– Net sales amounted to EUR 523.4 (Q1-Q3/2020 431.4) million.
– Q3 net sales amounted to EUR 172.6 (Q3/2020 155.0) million.
– Operating result totalled EUR 56.3 (Q1-Q3/2020 43.4) million, equalling 10.8
(10.1) per cent of net sales.
– Q3 operating result totalled EUR 20.0 (Q3/2020 21.6) million, equalling 11.6
(13.9) per cent of net sales.
– Profit before taxes was EUR 54.7 (Q1-Q3/2020 22.7) million.
– Cash flow from business operations was EUR 50.1 (15.6) million.
– Earnings per share were EUR 1.40 (0.52).
– Equity ratio was 61.8 (47.5) per cent.
– Order books stood at EUR 402.3 (178.5) million.
– Profit guidance, updated on 13 October 2021: Group´s euro-denominated
operating result in 2021 is estimated to be significantly higher than in 2020.
Earlier result guidance estimated that Group´s euro-denominated operating result
in 2021 would be slightly higher than in 2020.
PRESIDENT AND CEO JUHO NUMMELA:
Demand for PONSSE forest machines remained excellent during the third quarter.
The good work situation of our customers was reflected positively in all our
business areas, and strong growth continued. Ponsse’s order flow during the
third quarter totalled EUR 219.5 million, increasing our order books to a record
-high level of EUR 402.3 million. While the availability of components remained
very challenging, we were ultimately able to manufacture all PONSSE forest
machines in our production programme. The quarter was an excellent success in
terms of growth, profitability and cash flows.
Currently, Russia, Northern Europe and the Americas are showing the highest
demand. In practice, all our market areas are growing well. Our maintenance
services continued their very strong growth, and demand for trade-in machines
has been high. Our cash flow was very strong during the third quarter.
The availability of parts and components continues to be a challenge due to high
demand for machine and equipment manufacturing. The availability of components
decreased during the quarter, with the largest challenges being associated with
products in the semiconductor industry and the availability of hydraulic
components. The imbalance between demand and supply has an impact not only
through lower availability, but also through rising costs. What makes this
challenging for Ponsse is that these increased costs cannot be wholly
transferred directly to our customers. This is affected by the far-reaching
order books in our production, the pricing of already agreed machine deals and
our customers’ challenges in their business operations amidst increasing
harvesting costs. We are constantly seeking sustainable solutions with our
suppliers to curb price increases. Ponsse has performed well considering the
situation, thanks to our competent personnel and excellent supplier
relationships.
The availability of parts and components will also be a challenge during this
quarter. We are doing everything we can to improve the situation with our
supplier network. Where profitability is concerned, the situation is
challenging. The development of productivity supports our profitability, while
the increase in material costs reduces the gross profit margin. At the same
time, business costs are increasing. Our result will increase significantly from
the comparison period, but we still have work to do in terms of our relative
profitability.
Ponsse’s personnel have worked remotely since the outbreak of the coronavirus
pandemic, with the exception of our production, sales and maintenance service
personnel. Office employees at our Vieremä factory will continue to work
remotely to protect the continuity of our production. We will also observe
special caution in our other locations to prevent coronavirus infections. It is
vital to keep our personnel healthy and serve our customers at full efficiency.
NET SALES
Consolidated net sales for the period under review amounted to EUR 523.4 (431.4)
million, which is 21.3 per cent more than in the comparison period.
International business operations accounted for 80.1 (77.7) per cent of net
sales.
Net sales were regionally distributed as follows: Northern Europe 33.6 (42.2)
per cent, Central and Southern Europe 19.2 (24.1) per cent, Russia and Asia 20.3
(12.4) per cent, North and South America 26.4 (20.8) per cent and other
countries 0.5 (0.5) per cent.
PROFIT PERFORMANCE
The operating result amounted to EUR 56.3 (43.4) million. The operating result
equalled 10.8 (10.1) per cent of net sales for the period under review.
