To Nasdaq OMX Copenhagen A/S
Company announcement no. 533
November 22
nd
, 2022
Glunz & Jensen
Glunz & Jensen is the world’s leading supplier of innovative, high-quality plate making solutions for the global prepress industry. In addition to developing and producing processors
for the offset and flexo printing industry, we also offer after sales service. Our product portfolio also includes exposure units, dryers, light finishers, mounting tables, plate stackers
and software for monitoring and controlling complete prepress processes.
Glunz & Jensen has been a recognized leader in prepress for more than 45 years. We have long-standing relations with major customers such as Agfa, Asahi, DuPont, Flint, Fujifilm,
Heidelberg, Kodak and MacDermid, the world’s largest suppliers of printing systems. Glunz & Jensen market our products through a comprehensive and worldwide network of
distributors and dealers, and the Group has approx. 100 employees in our facilities in Denmark, Slovakia, and USA.
Our goal is to be the most innovative hardware and services provider in our product areas, and thereby expanding our market share with global customers. At the same time, we will
strengthen our earnings through optimization of prices, production, logistics and capacity utilization.
Page 1 of 14
Phone: +45 5768 8181, CVR-no. 10239680
www.glunz-jensen.com
INTERIM REPORT APRIL 1
ST
, 2022 – SEPTEMBER 30
TH
, 2022 (H1 2022)
The H1 2022 report of the fiscal year was reviewed and approved at the Board of Directors meeting.
Highlights
• The revenue for H1 2022 amounted to DKK 69,5 million (2021/22: DKK 67,5 million), which is in line
with expectations.
• The gross profit amounted to DKK 18,7 million in H1 2022 (2021/22: DKK 20,5 million), the gross profit
margin was 26,9% (2021/22:30,4%)
o The margin decline compared to last year relates to higher prices due to inflation on i.e.
mechanical parts, electronic components, electricity, and gas. The price increases have not
been fully covered by increases in sales prices.
o The challenges of securing especially electronic components and materials on time have
increased, which has caused less efficiency within the manufacturing area.
• The guidance includes a positive fair value adjustment on the investment property in Selandia Park at
DKK 6 million. The adjustment is based on the renewed rental agreements and the significant rent
increase driven by the higher inflation.
• EBITDA for the period was DKK 8,3 million (2021/22: DKK 11,3 million.)
• Profit before tax for the period H1 2022 was DKK 6,5 million (2021/22: DKK 6,7 million), corresponding
to a result per share (EPS) at 2,8 DKK (2021/22: 2,9 DKK).
Guidance for full year 2022
The supply chain challenges – as mentioned above - on mechanical parts and electronic components have
led to a postponement in recognized revenue. In view of this development – and due to the fair value impact
of the investment property in Selandia Park - the company has reassessed the guidance for the full year 2022
(9 months).
Glunz & Jensen revises its full year guidance for 2022 to DKK 100-105 million in revenue (previous guidance
112-117), and the profit before financial income and expenses, tax, depreciation, and amortization EBITDA to
approx. 17-20 (previously DKK 13-18 million). The profit before tax is expected at approx. DKK 15-17 million
(previously DKK 10-14 million level).
Company announcement for H1 2022
Page 2 of 14
Management underlines that the guidance for the fiscal year 2022 is associated with a substantial uncertainty
as the economy hence industrial supply and demand is heavily impacted by supply shortages, high inflation,
and general financial instability. This outlook assumes that demand and delivery is not significantly affected by
another wave of COVID-19 outbreak.
