Net sales and profit

The Addtech Group's net sales rose by 4 percent during the financial year to SEK 5,403 million (5,200). Comparable units fell 4 percent and acquired growth was 9 percent. Exchange rate changes had an adverse effect of 1 percent on net sales, corresponding to SEK 79 million, and an adverse effect of 1 percent on operating profit, corresponding to SEK 5 million during the year.

During the financial year, operating profit fell by 7 percent to SEK 437 million (470) and the operating margin reached 8.1 percent (9.0). The operating margin before amortisation of intangible non-current assets equalled 9.2 percent (10.1). Net financial items were SEK -29 million (-23) and profit after financial items decreased by 9 percent to SEK 408 million (447).

Profit after tax for the financial year declined by 1 percent to SEK 323 million (327) and EPS fell to SEK 14.60 (14.65). The effective tax rate was 21 percent (27). Following a changed tax rate in Sweden in 2013 from 26.3 to 22 percent, deferred tax fell by a net amount of SEK 25 million, which entailed tax revenue in the same amount. Excluding this change, the effective tax rate was 27 percent.

Profitability, financial position and cash flow

At the end of the financial year, the return on equity was 30 percent (34) and the return on capital employed was 25 percent (32).

Return on working capital, P/WC (operating profit in relation to working capital), amounted to 45 percent (53). The long-term target for P/WC in the Group and all units is 45 percent. The P/WC profitability ratio encourages high operating profit and low levels of tied-up capital. When combined with the growth target of 15 percent, this provides conditions for profitable growth in the companies and Group. Average working capital, which comprises inventories plus net accounts receivable and accounts payable for the calculation of P/WC, reached SEK 969 million (890) at the end of the financial year.

At the end of the financial year the equity ratio stood at 37 percent (37). Equity per share, excluding non-controlling interest, totalled SEK 51.20 (46.20). Consolidated financial net debt at the end of the year stood at SEK 726 million (534) and included pension liabilities of SEK 201 million (195). Net debt in relation to operating profit with reversed depreciation/amortisation (EBITDA) amounted to 1.3 (0.9), and the net debt/equity ratio was 0.6 (0.5).

Cash and cash equivalents, consisting of cash and bank balances together with approved but non-utilised credit facilities, totalled SEK 668 million (717) at 31 March 2013. The Group's available credit facilities totalled SEK 1,132 million (955) at 31 March 2013.

Cash flow from operating activities reached SEK 339 million (415) in the financial year. The separate transition rules in the new Tax Procedures Act for companies with split financial years gave rise to extra tax payments in the fourth quarter referable to the 2011/2012 taxation year. Investments in non-current assets were SEK 42 million (38) and company acquisitions, including settlement of additional purchase consideration for acquisitions implemented in previous years, totalled SEK 311 million (260). Disposals of non-current assets amounted to SEK 2 million (2). Dividend for the year amounted to SEK 174 million (156), repurchase of treasury shares to SEK 0 million (71) and exercised and issued call options totalled SEK 24 million (1).