Consolidated return on capital employed (ROCE) stood at 21.1 (9.3) per cent.
Staff costs for the period totalled EUR 72.3 (61.0) million. Other operating
expenses stood at EUR 42.3 (33.5) million. The net total of financial income and
expenses amounted to EUR -1.6 (-20.7) million. Exchange rate gains and losses
with a net effect of EUR -1.0 (-18.7) million were recognised under financial
items for the period. The parent company’s receivables from subsidiaries stood
at EUR 59.5 (109.2) million net. Their reduction and the moderate change in
exchange rates have resulted in a significantly reduced impact on financial
items for the period under review. The unrealised exchange rate losses for the
comparison period mainly consist of the assessment of inter-company accounts
payable for Ponsse Latin America Ltda and OOO Ponsse.
The effective tax rate for the period under review is affected by a tax expense
posted in full of Ponsse Latin America related to the valuation of a parent
company net investment posted by the group in the financial statements 2020 and
completed by the subsidiary in the period under review. The finality of the tax
expense will be decided by the authorities. The parent company’s receivables
from subsidiaries mainly consist of trade receivables. The unposted tax assets
of unrealised exchange rate losses for unhedged items related to the trade
receivables’ valuation impacted the group’s effective tax rate for the
comparison period.
Result for the period under review totalled EUR 39.2 (14.6) million. Diluted and
undiluted earnings per share (EPS) came to EUR 1.40 (0.52).
STATEMENT OF FINANCIAL POSITION AND FINANCING ACTIVITIES
At the end of the period under review, the total consolidated statements of
financial position amounted to EUR 479.4 (511.7) million. Inventories stood at
EUR 172.3 (172.5) million. Trade receivables totalled EUR 49.3 (47.3) million,
while cash and cash equivalents stood at EUR 75.5 (123.3) million. Group
shareholders’ equity stood at EUR 280.9 (239.9) million and parent company
shareholders’ equity (FAS) at EUR 226.1 (228.1) million. The amount of interest
-bearing liabilities was EUR 54.2 (161.8) million. The company has ensured its
liquidity by credit facility limits and commercial paper programs, which are not
used at the end of the period under review. Group's loans from financial
institutions are non-collaretal bank loans without financial covenants.
Consolidated net liabilities totalled EUR -21.3 (38.5) million, and the debt
-equity ratio (net gearing) was -7.6 (16.0) per cent. The equity ratio stood at
61.8 (47.5) per cent at the end of the period under review.
Cash flow from operating activities amounted to EUR 50.1 (15.6) million. Cash
flow from investment activities came to EUR -18.0 (-12.2) million.
IMPACT OF THE COVID-19 PANDEMIC
The company has recovered from the impacts of covid-19 pandemic on the demand
for products faster than expected. However, the covid-19 pandemic has caused
changes in the company’s operating environment. The company’s management is
actively monitoring the development of the pandemic. The covid-19 pandemic has
had a major impact on the availability of components. The company will continue
its enhanced cost control and careful execution of investments going forward.
Covid-19 pandemic restrictions have been felt by company operations across the
world. Decisions have been made to ensure the health and safety of the company’s
customers and all Ponsse employees. The company’s white-collar employees have
mainly been teleworking, while manufacturing units and the sales and service
business network are operating as normal.
In terms of financing, the company has carried out all measures necessary to
ensure business continuity. The company has analysed credit risks related to
trade receivables and credit loss provisions and concluded that there are
sufficient provisions at the end of the period under review. The company has not
had any signs of decreases in goodwill or the value of activated development
costs.
ORDER INTAKE AND ORDER BOOKS
Order intake for the period totalled EUR 755.2 (378.6) million, while period-end
order books were valued at EUR 402.3 (178.5) million.
