FINANCIAL REPORT HALF-YEARLY

Transcription

1 2015 FINANCIAL REPORT HALF-YEARLY

2 SUMMARY MANAGEMENT REPORT page 3-1ST HALF MANAGEMENT REPORT FINANCIAL STATEMENTS page 4 - CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME page 5 - CONSOLIDATED STATEMENT OF FINANCIAL POSITION page 6 - CONSOLIDATED CASH FLOW STATEMENT page 7 - CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS EQUITY pages 8 to 12 - NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

3 CHAPTER 1 MANAGEMENT REPORT 30 JUNE 2015

4 1 st HALF MANAGEMENT REPORT CONSOLIDATED INCOME STATEMENT 1ST HALF (1ST JANUARY 30TH JUNE) 2015 first half saw the first effects of the strategic changes implemented 6 months ago, being reflected in the accounts. The EBITDA improved by almost 2m compared to half year 2014 and the level of net income stabilized, despite: A shift in the unloading of two toothfish vessels (the equivalent of about 5m less revenues this semester) A 10% drop in whole tuna prices compared to the previous year, taking into account the low point reached in March-April 2015 and, A change in the loss carryforwards accounting treatment which was used in Helped by the savings on the cost of Diesel, the improvements in the management of the upstream and downstream operations and the focus on premium products for the value enhancing activity are beginning to gradually bear fruit commented Adrien de Chomereau, CEO. In millions of euros IFRS Revenues EBITDA Operating Income (EBIT) Financial Income Income before tax Income tax Net Income Group share (1.2) (3.0) (1.7) (2.4) (2.9) (5.4) (0.6) 1.6 (3.5) (3.7) REVENUES During st half, Sapmer achieved revenues at 45.1m, with a slight decrease of 2.9%. Revenues are subject to a favorable context for the southern seas fishing activity (toothfish and rock lobster) and reflect the still difficult conditions of the tuna activity low cycle. OPERATIONAL PROFITABILITY Lower costs on both activities, including the decrease in the price of Diesel for the fishing activity and the processing and logistics cost reductions for the value enhancing activity, enable the EBITDA to improve to 2.25m against 0.42m during first half After taking into account the depreciation, stable compared to first half 2014, and the financial income that benefits from foreign exchange gain, the income before tax amounted to -2.8m against -5.4m in first half The company records 0.6m of deferred taxes that led to a loss of -3.5m. Sapmer continues the implementation of its tuna activity improvement plan. Page 3

5 CHAPTER 2 FINANCIAL STATEMENTS 30 JUNE 2015

6 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME January 1, 2014 to June 30, 2015 In thousands of euro N o t e YH YH Revenues Change in inventories of finished goods Other income Total income from activities Cost of purchased materials Other external purchases Personnel expenses Taxes and fishing licences Other operating income and expenses, net EBITDA Depreciation and amortisation EBIT Cost of net debt Other financial expenses and income Net finance costs Share in income (loss) of associates 0 0 Income from current operations before income tax Income taxes Net profit for the period Attributable to: Equity holders of the Company Non-controlling interests 0 0 Earnings per share (basic) in EUR 4.0-0,99-1,07 Earnings per share (diluted) in EUR -0,99-1,07 Weighted average shares outstanding (basic) Weighted average shares outstanding (diluted) STATEMENT OF COMPREHENSIVE INCOME In thousands of euro YH YH Net profit for the period Currency translation differences 0 0 Effective portion of gains and losses on cash flow hedge instruments Deferred tax on other elements of comprehensive income 0 0 Other comprehensive income for the period, net of tax Total comprehensive income for the period Attributable to: Equity holders of the Company Non-controlling interests EBITDA: Operating income before depreciation and amortisation. Page 4

7 CONSOLIDATED STATEMENT OF FINANCIAL POSITION As of 30 June 2015 In thousands of euro N o t e Property, plant and equipment Goodw ill 0 0 Other intangible assets Investments in associates 0 0 Financial assets and other receivables Deferred tax asset 0 0 Derivative financial instruments Total non-current assets Inventories Trade accounts receivable Prepaid expenses and other current assets Current income tax assets Derivative financial instruments 0 0 Cash and cash equivalents Total current assets Assets classified as held for sale 0 0 Total assets Share capital Other reserves Currency translation differences 0 0 Retained earnings Total attributable to equity holders of the Company Non-controlling interests 1 1 Total shareholders' equity Borrow ings Derivative financial instruments Deferred tax liabilities Retirement benefit obligations Provisions for other liabilities and charges Other non-current liabilities 0 0 Total non-current liabilities Borrow ings Derivative financial instruments 0 0 Trade accounts payable Current income tax liabilities 0 0 Other current liabilities Total current liabilities Liabilities held for sale 0 0 Total liabilities and shareholders' equity Page 5

