TRAINERS’ HOUSE GROUP INTERIM REPORT 1 JANUARY – 30 SEPTEMBER 2023
TRAINERS' HOUSE GROUP, STOCK EXCHANGE RELEASE, 26 OCTOBER 2023 at 8:30
January-September 2023 in brief
- net sales EUR 6.5 million (EUR 7.3 million), change of -10.2 % compared to the corresponding period of the previous year
- operating result EUR 0.1 million (EUR 0.5 million), 1.0 % of net sales (6.8 %)
- cash flow from operations EUR 0.1 million (EUR 0.5 million)
- earnings per share EUR 0.04 (EUR 0.23)
July-September 2023 in brief
- net sales EUR 1.6 million (EUR 1.8 million), change of -10.4 % compared to the corresponding period of the previous year
- operating result EUR -0.1 million (EUR -0.2 million), -6.7 % of net sales (-14.0 %)
- cash flow from operations EUR -0.2 million (EUR -0.2 million)
- earnings per share EUR -0.05 (EUR -0.12)
Key figures at the end of third quarter of 2023
- cash and cash equivalents EUR 1.5 million (EUR 2.2 million)
- interest-bearing liabilities of EUR 0.3 million (EUR 0.5 million) and interest-bearing net debt of EUR -1.3 million (EUR -1.7 million).
- equity ratio 65.3 % (67.8 %)
OUTLOOK FOR 2023
The company estimates the operating profit for 2023 to be between EUR -0.4 and 0.4 million.
CEO ARTO HEIMONEN
In the third quarter, the market situation remained unchanged.
Due to the holiday season, the third quarter of Trainers' House is actually two months long.
Acquiring new orders was still more difficult than usual during the review period.
The company has adapted its operations to the current market situation. During the current year, the company has gone through two change negotiations. In addition, other significant cost savings have been implemented.
At the same time, the company has moved forward. The new Johtajan kasvupolku training program - which offers ideas and motivation for management work, personal support, and supported self-examination - started during the fall. In addition, the company invests in the growth of the encounter marketing business with a recruitment campaign.
Improving cash flow and profitability are the most important goals of the company.
The purpose of Trainers’ House is to help people forward. This is possible by touching people, electrifying management and producing verifiable results.
Thank you to customers and employees.
Arto Heimonen, CEO, +358 404 123 456
Saku Keskitalo, CFO, +358 404 111 111
During the review period, the company focused on serving its customers.
After the review period, the company carried out change negotiations to achieve cost savings and reorganize operations.
Net sales for the reporting period were EUR 6.5 million (EUR 7.3 million). Operating result was EUR 0.1 million, 1.0 % of net sales (EUR 0.5 million, 6.8 %). The result for the period was EUR 0.1 million, 1.2 % of net sales (EUR 0.5 million, 6.8 %).
The breakdown of the Group's figures (unit thousand euros) is presented in the following table:
|Group’s main figures (kEUR)||1-9/2023||1-9/2022|
|Net sales||6 541||7 284|
|Other operating income||0||6|
|Expenses arising from employee benefits||-4 339||-4 546|
|Other expenses||-1 729||-1 902|
|Depreciation and impairment losses||-405||-344|
|EBIT, % of net sales||1.0||6.8|
|Financial income and expenses||8||-10|
|Result before taxes||76||488|
|Result of the period||80||493|
|Result, % of net sales||1.2||6.8|
The company's long-term goal is profitable growth.
FINANCING, INVESTMENTS AND SOLVENCY
|Cash flow and key financing figures (unit million euros)||1-9/2023||1-9/2022|
|Cash flow from operations before financial items||0.1||0.5|
|Cash flow from operations||0.1||0.5|
|Cash flow from investments||0.1||-0.1|
|Cash flow from financing||-0.9||-1.6|
|Total cash flow||-0.7||-1.2|
|Equity ratio %||65.3||67.8|
MAJOR RISKS AND UNCERTAINTIES
Trainers’ House’s business is sensitive to economic fluctuations.