DISTRIBUTION NETWORK
The subsidiaries included in the Ponsse Group are Ponsse AB, Sweden; Ponsse AS,
Norway; Ponssé S.A.S., France; Ponsse UK Ltd, the United Kingdom; Ponsse
Machines Ireland Ltd, Ireland, Ponsse North America, Inc., the United States;
Ponsse Latin America Ltda, Brazil; Ponsse Uruguay S.A., Uruguay; OOO Ponsse,
Russia; Ponsse Asia-Pacific Ltd, Hong Kong; Ponsse China Ltd, China and Epec Oy,
Finland. The Group includes also the property company Ponsse Centre, Russia.
Sunit Oy, Finland, is an associate in which Ponsse Plc has a holding of 34 per
cent.
R&D AND CAPITAL EXPENDITURE
Group’s R&D expenses during the period under review totalled EUR 16.7 (15.2)
million, of which EUR 5.7 (6.0) million was capitalised.
Capital expenditure totalled EUR 18.3 (12.3) million. It consisted in addition
to capitalised R&D expenses of investments in buildings and ordinary maintenance
and replacement investments for machinery and equipment.
MANAGEMENT
The following persons were members of the Management Team: Juho Nummela,
President and CEO, acting as the chairman; Petri Härkönen, Deputy CEO, CFO; Juha
Inberg, Technology and R&D Director; Marko Mattila, Sales and Marketing
Director; Tapio Mertanen, Service Director; Paula Oksman, HR Director; Miika
Soininen, Director of IT and Digital Services and Tommi Väänänen, Director of
Delivery Chain Process. The company management has regular management liability
insurance.
The area director organisation of sales is led by Marko Mattila, the Group's
sales and marketing director, and Tapio Mertanen, service director. Area
directors report to Jussi Hentunen, Ponsse retail network manager. Managing
directors of subsidiaries and Jussi Hentunen report to Marko Mattila, Ponsse
Plc's sales and marketing director.
The geographical distribution and the responsible persons are presented below:
Northern Europe:
Jani Liukkonen (Finland),
Carl-Henrik Hammar (Sweden, Denmark and Norway) and
Tarmo Saks (the Baltic countries).
Central and Southern Europe:
Tuomo Moilanen (Germany and Austria),
Clément Puybaret (France),
Janne Tarvainen (Spain and Portugal),
Gary Glendinning (United Kingdom and Ireland),
Antti Räsänen (Hungary, Italy, Romania, Slovenia, Croatia, Serbia and Bulgaria)
and
Tarmo Saks (Poland, Czech Republic and Slovakia).
Russia and Asia:
Jaakko Laurila (Russia and Belarus),
Janne Tarvainen (Australia and South Africa) and
Risto Kääriäinen (China and Japan).
North and South America:
Pekka Ruuskanen (the United States),
Eero Lukkarinen (Canada),
Fernando Campos (Brazil) and
Martin Toledo (Uruguay, Chile and Argentina).
PERSONNEL
The Group had an average staff of 1,924 (1,768) during the period and employed
1,966 (1,759) people at period-end.
SHARE PERFORMANCE
The company’s registered share capital consists of 28,000,000 shares. The
trading volume of Ponsse Plc shares for 1 January – 30 September 2021 totalled
990,128, accounting for 3.5 per cent of the total number of shares. Share
turnover amounted to EUR 38.7 million, with the period’s lowest and highest
share prices amounting to EUR 29.15 and EUR 45.85, respectively.
At the end of the period, shares closed at EUR 39.85, and market capitalisation
totalled EUR 1,115.8 million.
At the end of the period under review, the company held 227 treasury shares.
ANNUAL GENERAL MEETING
A separate release was issued on 7 April 2021 regarding the authorizations given
to the Board of Directors and other resolutions at the AGM.
GOVERNANCE
In its decision-making and administration, the company observes the Finnish
Limited Liability Companies Act, other regulations governing publicly listed
companies and the company’s Articles of Association. The company’s Board of
Directors has adopted the Code of Governance that complies with the Finnish
Corporate Governance Code approved by the Board of the Securities Market
Association. The purpose of the code is to ensure that the company is
professionally managed and that its business principles and practices are of a
high ethical and professional standard.
