Gascogne Group's the first half year results down by Euro 12.9 million

Aug 03, 2012. /Lesprom Network/. Gascogne Group's 1H 2012 underlying operating profit stands at – Euro 4.9 million. Restated without exceptional factors associated with both the scheduled stoppage of the paper plant in April (Euro 3 million) and the impact of the shutdown of sawmills in February due to freezing conditions (Euro 0.5 million), the underlying operating profit stands at - Euro 1.4 million. Compared with the first half of 2011, this drop is mainly due to the Wood division experiencing particularly difficult market conditions, as the company said in the press release received by Lesprom Network. The operating profit of - Euro 10.7 million is significantly penalised by an exceptional noncash expense of Euro 4 million, without impact on cash. Considering the deterioration of the macro-economic situation and losses recorded in the first half of the year by the Wood branch, the Group adjusted the asset values for the branch within the framework of impairment tests in compliance with IFRS. Other exceptional factors, of - Euro 1.7 million, mainly comprise additional provisions of Euro 0.9 million for the restructuring plan in the German subsidiary of the Sacks branch, and additional provisions for litigation and real estate depreciation of Euro 0.7 million. Net financial items are down from - Euro 3.4 million to - Euro 4.3 million due to a Euro 0.7 million increase in the cost of net debt. Based on comparable figures, net income for continuing operations stands at - Euro 12 million against - Euro 2.5 million on 30 June 2011. Following integration of discontinued operations (Laminates) net loss of - Euro 0.9 million (including a provision for the realised loss on the sale of the Swiss company’s assets of Euro 2.4 million, and a cessation of depreciation for the entire Laminates division amounting to Euro 2 million), the Group’s consolidated net profit stands at - Euro 12.9 million on 30 June 2012 compared with - Euro 4.8 million on 30 June 2011.