliveries Delivered Duty Paid Incoterms are applied. Revenue from maintenance and repair services is recognized over time as the customer receives the benefits simultaneously as the service is provided. Sales contracts are made with the regular payment terms. A yearly discount can be granted to customers for products sold.

 

The Group's revenue by geographical area is presented below.

 

REVENUE BY GEOGRAPHY

Q2

% of REV

Q2

% of REV

H1

% of REV

H1

% of REV

EUR thousand

2023

2022

2023

2022

Finland

8,910

31 %

10,195

35 %

18,640

30 %

19,759

36 %

Northern Europe excl Finland

7,548

26 %

9,037

31 %

16,365

27 %

16,360

30 %

Rest of the World

12,676

44 %

9,559

33 %

26,130

43 %

18,387

34 %

Total Sales  

29,135

100 %

28,790

100 %

61,135

100 %

54,506

100 %

 

 

The classification of revenue according to the timing of product deliveries and service production is presented below.

 

REVENUE

Q2

% of REV

Q2

% of REV

H1

% of REV

H1

% of REV

EUR thousand

2023

2022

2023

2022

Revenue is recognized at point in time 

28,167

97 %

28,170

98 %

59,310

97.0 %

53,336

97.9 %

Revenue is recognized over time 

968

3 %

620

2 %

1,824

3.0 %

1,170

2.1 %

Total Sales  

29,135

100 %

28,790

100 %

61,135

100 %

54,506

100 %

 

INTANGIBLE ASSETS

 

EUR thousand

Technology

Intangible Rights

Brand

Goodwill

Other Intangible assets

Customer relations

Work in progress

Total

Acquisition cost, Jan 1, 2023

83,066

1,728

12,865

92,412

2,767

12,142

9,246

214,224

Adjustments for previous financial periods

 

 

55

 

 

 

55

Transfer between items

1,470

 

 

 

687

 

-2,157

0

Additions

1,039

152

 

 

149

 

4,811

6,151

Acquisition cost, Jun 30, 2023

85,575

1,880

12,865

92,467

3,603

12,142

11,900

220,432

 

 

 

 

 

 

 

 

 

Accumulated depreciations and impairment Jan 1, 2023

12,634

461

2,622

0

849

2,472

0

19,039

Amortisation

2,361

119

429

0

312

405

0

3,626

Accumulated depreciations and impairment Jun 30, 2023

14,995

580

3,051

0

1,161

2,877

0

22,664

 

 

 

 

 

 

 

 

 

Carrying amount Jan 1, 2023

70,433

1,267

10,243

92,412

1,918

9,670

9,246

195,186

Carrying amount Jun 30, 2023

70,580

1,300

9,814

92,467

2,442

9,265

11,900

197,768

 

 

EUR thousand

Technology

Intangible Rights

Brand

Goodwill

Other Intangible assets

Customer relations

Work in progress

Total

Acquisition cost, Jan 1, 2022

80,424

1,346

12,865

91,672

851

12,142

6,013

205,312

Transfer between items

42

 

 

 

 

 

-154

-112

 Merger

 

 

 

 

 

 

 

0

Additions

631

40

 

 

372

 

2,032

3,075

Acquisition cost, Jun 30, 2022

81,097

1,386

12,865

91,672

1,223

12,142

7,891

208,276

 

 

 

 

 

 

 

 

 

Accumulated depreciations and impairment Jan 1, 2022

8,330

209

1,764

0

361

1,663

0

12,327

Amortisation

2,166

36

429

 

218

404

 

3,253

Accumulated depreciations and impairment Jun 30, 2022

10,496

245

2,193

0

579

2,067

0

15,580

 

 

 

 

 

 

 

 

 

Carrying amount Jan 1, 2022

72,094

1,138

11,101

91,672

490

10,479

6,013

192,987

Carrying amount Jun 30, 2022

70,601

1,140

10,672

91,672

644

10,075

7,891

192,696

 

 

PROPERTY, PLANT AND EQUIPMENT

 

Owned property, plant and equipment

 

 

Right-of-use assets

EUR thousand

Machinery and equipment

Work in progress

Other tangible assets

Cars

Premises

Total

Acquisition cost, Jan 1, 2023

5,862

811

438

2,587

4,325

14,022

      Additions in acquisition

 