The Code of Governance is available on Ponsse’s website in the Investors
section.
RISK MANAGEMENT
Risk management is based on the company’s values, as well as strategic and
financial objectives. Risk management aims to support the achievement of the
objectives specified in the company’s strategy, as well as to ensure the
financial development of the company and the continuity of its business.
Furthermore, risk management aims to identify, assess and monitor business
-related risks which may influence the achievement of the company’s strategic
and financial goals or the continuity of its business. Decisions on the
necessary measures to anticipate risks and react to observed risks are made on
the basis of this information.
Risk management is a part of regular daily business, and it is also included in
the management system. Risk management is controlled by the risk management
policy approved by the Board.
A risk is any event that may prevent the company from reaching its objectives or
that threatens the continuity of business. On the other hand, a risk may also be
a positive event, in which case the risk is treated as an opportunity. Each risk
is assessed on the basis of its impact and probability. Methods of risk
management include avoiding, mitigating and transferring risks. Risks can also
be managed by controlling and minimising their impact.
SHORT-TERM RISK MANAGEMENT
The insecurity in the world economy may result in a decline in the demand for
forest machines and the availability of components. The unexpectedly swift
recovery of the world economy and rapid growth in demand have resulted in
availability problems in certain component groups. The quick economic
fluctuation may affect availability, but also cause rapid inflation in the
component market. The uncertainty may also be increased by the volatility of
developing countries’ foreign exchange markets. The geopolitical situation, in
particular, will increase the uncertainty through financial market operations
and sanctions. Changes taking place in the fiscal and customs legislation in
countries to which Ponsse exports may hamper the company’s export trade or its
profitability.
The effects of the Covid-19 pandemic are described in section “IMPACT OF THE
COVID-19 PANDEMIC” of this release.
The parent company monitors the changes in the Group’s internal and external
trade receivables and the associated risk of impairment.
The key objective of the company’s financial risk management policy is to manage
liquidity, interest and currency risks. The company ensures its liquidity
through credit limit facilities agreed with a number of financial institutions.
The effect of adverse changes in interest rates is minimised by utilising credit
linked to different reference rates and by concluding interest rate swaps. The
effects of currency rate fluctuations are partly mitigated through derivative
contracts.
OUTLOOK FOR THE FUTURE
Group´s euro-denominated operating result in 2021 is estimated to be
significantly higher than in 2020.
The impact of the covid-19 pandemic on Ponsse’s business, financial standing,
operational performance and liquidity is constantly monitored.
Sustainable solutions to address the availability of parts and components, as
well as increasing costs, are being sought in cooperation with the supplier
network. The company will continue its enhanced cost control and careful
investment execution.
