| Revenues from sales, rentals and service |
679.3 |
674.2 |
1,285.0 |
1,277.3 |
| Interest from financial leases |
24.3 |
22.7 |
48.2 |
44.6 |
| Total revenues |
703.6 |
696.9 |
1,333.2 |
1,321.9 |
| Cost of sales, rentals and service |
402.2 |
404.7 |
756.0 |
766.5 |
| Gross margin |
301.4 |
292.2 |
577.2 |
555.4 |
| Operating expenses |
235.5 |
227.5 |
455.7 |
438.9 |
| Operating income |
65.9 |
64.7 |
121.5 |
116.5 |
| Financial expense (net) |
15.6 |
16.1 |
30.8 |
31.4 |
| Income before income taxes, equity in income of unconsolidated companies and minority interests |
50.3 |
48.6 |
90.7 |
85.1 |
| Income taxes |
14.5 |
15.1 |
26.1 |
25.9 |
| Incomes before equity in income of unconsolidated companies and minority interests |
35.8 |
33.5 |
64.6 |
59.2 |
| Equity in income of unconsolidated companies |
0.1 |
0.3 |
0.2 |
0.3 |
| Income before minority interests |
35.9 |
33.8 |
64.8 |
59.5 |
| Minority interests in net income of subsidiaries |
0.7 |
0.7 |
1.3 |
1.2 |
| Net income |
35.2 |
33.1 |
63.5 |
58.3 |
| Dividend preference shares |
0.9 |
0.9 |
1.8 |
1.8 |
| Net income attributable to holders of ordinary shares |
34.3 |
32.2 |
61.7 |
56.5 |
| Cash flow |
80.8 |
75.3 |
152.2 |
141.4 |
| Average number of outstanding ordinary shares (x 1,000) |
82,903 |
81,725 |
82,832 |
81,383 |
| |
|
|
|
|
| Per ordinary share in euro |
1999 |
1998 |
1999 |
1998 |
| Net income |
0.41 |
0.39 |
0.74 |
0.69 |
| Cash flow |
0.97 |
0.92 |
1.84 |
1.74 |
| Fixed assets |
1,312.6 |
1,266.7 |
| Current assets |
1,504.3 |
1,353.1 |
| Total assets |
2,816.9 |
2,619.8 |
| |
|
|
| Group equity |
859.8 |
766.2 |
| Long term liabilities |
1,150.1 |
1,072.3 |
| Short term liabilities |
807.0 |
781.3 |
| Liabilities and shareholders' equity |
2,816.9 |
2,619.8 |
Net income of Océ N.V. for the first six months of the 1999 financial year amounted to 63.5 million euro, an increase of 8.8%.
Per ordinary share, net income amounted to 0.74 euro, an increase of 7.1%.
Revenues rose by 1% to 1,333 million euro. Excluding negative exchange rate effects revenues rose by 2.5%.
Second quarter 1999
Revenues rose by 1%. During the second quarter the influence of exchange rate effects was negligible.
In Wide Format Printing Systems (formerly named Engineering Systems) revenues decreased by 3.0% to 194 million euro (1998: 200 million euro). Demand for machines and supplies also lagged behind during the second quarter. Revenues from service and software were higher as a result of the bigger population of machines placed in the market. Deliveries of the Océ 9600 mid-volume printer/copier are now well under way. From the beginning of the fourth quarter the Océ 9600 is expected to make a substantial contribution to revenues and income.
In Document Printing Systems (formerly named Office Systems) revenues increased by 2.0% to 329 million euro (1998: 323 million euro). Placements of analogue copiers decreased sharply. However, this decrease was less than the decline in the market. Growth mainly stemmed from the Océ 3155 and Océ 3165 high volume network printer/copier and the colour copiers. Sales of the Océ 3165 to our partner in the United States lagged behind due to trade destocking. The beginning of September will see the start of deliveries of the Océ 3145 mid-volume digital printer/copier. Together with the Océ 3155 and Océ 3165 high volume digital copiers, whose functionality is constantly being expanded through the addition of new software, this machine will enable Océ to offer an excellent and full range of mid-volume and high volume digital printers/copiers.