For further information please contact:
CEO Martin Overgaard Hansen: phone +45 22 60 84 05
Chairman of the board Flemming Nyenstad Enevoldsen: phone +45 40 43 13 03
Company announcement for H1 2022
Page 3 of 14
FINANCIAL HIGHLIGHTS
In millions, except per share data
2022
H1
2021/22
H1
2021/22
Year
Income statement
Revenue
69,5
67,5
147,0
Gross profit
18,7
20,5
39,1
Operating profit/(loss)
7,6
8,4
17,8
Net financials
(1,1)
(1,7)
(3,2)
Profit/(loss) for the year
5,1
5,2
12,1
Profit/loss before financial income and expenses, tax, depreciation,
amortization, and impairment of assets (EBITDA)
8,3
11,3
19,2
Balance sheet
Assets
Other non-current assets
151,5
152,1
152,7
Current assets
72,6
63,3
67,5
Total assets
224,1
215,4
220,2
Liabilities
Share capital
91,9
79,2
86,3
Non-current liabilities
65,0
73,7
70,1
Current liabilities
67,2
62,5
63,8
Total Equity and liabilities
224,1
215,4
220,2
Cash flows
Cash flows from operating activities
(5,0)
9,2
23,2
Cash flows from investing activities
1
(0,5)
(0,4)
(4,1)
Free cash flow
(5,5)
8,8
19,1
Cash flows from financing activities
6,5
(8,6)
(18,9)
Change in cash and cash equivalents for the year
1,0
0,2
0,2
1)
including investments in property, plant and equipment
(0,5)
(0,4)
(0,6)
Financial ratios in %
EBITDA margin
11,9
16,7
16,3
Operating margin
10,9
12,5
11,7
Return on assets (ROIC)
2,7
3,1
8,0
Return on equity (ROE)
4,5
4,9
15,1
Equity ratio
41,0
36,8
39,2
Other information
Credit institutions net interest-bearing debt
77,7
80,1
71,1
Interest coverage
7,4
7,7
6,9
Earnings per share (EPS)
2,8
2,9
6,7
Diluted earnings per share (EPS-D)
2,8
2,9
6,7
Cash flow per share (CFPS)
(2,8)
5,0
12,7
Book value per share (BVPS)
50,4
43,5
47,4
Share price (KI)
75
74
78
Average number of shares outstanding (in thousands)
1.821
1.821
1.821
Dividend per share
0,0
0,0
0,0
Average number of employees
Earnings per share and diluted earnings per share are calculated in accordance with IAS 33. Other ratios are calculated in accordance
with the online version “Recommendations & Financial Ratios” issued by the Danish finance society. Reference is made to the
definitions of accounting policies in Glunz & Jensen's annual report for 2021/22.
Company announcement for H1 2022
Page 4 of 14
THE DEVELOPMENT IN H1 2022
Compared to H1 2021/22 the period of H1 2022 showed
an increase in revenue to DKK 69,5 million (2021/22:
DKK 67,5 million) equal to an increase of 3,0%.
Commercial efforts are ongoing, including strengthening
the organization, price adjustments, and production cost
reductions.
See note 3 (geographical distribution) for revenue figures
for the different regions.
Gross profit
Gross profit is at DKK 18,7 million in H1 2022 (2021/22:
DKK 20,5 million). This is due to price increases on i.e.
mechanical parts, electronic components, electricity, and
gas. which have not been fully covered by increased
sales prices towards the customers.
The gross profit margin was 26,9% in H1 2022 (2021/22:
30,4%)
The challenges of securing parts and materials on time
have increased and have caused less efficiency within
the production area.
Development in EBITDA
Earnings before financial income and expenses, tax,
depreciation, and amortization EBITDA was at DKK 8,3
million in H1 2022 (2021/22: DKK 11,3 million).
Operating profit (EBIT) was DKK 7,6 million in H1 2022
(2021/22: DKK 8,4 million).
The net financial items represent a cost of DKK 1,1
million in H1 2022 (2021/22: DKK 1,7 million). The
decrease is mainly caused by lower interest-bearing debt
and lower financing cost during the first part of H1, 2022.
In H1 2022 tax for the period was calculated to DKK 1,4
million (2021/22: DKK 1,5 million).
The profit for the period in H1 2022 was DKK 5,1 million
compared to DKK 5,2 million in H1 2021/22.
Balance sheet
The balance sheet for the group amounted to DKK 224,1
million by the end of September 2022 compared to DKK
220,2 million by the end of the last financial year on
March 31
st
, 2022. The increase is mainly due to higher
inventories partly absorbed by a decline in the trade
receivables.
The equity increased in the period from DKK 86,3 million
to DKK 91,9 million mainly due to the positive result for
the first half year.
On September 30
th
, 2022, the equity solvency was 41,0%
which is an increase of 1,8% percentage points
compared to March 31
st
, 2022, where the equity
solvency amounted to 39,2%.
As in the previous years the activities in the Group have
not significantly been affected by seasonal fluctuations.
However, supply chain challenges have led to
challenges in planning of activities which has caused
unusual high levels of inventories.
Inventories amounted to DKK 51,1 million on September
30
th
, 2022 (2021/22: DKK 41,7 million). The increase in
inventory is due to the increasing challenges in timely
receipt of parts due to supply chain challenges. Trade
receivables were DKK 14,7 million on September 30
th
,
2022 (2021/22: DKK 17,8 million). Trade payables were
DKK 14,6 million on September 30
th
, 2022 (2021/22:
DKK 12,3 million).