PONSSE GROUP
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (EUR 1,000)
IFRS IFRS IFRS
1-9/21 1-9/20 1-12/20
NET SALES 523,430 431,425 636,627
Increase 20,908 22,555 -6,424
(+)/decrease (-) in
inventories of
finished goods and
work in progress
Other operating 2,094 1,326 3,521
income
Raw materials and -357,141 -298,650 -418,400
services
Expenditure on -72,325 -60,960 -85,726
employment-related
benefits
Depreciation and -18,376 -18,736 -24,631
amortisation
Other operating -42,316 -33,521 -47,821
expenses
OPERATING RESULT 56,273 43,438 57,146
Share of results of 39 -81 86
associated companies
Financial income and -1,639 -20,636 -17,671
expenses
RESULT BEFORE TAXES 54,674 22,721 39,561
Income taxes -15,461 -8,073 -7,277
NET RESULT FOR THE 39,213 14,648 32,284
PERIOD
OTHER ITEMS INCLUDED
IN TOTAL
COMPREHENSIVE
RESULT:
Translation 3,426 1,576 -968
differences related
to foreign units
TOTAL COMPREHENSIVE 42,639 16,224 31,316
RESULT FOR THE
PERIOD
Diluted and 1.40 0.52 1.15
undiluted earnings
per share*
IFRS IFRS
7-9/21 7-9/20
NET SALES 172,638 155,016
Increase -2,378 4,978
(+)/decrease (-) in
inventories of
finished goods and
work in progress
Other operating 905 398
income
Raw materials and -109,654 -104,462
services
Expenditure on -20,917 -18,110
employment-related
benefits
Depreciation and -6,337 -6,738
amortisation
Other operating -14,269 -9,481
expenses
OPERATING RESULT 19,988 21,602
Share of results of 5 -21
associated companies
Financial income and -1,215 -5,872
expenses
RESULT BEFORE TAXES 18,778 15,710
Income taxes -4,351 -4,010
NET RESULT FOR THE 14,426 11,700
PERIOD
OTHER ITEMS INCLUDED
IN TOTAL
COMPREHENSIVE
RESULT:
Translation 401 -1,217
differences related
to foreign units
TOTAL COMPREHENSIVE 14,828 10,484
RESULT FOR THE
PERIOD
Diluted and 0.52 0.42
undiluted earnings
per share*
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (EUR 1,000)
IFRS IFRS IFRS
ASSETS 30 Sep 21 30 Sep 20 31 Dec 20
NON-CURRENT ASSETS
Intangible assets 40,939 34,276 36,709
Goodwill 3,804 3,790 3,808
Property, plant and equipment 111,645 109,211 112,183
Financial assets 372 370 371
Investments in associated companies 805 665 832
Non-current receivables 780 1,245 839
Deferred tax assets 4,104 3,780 3,076
TOTAL NON-CURRENT ASSETS 162,449 153,335 157,818
CURRENT ASSETS
Inventories 172,257 172,463 142,137
Trade receivables 49,309 47,101 35,384
Income tax receivables 1,933 184 1,849
Other current receivables 17,989 15,283 13,165
Cash and cash equivalents 75,499 123,286 123,611
TOTAL CURRENT ASSETS 316,987 358,318 316,146
TOTAL ASSETS 479,436 511,653 473,964
SHAREHOLDERS’ EQUITY AND LIABILITIES
SHAREHOLDERS’ EQUITY
Share capital 7,000 7,000 7,000
Other reserves 3,460 3,460 3,460
Translation differences 7,857 6,976 4,431
Treasury shares -2 -2 -2
Retained earnings 262,583 222,512 240,149
EQUITY OWNED BY PARENT COMPANY SHAREHOLDERS 280,898 239,946 255,038
NON-CURRENT LIABILITIES
Interest-bearing liabilities 50,642 48,356 50,470
Deferred tax liabilities 807 1,138 1,137
Other non-current liabilities 90 39 41
TOTAL NON-CURRENT LIABILITIES 51,539 49,534 51,648
CURRENT LIABILITIES
Interest-bearing liabilities 3,579 113,446 64,055
Provisions 4,421 4,623 4,979
Tax liabilities for the period 2,950 3,754 1,312
Trade creditors and other current liabilities 136,049 100,350 96,932
TOTAL CURRENT LIABILITIES 146,999 222,173 167,278
TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES 479,436 511,653 473,964
CONSOLIDATED STATEMENT OF CASH FLOWS (EUR 1,000)
IFRS IFRS IFRS
1-9/21 1-9/20 1-12/20
CASH FLOWS FROM OPERATING ACTIVITIES:
Net result for the period 39,213 14,648 32,284
Adjustments:
Financial income and expenses 1,639 20,636 17,671
Share of the result of associated companies -39 81 -86
Depreciation and amortisation 18,376 18,736 24,631
Income taxes 15,461 8,073 7,277
Other adjustments 1,540 369 -58
Cash flow before changes in working capital 76,189 62,543 81,719
Change in working capital:
Change in trade receivables and other receivables -18,086 -5,996 9,454
Change in inventories -27,194 -29,648 1,965
