Innofactor re-evaluates the outlook on 2013

23.10.2013 00:00

Innofactor Plc Stock Exchange Release, October 23, 2013, 08:30 Finnish time

Innofactor re-evaluates the outlook on 2013 as the schedule of costs and synergy benefits related to the June 6, 2013, acquisition of atBusiness Oy have become more accurate.

There continue to be slight uncertainties related to the outlook for 2013 due to the finalization of the integration of a major acquisition. Innofactor's net sales in 2013 are expected to be about EUR 32–34 million (2012: EUR 18.8 million). Operating profit before depreciation and amortization (EBITDA) in 2013 is expected to be about EUR 3–4 million (2012: EUR 1.2 million).

Innofactor's earlier estimate was that uncertainties were expected due to the integration of a major acquisition and that, therefore, no detailed estimate of the outlook could earlier be provided. Innofactor's net sales in 2013 were expected to be about EUR 34-37 million (2012: EUR 18.8 million). Operating profit before depreciation and amortization (EBITDA) in 2013 was expected to be about EUR 3-5 million (2012: EUR 1.2 million).

The atBusiness Oy integration project will continue until January 31, 2014. The Espoo sites, hosting over 60 percent of Innofactor’s employees, will be combined as of January 1, 2014, after which time it is assumed the majority of the synergy benefits will be realized. Innofactor has decided to postpone some of the recruitments planned for the end of 2013 to 2014, which will decrease net sales in 2013 but will not have a significant impact on EBITDA. Innofactor will specifically focus on maximizing cross selling and cross resourcing opportunities.

Espoo, October 23, 2013

INNOFACTOR PLC

Board of Directors

Additional information:
Sami Ensio, CEO
Innofactor Plc
Tel. +358 50 584 2029

Distribution:
NASDAQ OMX Helsinki
Principal media
www.innofactor.com

Innofactor is one of the leading software providers focused on Microsoft solutions in the Nordic countries. Innofactor delivers to its customers IT projects as a system integrator and develops its own software products and services. The focus area in its own product development is Microsoft Azure based cloud solutions. Innofactor's customers include about 1,000 companies and government organizations in Finland, Denmark and elsewhere in Europe. In its operation, Innofactor strives for long-term customer relationships. Innofactor has about 400 motivated and skilled employees in several locations in Finland, Denmark and Russia. The five year growth of Innofactor's net sales in 2008–2012 has been about 35 percent annually. Innofactor is the fastest growing technology company in the Finnish stock exchange. The Innofactor Plc share is listed in the technology section of the main list of NASDAQ OMX Helsinki Oy.