The general economic situation internationally and in Finland contains significant risks. The war in Europe, the tense world political situation and the possible expansion of the crisis can cause rapid changes in the operating environment.
Changes in the openness of Europe, the freedom of world trade and the world political situation affect the exports of Finnish companies, which is reflected in the demand of the domestic market.
High inflation and the resulting increase in interest rates have a negative effect on economic activity.
The constant competition for the best employees affects recruitment and the commitment of key personnel.
The above-mentioned risks, when realized alone or together, have a significant impact on the company's operations.
The company divides the risk factors affecting business, earnings, and market capitalization into five main categories: market and business risks, personnel-related risks, technology and information security risks, financial risks, and legal risks.
Trainers’ House has sought to hedge against the adverse effects of other risks with comprehensive insurance policies. These include statutory insurance, liability and property insurance and legal expenses insurance. Insurance coverage, insurance values and deductibles are reviewed annually together with the insurance company.
The Management Team reports to the Board on a monthly basis on key business-related risks and, where necessary, risk management measures.
The Group has the reporting systems required for effective business monitoring. Internal control is linked to the company’s vision, strategic goals and the business goals set on the basis of them.
The realization of business objectives and the Group’s financial development are monitored on a monthly basis through the Group’s corporate governance system. As an essential part of the control system, actual data and up-to-date forecasts are reviewed monthly by the Group Management Team. The control system includes, among other things, sales reporting, an income statement, a rolling revenue and profit forecast, and key figures that are important to operations.
Trainers’ House is an expert organization. The magnitude of market and business risks is difficult to determine. Typical risks in this area are related to, for example, general economic development, customer distribution, technology choices, the development of competition and the management of personnel costs.
Risks are managed through the planning and regular monitoring of sales, human resources, and operating expenses, which enables rapid action when circumstances change. The risks of trade receivables have been taken into account by the recognition of expenses based on the age of the receivables and individual risk analyzes.
The goal of Trainers’ House’s financial risk management is to secure the availability of equity and debt financing on competitive terms and to reduce the impact of adverse market movements on the company’s operations.
Financial risks are divided into four categories, which are liquidity, interest rate risks, currency risks and credit risks. Each risk is monitored separately. Liquidity and interest rate risks are reduced with sufficient cash resources and efficient collection of receivables. Currency risks are low as Trainers’ House operates primarily in the euro market. In financial risk management, the focus is on liquidity.
The success of Trainers’ House as an expert organization depends on its ability to attract and retain skilled staff. In addition to a competitive salary, personnel risks are managed through incentive schemes and investments in personnel training, career opportunities and general well-being.
Technology is a key part of Trainers’ House’s business. Technology risks include, but are not limited to, supplier risk, risks related to internal systems, challenges posed by technological change, and security risks. Risks are protected against long-term cooperation with technology suppliers, appropriate security systems, staff training and regular security audits.
Trainers’ House’s legal risks are mainly focused on the contractual relationship between the company and customers or service providers. At their most typical, they relate to delivery responsibility and the management of intellectual property rights. In order to manage the risks related to contracts and intellectual property rights, the company has internal guidelines for contractual procedures. In the company’s view, the contractual risks are not unusual.
At the end of the review period, goodwill and other intangible assets recognized in the balance sheet have been tested in the normal way. The test did not reveal any need for impairment.
The consolidated balance sheet of Trainers’ House has goodwill of EUR 2.1 million. The balance sheet value of other intangible assets is EUR 1.0 million. If the Group's profitability does not develop as forecasted or other external factors independent of the Group's operations, such as interest rates, change significantly, it is possible that goodwill and other intangible assets will have to be written off. Recognition of an impairment loss would have no effect on the Group's cash flow.
Due to the project nature of the operations, the order backlog is short, and predictability is therefore challenging.