Change in trade creditors and other liabilities 37,177 -2,324 -5,743
Change in provisions for liabilities and charges -558 1,173 1,529
Interest received 110 72 97
Interest paid -808 -719 -1,068
Other financial items -1,426 -1,957 -3,100
Income taxes paid -15,286 -7,547 -10,063
NET CASH FLOWS FROM OPERATING ACTIVITIES (A) 50,118 15,596 74,790
CASH FLOWS USED IN INVESTING ACTIVITIES
Investments in tangible and intangible assets -18,336 -12,349 -20,270
Proceeds from sale of tangible and intangible assets 332 114 254
NET CASH FLOWS USED IN INVESTMENT ACTIVITIES (B) -18,004 -12,235 -20,016
CASH FLOWS FROM FINANCING ACTIVITIES
Withdrawal/Repayment of current loans -60,636 80,219 28,680
Withdrawal/Repayment of finance lease liabilities -2,248 -1,943 -1,268
Dividends paid -16,800 -8,400 -8,400
NET CASH FLOWS FROM FINANCING ACTIVITIES (C) -79,684 69,877 19,012
Change in cash and cash equivalents (A+B+C) -47,570 73,238 73,786
Cash and cash equivalents on 1 Jan 123,611 48,704 48,704
Impact of exchange rate changes -542 1,344 1,121
Cash and cash equivalents on 30 Sep/31 Dec 75,499 123,286 123,611
*) The company changed over to presenting the change in non-current receivables
included in the cash flow statement under item change in trade receivables and
other receivables. As a result, previously reported cash flows have been
adjusted to allow comparability. The previously reported cash flow from business
operations was EUR 15.5 million in the half-year report for 1 January – 30
September 2020. In addition, the company has made a retrospective change between
items Other adjustments, Income taxes paid and Change in trade creditors and
other liabilities. The change had no effect on Net cash flows from operating
activities (A).
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (EUR 1,000)
A = Share capital
B = Share premium and other reserves
C = Translation differences
D = Treasury shares
E = Retained earnings
F = Total shareholders’ equity
EQUITY OWNED BY PARENT COMPANY
SHAREHOLDERS
A
B C D E F
SHAREHOLDERS’ EQUITY 1 JAN 2021 7,000
3,460 4,431 -2 240,149 255,038
Translation differences
3,426 3,426
Result for the period
39,213 39,213
Total comprehensive income for the period
3,426 39,213 42,639
Direct entries to retained earnings
3 3
Share Plan
18 18
Dividend distribution
-16,800 -16,800
SHAREHOLDERS' EQUITY 30 SEP 2021 7,000
3,460 7,857 -2 262,583 280,898
SHAREHOLDERS’ EQUITY 1 JAN 2020 7,000
3,460 5,400 -2 216,264 232,121
Translation differences
1,576 1,576
Result for the period
14,648 14,648
Total comprehensive income for the period
1,576 14,648 16,224
Dividend distribution
-8,399 -8,399
SHAREHOLDERS' EQUITY 30 SEP 2020 7,000
3,460 6,976 -2 222,513 239,946
30 Sep 21 30 Sep 20 31 Dec 20
1. LEASING COMMITMENTS (EUR 1,000)
731 635 595
2. CONTINGENT LIABILITIES (EUR 1,000)
30 Sep 21 30 Sep 20 31 Dec 20
Guarantees given on behalf of others
20 0 20
Responsibility of checking the VAT deductions made on real property investments
6,958 8,018 7,863
Other commitments
56 16 14
TOTAL
7,034 8,034 7,897
3. PROVISIONS (EUR 1,000)
Guarantee provision
1 January 2021
4,979
Provisions added
776
Provisions cancelled
-1,334
30 September 2021
4,421
KEY FIGURES AND RATIOS
30 Sep 21 30 Sep 20 31 Dec 20
R&D expenditure, MEUR
16.7 15.2 21.3
Capital expenditure, MEUR
18.3 12.3 20.3
as % of net sales
3.5 2.9 3.2
Average number of employees
1,924 1,768 1,782
Order books, MEUR
402.3 178.5 174.9
Equity ratio, %
61.8 47.5 54.3
Diluted and undiluted earnings per share (EUR)
1.40 0.52 1.15
Equity per share (EUR)
10.03 8.57 9.11
FORMULAE FOR FINANCIAL INDICATORS
Return on capital employed, %:
Result before taxes + financial expenses
--------------------------------------------------------------------------------
-------------------------------------
Shareholder´s equity + interest-bearing financial liabilities (average during
the year) * 100
Average number of employees:
Average of the number of personnel at the end of each month. The calculation has
been adjusted for part-time employees.