Net interest-bearing debt amounted to DKK 86,3 million
on September 30
th
, 2022, of which DKK 6,5 million
referred to IFRS 16 lease liabilities. On September 30
th
,
2021, net interest-bearing debt amounted to DKK 88,8
million of which DKK 7,7 million referred to lease
liabilities.
Cash flow
The net cash flow from operating activities came at DKK
-5,0 million in H1 2022 (2021/22: DKK 9,2 million), net
cash flow from investing activities were DKK -0,5 million
(2021/22: DKK -0,4 million) and the free cash flow was
negative by DKK 5,5 million compared to a positive free
cash flow of DKK 8,8 million in H1 2021/22.
Covenants
The main bank has linked the credit lines to financial
covenants based on solvency, EBITDA and loan to value
for the prepress segment in Glunz & Jensen. The
covenants were calculated by September 30th, 2022.
The company is complying with the financial covenants
by September 30th, 2022.
Events after the balance sheet date
No significant events, which are deemed to have a
significant impact on the Group’s financial position, have
occurred since September 30
th
, 2022
Outlook for 2022
The supply chain challenges – as mentioned above - on
mechanical parts and electronic components have led to
a postponement in recognized revenue. In view of this
development – and due to the fair value impact of the
investment property in Selandia Park - the company has
reassessed the guidance for the full year 2022 (9
months).
Glunz & Jensen revises its full year guidance for 2022 to
DKK 100-105 million in revenue (previous guidance 112-
117), and the profit before financial income and
expenses, tax, depreciation, and amortization EBITDA to
approx. 17-20 (previously DKK 13-18 million). The profit
before tax is expected at approx. DKK 15-17 million
(previously DKK 10-14 million level).
Management underlines that the guidance for the fiscal
year 2022 is associated with a substantial uncertainty as
economies – and hence industrial supply and demand –
Company announcement for H1 2022
Page 5 of 14
are heavily impacted by supply shortages, high inflation,
and general financial instability. This outlook assumes
that demand and delivery is not significantly affected by
another wave of COVID-19 outbreak.
Forward-looking statements
The forward-looking statements in this interim report
reflect the company’s current expectation for future
events and financial results. Such statements are
inherently subject to uncertainty, and actual results may
differ from expectations. Factors which may cause the
actual result to deviate from expectations include general
economic developments and developments in the
financial market, changes or amendments to legislation
and regulation in our market and changes in demand for
products, competition. See also the risk section in the
annual report 2021/22.
Management underlines that the guidance for the fiscal
year 2022 is associated with a substantial uncertainty as
economies – and hence industrial supply and demand –
are heavily impacted by supply shortages, high inflation,
and general financial instability. This outlook assumes
that demand and delivery is not significantly affected by
another wave of COVID-19 outbreak.
- - - o o O o o - - -
The annual reporting for 2022 covering the period April
1st, 2022 – December 31st, 2022, is expected to be
announced on March 28th, 2023.
Company announcement for H1 2022
Page 6 of 14
MANAGEMENT’S REVIEW
Copenhagen, November 22
nd
, 2022
Executive Management
Martin Overgaard Hansen Henrik Blegvad Funk
CEO CFO
Board of Directors
*Elected by the employees
Company announcement for H1 2022
Page 7 of 14
INCOME STATEMENT
(DKK millions)
Note
2022
H1
2021/22
H1
2021/22
Year
Revenue
3
Production costs
(50,8 )
(47,0 )
(107,9 )
Gross margin
Other operating income
Sales and distribution costs
(5,8 )
(5,9 )
(10,9 )
Development costs
(0,6 )
(1,5 )
(1,8 )
Administrative expenses
(4,7 )
(4,8 )
(9,4 )
Other operating expenses
Fair value gains on investment property
-
Operating loss
Profit/(loss) after tax in associates
Financial income
Financial expenses
(1,4 )
(1,7 )
(3,7 )
Profit (loss) before tax
Income taxes
(1,4 )
(1,5 )
(2,5 )
Profit/(loss) for the year
Attributable to:
Equity holders of Glunz & Jensen Holding A/S
Total
Earnings per share
Basic earnings per share (DKK)
Diluted earnings per share (DKK)
STATEMENT OF COMPREHENSIVE INCOME
(DKK ’000)
Note
2022
H1
2021/22
H1
2021/22
Year
Profit (loss) for the year
Other comprehensive income:
Items that may be reclassified to the income statement:
Exchange rate adjustments of investments in subsidiaries
Total other comprehensive income
Total comprehensive income
Attributable to:
1,1
1,1
6,0
Equity holders of Glunz & Jensen Holding A/S
Total
Company announcement for H1 2022
Page 8 of 14
BALANCE SHEET
(DKK millions)
Note
30
th
Sep.