The description of potential risks is not comprehensive. Trainers' House conducts continuous risk assessment in connection with its operations and strives to hedge against identified risks.
Investors have also been informed about the risks in the company’s annual review and on the website at www.trainershouse.fi.
At the end of the review period, the Group had 111 (146) employees. As before, the company reports the number of employees converted to full-time employees.
DECISIONS REACHED AT THE ANNUAL GENERAL MEETING
The annual general meeting of Trainers' House Plc was held on 29 March 2023 in Helsinki.
The annual general meeting confirmed the financial statements and discharged CEO and the members of the Board of Directors from liability for the fiscal year 1 January - 31 December 2022.
The annual general meeting decided, in accordance with the board's proposal, that the company will distribute a dividend of EUR 0.47 per each company share. The dividend will be paid in two installments so that EUR 0.26 will be paid on 26 April 2023 (dividend payment record date 19 April 2023) and EUR 0.21 will be paid on 21 December 2023 (dividend payment record date 14 December 2023). The dividend is paid to the shareholder who is entered in the company's shareholder register on the record date of the dividend payment.
Aarne Aktan, Jarmo Hyökyvaara, Elma Palsila and Jari Sarasvuo were re-elected as members, and Emilia Tauriainen as a new member to the Board of Directors. In the board meeting held after the annual general meeting, the Board of Directors elected Jari Sarasvuo as the chairperson of the board.
The annual general meeting decided that the board member's remuneration shall be EUR 2,500 per month and the chairperson's remuneration will be EUR 4,500 per month.
Ernst & Young Oy was re-elected as the company's auditor. The remuneration to the auditor is paid according to the auditor's reasonable invoice.
The annual general meeting decided on amending Article 12 of the Articles of Association so that the general meeting can be held without a physical meeting place as a remote meeting. A new paragraph will be added to Article 12 of the Articles of Association, which will read in its entirety as follows:
"The board can decide that the general meeting is held without a meeting place whereby the shareholders shall exercise their power of decision in full in real-time during the meeting using telecommunication connection and technical means (remote meeting).”
SHARES AND SHARE CAPITAL
The company’s share is listed on Nasdaq Helsinki Ltd under the name Trainers’ House Plc (TRH1V).
At the end of the reporting period, Trainers’ House Plc had 2,147,826 shares and a registered share capital of EUR 880,743.59. The company does not hold any of its own shares. There have been no changes in the share capital during the period.
Share performance and trading
During the period under review, a total of 214 thousand shares, or 10.0 % of the average number of all company shares (540 thousand shares, 25.2 %), were traded on Nasdaq Helsinki for a value of EUR 1.0 million (EUR 3.9 million). The period’s highest share quotation was EUR 6.12 (EUR 9.80), the lowest EUR 3.38 (EUR 5.00) and the closing price EUR 3.73 (EUR 5.82). The weighted average price was EUR 4.74 (EUR 7.25). At the closing price on 30 September 2023, the company’s market capitalization was EUR 8.0 million (EUR 12.5 million).
SUMMARY OF FINANCIAL STATEMENTS AND NOTES
The report has been prepared in accordance with IAS 34 standard. The report has been prepared in accordance with IFRS standards and interpretations that have been approved for application in the EU and are in force on 1 January 2023.
In this interim report Trainers’ House has followed the same accounting policies and calculation methods as in the 2022 annual financial statements.