In Production Printing Systems (formerly named Printing Systems) revenues rose by 3.5% to 181 million euro (1998: 174 million euro). Revenues from service and software developed favourably as a result of the increased printing volume. The Océ 8445 mid-volume network printer, based on the successful technology of the Océ 3045 and Océ 3165 is booking excellent sales. The faster version of this machine, the Océ 8465, will be delivered to the market during the fourth quarter.
Operating income increased by 2% to 65.9 million euro (1998: 64.7 million euro).
Financial expense (net) decreased to 15.6 million euro (1998: 16.1 million euro).
Net income rose by 6% to 35.2 million euro and amounted to 5% of revenues (1998: 33.1 million euro and 4.8% of revenues).
Net income attributable to holders of ordinary shares increased by 6.3% to 34.3 million euro (1998: 32.2 million euro).
Cash flow (net income plus depreciation) increased to 80.8 million euro (1998: 75.3 million euro).
Based on the average number of ordinary shares outstanding of 0.50 euro nominal, net income increased by 4.8% to 0.41 euro (1998: 0.39 euro) and cash flow by 5.7% to 0.97 euro (1998: 0.92 euro).
First six months 1999
Revenues in Wide Format Printing Systems decreased during the first six months with 4.5% to 363 million euro (1998: 379 million euro). Of this decrease, 3.0% was autonomous and 1.5% was caused by negative exchange rate effects. The share of revenues from machines decreased, whilst revenues from service and software increased. The weak economic situation in a number of countries meant that local revenues from machines were lower than expected. This situation seems to be of an incidental nature. As from the fourth quarter revenues are expected to be given a strong boost due to bigger numbers of placements of the Océ 9600.
In Document Printing Systems revenues increased by 2% to 624 million euro (1998: 612 million euro). Excluding negative exchange rate effects revenues increased by 3.5%. The main contribution to this increase came from the successful placements of the Océ 3155 and Océ 3165 series high volume network printers/copiers and colour copiers. In the declining market for analogue black-and-white copying the decrease of revenues remained limited. As a result of the ongoing destocking process, revenues from our partner in the United States were down on the previous year. A recovery in revenues from this partner is expected as from the beginning of the fourth quarter of this year.
In Production Printing Systems revenues increased by 4.5% to 346 million euro (1998: 331 million euro). Excluding negative exchange rate effects revenues rose by 6%. Revenues from machines as well as from service and software contributed to this increase. Especially the high volume printers that use continuous-feed paper were successfully placed during the first six months.
Operating income rose by 4% to 121.5 million euro (1998: 116.5 million euro).
Financial expense (net) decreased by 2% to 30.8 million euro (1998: 31.4 million euro).
Net income rose by 9% to 63.5 million euro and amounted to 4.8% of revenues (1998: 58.3 euro and 4.4% of revenues).
Net income attributable to holders of ordinary shares rose by 9% to 61.7 million euro (1998: 56.5 million euro).
Cash flow (net income plus depreciation) increased to 152.2 million euro (1998: 141.4 million euro).
Based on the weighted average number of ordinary shares outstanding of 0.50 euro the net income amounted to 0.74 euro(1998: 0.69 euro) and the cash flow to 1.84 euro (1998: 1.74 euro).
Balance sheet
The balance sheet total increased during the first half of 1999 by 197.0 million euro, of which some 110 million euro is the result of exchange rate effects. The remainder of the increase is mainly due to inventories and accounts receivable.
At the end of May group equity amounted to 859.8 million euro, which is equivalent to 30.5% of total assets (or 30.9% of total assets if the convertible debenture loan is included). The increase in group equity with 93.6 million euro since 30 November 1998 is chiefly the result of the net income (63.5 million euro) and exchange rate effects (28.7 million euro).
Océ N.V.
8 July 1999 |