2022
30
th
Sep.
2021
31
st
Mar.
2022
ASSETS
Non-current assets
Property, plant, and equipment
Property, plant, and equipment
Leased assets
Investment properties
Other non-current assets
Investments in associates
Deferred tax
Other receivables
Total non-current assets
Current assets
Inventories
Trade receivables
Other receivables
Income tax
Prepayments
Cash
Total current assets
TOTAL ASSETS
Company announcement for H1 2022
Page 9 of 14
BALANCE SHEET
(DKK millions)
Note
30
th
Sep.
2022
30
th
Sep.
2021
31
st
Mar.
2022
LIABILITIES
Equity
5
Share capital
Other reserves
Revaluation reserve
Retained earnings
Total equity
Non-current liabilities
Deferred tax
Provisions
Credit institutions
Other payables
Prepayments from customers
Lease liabilities
Total non-current liabilities
Current liabilities
Credit institutions
Trade payables
Lease liabilities
Provisions
Prepayments from customers
Income tax
Other payables
Total current liabilities
Total liabilities
TOTAL EQUITY AND LIABILITIES
Company announcement for H1 2022
Page 10 of 14
STATEMENT OF CASH FLOW
(DKK millions)
Note
2022
H1
2021/22
H1
2021/22
Year
Operating activities
Profit/(loss) for the year
Adjustment for non-cash items etc.:
Amortization, depreciation, and impairment losses
Gain and loss on sale of non-current assets
Fair value gain on investment properties
Profit/(loss) after tax in associates
Other non-cash items, net
(0,1 )
(1,2 )
Provisions
(1,6 )
Financial income
(0,3 )
(0,5 )
Financial expenses
Tax on operating profit
Cash flow from operating activities before changes in working
capital
Changes in working capital:
Changes in inventories
(9,8 )
(5,3 )
(4,5 )
Changes in receivables
(0,3 )
(3,9 )
Changes in trade and other payables
(8,5 )
Changes in working capital
(11,2 )
Financial income received
Financial expenses paid
(1,0 )
(1,4 )
(3,1 )
Income taxes paid
(1,4 )
(0,3 )
(0,4 )
Net cash flow from operating activities
(5,0 )
Acquisition of items of property, plant, and equipment
4
(0,5 )
(0,4 )
(0,6 )
Acquisition of investment properties
(3,5 )
Sale of items of property, plant, and equipment
Net cash flow from investing activities
(0,5 )
(0,4 )
(4,1 )
Free cash flow
(5,5 )
Change in net interest-bearing debt
(6,2 )
(15,1 )
Repayment of lease liabilities
(1,2 )
(2,4 )
(3,8 )
Net cash flow from financing activities
(8,6 )
(18,9 )
Net cash flow generated from operations
Cash and cash equivalents at the beginning of the year
Exchange gains/(losses)rate on cash and cash equivalents
Cash and cash equivalents at the end of the year
Company announcement for H1 2022
Page 11 of 14
STATEMENT OF CHANGES IN EQUITY
(DKK millions)
Share
capital
Retained
earnings
Revaluation
reserve
Translation
reserve
Total
Equity March 31
st
, 2021
Changes in equity in H1 2021/22
Profit (loss) for the year
Other comprehensive income:
Exchange rate adjustments of investments in
subsidiaries
Total other comprehensive income
Total comprehensive income for the year
Equity September 30
th
, 2021
Equity March 31
st
, 2022
Changes in equity in H1 2022
Profit (loss) for the year
Exchange rate adjustments of investments in
subsidiaries
Total other comprehensive income
Total comprehensive income for the year
Equity September 30
th
, 2022
Company announcement for H1 2022
Page 12 of 14
NOTES
Note 1 Accounting policies
The interim report of the Group for the period April 1
st
, 2022 – September 30
th
, 2022, is presented in accordance with IAS
34” Presentation of financial statements” as approved by the EU and additional Danish disclosure requirements regarding
interim reporting by listed companies.