The figures given in the interim report are unaudited.
|INCOME STATEMENT IFRS (kEUR)||1-9/2023||1-9/2022||1-12/2022|
|NET SALES||6 541||7 284||9 753|
|Other operating income||0||6||6|
|Materials and services||-308||-362||-484|
|Personnel-related expenses||-4 339||-4 546||-6 146|
|Depreciation and impairment losses||-405||-344||-491|
|Other operating expenses||-1 420||-1 540||-2 064|
|Total expenses||-6 473||-6 792||-9 185|
|Financial income and expenses||8||-10||-15|
|Result before taxes||76||488||559|
|RESULT OF THE PERIOD||80||493||581|
|Result attributable to owners of the parent company||80||493||581|
|Earnings per share, EUR||0.04||0.23||0.27|
|Earnings per share attributable to owners of the parent company, EUR||0.04||0.23||0.27|
|BALANCE SHEET IFRS (kEUR)||9/2023||9/2022||12/2022|
|Goodwill||2 129||2 129||2 129|
|Other intangible assets||1 025||1 110||1 089|
|Other receivables, long-term||138||172||172|
|Deferred tax receivables||204||200||208|
|Total long-term receivables||342||372||380|
|Total non-current assets||3 926||4 294||4 328|
|Account receivables and other receivables||942||1 151||1 183|
|Cash and cash equivalents||1 533||2 197||2 247|
|Total current assets||2 475||3 347||3 430|
|TOTAL ASSETS||6 400||7 641||7 758|
|SHAREHOLDERS’ EQUITY AND LIABILITIES|
|Equity attributable to the owners of the parent company|
|Distributable non-restricted equity fund||37||37||37|
|Retained earnings||3 111||3 540||3 540|
|Result of the period||80||493||581|
|Total shareholders’ equity||4 109||4 950||5 039|
|Deferred tax liabilities||205||223||213|
|Long-term financial liabilities||58||228||180|
|Total long-term liabilities||263||451||394|
|Short-term financial liabilities||216||259||337|
|Accounts payable and other liabilities||1 812||1 982||1 989|
|Total short-term liabilities||2 028||2 240||2 326|
|Total liabilities||2 291||2 691||2 719|
|TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES||6 400||7 641||7 758|
|CASH FLOW STATEMENT IFRS (kEUR)||1-9/2023||1-9/2022||1-12/2022|
|CASH FLOW FROM OPERATIONS|
|Result of the period||80||493||581|
|Changes in working capital||-398||-347||-74|
|Cash flow from operations before financial items and taxes||117||501||997|
|Financial items and taxes paid||-13||-10||-16|
|CASH FLOW FROM OPERATIONS||104||491||982|
|CASH FLOW FROM INVESTMENTS|
|Investments in tangible and intangible assets||-12||-108||-163|
|Repayment of loan receivables||42||0||0|
|CASH FLOW FROM INVESTMENTS||51||-108||-285|
|CASH FLOW FROM FINANCING|
|Repayment of lease liabilities||-272||-239||-326|
|Dividends paid*||-597||-1 326||-1 503|
|CASH FLOW FROM FINANCING||-869||-1 565||-1 828|
|TOTAL CASH FLOW||-714||-1 182||-1 131|
|CHANGE IN CASH AND CASH EQUIVALENTS|
|Opening balance of cash and cash equivalents||2 247||3 378||3 378|
|Closing balance of cash and cash equivalents||1 533||2 197||2 247|
|CHANGE IN CASH AND CASH EQUIVALENTS||-714||-1 182||-1 131|
* The comparative figures 1-9/2022 for dividends paid have been adjusted -38 kEUR related to withholding taxes paid during 1-9/2022. The corresponding change is reflected in the change in working capital.
CHANGE IN SHAREHOLDERS’ EQUITY (kEUR)
Equity attributable to owners of the parent company
|CHANGE IN SHAREHOLDERS’ EQUITY (kEUR)||Share capital||Distributable non-restricted equity fund||Retained earnings||Total|
|Equity 1 January 2022||881||37||5 043||5 961|
|Other comprehensive income||493||493|
|Dividends||-1 503||-1 503|
|Equity 30 September 2022||881||37||4 032||4 950|
|Equity 1 January 2023||881||37||4 121||5 039|
|Other comprehensive income||80||80|
|Dividends||-1 009||-1 009|
|Equity 30 September 2023||881||37||3 191||4 109|
RELATED PARTY TRANSACTIONS
During the period under review, Trainers’ House had transactions with Causa Prima Ltd, a company controlled by Jari Sarasvuo, the Chairperson of the Board of Directors, and Pro Vividus Ltd and Anorin Liekki Ltd, which are related to the company.