 

 

 

 

0

Transfer between items

245

-245

 

 

 

0

Additions

10

1,017

106

7

55

1,195

Deductions

0

-20

-15

 

 

-35

Acquisition cost, Jun 30, 2023

6,117

1,563

529

2,594

4,380

15,182

 

 

 

 

 

 

 

Accumulated depreciations and impairment Jan 1, 2023

2,591

0

188

1,650

2,260

6,688

Amortisation

490

 

110

263

566

1,428

Accumulated depreciations and impairment Jun 30, 2023

3,081

0

298

1,914

2,826

8,118

 

 

 

 

 

 

 

Carrying amount Jan 1, 2023

3,271

811

250

937

2,065

7,334

Carrying amount Jun 30, 2023

3,036

1,563

231

680

1,554

7,064

 

Owned property, plant and equipment

 

 

Right-of-use assets

EUR thousand

Machinery and equipment

Work in progress

Other tangible assets

Cars

Premises

Total

Acquisition cost, Jan 1, 2022

4,194

586

195

1,869

2,012

8,857

Transfer between items

290

-354

0

0

0

-64

Additions

209

410

125

347

1,719

2,810

Acquisition cost, Jun 30, 2022

4,693

641

320

2,216

3,731

11,602

 

 

 

 

 

 

0

Accumulated depreciations and impairment Jan 1, 2022

1,482

0

85

1,041

1,267

3,875

Amortisation

430

 

64

305

513

1,311

Accumulated depreciations and impairment Jun 30, 2022

1,912

0

149

1,346

1,779

5,186

 

 

 

 

 

 

0

Carrying amount Jan 1, 2022

2,712

586

110

828

745

4,983

Carrying amount Jun 30, 2022

2,781

641

171

870

1,952

6,416

 

 

RELATED PARTY TRANSACTIONS

 

The Group’s related parties consist of parent company iLOQ Oy and its subsidiaries. In addition, related parties include iLOQ-Group’s Board members as key management personnel, the CEO and members of the Group management, as well as entities that are under the control of key management personnel and their family members. There were no related party transactions during the reported period.

 

 

CONTINGENT LIABILITIES

 

COLLATERALS AND CONTINGENT LIABILITIES

 

 

EUR thousand

 

H1 2023

H1 2022

FY 2022

Contingent liabilities

 

 

 

 

Credit facility

 

15,000

15,000

15,000

Lease guarantee

 

235

281

249

Delivery guarantee

 

17

0

32

Corporate credit card

 

122

74

84

Total

 

15,374

15,355

15,365

 

 

 

 

 

Credit facility of EUR 5 000 000 has been used during period Jan 1 – Jun 30 2023.

 

 

 

 

 

EUR thousand

 

H1 2023

H1 2022

FY 2022

Collateral given for own commitments

155,000

155,000

155,000

Collateral given on behalf of others

 

 

 

 

Collateral

 

0

0

0

Guarantee

 

0

890

0

Total

 

155,000

155,890

155,000

 

Definitions of alternative performance measures

 

  1. EBITDA = EBIT before depreciation, amortization and impairments

 

  1. Operational Cash Flow = EBITDA + Change in trade and other receivables + Change in inventory + Change in trade and other payables + Change in provisions + Investments in intangible assets + Investments and Payments in tangible assets. Operational Cash Flow is used internally by the group to follow EBITDA which takes into account investments and change in working capital

 

  1. Operational Cash Flow % = Operational Cash Flow / Revenue

 

  1. Adjusted EBITDA, Adjusted EBIT & Adjusted Operational Cash Flow = Same as above but excluding an impact from a brand renewal project and a market study conducted with external companies, which have been treated as items affecting comparability. The adjustment related to brand renewal in Q1 2023 was 378 thousand euros and in FY 2022 market study 488 thousand euros. These costs have been excluded in the Adjusted EBITDA, EBIT and Operational Cash Flow figures above.

 

 

CONTACT

 

Additional information about the company can be found on the corporate website www.iloq.com. The company can be contacted by e-mail, info@iloq.com

 

For questions concerning this report please contact:

 

Heikki Hiltunen

CEO and President

Heikki.Hiltunen@iloq.com

 

Timo Pirskanen

CFO

Timo.Pirskanen@iloq.com

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