Net gearing, %:
Interest-bearing financial liabilities – cash and cash equivalents
--------------------------------------------------------------------------------
---
Shareholders’ equity * 100
Equity ratio, %:
Shareholders’ equity + Non-controlling interests
------------------------------------------------------------------------
Balance sheet total - advance payments received * 100
Earnings per share:
Net result for the period - Non-controlling interests
--------------------------------------------------------------------------------
---------------------------
Average number of shares during the accounting period, adjusted for share issues
Equity per share:
Shareholders’ equity
--------------------------------------------------------------------------------
-------------
Number of shares on the balance sheet date, adjusted for share issues
ORDER INTAKE (EUR million) 1-9/21 1-9/20 1-12/20
Ponsse Group 755.2 378.6 581.7
The stock exchange release for the interim report has been prepared observing
the recognition and valuation principles of IFRS, and the requirements of IAS 34
have not been complied with. The same accounting principles were observed for
the closing of the books as for the annual financial statements dated 31
December 2020.
In April 2021, the IFRS Interpretations Committee published its final agenda
decision on the accounting of configuration or customisation costs in a cloud
computing arrangement (IAS 38 Intangible Assets). In this agenda decision, the
Interpretations Committee determined whether customers recognise an intangible
asset in relation to the configuration or customisation of application software
by applying the IAS 38 standard and, if no intangible asset is recognised, how
customers account for the configuration or customisation costs in question.
IFRIC agenda decisions have no date when they enter into force, and they are
expected to be applied as soon as possible. Because the Group uses cloud
computing arrangements, it has started to analyse whether this agenda decision
has any impact on the accounting principles applied to the deployment costs of
cloud services. The Group will conduct this analysis during the autumn of 2021,
and any impact will be taken retroactively into account no later than in the
2021 financial statements.
The above figures have not been audited.
The above figures have been rounded and may therefore differ from those given in
the official financial statements.
This communication includes future-oriented statements that are based on the
assumptions currently made by the company’s management and its current decisions
and plans. Although the management believes that the future expectations are
well founded, there is no certainty that these expectations will prove to be
correct. This is why the results may significantly deviate from the assumptions
included in the future-oriented statements as a result of, among other things,
changes in the economy, markets, competitive conditions, legislation or currency
exchange rates.
Vieremä, 26 October 2021
PONSSE PLC
Juho Nummela
President and CEO
FURTHER INFORMATION
Juho Nummela, President and CEO, tel. +358 400 495 690
Petri Härkönen, CFO, tel. +358 50 409 8362
DISTRIBUTION
NASDAQ OMX Helsinki Ltd
Principal media
www.ponsse.com
Ponsse Plc is a company specialising in the sales, manufacture, servicing and
technology of cut-to-length method forest machines and is driven by genuine
interest in its customers and their business. Ponsse develops and manufactures
sustainable and innovative harvesting solutions based on customers’ needs.
The company was established by forest machine entrepreneur Einari Vidgrén in
1970, and it has been a leader in timber harvesting solutions based on the cut
-to-length method ever since. Ponsse is headquartered in Vieremä, Finland. The
company’s shares are quoted on the NASDAQ OMX Nordic List.