AS HARJU ELEKTER

ANNOUNCEMENT

23.04.99

 

COMMENTARY TO THE CONSOLIDATED FINANCIAL RESULTS 03/99

 

The Q1 1999 consolidated net sales of AS Harju Elekter amounted to 35.4 

million EEK (98 Q1 – 33.8 million EEK). This figure does not include 

the turnover of the fireproof door production factory (98 Q1 – 3.0 

million EEK), which as of 01.01.99 operates as an independent 

subsidiary under the name of AS Saajos Balti. Thus, the comparable 

increase in turnover this year amounts to 15% [35.4 : (33.8-3.0)].

 

Compared to Q1 1998, the volume of operating profit increased by 21% 

(99 Q1 – 3.75 million EEK; 98 Q1 – 3.08 million EEK). Decrease in net 

profit occurred due to the fact that the Q1 financial revenues do not 

include the dividends received by PK Cables (98 – 3.5 million EEK), 

which are due in (in the amount of 4.4 million EEK) and thus will be 

reflected in H1 reports. The revenues from the disposal of subsidiary 

AS Saajos Balti in the amount of 2.6 million EEK are reflected on the 

account of financial revenues.

 

The Q1 results of subsidiary AS Eltek are consolidated row-by-row in 

the group’s reports, and the results of subsidiaries are expanded on 

equity method. Based on the methods used, the financial results of 

subsidiaries and affiliated companies are decreased by the amount of 

unrealized profit from intra-company transactions, totaling 613 

thousand EEK.

 

 

Endel Palla

Chairman of the Management Board

+372 67 47 400