8 CONSOLIDATED CASH FLOW STATEMENT January 1, 2015 to June 30, 2015 In thousands of euro N o t e YH YH Income before income tax Increase (decrease) depreciation, amortisation and provisions Gains and losses on variations of fair value 0 0 Non-cash accounting charge for stock options -2 6 Losses (gains) on the disposal of assets 0 0 Other variation w ithout cash impacts Self-financing cash-flow s Change in net w orking capital Cost of net debt Net cash provided by operating activities Purchase of property, plant and equipment Purchase of intangible assets -5 0 Purchase of financial assets Proceeds from sale of property, plant and equipment 8 11 Purchase / sales of investments and financial assets, net 0 0 Net cash provided by investing activities Capital increase Dividends paid to shareholders Dividends paid to non-controlling interests 0 0 Variations in grants Proceeds from short and long term borrow ings Cash repayments of amounts borrow ed Net cash provided by financing activities Net increase (decrease) in cash and cash equivalents less bank overdrafts Cash and cash equivalents less bank overdrafts at the beginning of the period Cash and cash equivalents less bank overdrafts at the end of the period Page 6

9 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY As of 30 June 2015 In thousands of euro N o t e Attributable to equity holders of the Company Shareholders capital Other reserves Currency translation differences Retained earning Noncontrolling interests Total Shareholders' equity Balance at 1st January Currency translation differences Financial instruments Total income / expense recognised directly in equity Net profit Total income recognised in Net investment Non-cash accounting charge for stock options Issue of share capital Dividends Balance at 30th June Balance at 1st January Currency translation differences Financial instruments Total income / expense recognised directly in equity Net profit Total income recognised in Net investment Non-cash accounting charge for stock options Issue of share capital Dividends Balance at 30th June Page 7

10 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS In the financial accounts and the notes all amounts are shown in Thousands and differences of +/- 1 thousand are due to rounding. These consolidated financial statements include SAPMER SA and its subsidiaries; the scope is hereafter referred to as the Group. SAPMER is the historical deep-sea fishing operator in the waters of the French Southern and Antarctic Territories (TAAF) based on the Reunion Island. Having been created in 1947, SAPMER now operates its own fleet of four freezer-longliners for Patagonian Toothfish and a Freezer pot Lobster vessel for Rock Lobster and five tuna purse seiners (on board -40 C deep freeze) for its tuna fishing activity (Yellowfin and Skipjack) in the Indian Ocean. These consolidated financial statements have not been subject to audit procedures. 1. ACCOUNTING POLICIES SAPMER interim consolidated financial statements for the six months period ended 30 June 2015 have been prepared according to IAS 34, interim financial reporting standard as adopted by the European Union. As interim consolidated financial statements, they do not include all information required by the International Financial Reporting Standards (IFRS) for the preparation of annual financial statements and should be read in conjunction with the Group consolidated financial statements prepared for the year-end 2014 in accordance with IFRS as adopted by the European Union. The accounting policies applied are consistent with the policies applied in the consolidated financial statements for the year ended 31 December Standards, amendments and interpretations whose application is mandatory in 2015 The new amendments to the standards and interpretations whose application is mandatory from January 1 st 2015 do not have an impact on the consolidated financial statements of the Group: IFRS 1, First-time Adoption of IFRS; IFRS 3, Business Combinations; IFRS 13, Fair Value Measurement; IAS 40, Investment Property; IAS 19 (revised norm), Retirement and Employee Benefits. Seasonality The comparability of the yearly and half-yearly accounts can be affected by the seasonal nature of the Group. Taxes Taxes on income in the interim periods are accrued using the tax rate that would be applicable to expected total annual earnings. The tax rate of 33.33% was used for the calculation of deferred taxes related to the companies of the Group for the year Deferred tax assets are recognised if there is a high probability of allocation of tax burdens on future tax results. Estimates The preparation of the consolidated financial statements in conformity with IFRS requires the consideration by the Management of assumption and estimates that affect the reported amounts of assets and liabilities on the balance sheet, and the liabilities mentioned on the annex, as well as the revenues and liabilities of the income statement. It is possible that the final amount may differ from the estimates and assumptions retained. Significant estimates and assumptions are identical to those described in the notes to the consolidated financial statements for the year ended December 31, SEGMENT INFORMATION 2.1 PRODUCTION Revenues include the sale of captured and value enhanced fish, storage services and value enhancing services for third parties. Thousand YH YH Fishing activities Value enhancing Total Revenues Page 8