The accounting policies applied in the interim report are consistent with the accounting policies applied in the annual report
2021/22. The accounting policies are described in note 31 on page 56 to which reference are made.
Note 2 Significant accounting estimates and judgements
When preparing the interim report in accordance with the Group’s accounting policies, it is necessary that Management
makes estimates and lays down assumptions that affect the recognized assets, liabilities, revenues, and expenses.
Management bases its estimates on historical experience and other assumptions considering relevant at the time in
question. These estimates and assumption form the basis of the recognized carrying amounts of assets and liabilities and
the derived effect on the income statement. The actual results may deviate over time. Reference is made to note 1,
significant accounting estimates and judgements on page 37 in the annual report 2021/22 for further details.
Note 3 Segment information
The Glunz & Jensen Group consists of two reportable segments: the prepress market and the Selandia Park properties.
(DKK millions)
April 1
st
, 2021 – September 30
th
, 2021
Prepress
market
Selandia
Park
Total
segments
Eliminations
Consolidated
External revenue
61,3
6,2
67,5
-
67,5
Inter-segment
-
0,1
0,1
(0,1)
-
Total revenue
61,3
6,3
67,6
(0,1)
67,5
Depreciation and impairment of property, plant, and
equipment
2,6
0,0
2,6
-
2,6
Amortization and impairment of intangible assets
0,2
0,0
0,2
-
0,2
Operating profit
3,6
4,8
8,4
-
8,4
Financial income and expenses, net
(1,2)
(0,5)
(1,7)
-
(1,7)
Segment profit before tax
2,4
4,3
6,7
-
6,7
Segment assets
78,3
137,1
215,4
-
215,4
Capital expenditure
0,4
0,0
0,4
-
0,4
Segment liabilities
41,5
94,7
136,2
-
136,2
Company announcement for H1 2022
Page 13 of 14
(DKK millions)
April 1
st
, 2022 – September 30
th
, 2022
Prepress
market
Selandia
Park
Total
segments
Eliminations
Consolidated
External revenue
63,1
6,4
69,5
-
69,5
Inter-segment
-
0,1
0,1
(0,1)
-
Total revenue
63,1
6,5
69,6
(0,1)
69,5
Depreciation and impairment of property, plant, and
equipment
0,7
0,0
0,7
-
0,7
Operating profit/(loss)
1,9
5,7
7,6
-
7,6
Financial income and expenses, net
(0,4)
(0,7)
(1,1)
-
(1,1)
Segment profit/(loss) before tax
1,5
5,0
6,5
-
6,5
Segment assets
83,5
140,6
224,1
-
224,1
Capital expenditure
0,5
0,0
0,5
-
0,5
Segment liabilities
40,3
91,9
132,2
-
132,2
Sales and purchases between the segments are made on terms equivalent to those that prevail in arm’s length
transactions.
For further information regarding the investment properties in Selandia Park please refer to page 46 in the Annual report
2021/22.
Geographical distribution
(DKK millions)
2022
H1
2021/22
H1
2021/22
Year
EMEA (Europe, Middle East, Africa)
46,2
45,6
95,9
Americas
14,7
15,1
31,5
Asia and the Pacific
8,6
6,8
19,6
Total
69,5
67,5
147,0
Selandia Park is included in EMEA.
Note 4 Acquisition and sale of tangible assets
In H1 2022 the Group acquired tangible assets for DKK 0,5 million (H1 2021/22: DKK 0,4 million). The acquisition in 2022
relates to IT equipment (H1 2021/22: IT equipment).
In H1 2022 the Group did not sell tangible assets (H1 2021/22: DKK 0).
Note 5 Share capital and treasury shares
As of September 30
th
, 2022, and on September 30
th
, 2021, the share capital consists of 1.821.309 shares representing a
nominal value of DKK 20 each. No shares carry any special rights.
By September 30
th
, 2022, and by September 30
th
, 2021, Glunz & Jensen Holding A/S held no treasury shares.
Further information regarding share capital and treasury shares, including movements in the share capital, can be found
in the annual report 2021/22 on page 49.
Company announcement for H1 2022
Page 14 of 14
Note 6 Related parties
The Group’s related parties are the member of the Board of Directors and the Executive Management and their family
members. Apart from contracts of employment, no transactions were entered into between the Group and the Executive
Management.
Heliograph Holding GmbH owns 50,1% of the share capital and hence can exercise control over the Group. Related
party transactions between Heliograph Group and the Group are carried through on arm’s length basis.