The following transactions took place with related parties:
|RELATED PARTY TRANSACTIONS (kEUR)||1-9/2023||1-9/2022||1-12/2022|
|Purchases during the period||131||190||245|
|Liabilities at the end of the period||31||3||53|
|Average number of personnel||115||125||128|
|Personnel at the end of the period||111||146||131|
|COMMITMENTS AND CONTINGENT LIABILITIES||9/2023||9/2022||12/2022|
|Collaterals and contingent liabilities given for own commitments||120||141||140|
|OTHER KEY FIGURES||9/2023||9/2022||12/2022|
|Equity ratio (%)||65.3||67.8||68.9|
|Shareholders' equity/share (EUR)||1.91||2.30||2.35|
Calculation formulas for key figures
Earnings per share = Result of the period attributable to owners of the parent company
Average number of shares
adjusted for share issue in financial period
Interest-bearing net debt = Interest-bearing liabilities – cash and cash equivalents
Equity ratio (%) = Equity x 100
Balance sheet total – advances received
Equity / share = Equity
Number of shares adjusted for share issue at the
end of financial period
|Items affecting the calculation of key figures||9/2023||9/2022||12/2022|
|Advances received (kEUR)||107||335||449|
|Interest-bearing liabilities (kEUR)||274||487||517|
|Average number of shares adjusted for share issue in financial period (unit thousand shares)||2 148||2 148||2 148|
|Number of shares adjusted for share issue at the end of the financial period (unit thousand shares)||2 148||2 148||2 148|
In Helsinki 26 October 2023
TRAINERS’ HOUSE PLC
BOARD OF DIRECTORS
Arto Heimonen, CEO, +358 404 123 456
Saku Keskitalo, CFO, +358 404 111 111
www.trainershouse.fi – For investors
AttachmentTo view this piece of content from www.globenewswire.com, please give your consent at the top of this page.
To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.
About GlobeNewswire by notified
One Liberty Plaza - 165 Broadway
NY 10006 New York
GlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.
Subscribe to releases from GlobeNewswire by notified
Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from GlobeNewswire by notified
Hexagon Purus receives order to deliver hydrogen distribution systems to a leading player within the green hydrogen ecosystem3.12.2023 21:57:00 CET | Press release
(Oslo, 3 December 2023) Hexagon Purus, a world leading manufacturer of zero emission mobility and infrastructure solutions, has received purchase orders for the delivery of hydrogen distribution systems to a leading player within the green hydrogen ecosystem, worth approximately EUR 9.6 million. Hexagon Purus’ hydrogen distribution systems, including its type 4 hydrogen cylinders, will be used to deliver green hydrogen to industrial applications in Central Europe. Driving Energy Transformation “There is a growing need to move hydrogen around, and our distribution systems are significantly more cost-effective than traditional metal tube transportation solutions. We expect demand for our systems to gain further momentum as green hydrogen increasingly becomes part of the hydrogen mix”, says Michael Kleschinski, EVP Hydrogen Infrastructure & Mobility at Hexagon Purus. About the market The industrial and mobility sectors account for close to 50% of annual carbon emissions globally, and hydr
Exhibition World Bahrain Secures "World’s Leading New Exhibition and Convention Centre 2023" Award at World Travel Awards 20233.12.2023 11:00:00 CET | Press release