11 Thousand YH YH Japan Other Asia Reunion and Mauritius North America Europe Seychelles Others Total Revenues Other income includes: - Reimbursement of insurance ; - Non-group vessel construction services 2.2. EBIT BY OPERATING SEGMENT Thousand YH YH Fishing activities Value enhancing Total EBIT STAFF NUMBERS Number of staff YH YH Officers Crew Total Seafaring Management Office staff 9 6 Employees Total Land based Total staff SHAREHOLDERS EQUITY Share capital: The number of shares on June 30, 2015 is of 3.5 million at 0.80 per share. All new shares were paid. Stock-options: Following 11 th June 2009 meeting, the board of Directors: - Granted shares giving rights to the purchase of new company shares as part of the company s share capital increase - Created a strategy 2009 SAPMER shares which main dates are as follows: 1 st possible purchase date on 30 September 2009, possible sale date 01 July 2013, last possible purchase date 31 July 2015 before it becomes void. Movements in the number of share options outstanding are as follows: Number of options At beginning of the year Options granted - - Options exercised Options expired - - At the end of the year Dividends: The board of Directors following the AGO meeting of 30 June 2015, did not authorise the distribution of dividends. Page 9

12 Profit per share: Basic Diluted YH YH Net profit Weighted average shares outstanding Earnings per share (basic) in Weighted average shares outstanding Earnings per share (diluted) in CASH AND CASH EQUIVALENTS AND BANK OVERDRAFTS/NET DEBT Thousand Cash in hand Cash & cash equivalents Bank overdrafts Cash and cash equivalents less bank overdrafts Thousand Borrow ings Borrow ings - Liabilities directly linked to assets classified as held for sale Cash & cash equivalents Net debt BORROWINGS Variation of borrowings during the period: At beginning of year Exchange differences 0 0 Accrued interest payable Changes to debts w ith associates Scope change 0 0 Proceeds from borrow ings Repayment of borrow ings At end of year Bank overdrafts Total Borrow ings The breakdown of loans between fixed rate and floating rate and by currency: Page 10

13 The breakdown of loans between fixed rate and floating rate and by currency: Thousand Loans by type of rate Fixed rate Floating rate Before hedging transactions Fixed rate Floating After hedging transactions Loans by currency Euros Other currencies 0 0 Loans by currency FINANCIAL INSTRUMENTS The financial instruments used by the Group are primarily intended to cover the risks related to its business and its assets. The Group centralises its risk management of exchange, interest and financial instruments. Derivative financial instruments are recorded under the following titles and amounts: thousand Interest rate risk Assets: Non-current current Liabilities : Non-current current Currency risk Assets: Non-current current 0 0 Liabilities : Non-current current TOTAL FINANCIAL COMMITMENTS Contingent liabilities over borrowings thousands Guarantees given (guarantees and deposits) Reciprocal commitments (buy-back of vessel and/or shares of SPV) at the end of the tax exemption period Guarantees given - Guarantee Sapmer SA over TPSIO borrow ing Guarantees given - credit lines The Group granted a mortgage in favour of lending institutions in order to secure the payment of loans. On June 30, 2015, although the total amount of the mortgages registered with the authorities are mentioned above, the amount that can be called is limited to the capital and interests effectively outstanding by the Group, under the loans covered by these mortgages. Financial commitments thousands Bank loans secured by ship mortgages Bank loans secured over building and assets Bank loans secured by ship mortgages and covenants Total Page 11

14 9. POST-CLOSING EVENTS None 10. RELATED-PARTY TRANSACTIONS The group is controlled by the company SAPMER HOLDING PTE. LTD itself owned at more than 90% by Jaccar Holdings SA. SAPMER HOLDING PTE. LTD owns at 30 June 2015, 89.21% SAPMER SA s shares. Transactions between the company and its subsidiaries, which are related parties, were eliminated on consolidation and are not reported in this note. The transactions with the companies holding SAPMER SA s shares such as SAPMER HOLDING PTE. LTD, the Mauritian subsidiaries of SAPMER HOLDING or the companies in which certain members of management have significant influence, are as follows: Thousand Income statement Supplies (equipment, bates, etc. for fishing vessels) 104 Other income -102 Financial income Supplies (equipment, bates, etc. for fishing vessels) Rent Support management services provided to the related party Commissions Balance Sheet Trade accounts receivables due by a related party Loans due by a related party Trade accounts payables due to a related party Loans due to a related party CONSOLIDATION SCOPE 2015 The companies included in the consolidation scope are listed in the table below: Company Location % of interest Consolidated method SAPMER SA (*) Reunion Island Parent Full consolidation LES ARMEMENTS REUNIONNAIS SAS (*) Reunion Island 100% Full consolidation ARMAS PÊCHE SAS (via SOPARMA) (*) Reunion Island 100% Full consolidation SOPARMA SAS (*) Reunion Island 100% Full consolidation ARMEMENT SAPMER DISTRIBUTION SARL (*) Reunion Island 99.6% Full consolidation (*) Companies with the French corporate tax unit Page 12

15 SOCIÉTÉ ANONYME (PUBLIC LIMITED COMPANY) TO BOARD OF DIRECTRS WITH A CAPITAL OF DARSE DE PÊCHE - B.P LE PORT - REUNION ISLAND TELEPHONE: +262 (0) FAX: +262 (0) RCS SAINT-DENIS