DUBAI, United Arab Emirates, Dec. 03, 2023 (GLOBE NEWSWIRE) -- Exhibition World Bahrain (EWB), the Middle East’s newest and largest exhibition and convention centre, is proud to announce securing the “World’s Leading New Exhibition and Convention Centre 2023” at the World Travel Awards 2023. The award accolade was presented to Dr. Nasser Qaedi, the CEO of Bahrain Tourism and Exhibitions Authority (BTEA), during the World Travel Awards 2023 Grand Final Gala Ceremony, which took place at Burj Al Arab in Dubai, UAE, on December 1, 2023, in the presence of HE Philip Joseph Pierre, the prime minister of Saint Lucia, tourism ministers, and travel elites across the globe. Exhibition World Bahrain captured the highest number of votes, clinching the internationally recognised award from Bharat Mandapam, India, and Tākina Wellington Convention and Exhibition centre, New Zealand. With this unrivalled win, the Kingdom of Bahrain has further cemented its reputation as the leading global hub for the
Merus Presents Interim Data on MCLA-129 at ESMO Asia Congress 20233.12.2023 02:40:00 CET | Press release
MCLA-129 in combination with chemotherapy in 2L+ EGFRm NSCLC planned to initiate 1Q24 UTRECHT, The Netherlands and CAMBRIDGE, Mass., Dec. 02, 2023 (GLOBE NEWSWIRE) -- Merus N.V. (Nasdaq: MRUS) (“Merus”, “the Company”, “we”, or “our”), a clinical-stage oncology company developing innovative, full-length multispecific antibodies (Biclonics® and Triclonics®), today announced updated interim clinical data on MCLA-129 from ongoing expansion cohorts in non-small cell lung cancer (NSCLC) and in previously treated head and neck squamous cell carcinoma (HNSCC) were presented at the European Society for Medical Oncology (ESMO) Asia Congress 2023. “MCLA-129 is a very active drug in EGFRm NSCLC and we’re planning a focused investment to evaluate MCLA-129 in combination with chemotherapy, which we expect to start early in 2024,” said Bill Lundberg M.D., President, Chief Executive Officer of Merus. “We are in a fortunate position to have a strong balance sheet. We also recognize the importance of be
CASGEVY Gets Bahrain approval for treatment, marking it second country in the world2.12.2023 18:59:21 CET | Press release
MANAMA, Bahrain, Dec. 02, 2023 (GLOBE NEWSWIRE) -- Bahrain has become the second country in the world and the first in the Middle East to approve the use of CASGEVY (exagamglogene autotemcel) for the treatment of patients with sickle cell disease and transfusion-dependent beta-thalassemia. The treatment was developed by Vertex Pharmaceuticals and CRISPR Therapeutics, after conducting a series of successful clinical trials in the UK, US, France, Italy, and Germany, among others. Following the UK MHRA’s authorisation to use CASGEVY, Bahrain is the second country in the world and the first in the region to approve this treatment. This extraordinary development opens up new possibilities for medical advancements and reinforces Bahrain's commitment to pioneering healthcare solutions, offering a better quality of life for patients with these blood disorders. CRISPR (Clustered Regularly Interspaced Short Palindromic Repeats) is a revolutionary gene-editing technique that holds immense potenti
Scatec at COP28: Accelerating renewable energy transition from Egypt to South Africa2.12.2023 14:01:22 CET | Press release
Dubai, 2 December 2023: This week, Scatec ASA, a leading renewable energy company, is actively engaging in the UN Climate Change Conference in Dubai (COP28). Our focus is to underscore renewable energy as an unequivocal solution to climate change and emphasise the critical need for increased green energy investments in emerging markets. COP28 serves as a pivotal platform for global stakeholders to reinforce commitments aimed at averting catastrophic consequences of climate change. Scatec aligns with climate experts in stressing the urgency of the situation and the imperative to continue advancing towards the objectives outlined in the Paris Agreement. There's no time to waste, and collective progress is crucial for safeguarding our planet's future. “We are at COP28 to highlight the key role renewable energy must play in our energy future, "At COP28, our focus is on underscoring the crucial role renewable energy must assume in shaping our energy future, particularly in emerging markets,